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Unlike typical remarketing ads that follow people around the internet, an ad retargeting campaign is all about getting your ads in front of people who have shown an interest in what you have to offer.

Don't worry if it sounds complicated - we're here to help! Let's start with understanding how an effective ad retargeting campaign works.

How Does Retargeting Campaign Work?

Remember, there are two primary types of retargeting:
  • Pixel-based
  • List-based
Each works slightly differently, but the goal is the same: to get your ads in front of people who have already shown an interest in what you're selling.

1. Understanding Pixel-Based Retargeting

The most common type of retargeting is pixel based. You've probably seen these ads before - they follow you around the internet after you visit a certain website.

Just like that, it is a way to re-display your ads to any anonymous visitor!

When someone visits your site, a pixel is placed on their browser. This pixel is a code that allows you to track visitors as they move around the internet.

From there, you can create an audience of people who have visited your site and show them relevant ads as they browse the web or use social media.

2. Understanding List-Based Retargeting

List-based retargeting is a bit different. Instead of using a pixel to track visitors, you use email addresses or phone numbers.

This might sound more difficult, but it can be quite simple.

The first step is to upload your customer list into the retargeting platform of your choice. Then, the platform will match the information on your list with people browsing the internet.

Once the platform has found a match, it will serve your ads to those people as they browse the internet or use social media.

What Are The Retargeting Ad Goals?

There are a few different goals that you might want to achieve with your ad retargeting campaign.
  • Generate Brand Awareness

You probably won't have much name recognition if you're a new business. Retargeting can help you change that.

An awareness ad retargeting campaign can help target people who have visited your site but didn't make a purchase.

The goal is to show your ad to as many people as possible and get your brand in front of as many eyeballs as possible.

Since the goal is to generate awareness, you'll want your ad to be simple and to the point.

Include a strong call to action that tells people what you want them to do, whether visiting your site or making a purchase.
  • Generate More Conversions And Reduce Cart Abandonment

Conversion campaigns align best with a specific list and a clear step in the flywheel.

This could look like an abandoned cart campaign for people who have visited your site and added items to their cart but didn't checkout.

You can measure your success by the number of people who see your ad and then click, submit a form, or by cost-per-lead.

The key here is to ensure that you're targeting people interested in what you're selling.

Don't waste your time and money showing your ad to people who never intend to buy from you.
  • Increase Customer Lifetime Value And Introduce New Products

If you want to increase customer lifetime value, you need to focus on two things: customer retention and cross-selling.

For customer retention, you'll want to target people who have already purchased from you.

You can show them ads for similar products or bundles they might be interested in.

For cross-selling, you can target people who have purchased one product and show them ads for complementary products.

You can also use retargeting to introduce new products to your existing customer base.

This is a great way to get feedback on new products and see if there's interest before you invest too much time and money into production.
  • Reduce Customer Churn

Churn is the enemy of any business. It's the percentage of customers who stop using your product or service over time.

There are a few different ways to reduce churn with retargeting. You can target people who have stopped using your product and show them ads that highlight the features and benefits of your product.

How to Set Up an Effective Ad Retargeting Campaign

Now that we've explained what ad retargeting is and how it works let's look at how you can set up an effective ad retargeting campaign for your business. You can dramatically increase conversion chances and boost your bottom line.

3. Define Your Objective

The first step in setting up an effective ad retargeting campaign is to define your objective.
  • What do you want to achieve with your campaign?
  • Are you looking to increase brand awareness?
  • Drive traffic to your website? Boost sales?
Once you've defined your objective, you can create targeted ads aligned with that goal.

4. Identify Your Target Audience

The next step is to identify your target audience.
  • Who do you want to target with your ads?
  • What are their demographics?
  • What are their interests?
  • What motivates them?
The more specific you can be when answering these questions, the better. By identifying your target audience, you can create ads that speak directly to them and address their needs.

5. Choose The Right Channel

Once you've identified your target audience and defined your objectives, choosing the right channel for your ad campaign is time.

You can use several different channels for ad retargeting, including display ads, social media ads, and email marketing. The best way to choose a channel is to consider where your target audience spends most of their time online.

If they're active on social media, running ads on Facebook or Instagram would be a good option. If they're more likely to check their email inboxes regularly, then email marketing might be a better choice.

6. Set Your Budget

Setting a budget for your ad campaign is essential in ensuring its success. When determining your budget, it's important to consider two things: how much you're willing to spend per click and how much you're willing to spend per day.

Once you've determined these amounts, you can set up your ad campaign accordingly. Just remember don't overspend!

7. Create Compelling Ads

Creating compelling ads is key to driving results with ad retargeting. Your ads should be eye-catching and attention-grabbing while also being relevant to the user's interests. Start using strong visuals, such as images or videos, to create compelling ads.

Then, include a persuasive copy that speaks directly to the user's needs. Finally, make sure each ad includes a call-to-action (CTA) so users know what they need to do next (e.g., "Click here to learn more").

8. Test & Measure Results

After launching your ad campaign, it's important to test and measure the results regularly so you can make changes as needed based on performance metrics such as click-through rate (CTR), cost per click (CPC), and conversion rate (CR).

By doing this, you can optimize your campaigns for maximum ROI and ensure they meet your business goals.

Next Steps!

Ad retargeting is an incredibly powerful marketing tool—but only if done correctly.

Following the steps outlined above, you can set up an effective ad retargeting campaign that will help you boost your bottom line and achieve your business goals.

If you think it's time-consuming or a bit complicated, let's join hands for your business retargeting campaigns!

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