Statistically speaking, only 2% of shoppers will make a purchase on their first visit to your online store. According to studies, you would need to get someone to visit your online store six times before they make a purchase. So how do you re-attract the other 98%? Simply said, by using retargeting strategies.
For any business that is continuously generating new leads, retargeting is the best bet of making sure that the majority of those new leads complete a call to action.
Here are retargeting facts that show how effective a retargeting campaign can be in keeping your business alive.
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Retargeting Can Increase Brand Awareness
For your marketing to be effective, customers need to trust your brand. Hence, it is crucial to create brand awareness for your business. Retargeting does an excellent job of doing just that because it allows your target audience to see your personalized ad messages multiple times.
One of the most effective social media platforms to achieve brand awareness is through Facebook retargeting ads.
Retargeting Has a High Conversion Rate
Retargeting can improve the average conversion rate of your business by about 147%. It is no wonder then that 70% of marketers choose Facebook retargeting ads as their number one marketing campaign.
An excellent example of how effective a retargeting campaign can be is Chubbies and AdRoll, where AdRoll ran a retargeting campaign for Chubbies. The campaign produced the following results:
- Facebook retargeting ads accomplished a 35.5x ROI
- Within the first 12 hours of running the retargeting campaign, it amassed over 4.5x above the average conversions, and CTC rose 4.8x above average.
Retargeting ads reach only people who have already expressed an interest in what you have to offer and are closer to taking action. For this reason, you spend less on having them convert, and that should reflect positively on your ROI.
- 3,000-10,000 visitors: $50-$175 per week.
- 10,000-20,000 visitors: $175-$450 per week
- 25,000-50,000 visitors: $450-$900 per week
- 50,000-100,000 visitors: $900-$1,800 per week.
Retargeting Ads Provide Useful Insights About Your Retargeting Ads Campaign
By utilizing the right tools and the right system for your retargeting ads, you can effectively gather useful insights about areas where they get more engagement and a higher conversion rate. This information can help you to find out specific areas to focus on and areas that need to be scrapped or require a little tweaking.
Over time, tools such as Google Analytics have proven useful to digital marketers as they help to gather valuable insights about people who are most likely to invest in your product or services.
Did you know that:
- 54% of marketers believe social media platforms are the best option for retargeting
- Facebook retargeting ads are 76% more likely to get a click compared to other ads
- 22% of users who click on Facebook retargeting Ads end up making a purchase?
So far, we have seen the power of retargeting. Now, let’s take a look at some of the best retargeting practices.
Cap Your Ad Frequency
Capping your ad frequency enables you to know how many times your target audience needs to see your ad before converting. The goal here is to strike a balance because showing too much of your ad to a particular user can quickly become offensive, thereby rendering all your retargeting efforts useless.
Try Not to Retarget a Customer for the Same Item(s) She Bought
A good rule would be to retarget a customer that has already converted with ads similar to the products she purchased. Say someone buys a pair of running shoes. You can run retargeting ads that offer her gym shorts since both items are related and are sometimes used for the same activities.
Make Sure Your Ads Are Personalized
Personalized ads have a better chance of converting. Around 44% of Facebook users say personalized retargeting ads influence their purchasing decisions. Another 78% of consumers believe that personalized content from brands enhances their purchasing decision.
Always Track Your Retargeting Ads Campaign
You cannot afford to overlook this process because it provides you with information about which segments of your campaigns are working well and which yield poor results. Tracking performance of poor campaigns will help you fix them and improve their effectiveness.
When done correctly, retargeting ads will not only bring life to your online business but will also help you retain and improve the lifetime value of your customers. Also, for retargeting to work, your business needs to attract new traffic to your online store or website through other digital marketing channels.
Featured image source: Freepik