Remarketing and retargeting are terms that often pop up in eCommerce marketing strategies, and it’s easy to see why they’re used interchangeably.
Both aim to re-engage potential customers who’ve interacted with your brand but haven’t converted yet. However, while their objectives may overlap, these two approaches are technically different in how they achieve those goals.
If you’ve ever felt confused about what sets remarketing apart from retargeting, you’re not alone. Understanding these differences can help you create more effective campaigns tailored to your business needs.
In this blog, we’ll break down the nuances between eCommerce remarketing and retargeting, and dive into why retargeting, in particular, can be a powerful approach to drive sales.
Let’s dive right in!
What is eCommerce remarketing and retargeting?
eCommerce Remarketing: It’s a strategy primarily focused on re-engaging existing customers or prospects through email campaigns and personalized messages. It typically uses customer data, such as email addresses or purchase history, to deliver curated offers, reminders, or recommendations.
eCommerce Retargeting: It’s a digital advertising strategy that uses tracking cookies or pixels to deliver targeted ads to users who have previously interacted with your website or app. These interactions could include browsing specific products, adding items to the cart, or abandoning a checkout process.
Let’s understand the core differences between these marketing approaches.
Why do eCommerce businesses need to run retargeting campaigns?
Retargeting campaigns offer a more dynamic and immediate approach than remarketing.
Here’s why they’re a step ahead:
1. Re-engage lost visitors
Not every visitor converts on their first interaction. In fact, research shows that most users need multiple touchpoints before making a purchase decision. Retargeting helps you connect with these "lost" visitors by reminding them of the products they viewed or left in their carts. This approach increases the chances of turning their initial interest into a sale, ensuring you don’t miss out on potential customers.
2. Maximize reach to your target audience
Retargeting ensures your ads reach the right audience at the right time. By leveraging cookies or tracking pixels, you can identify users who have already shown interest in your products. This level of precision eliminates wasted ad spend on uninterested audiences and focuses your budget on high-intent shoppers. Additionally, platforms like Google and Facebook allow dynamic retargeting, enabling you to showcase the exact products users viewed, making your ads highly relevant.
3. Increase conversion rates and ROI
One of the biggest benefits of retargeting is its ability to drive higher conversion rates compared to standard display advertising. Users who are retargeted are more likely to convert because they’re already familiar with your brand and products. The personalized and contextual nature of retargeting ads significantly improves their effectiveness, ultimately leading to a better return on investment (ROI) for your ad campaigns.
4. Maintain relationships with customers
Retargeting isn’t just for first-time visitors; it’s also a powerful way to stay connected with existing customers. By reminding them of complementary products or exclusive offers, you can encourage repeat purchases and build long-term brand loyalty. For example, targeting customers who recently purchased with recommendations for related items can create a personalized shopping experience that strengthens their relationship with your brand.
Retargeting strategies for eCommerce businesses
Retargeting, when used strategically, can drive significant results. Here are five advanced strategies to optimize your retargeting efforts:
1. Audience segmentation
Effective retargeting starts with precise audience segmentation.
URL-Based Tracking: Segment audiences based on the specific pages they visited. For example, users browsing high-ticket items may need a different approach than those visiting your sales page. This allows you to tailor your messaging to their intent.
Checkout Stage/Abandoned Cart: Create segments for users who abandoned their carts at different stages of the checkout process. Someone who added items but didn’t proceed to payment requires different incentives than a user who left after entering their shipping details.
Buying Behavior: Analyze past purchase data to retarget users with relevant product recommendations. Segment frequent buyers, one-time purchasers, and customers showing a preference for specific product categories for maximum impact.
2. Create personalized ads
Personalization is critical in retargeting. Use dynamic ads that adapt to the user’s browsing history, showing the exact products they viewed or added to their cart. Additionally, include elements like personalized discounts or free shipping offers tailored to their preferences. Advanced personalization tools can even use behavioral triggers, such as urgency-based ads for limited stock items or time-sensitive deals.
3. Cross-channel targeting
Expand your retargeting efforts across multiple channels to ensure consistent engagement. Use a combination of display ads, social media platforms, email retargeting, and even in-app notifications to reinforce your message. Ensure that your ads are optimized for the specific format and user behavior of each platform. For example, use video retargeting on Instagram or carousel ads on Facebook to showcase multiple products.
4. Measuring and optimizing retargeting campaigns
Retargeting is not a one-time setup. Use advanced analytics tools to measure campaign performance across key metrics like click-through rates (CTR), conversion rates, and return on ad spend (ROAS). Experiment with different ad creatives and audience segments through A/B testing to identify what works best.
5. eCommerce attribution analysis
Attribution helps you understand the true impact of your retargeting campaigns within your overall marketing strategy. Use multi-touch attribution models to identify which touchpoints are driving conversions. This insight helps allocate budgets effectively and ensures retargeting is optimized for its role in the customer journey, whether it’s a first-touch awareness ad or a last-click conversion trigger.
Use Graas' Marketing Deep Dive to Make Retargeting More Effective!
Effective retargeting requires more than just running campaigns—it demands in-depth analysis to identify what works best for your business.
With Graas' Marketing Deep Dive, you gain a clear breakdown of your ads' performance, helping you spot the high-performing campaigns that deliver significant ROI. At the same time, it highlights ads that fall short, ensuring you don’t allocate resources to underperforming efforts.
Graas provides a detailed view of your retargeting campaigns, allowing you to compare critical metrics such as ad revenue, ROAS, impressions, CTR, CPC, and more. This comprehensive analysis ensures you can identify the best-performing retargeting ads and double down on strategies that drive results.
Stop relying on guesswork for your retargeting efforts. Use Graas' actionable insights to optimize your campaigns and achieve better returns. Take the next step—Sign up for a 30-day free trial with Graas today!