Remarketing – A Powerful Tool In Converting Consumers04 December 2014
Capturing and converting website visitors is one of the greatest challenges for every eCommerce business. With over 95% of website visitors leaving a site without converting, the odds of making a sale online are pretty low. While usability and conversion rate optimization can improve the situation, a key step to ensuring visitors return to your site and continue their purchasing journey is remarketing or retargeting.
Remarketing is a powerful tool, which delivers results by its ability to deliver targeted messages to specific audiences across various media channels.
Remarketing allows a company to target users who have previously visited their website, by displaying relevant advertisements across the internet, on sites such as Facebook and Twitter, or when they perform a Google search. Remarketing allows businesses to reconnect with existing and potential customers with specific messages, even after they have left a site. This continued connection helps foster a stronger customer relationship in the long run. Compared to more traditional marketing conversions, conversion rates from remarketed advertisements tend to be significantly higher.
Ways to Remarket an eCommerce Website
Remarketing for Display Networks – This refers to displaying advertisements to people who have previously visited your website whilst they browse the web. While Google offers the largest display network, there are a number of other display networks available with publishers such as Atlas and Sizmek. Remarketing via Display Networks use banner advertisements which are only shown to visitors who have visited your website but left without making a purchase. These advertisements or banners shown in various places on the site are designed to encourage engagement and click throughs. The destination sites are registered with the display network and may include content such as news and videos.
Remarketing for Social Networks – This refers to targeting visitors whilst they browse social networks by showing advertisements related to their previous activity. Facebook and Twitter both offer a number of options and ad formats around remarketing. Facebook have their own remarketing network, Facebook Exchange (FBX), which enables tracked visitors to see specific advertisements within Facebook based on their browsing history.
Dynamic Remarketing – These advertisements are automatically created to display the most relevant content and offers based on previously visited pages and onsite interactions. Dynamic advertisements are very targeted as they display information relevant to the browsing history of a website visitor. The advertisements are built from a feed that is sent to the publisher and includes relevant details such as product name, images and price. Criteo and Google offer versions of this service.
Remarketing Lists for Search Ads (RLSA’s) – By showing relevant advertisements to site visitors when they search on Google, businesses can tailor and target search results for users as they continually research on products throughout their purchase decision. For example, RLSA’s can ensure an ad is only shown in search results where the user has not visited the website previously. This stops advertisements being shown to your customers who are already aware of your brand. Here, businesses can capitalize on organic (SEO) rankings to reduce pay-per-click costs.
Email Remarketing – If your business is using email marketing, email remarketing can be a complimentary addition as it has one of the highest conversion rates of all marketing channels. Customers who have high engagement with your emails have the potential to be great customers with the right motivation. In 2013, 44% of email recipients made at least one purchase based on a promotional email. An example of this is the use of personalized email offers. This type of email takes into account a visitor’s website interactions and sends an email related to his or her activity, be it related content or products, with an offer to purchase.
The Benefits of Remarketing
So, why should a business choose remarketing? The answer is simple. By remarketing to a qualified customer who has already shown interest in your brand, product or website, businesses can maintain top-of-mind recall – even after the customer has left the site. Remarketing is more targeted and cost effective than traditional campaigns, therefore generating a much higher return on investment (ROI). When managed correctly, remarketing is also more effective as it has higher click through and conversion rates than traditional advertisements.
Remarketing Technologies in Asia Pacific
Remarketing is not a manual process and requires the right technology. Providers supplying remarketing services in the APAC region include:
Criteo – A company dedicated to targeted display advertisements offering personalized product recommendations. These are driven directly from website visitor data and the eCommerce stores’ product inventory. It uses display advertisements, which are then optimized and delivered in real-time for each individual consumer across mobile, social and desktop channels.
DoubleClick by Google – By leveraging Google’s understanding of a user’s previous search behavior, marketers are able to target specific audiences across ad exchanges, via DoubleClick Bid Manager or the Google Display Network (GDN). This is based on a consumer’s interaction with paid search advertisements and is undertaken via existing tracking, making it easy to enable. Remarketing List for Search Ads (RLSA’s) allows targeting of advertisements within the Google Search Network to specific audiences defined by website visitor data.
ExactTarget – Remarketing isn’t limited to media advertisements. To re-engage consumers, businesses can leverage technology such as ExactTarget, to reach both B2B and B2C customers. This additional touchpoint can also help drive customers further into the purchase funnel.
Utilizing your Customer Relationship Management (CRM) for Remarketing
To get the most from your remarketing program, it is critical to align digital media spend with data sourced directly from your CRM. Not only does this provide the ability to store more data for improved offline engagement but it also delivers results based on exact purchase data, experience from customers’ feedback through customer service teams and a better understanding of a customer’s Life Time Value (LTV).
A customer’s LTV is a key metric in determining the budget for advertising, particularly when choosing what channels, messaging and timing to be used. LTV is tracked from CRM and can include offline sales, usually through loyalty cards or vouchers, returns from customers and buying patterns for upselling. This provides a company with a complete picture of a customer’s value to their business as well as insights into the effectiveness of their marketing strategy.
Here’s an example of a remarketing process:
Many businesses in the APAC region are using this advanced process across multiple sites to capture customers at all stages of the purchase funnel. In 2013, Clinique Australia engaged Adroll for remarketing, driving its return on investment (ROI) for the overall campaign up by 8.5 times. The return on advertising spend (ROAS) rose by 14 times for custom advertisements and had an overall performance increase of 265% in online sales from remarketing after starting Facebook Exchange.
Remarketing is a powerful tool that can provide an above average conversion and significant ROI when used as a multi-channel marketing approach. Leverage on data from different areas of your business for remarketing helps drive potential and returning customers to purchase, reduces advertising costs and helps you obtain crucial data that can provide powerful insights into user engagement. With the use of automation and technology, remarketing can be run in real-time and adapted to user behaviour to achieve a sales uplift and positive results for your eCommerce site.