A Guide to Use Retargeting in eCommerce for Boosting Sales

Sometimes, customers browse the eStore, fill the carts with their desired products, but don’t finish the purchase. Maybe they got sidetracked, or maybe they couldn’t make up their minds about the cost.

Whatever the reason may be, they are your potential customers. There’s a better chance of sales with them compared to a whole new target audience. So how do you try and entice these potential customers to buy from your website? Well, that’s why the eCommerce experts value retargeting. It helps reconnect with website visitors who haven’t converted and nudge them towards making a purchase.

So, how to use retargeting in eCommerce? Before we discuss that, let’s see what retargeting is.

What is Retargeting?

Retargeting is a digital marketing strategy designed to re-engage website visitors who haven’t converted on their initial visit. But before you try to retarget the visitors, it’s important to know what they searched for earlier and what their desired products are.

For that, you can place a pixel, or a small piece of code, on your website. When someone visits your site, the pixel anonymously tracks their browsing behavior. That includes the pages they view and the products they add to their cart.

Then, the info is used to display targeted ads to those same visitors across the internet. It reminds them of your brand and encourages them to return to your site and complete the desired action. The action can be making a purchase, signing up for a newsletter, etc.

Retargeting basically follows the website visitors with relevant ads. It keeps your brand top-of-mind and boosts the chances of conversion.

Why Use Retargeting in eCommerce?

Retargeting can be a strategic weapon for capturing attention and driving conversions. If you’re still not convinced, here are a few reasons for this strategy.

• Recapture Lost Sales: A staggering percentage of website visitors abandon their carts before checkout. Retargeting helps you connect with these potential customers. You can remind them about the products they are interested in and offer incentives to complete their purchase.
• Boost Brand Awareness and Recognition: Retargeting displays targeted ads across various platforms. It keeps your brand visible to potential customers, even after they leave your website. This repeated exposure strengthens brand recall and familiarity. That makes you the top choice when they’re ready to buy.
• Increase Conversion Rates: Retargeting campaigns are highly targeted, reaching individuals who have already shown interest in your products. This targeted approach significantly raises the chances of converting website visitors into paying customers. So, it can be an excellent way to optimize eCommerce conversion rates.
• Personalize the Customer Journey: Retargeting allows you to tailor your ads to each visitor’s specific browsing behavior and past interactions. This level of personalization in eCommerce provides a more relevant, engaging experience for potential customers. So they are more likely to convert.
• Drive Customer Loyalty and Retention: Retargeting doesn’t just target abandoned carts; it can also be used to engage existing customers. It can help showcase complementary products, offer exclusive discounts, or remind them about loyalty programs. It fosters stronger customer relationships and encourages repeat purchases.

In essence, retargeting bridges the gap between initial website visits and conversions. That means a valuable opportunity to recapture lost sales, nurture leads, and ultimately drive success for your eCommerce business. That’s why eCommerce development services value retargeting to increase ROI.

How to Use Retargeting in eCommerce?

Now that you grasp the importance of retargeting in eCommerce, let’s see how you can implement it effectively. Here’s the step-by-step process.

Set Up Your Retargeting Pixel

The retargeting pixel is the foundation of this digital marketing strategy. It acts as a silent observer on your website and collects data about visitor behavior anonymously. Here’s how you set up this pixel.

Step 1: Choose your retargeting platform. Find one that aligns with your needs and budget. Popular options include:

• Google Ads: Ideal for reaching a broad audience across various Google-owned properties like websites and apps using the Google Display Network.
• Facebook Ads: Well-suited for targeting users based on demographics, interests, and online behavior on Facebook and Instagram.

Depending on your target audience and region, there are several other ad networks with similar capabilities. Research and choose one that best fits your specific needs.

Step 2: Generate the pixel code. Go to your chosen platform’s dashboard and navigate to the retargeting campaign section. Look for instructions on generating a pixel code. The code is usually a JavaScript snippet that’s supposed to be embedded into your website.

Step 3: Integrate the pixel into your website. There are two ways to go about this integration:

• Manual Integration: Let’s say you are comfortable with code. Then, you can copy the pixel code and paste it directly between the <head> and </head> tags of your site’s main HTML file. That ensures the pixel fires on every page load.
• Tag Management System: Do you use a tag management system like Google Tag Manager? Then, you can easily add the pixel code as a new tag and configure it to fire on all website pages. This method makes it easier to manage and update the pixel code in the future.

Then, all that’s left is to verify the pixel installation. Most platforms offer pixel testing tools so you can check if the pixel is firing correctly on your website. Run a test to ensure the pixel is effectively capturing visitor data.

If you are using WooCommerce or Shopify for your eCommerce website, there are plugins and extensions for pixel integration. Or you can consult with dedicated eCommerce developers for embedding pixels into your website.

Define Your Retargeting Audience

One of the pros of retargeting lies in its ability to deliver highly targeted advertising. But for that, you need to define the target audience. These are the individuals most likely to be interested in your products. That leads to improved campaign performance and a higher return on investment (ROI). Segment your audience based on different types.

• Cart Abandoners: This segment targets visitors who added items to their cart but didn’t purchase them. Remind them about the abandoned items and offer incentives to complete the checkout process. And try to address any hesitation they might have.
• Product Viewers: Target individuals who viewed specific product pages. Showcase the products they engaged with and highlight their features and benefits. You can also offer personalized discounts or recommendations based on their browsing history.
• Past Purchasers: Reconnect with existing customers who have already made purchases. Leverage their purchase history and preferences for cross-selling and upselling. That will help foster customer loyalty and drive repeat business.

Furthermore, divide them based on demographics (age, gender, income, location, etc.) and interests.

