8 Reasons Why Retargeting Is Crucial for Any Advertising Strategy


Users that visit your company's website, browse your offerings, and then leave without purchasing anything are all too common.
These potential customers are interested in what you offer, but for whatever reason, they haven't decided to purchase. So, how can you keep clients engaged in your product even after they've left your sales environment?

When leads are in the consideration stage, retargeting is an excellent strategy for moving them through the conversion funnel. Your marketing team can develop an advertising campaign that attracts the attention of potential buyers who have already expressed interest in your company.
97% of people who visit your site for the first time don’t complete a conversion, and then they’re lost forever.
After your website visitors leave without making a conversion, retargeting ads remind them of your products and services. It's an effective way to re-engage clients who have interacted with your business online. Retargeting ads encourage past visitors to return to your website by offering them relevant ads using simple tracking scripts.
Today, retargeting is critical for marketers to interact with their customers and enhance sales and customer loyalty. Retargeting ads keep your business and products in front of previous visitors' minds.

So Why Should You Use Retargeting?

If you leverage retargeting along with other channels, you can convert 50% more users into customers.
Customers need seven touchpoints with a brand before they convert. However, the world of digital advertising has become increasingly saturated since this statistic first appeared a few years ago.


The conversion goal is simple: you want visitors to click on your ad and complete an action. Conversion campaigns are mainly used to connect a specific list with a clear next step in the flywheel and may be tracked using standard conversion metrics such as website clicks, form submissions, and cost-per-lead (CPL).

CPL formula

A conversion campaign's finest feature is that it can be used for many parts of the flywheel. Pixel-based ads, for example, create leads by directing users to landing pages where they can provide personal data.
List-based ads better qualify those leads. Contacts who have provided limited information will see ads that direct them to longer forms with more fields.


When you wish to re-engage website visitors and inform them about relevant products, features, or announcements, awareness campaigns are a great strategy.
The obvious disadvantage of awareness campaigns is that they serve less personalized content to consumers who haven't connected with your brand frequently. They're not in your contact database, and their predicted clickthrough rates are typically lower than for other types of ad campaigns.
Impressions and engagement rates are excellent metrics to measure because the purpose is to make prospects aware of your business. Awareness campaigns are frequently used as a springboard toward a much more effective campaign goal: conversions.


Retargeting can also be used to complete the buyer's journey cycle for qualified leads. For example, you might use retargeting to send an invite to sign up for a free trial of your product to a list of contacts who have downloaded an ebook. When they see how your tool can help them meet their goals, they may be inspired to become a paying customer.


The amount of money you may expect from a single client throughout their engagement with your business is known as customer lifetime value. Customers are reminded of your brand and encouraged to make more purchases when you use retargeting. The higher their CLTV, the more purchases they make.
A method that will help you get the most accurate LTV by predicting the total revenue that a client will bring you over time:

CLV formula

T - Average number of transactions per monthAOV - Average order valueAGM - Average gross marginALT - Average customer lifespan in months


Cart abandonment takes place when a customer adds something to their online shopping cart but then leaves without checking out or completing a purchase. Retargeting can help to reclaim clients who have abandoned their carts by reminding them that the item they were looking for is still there and ready to buy.


When you know that a user has visited your website, made a purchase, or expressed general interest in your business, retargeting allows you to offer them new products that are specific to the client. When they see your ads, you may direct them back to your website to learn more about your new product and persuade them to make a purchase.
Whatever your goal, it's critical to match your audience list with the positioning, creativity, and next step in the conversion process - whether that's an offer landing page, a site page, or a request for further information.
Users connected with accounts on each platform (usually by email address) can have low match rates with list-based retargeting, so make sure you're fueling your retargeting activities with inbound content.


Retargeting is effective in reducing churn and increasing retention rates by encouraging active users to return more frequently and connect with your business.
You can use retargeting ads to encourage consumers to come back and learn more about your business. Retention is a long-term strategy that requires a sharp eye for data. And retargeting is a crucial step in ensuring that your entire approach runs well.

CLV formula

The way forward is to work on understanding the causes of churn and tailoring a well-thought-out remarketing plan to each user personally. Marketers may employ retargeting to ensure that these ads are sent to their customers at the correct time and at the right frequency.
Want to know how to prevent customer churn rate? Read the article.


It may appear to be a waste of time and money to advertise to existing consumers, but it isn't. Advertising offers for "freemium" products or add-ons is a simple way to keep your consumers engaged and interested. Upselling using retargeting ads helps current customers have a higher lifetime value.
The important thing is that your offering adds value to what clients currently have. If people think you're just advertising a product or service they've already seen, they won't respond.

Final Thoughts

Retargeting can be one of the most important tools in your integrated marketing campaign - helping you achieve a variety of goals while keeping customers moving through your conversion funnel. The beauty of all digital advertising campaigns is that we have the power to optimize them until we find the most effective ads.
Now that you’ve got the details on how retargeting can transform your brand and sales, what are you still waiting for? It’s time to capture attention, increase conversions, and watch your business grow.
Want to explore essential tactics that can help your company successfully implement a retargeting strategy? Check out the free Ultimate Guide to Retargeting Ads.

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