Organic traffic is the best way for businesses to get customers, right?
While organic traffic is still crucial for building a web presence and establishing a brand, the real value lies in retargeted traffic. In fact, a study by AdRoll shows retargeted traffic converts at nearly four times the rate of non-retargeted traffic.
Why is retargeted traffic so effective? Let’s start with the basics…
What is retargeting?
Retargeting is a form of online advertising that delivers ads to users based on their previous activity on your site (and other sites). When users visit your site, a cookie is placed on their computer (sometimes called a pixel). This pixel is used to track users as they browse the web. If a user visits your site and then moves to another site, that other site can serve them an ad powered by AdRoll (or another retargeting partner). This process can continue across multiple sites until the pixel expires or is removed.
Why should I care about retargeting?
You may be wondering, “Wait! I already have organic traffic coming to my site! Why would I want some other traffic too?” The answer is simple: the average conversion rate for ads delivered through search and social is .07%.
However, with retargeted traffic, you can expect a 2-3% conversion rate if your content is compelling enough to make your customers take action.
That’s not all…
Retargeting also lets you measure the performance of individual pieces of content. For example, suppose you want to see how well a specific blog post is performing. In that case, retargeting can show which users were exposed and interested enough in that piece of content to take action (e.g., subscribe to your newsletter).
For example, let’s say someone visits your website but doesn’t convert on the sales call. A retargeting ad might show this user a discounted price or special offer at a later time.
This retargeted ad will be shown to that individual as they browse other websites. The goal is that the retargeted ad will inspire enough interest and lead to a conversion when the user returns to your site.
Why retargeting is so valuable
You’re only paying for conversions
In retargeting, you are charged when someone completes an action that moves them closer to becoming a customer or client. In most cases, this means the retargeted individual converts on your sales page.
With retargeting, you are not charged when someone clicks on your ad and then leaves the site (you don’t have to pay for “bounced” traffic). Instead, you only pay for conversions. This makes retargeting a much more cost-effective form of online advertising than many other channels.
You retarget the right people with the right message at the right time
With retargeting, you deliver ads via various networks like Google Ads and Facebook. The advantage of retargeting through a network is that the retargeted individual has already visited your site (and thus is “warm” traffic, meaning familiar with your brand already).
This means retargeted individuals are more likely to pay attention to your ad as opposed to a cold audience that has never visited your site. This retargeted traffic is also more likely to be ready to convert as they’ve already shown interest in your products or services.
Thanks to retargeting, you only have to invest time and resources into retargeting the right leads rather than retargeting all visitors of your site (cold audiences).
The “Rule of 7’s”
The Rule of 7s states that a person needs to be exposed to a brand seven times before they will make a buying decision, which is known as “seven touches.” The logic behind the rule is that for an offer to be effective, you need to show it to a user at least seven times.
Each of these seven touches ideally takes place over the span of a month or longer. The touches can come in many forms, but a typical seven touches campaign might include:
1st touch – The user sees your ad
2nd touch – The user clicks through to your site and views the product but doesn’t purchase. They’re still interested but haven’t made a decision yet.
3rd touch – A few days later, they receive an ad for 15% off their first purchase. This may make them more likely to convert as they feel a sense of urgency.
4th touch – A few days later, the user receives an ad with more information about your product/service. The goal is to give the individual as much information as possible to help them make an informed buying decision.
5th touch – Now, let’s say a couple of weeks pass, and the user sees another ad, this time for a sale on your products. They may decide to purchase now due to the good deal you’re offering them. Or perhaps they simply sign up for your newsletter by providing an email address.
6th touch – A month or two goes by, and they receive a personalized email asking how their experience with your company was. Again, this is another opportunity to encourage them to convert.
7th touch – Now that it’s been several months, they receive a non-personalized email reminding them about your brand and the reasons why they should purchase your product. This is meant to push them over the edge into purchasing.
In a nutshell, retargeting is one of the most cost-effective channels for online advertising because you only pay for conversions, and retargeted traffic is already familiar with your brand. Retargeting also ensures that you’re advertising to real people who have visited your site and are thus more likely to convert than cold audiences.
Final thoughts on retargeting traffic
There’s a reason why retargeted traffic is such an effective advertising channel: you’re pushing the right content to the right people at the right time. Retargeted individuals are also already familiar with your brand, which means they’re more likely to take action than cold audiences.
The seven touches rule states that it takes seven exposures to your ad or brand for a consumer to decide to purchase, and retargeting is a great way to deliver your content seven times. Retargeted traffic is also an extremely cost-effective strategy as you pay per conversion rather than per impression, which means you only spend money on people who have taken the desired action on your site.
With all that said, it’s time to get your retargeting campaigns up and running. Good luck!
If you happen to have any questions about retargeting and remarketing, please use the form below or on our contact us page, to reach out and someone will contact you quickly.