Start with a few well-defined audience segments and monitor their performance. Analyze metrics like click-through rates (CTRs) and conversion rates. See which segments yield the best results.

Craft Compelling Ad Creatives

Now that the pixels are set and target audience are defined, it’s time to capture the attention, so they take action. To that end, you need to craft compelling ad creatives to re-engage the visitors. Here’s what it takes.

• High-Quality Images and Videos: Use visually appealing images or videos to show your products in action and grab attention. Make sure the visuals are relevant to your target audience and what you’re advertising.
• Dynamic Product Ads: Leverage the power of dynamic product ads. These ads automatically display the exact products users viewed on your website. It creates a highly personalized experience, reminding them of their previous interest and increases the chances of conversion.
• Focus on Benefits, not Features: Don’t simply list product features. Instead, highlight the benefits and show how they solve the problems or fulfill the needs of your target audience. Use clear, concise, and persuasive language resonating with your audience. It motivates them to take action.
• Address Pain Points: Identify the common pain points or challenges your target audience faces. Based on that, show how your products or services can address them effectively. That helps build trust and positions your brand as a valuable solution.
• Tell Users What to Do Next: Don’t leave your audience guessing about the next step. Include a clear call to action (CTA) in your ad copy, like “Shop Now,” “Learn More,” or “Sign Up Today”. Be specific and guide users toward the desired action you want them to take.
• Dynamic Product Ads: As mentioned earlier, dynamic product ads offer a natural level of personalization. Showcase the specific items users viewed on your website.
• Segmentation-Based Messaging: Consider tailoring your ad copy and visuals slightly based on the audience segment you’re targeting. For example, you could use different messaging for cart abandoners compared to past purchasers.

You can use A/B testing to experiment and identify the most effective elements (like headlines, visuals, CTAs, etc.). It requires continuous improvements.

Launch and Monitor Your Retargeting Campaign

Finally, it’s time to launch the retargeting campaign. You need to set the budget and campaign duration. That means deciding how much you’re willing to spend and how long you want the campaign to run. The answer usually depends on your overall marketing budget and the approximate value of each conversion.

After that, you can select the platforms where you want the ads to be displayed. Where does your target audience like to spend most time online? Popular options include Google Display Network, Facebook Ads, etc.

After finalizing the platform settings, launch your campaign on those platforms. Then, after a while, you can start monitoring the campaign performance by tracking key metrics, like:

• Impressions: The number of times your ad is displayed.
• Clicks: How many times users click on your ad?
• Click-through rate (CTR): How many users see your ad and click on it? A higher CTR indicates that your ad is effective at capturing attention.
• Conversions: The number of times users complete the desired action, such as making a purchase, signing up for your email list, or downloading an ebook.
• Cost per acquisition (CPA): The cost you incur for each conversion. Analyze this metric to see if your campaign is generating leads or sales at an acceptable cost.

Regularly review your campaign performance data and identify areas for improvement. Based on that, refine the targeting for better results.

If you need help with retargeting in eStore, our eCommerce development company would be suitable. Our marketing experts know how to reach the audience and convince them to purchase.

Best Strategies for Retargeting in eCommerce

Now, understandably, merely following the process shown above may not deliver the best results. However, there are some strategies that could help better optimize your retargeting campaign. So it reaches the right audience and convinces them for conversion effectively.

• Segmentation: Split your target audience into segments based on their behavior, like cart abandonment, product page views, or past purchases. This allows you to create more personalized retargeting campaigns tailored to each segment’s interests and needs.
• Dynamic Remarketing: Show users personalized ads featuring the exact products they liked, viewed, or added to their cart. Dynamic remarketing can significantly increase conversion rates by reminding users of products they liked.
• Cross-channel Retargeting: Reach users across multiple channels such as display ads, social media platforms, email, and SMS. Utilize platforms like Facebook Ads, Google Ads, and email marketing tools to retarget users wherever they are online.
• Frequency Capping: Don’t bombard the users with too many retargeting ads. It may lead to ad fatigue and annoyance. Set a limit on the number of times a user sees your ads within a certain time frame.
• Customized Messaging: Tailor your ad messaging based on where users are in the sales funnel. For example, users who abandoned their cart may need a gentle reminder, while users who visited multiple product pages may respond better to promotions or discounts.
• Exclusion Lists: Exclude users who have already bought the product or taken the desired action from your retargeting campaigns. Avoid wasting ad spend on users who no longer need to be targeted.
• Use Dynamic Creative: Test different ad creatives, headlines, and call-to-actions to see what resonates best with your audience. Dynamic creative optimization (DCO) can automatically optimize your ad creative based on user behavior and preferences.
• Optimize Landing Pages: Make sure that your landing pages are optimized for conversions by providing a seamless user experience and clear call-to-action. A well-designed landing page can help significantly improve the effectiveness of your retargeting campaigns.
• A/B Testing: Continuously test different retargeting strategies, ad formats, and targeting parameters to identify what works best for your audience. Experiment with A/B testing to compare the different variations and optimize your campaigns accordingly.

These strategies transform your retargeting efforts for driving conversions, fostering customer loyalty, and achieving sustainable sales growth.

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FAQs on Retargeting in eCommerce

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Conclusion

Retargeting is a powerful eCommerce tool. It allows businesses to reach out to prospects who have shown interest but have not made a purchase. It uses tracking pixels and cookies to reconnect with these prospects. It helps create personalized ads for enhancing brand awareness and increasing conversion rates.

To use retargeting in eCommerce,

1. Set Up Your Retargeting Pixel
2. Define Your Retargeting Audience
3. Craft Compelling Ad Creatives
4. Launch and Monitor Your Retargeting Campaign

So, do you need help with retargeting on your eCommerce website? Then, let’s have a consultation today!