Retargeting is positioning your brand in front of a customer when they have already connected with your brand.  A common example is an abandoned cart retargeting for e-commerce businesses.

Retargeting by itself is not the be all and end all strategy, which is why it’s important to partner with an Online Media Agency like ours (NLOM) to build a holistic strategy around your marketing efforts.

Purchasers’ journey

Retargeting should be the method to nurture your prospects through the different stages of the sales funnel.  To be effective, retargeting needs to be a progressive release of relevant product information, that is relevant to the customer at that part of the journey.

Retargeting with the ‘right’ content will bring in the biggest increase in sales performance.  Example of a ‘right’ content, could be retargeting with products of the same category, or the same product or next best product in the customers’ research journey.  

This should be seen as a natural extension of the customer consideration – search – comparison -shopping journey.   

Five smart retargeting ideas

Here are five examples of retargeting in different part of the purchase journey

  1. [display] product-based ads after customer has viewed or click a branded ad 
  2. [social] testimonial of influencers’ product experience after initial product page visit
  3. [search shopping] related products in the same category, after product page visits 
  4.  [display] coupon download & membership signup, after product search clicks
  5. [display] next best purchase, after the first conversion 

What do you need 

To execute a retargeting strategy, you may need to know a lot more about of the purchases’ buying journey.    This includes: 

  • Ad that was serviced, or clicks
  • Videos that they have consumed
  • Frequency and time gap
  • Emails that they have opened
  • Keywords that was clicked
  • Category, product or SKU that was served
  • Pages they have visited
  • Content they have downloaded
  • An estimate lifetime value 
  • Repeat customer status 

Most of the information is available from your CRM, CMS and in different parts of ads platforms. The challenge is to integrate these disparate components together.

Using data-driven attribution platform, such as Customer Journey will track most of this information and would be a key component for your retargeting.  

Next step

Can you apply some of these retargeting ideas in your campaign?

The best solution is to find the right Digital Media Agency for your business and start to build that holistic strategy, that includes remarketing. Get in touch with us to arrange a chat.

Last click attribution is the most widely used attribution method. The model ascribes 100% of the conversion credit to the last ad served before a conversion.  But if you are using this solely to set your advertising budget, it may be skewing marketing spend and making your investment suboptimal. There are a number of reasons for this.

Lower funnel

Last click recognises consumers who are just before they convert.  These are people who are in the lower part of your sales funnel. They would have heard about your brand, researched other products, review others compared features.  All of these touch points are not recognised in the last click model. But they certainly played a part in the conversion journey.  

Long sales journey or instore conversion

Last click attribution works well for fast moving consumer goods that are transacted online.  B2B business or a considered purchase, which involved research and some level of presales contact, would not be a good fit.   Instore conversions, preceded by a digital research/shopping phase, will not be recognised by the last click.

The model can be gamed

This simple last-touch approach today is easily gamed and lends itself to manipulation.  Here is how. The trick is to buy the cheapest ad, even if it is below the fold, at the bottom of a page or even hidden in an iframe, which is never seen.  Quantity at a low cost, is more important than quality, as the last ad loaded & served will get the last view credit. A detailed explanation could be found on this Quantcast article

No clicks

Attribution only looked at the people who converted.   Relying on the last click to explain the customer buying behaviour, you will never be able to understand those who did not buy.  These may be the people who have seen your ads, viewed your video, visited your page multiple times, but never signup, selected items in cart. This could be 90% of your target audience. 

The insight from this group is as important as the converters.  This potentially tells you the reasons for not converting, the friction in the buying journey, the pattern that points to how you could refine your campaign or offer.

Is there a better way?

All models are just an approximation of real-world events.   We could refine a model (with a hybrid of first/last, position, linear, time decay, or any combination of this.  At the end of the day, it is a varying degree of usefulness. 

