In today’s digital landscape, getting potential customers to visit your website is just half the battle. The real challenge? Converting those visitors into paying customers. Studies show that around 97% of visitors leave a website without making a purchase—but that doesn’t mean they’re lost forever. This is where retargeting and remarketing come into play.

By strategically reaching out to users who have already interacted with your brand, businesses can dramatically increase conversion rates and maximize their marketing ROI. Let’s explore how retargeting and remarketing work, their key differences, and how they can help turn "almost-customers" into loyal buyers.

Retargeting vs. Remarketing: What’s the Difference?

Many marketers use "retargeting" and "remarketing" interchangeably, but they are not the same. Both strategies focus on re-engaging past visitors, but they use different approaches.

Retargeting

Retargeting primarily involves using paid ads to re-engage users who have interacted with your website or app. When someone visits your site but doesn’t complete a purchase, cookies or pixels track their activity. This allows you to show them targeted ads across various platforms like Google, Facebook, Instagram, and YouTube.

Example: A customer visits an online store, browses a pair of sneakers, but leaves without buying. Later, while scrolling through Instagram, they see an ad showcasing the same sneakers with a limited-time discount—tempting them to complete the purchase.

Remarketing

Remarketing, on the other hand, is mostly email-based and focuses on re-engaging existing customers or warm leads. This strategy involves sending personalized emails based on user behavior, such as abandoned carts, previous purchases, or inactive subscriptions.

Example: A customer adds a product to their cart but abandons it. A few hours later, they receive an email reminder with a subject line like, "Forget something? Your cart is waiting!"—along with a discount code to encourage them to complete the purchase.

Both retargeting and remarketing help nurture leads and drive conversions, but they are most effective when used together.

Why Retargeting and Remarketing Matter

1. Increases Conversion Rates

Since retargeting and remarketing focus on users who have already shown interest, the chances of conversion are significantly higher compared to cold audiences. Studies show that retargeted ads have 10 times higher click-through rates (CTR) than standard display ads.

2. Strengthens Brand Recall

People rarely buy from a brand they’ve only seen once. The Rule of Seven in marketing suggests that a prospect needs to see a brand at least seven times before taking action. Retargeting keeps your brand top-of-mind and reinforces its presence until the user is ready to convert.

3. Reduces Cart Abandonment

Nearly 70% of online shopping carts are abandoned, but remarketing emails can recover lost sales. A well-crafted follow-up email with a personalized message and an incentive (such as free shipping or a discount) can persuade users to complete their purchase.

4. Maximizes Marketing Spend

Instead of constantly chasing new leads, retargeting and remarketing optimize ad spend by focusing on people who are already familiar with your brand. This results in a higher return on investment (ROI) since warm leads are more likely to convert.

Best Practices for Retargeting and Remarketing

1. Segment Your Audience

Not all visitors are the same. Create custom audiences based on their behavior, such as:

• Users who visited your homepage but didn’t explore further.

• Visitors who viewed product pages but didn’t add items to their cart.

• Shoppers who abandoned their cart at checkout.

• Customers who made a previous purchase and may be interested in a repeat buy or upsell.

Tailoring your messaging for each group increases the likelihood of conversion.

2. Use Dynamic Ads for Personalization

Dynamic ads automatically display the exact products a visitor viewed, making them highly relevant and engaging. Platforms like Facebook and Google offer Dynamic Product Ads (DPA) that showcase specific items, pricing, and promotions to users based on their browsing history.

3. Leverage Multi-Channel Retargeting

Don’t limit yourself to one platform—people browse across multiple devices and channels. Use retargeting across:
✅ Google Display Network (banners on third-party websites)
✅ Social media (Facebook, Instagram, LinkedIn, TikTok)
✅ YouTube video ads
✅ Email campaigns

A multi-channel approach ensures that your brand remains visible wherever your audience is.

4. Set Frequency Caps

While retargeting is powerful, too much exposure can feel intrusive. Bombarding users with the same ad repeatedly can lead to ad fatigue or annoyance. Set frequency caps to control how often users see your ads to maintain a positive brand perception.

5. Create Urgency with Limited-Time Offers

Adding urgency to your retargeting ads or emails can push users to take action. Phrases like:
⏳ "Only a few left in stock!"
🔥 "Flash Sale: 24 Hours Only!"
🎁 "Exclusive Offer: Get 15% Off If You Buy Today!"
can create a fear of missing out (FOMO) and encourage immediate action.

6. Test and Optimize Regularly

Not all retargeting strategies work the same for every business. A/B test different ad creatives, messaging, CTAs, and audience segments to find out what drives the best results.

Real-World Example: How a Fashion Brand Increased Sales by 40%

A fashion e-commerce brand implemented a retargeting and remarketing strategy with the following steps:

1. Retargeting ads: They showed carousel ads featuring products that users viewed but didn’t buy.

2. Abandoned cart emails: Sent emails with discount codes for unfinished purchases.

3. Exclusive loyalty offers: For previous buyers, they sent remarketing emails with early access to sales.

The result? A 40% increase in sales and a 25% higher customer retention rate!

Final Thoughts

Retargeting and remarketing are must-have strategies for any business looking to increase conversions and maximize marketing spend. By re-engaging interested users through personalized ads and emails, brands can turn lost visitors into loyal customers.