Your e-commerce glossary

All the terms you need to know to succeed in modern e-commerce, explained simply and clearly.

Back to Glossary

What is Retargeting?

Retargeting shows targeted ads to users who visited your store but didn’t complete a desired action, like making a purchase, to re-engage and convert them.

Explanation

Retargeting, also known as remarketing, is a digital advertising strategy that targets users who have previously interacted with your website, app, or online store but left without completing a conversion action, like a sale or sign-up. By using cookies or pixel tracking, retargeting ads appear to these users as they browse other websites, encouraging them to return and complete the action they initially missed. It allows advertisers to keep their brand in front of potential customers and re-engage them with personalized offers or reminders.

Importance

  • Boosts Conversions: Retargeting helps bring back visitors who are already familiar with your brand, increasing the likelihood of conversion.
  • Cost-Effective: Since you're targeting users who have already shown interest in your products, retargeting tends to have a higher ROI compared to traditional advertising.
  • Brand Recall: Continuously showing ads to potential customers reminds them of your brand, increasing the chances of future purchases.
  • Personalized Ads: Retargeting allows for more personalized ads based on the user's previous interactions, making the ads more relevant and engaging.

How It Works

  • Track Visitor Behavior: Retargeting tools place a pixel or tracking code on your site, tracking visitors' behavior and actions.
  • Segment Your Audience: Users are segmented based on their interactions (e.g., viewed products, added to cart, visited specific pages).
  • Create Custom Ads: Personalized ads are created to re-engage the segmented audiences with relevant messages or offers.
  • Serve Ads Across Platforms: Ads are shown to users as they visit other websites, use social media platforms, or search online.
  • Optimize Campaigns: Retargeting campaigns are continuously optimized based on performance, with adjustments to targeting, budget, and creatives.

Benefits

  • Increased Conversion Rates: By re-engaging users who have already shown interest, retargeting significantly improves conversion rates.
  • Higher ROI: Retargeting is generally more cost-effective since it targets users who are already familiar with your business.
  • Personalized User Experience: Ads tailored to users' previous interactions increase relevance and encourage users to return.
  • Cross-Platform Reach: Retargeting ads can be displayed on multiple platforms like Google, Facebook, and Instagram, keeping your brand in front of users.
  • Better Ad Efficiency: Retargeting focuses on the most promising leads, making your ad spend more efficient.

Top Shopify Retargeting Apps:

Abandoned Cart Recovery
Ako Loyalty Retargeting CRM

- Automated ad campaigns targeting visitors who didn’t complete a purchase.

- Customizable ads tailored to user actions.

- Tracks cart abandonment and re-engages potential buyers.

Abandoned Cart Recovery
AdRoll Marketing & Advertising

- Multi-channel retargeting across social media, Google, and display ads.

- AI-driven optimization to improve ad performance.

- Comprehensive analytics to track retargeting campaign results.

Abandoned Cart Recovery
Nabu: Google Ads Retargeting

- Automatically syncs your product catalog with Google Ads for dynamic remarketing.

- Display personalized ads based on user behavior on your site.

- Real-time reporting to optimize campaigns for better performance.