Welcome To My Website Today I Will Tell You About Some Key Success Factors For Ad Re-Targeting (In A Budget)
It’s a natural result of online shopping and increasingly sophisticated technology.
A customer visits an online retailer, looks at specific items, but then does not make a purchase (or abandons their shopping cart).
That retailer wants to shout:
- “Come back! Think about this some more”.
Unfortunately, the retailer cannot call out to the person or persuade them to purchase anything before they leave the store.
Enter Ad Re-Targeting
Re-targeting is a great way for retailers to re-connect with those “lookers”.
Retailers try to remind them about what they were considering and encourage them to have another look.
If all goes well, the customer will make that purchase.
Retailers do this by purchasing ad space on certain sites that the window shopper uses regularly (eg Yahoo, Google, Facebook, etc.).
The concept behind re-targeting is that consumers will often visit a site a few timesand look at the same item or category of items before they actually make a purchase.
Instead of hoping that the customer will re-visit their site, the retailer takes the items to the customer.
By Ad Space
Big popular search engines and social media sites love this concept because they put out their ad space out for bids and it ends up making these sites a lot of money.
It’s like an automated auction and it occurs in real-time so that the re-target ad starts popping up quickly.
Each site that sells these ads also evaluates the “stature” of the retailer who is placing an ad.
It’s based on:
- The reputation of the retailer.
- The quality of its website.
- The possibility of the customer to interact with the ad.
The “potential for viewers to interact” is an important metric for sites like Facebook because these sites offer up a lot of high-quality PPC ad space.
These sites will thus decide on the frequency with which it will run an ad for an individual retailer based upon these “stature” assessments.
Budgeting For Re-Targeting
It is tough to draw up a set budget for re-targeting ads because there is no set price for them.
Some of the “big boys” bid really high to buy up all possible spaces, but that can run into the hundreds of thousands of dollars.
Smaller retailers will have to set parameters and limits for the bidding process.
And for these small companies, Facebook may be the best bet because of the low PPC bidding (usually between 10 cents and $1 per click).
It’s thus possible to run a small re-targeting ad campaign on Facebook for about $10 a day.
We have all had this experience.
Some ads appear consistently, not just for a few days, or weeks, but sometimes, in excess of a year.
They may not necessarily be focused on the product we were looking at or purchased a year ago, but the retailer is still targeting us with other items.
Some re-targets only last a few months while others last much longer. This is because each platform has a set number of days that it will run ads.
- Google and Bing re-target up to 580 days.
- Facebook’s re-target limit is about 6 months.
As advertisers think about their re-targeting campaigns, they should also take their products into account.
Usually, companies selling major and expensive lifestyle items (like cars) should opt for longer campaigns while companies with lower price point items should opt for the shorter campaigns.
The more expensive an item is, the more time a buyer needs to make a decision.
Tracking And Analyzing
You don’t want to waste money on ineffective re-targeting campaigns.
All of the platforms you use for re-targeting have the available analytics to let you know if those ads are actually performing well. And performance, of course, is based upon how many re-targeted prospects ultimately become paying customers.
The success of re-targeting campaigns must then be analyzed in comparison with the costs of that re-targeting.
If the sales profits exceed a re-targeting campaign cost, then obviously you will want to continue that type of campaign. If they don’t, then you will need to re-assess your campaigns and make changes.
This is where continual and consistent analysis comes in.
There is no point in running re-targeting campaigns if you are not going to:
- Analyze the results.
- Make modifications.
- Analyze those modifications.
Re-targeting is not something you just set up and then ignore.
It requires vigilance, constant analysis, and change.
What are some things you keep in mind when re-targeting? How effective has re-targeting been for you? Let me know in the comments below.