Retargeting Ads: The New-Age Strategy For Successful Businesses

“Retargeting can increase conversion rates by almost 150%” (source 1).

The primary purpose of retargeting ads is to remind the customers about the brand which they visited once. Hence, the chances of conversions are more.

Means, improved customer engagement leading to an increase in ROI!

These days, retargeting ads have become so common that your customers notice these ads throughout their buying journey in the online ecosystem.

Although it can be annoying at times, you tend to develop an interest in the extra information about the products/services you were looking for.

So, What Are Retargeting Ads?

Retargeting ads are targeting ads which are sent to people who have already engaged with your brand once. These ads are kind of a reminder to customers that they visited your brand and are yet to make a purchase.

For instance, you have visited an eCommerce site and researched a product which you were keen to buy. However, for certain reasons, you have abandoned the products in the site’s cart and moved on to some other site.

Then, don’t you see the ads of the same products when you visit a new site? Well, that’s because of retargeted ads.

Here’s the Functioning Dynamics of Retargeting Ads

It’s the cookies which play a crucial role in retargeting. Whenever a prospective customer enters a site, an anonymous browser cookie is dropped on the visitor.

When the visitor leaves the website without making a purchase, the cookie notifies you when he visits another site. You can then target ads to that potential customer till he comes back to your site to make a purchase.

Interestingly, “ Retargeting ads can get ten times more clicks when compared to display ads” (source 2). Means, visitors are enjoying that extra information about the products/services which they were planning to purchase.

But, all these happen in a matter of a few seconds and entirely in an automated way. Yes, RTB makes it possible for you to buy ad slots and place the ads in whichever site your visitor enters.

Of course, there is not one but many types of retargeting ads. Each work in a different way with one another.

Types of Retargeting Ads

On a broader level, there are two major types of retargeting – Pixel-based Retargeting and List-based Retargeting.

In pixel-based retargeting, a Javascript code (also called as a pixel) is placed on an anonymous visitor so that you can track whenever he visits another site.

As soon as he gets into another site, your customer will see the retargeting ads. Therefore, reminding him of the brand which he previously engaged and left without any action.

In list-based retargeting, you already have a list of existing customers for which you send targeted ads.

This retargeting usually helps while displaying advertisements in social media platforms as it intended to target only a particular audience whose contact list is available with you.

Along with this, there are many other types of retargeting ads. And some of which fall in both of the categories mentioned above. They are:

  • Email Retargeting
  • Cross-Channel Retargeting
  • Buyer Persona Retargeting
  • Facebook Pixel Retargeting
  • Account-Based Retargeting and more

Each type of retargeting ads are meant for different channels and are effective when utilized in those channels.

Why Are Retargeting Ads Crucial For Your Marketing Efforts?

A significant aspect of digital advertising is that you will have lots and lots of competitors. Here will not only have local brands but global brands as well. Unless you make a lasting impression, it’s challenging to build trust with your customers.

Hence, it’s vital to run retargeting campaigns so that your potential customers won’t forget your brand/products easily.

A study says that “Retargeting reduces cart abandonment by 6.5%” (source 3).

And, it is remarkable how customers respond to the retargeting ad campaigns leading to a purchase. It means that retarget marketing is one of the effective online advertising strategies in recent times.

However, retargeting is often combined with other online strategies such as remarketing, content marketing, etc., to make it more effective.

Since the sole purpose of retargeting ads is to bring more conversions, it does help much in various other aspects.

So, it brings us to yet another strategy called Remarketing!

What is Remarketing?

Retargeting and remarketing are often synonymously used, but they are slightly different.

Remarketing is the process of re-engaging potential customers through email marketing.

Differences Between Retargeting and Remarketing

  • Retargeting is an advertising strategy, whereas remarketing is a marketing strategy. 
  • Remarketing comprises of email marketing campaigns, while retargeting is all about display ads.

Hence, both should not be confused with each other. Yet, you can combine both strategies to improve your customer experience and engagement.

At the basic level, both are for retargeting customers who have left without making a purchase. Hence, there is a lot of confusion regarding retargeting vs remarketing.

Key Objectives of Retargeting Ad Campaigns

Retargeting ads, as the name suggests, are meant to retarget the anonymous visitors. However, you should have specific goals to run retargeting ads. Such as:

  • Brand Awareness
  • Customer engagement
  • Conversions

Brand Awareness

Brand awareness is always the first stage of the customer journey. Here you are reaching those audiences who have already interacted with your brand.

Even then, your customers should know more about your brand for them to trust and make a purchase. That’s why retargeting ads also help in creating brand awareness.

Your customers should know more about your brand for them to trust and make a purchase. Retargeting ads help create brand awareness.

Customer Engagement

Customer engagement is crucial to boost traffic and increase conversions. By retargeting ads, your prospective customers will engage with your brand and products more. You are thereby increasing customer engagement with your brand.


The primary objective of retargeting ads is to drive more conversions. When the ads follow your customers wherever they go then the customer will show more interest, and that leads to improved conversions.

So far, we have discussed the importance and how retargeting ads work. Furthermore, let’s see some prime advantages.

Benefits of Retargeting Ads

Retargeting ads have a significant impact on marketing efforts. There are many advantages, such as:

Improves Customer Engagement

Your customer will show more interest in your brand or products/services when he/she sees the retargeting ads on every site they visit. It prompts them to re-engage with your brand, which leads to improved customer engagement.

Helps in Tracking the Customer Journey

Retargeting ads work mainly based on cookies. These cookies notify you whenever the customer visits a new site. Therefore, you will be able to trace your customer journey through the online environment.

Creates More Brand Awareness

People won’t buy from your brand unless they know you better. Hence, brand awareness is most important. Retargeting ads will aid in creating brand awareness in the larger audiences.

Increases Conversions

The main goal of retargeting ads is to drive conversions for your brand. When a customer re-engages with your ads, he will show more affinity to make a purchase. So, the conversion rate will increase due to this.

Enhances Customer Lifetime Value

Since the retargeting ads are visible to the customer frequently, the customer tends to show more interest and trust in your brand.

So once he makes a purchase and likes your product, then your customer will come back again to make another purchase. Thereby enhancing the customer lifetime value.

Till now, you saw the benefits of retargeting. Next, we’ll discuss retargeting platforms.

Creating Retargeting Ad Campaigns with AudiencePrime

You need a robust ad tech platform to be successful in retarget marketing. Not only that, but you also need accurate customer data, resolved ids, etc., to perform retargeting efficiently.

AudiencePrime is one such platform which can help you in providing the necessary tools and resources to send retargeted ads to your customers.

Also, you can perform data onboarding, identity resolution, and so on with AudiencePrime.

Along with these, you can activate ad campaigns across multiple channels like programmatic, social, OTT and more.

You can directly export your audience segments to Facebook, DV360 from Prime to run targeted ads.

Not only that, but you can also retarget those customers who interacted with your campaigns that are activated from Prime.

AudiencePrime provides a comprehensive platform with a wide range of exciting ad tech features. Register Today!


Retargeting ads are one of the most important advertising strategies which are instrumental in the growth of most B2B, B2C and eCommerce businesses today.

Source 1

About Akshatha Vinayak

I’m a technical writer who has a keen interest in digital marketing. I avidly follow the MarTech and AdTech industry and even enjoy writing about them. As a writer, I love to bring out more engaging and creative content for my audience. I’m also fond of writing travel blogs, articles on feminism and silly poems (sometimes). When I’m not writing, you’ll find me shopping like crazy or being a bookworm.

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