A better way to approach this is to use the actual observations of digital touch points (Impressions & Views), across the different channels. Some refer to this as DDA – Data Driven Attribution.    This is fundamentally a bottom up approach and technology is used to track and analyse customers’ digital journey.

Two more reasons

By collecting behaviour data at lowest ‘atomic’ level, it provides two important down important benefits.

Segments: define segment that is unique to your business

First party data: integrating this with your ecommerce platform, CRM and/or sales data to form a richer profile of your prospects and customers. 

Next step

If you are finding limits to your growth, ask yourself this question: “are we rewarding all the channels that brings in the sales?”

With digital advertising now superseding traditional marketing in most industries, how can you make sure your precious ad dollars are delivering impressive returns? How do you reduce wastage in your ads spend, but still achieve mass exposure?
Chances are you’re investing heavily in digital, especially in a programmatic environment, so here are five things you should check when planning any campaign.

1. Frequency

Managing an optimal number of impressions that lead to conversion is a fine balancing act.  Most campaign managers use a daily cap on frequency to monitor this closely.

Measuring the number of impressions that you campaign achieves before it results in a conversion will help establish a general formula that you can rely on.  By analysing the type campaign, the offer, the copy and the category that your product competes in will give you a more holistic view of the frequency needed to build up interest leading to a conversion.

2. Time Of Day

Analysing the daily pattern of display impressions and conversion clicks may give you clues about when your audience is most attentive to your marketing messages.  Some ad platforms also allow you to set active windows for your ads, which allows you to concentrate your activity on periods that match your audience’s activity patterns.

3. Targeting

Do you know what the general characteristics are of you converting customers? Do they have any similar behavioral traits or consistent patterns?

By refining your ad targeting with behavioural insights as the campaign progresses, you are far more likely to have a higher conversion rate that continues to improve over time.

In addition, when you refine your targeting based on an audience’s related product interests, or content sites they frequently visit, the probability of them converting increases. This is despite the fact that the cost of addressing prospects increases as they become more targeted, and as the volume of prospects decrease.  

The trick is to find the optimal trade-off between conversion, costs and volume.  This is an ongoing process of trial and learning.

Tip:
The importance of trial and learning can be seen in the ‘boost’ button in Facebook. The majority of experiences using the ‘boost this post’ deliver well below expectations, due to the ‘mass marketing’ approach of this tool. This highlights the importance of refined targeting.  The Facebook boost process is automated. The poor results may be caused by the quality of algorithm. More importantly, it is missing the crucial feedback mechanism, where campaign results are reviewed against objectives, algorithms are refined and rebuilt, and ads copies or offers are readjusted.

4. Relevant Content

Are you serving the same ad or copy throughout the campaign? Are you matching the content a prospect sees to the different stages of their purchasing journey?

This is often overlooked, with a lot of ad wastage caused by repetitive marketing messages that result in ‘message fatigue’.  By differentiating campaign message based on customer interest levels, you establish an ongoing ‘conversation’ with your customer as they develop trust in your brand, and interest and confidence in your product.  This will increase your conversion.

5. Top Of Mind

Are you optimising your ads based on prevailing interest in a prevailing market?   Are you matching ads on free to air TV shows, news events or even with activities of your competitors?

By placing your marketing message in the context of the marketing conversation, you can begin to move your marketing messages into the best product consideration window, for greater conversion probability.

This can be achieved through a number of programmatic platforms, where audience targeting is set in the context of free to air programs.

Measurement

Managing ad wastage directly results in improved efficiency and in the end, increases the return on your ad spend.   To measure ad investment, a Return on Ad Spend calculation is commonly used.

ROAS is simply a ratio between revenue and ad spend.  Here is a detailed description.

In general, a ROAS of 1.0 is break-even point, where for every dollar spent on ad, it netted one dollar in revenue.    As Revenue is not profit, typically you require a ROAS well above 1.0.

The true value ROAS is in the trending of this ratio between months.  This is typically an indication of how well your marketing strategy is tracking.