While 71% of marketers invest heavily in retargeting, many still confuse it with remarketing - here's why that matters for your bottom line.
As an ecommerce advertiser, understanding the distinct advantages of each approach can significantly impact your campaign performance and ROI.
Remarketing typically involves direct communication through email and SMS to re-engage existing customers, while retargeting focuses on serving ads to previous website visitors across different platforms.
While often used interchangeably, these distinct strategies serve different purposes in your marketing funnel. Retargeted ads achieve a click-through rate of 0.7% - ten times higher than standard display ads (Source).
Understanding when and how to use each approach can significantly impact your ecommerce success.
Remarketing is a strategic approach that focuses on re-engaging customers who have already provided their contact information or made a purchase. As discussed in our guide on maximizing repeat business through remarketing, this technique primarily utilizes direct communication channels. Key characteristics of remarketing include:
Retargeting, on the other hand, is a display advertising strategy that keeps your brand visible to users who have visited your website but haven't converted. Our comprehensive retargeting matrix shows how this approach differs in both implementation and results. Key characteristics of retargeting include:
Understanding the distinct channels each strategy employs is crucial for effective campaign planning. Let's explore how these channels impact your ability to reach and engage potential customers.
The fundamental difference between these strategies lies in how they collect and utilize customer data. As covered in our retargeting matrix webinar, each approach requires specific data types to function effectively.
Remarketing emails can achieve conversion rates as high as 41%, significantly outperforming standard email campaigns (Source).
Key performance indicators for remarketing campaigns include:
Retargeting can increase conversion rates by up to 150%, making it one of the most effective digital advertising strategies available (Source). For detailed analytics tracking, visit our analytics resources section to learn more about measuring these crucial metrics:
Understanding when to deploy remarketing campaigns can significantly impact your ecommerce success. As outlined in our PPC strategy guide, timing is crucial for maximum effectiveness. Best scenarios for remarketing:
Pro Tip: Implement remarketing when you have a substantial customer database and clear segmentation strategy.
Retargeting shines in specific situations where immediate re-engagement is crucial. Consider these primary use cases:
Warning: 55% of consumers are less likely to buy if they see the same ad multiple times. Balance is key in retargeting frequency (Source).
Follow these proven implementation steps, based on our PPC execution guidelines:
1. Data Collection
2. Campaign Structure
3. Testing and Optimization
1. Technical Setup
2. Campaign Configuration
3. Optimization
Key metrics to track for each strategy:
Important: With 68% of digital marketing agencies increasing their retargeting budgets, it's crucial to establish proper tracking and optimization processes (Source).
While both remarketing and retargeting serve to re-engage users, their distinct approaches serve different purposes in your marketing strategy.
Remarketing excels at nurturing existing customer relationships through direct communication, while retargeting effectively captures lost opportunities through strategic ad placement. Final comparison of key aspects:
For optimal results in your ecommerce marketing:
To maximize your marketing effectiveness:
Ready to elevate your ecommerce marketing strategy? Contact SCUBE Marketing for expert guidance in implementing effective remarketing and retargeting campaigns that drive results.
