Paid Social Advertising – Utilising retargeting to maximise Return on Investment
Paid social advertising is growing and brands are expected to spend one-fifth of their marketing budget on social media ads – invesp. Using what you know about your audience to continue the customer journey after their initial interaction will draw your audience back in to make a sale. Discover how utilising retargeting will maximise your ROI.
WHAT IS RETARGETING?
98% percent of web traffic will depart from a website on their first visit without making a purchase. Retargeting takes consumer data collected via a site; this data is then used to create specifically targeted adverts on other platforms. The targeted advert recaptures the consumer’s interest converting leads into sales.
Why is retargeting a good marketing tool?
When utilising retargeting your brand can create ads that are more specific to the target audience, and you can use information collected from the initial visit to the site. Retargeting enables you to direct your ads for the product visitors abandoned as they move across other platforms such as social media. This creates something called buyer intent. Buyer intent is the probability and willingness of consumers to buy a product. Online data is captured to understand where the consumer is within the marketing funnel, your brand then has a better understanding of how to interest the consumer, so they are converted into paying customers.
Retargeted ads increase engagement as they enable your brand to speak to the consumer’s needs. Retargeting is therefore the perfect marketing tool to maximise ROI as the adverts are targeted to an audience that has already shown an interest in. The brand, therefore, has a better understanding of the consumers’ needs so not only can the adverts include products the consumer has shown an interest in, but brands now understand the needs of the customer so the retargeted campaign can be better informed. Retargeted visitors are 70% more likely to convert on a retailors website– invesp.
How best to retarget to maximise ROI?
Instead of broadly retargeting every website visitor, try segmenting audiences into groups. Your brand is then able to create messages that specifically appeal to each group, think of placing customers into groups based on their interests so you can sell them a ‘lifestyle’. Social media allows brands to create a connection with a consumer’s profile which has interest and lifestyle indicators. By creating retargeted ads that fit into the consumer’s feed the content is effectively received. If your brand can create content that markets a lifestyle then your consumer can easily see where your product fits into their life so have a higher purchase intent.
Social media enables your brand to use the interests and lifestyle data to reach ‘lookalike’ audiences. Using this data to reach ‘lookalike’ audiences means your brand can connect with new customers who may be interested in the same products as the audience you are retargeting to. This approach assumes that consumers with similar interests have similar needs and wants and therefore is an effective method of acquiring potential customers to the top of your marketing funnel.
Retarget for an abandoned cart, think about why it was abandoned. The percentage of users who have abandoned their carts and then made a purchase can increase from 8% to up to 26% using remarketing – according to Wishpond. Offering discount codes or free shipping could lead to a sale, think about the barriers that are causing consumers to leave your site and see how you can remove them. The best performing retargeting has a clear CTA and has some form of offer.
When retargeting consider also including a similar product (a t-shirt that goes with jeans etc) into your adverts this way your customer is not only reinterested in a product but then looks around your site for more. To effectively reach your audience target your ads on their most-used apps social media, slotting into their day. Subtly seeing items, they thought about before increases conversion rates. 30% of customers have a positive or very positive attitude towards remarketing ads – according to a poll from eMarketer.
Companies have been able to use third-party data for years to track and collect data which has allowed them to target their ads to the right people. With the destruction of third-party data, marketers need to find other ways to collect data from users. However, there is no need to panic as first-party data is safe. First-party cookies are made up of the data collected from your site alone. Any data collected from your site remains, but collecting the information that was previously will no longer be available, so any marketing that relied on this needs to be reconsidered.
Retargeting through your first-party data will be crucial to be able to effectively reach audiences. Understanding consumer behaviours will help to reach both new and existing customers through retargeted materials.
How does retargeting fit in a customer journey?
Along with being able to deliver tailored ads to your customers based on the data collected on their product interest it is also important to understand which stage of the customer journey they are at. By understanding the stage of the customer journey, remarketing can be used more effectively depending on the needs of the customer.
The first stage of the customer journey is awareness. This is when the customer is looking for products and hopefully they will find themselves on your brand’s homepage. Raising brand awareness will help your consumer find you quickly. Social media should be used at this stage to help stand out from the crowd. A good digital campaign that is directed at consumers who fit your target audience will help to draw in new customers and make them choose your brand over competitors. Try-on videos, how-to tutorials, and lifestyle images on your social media will help the customer to get a feel of not only your products but also your brand purpose. Brand purpose builds the relationship between brand and customer.
The second stage follows, as the customer is now looking around and taking time to consider their options. Your brand should be presenting what it is that makes your product stand out. Being present on social media at this stage is crucial as consumers are most likely to reach out at this point. This stage is where your brand needs to ensure clear and precise information is available for the customer. Brands need to offer a customer a way to contact them if they have further questions. Including a FAQ section on your site or socials will help the consumer understand the product better.
Research by Fan and Fuel found that 97% of participants said customer reviews influence their purchase decision. The customer prefers to hear reviews as they are looking for security in their purchase. Another way to offer this security is to offer a try before you buy a service. Free trials, live demos, or consultations will help to break down barriers the consumer may have. To avoid customers abandoning their baskets ensure there are no hidden fees or consider offering free shipping or discounts with their first purchase.
Once the customer has converted think about offering repurchase incentives for the future or opportunities that would add value to their lives by returning to your brand. Social media has many platforms for your brand to create a positive brand experience, this could include competitions and giveaways.
Ready to use retargeting in your paid social advertising?
As an innovative digital marketing agency based in London and Southampton GottaBe! can help you with your digital marketing needs. Our team of experts know how to create appealing digital ads to reach the right audiences. GottaBe! also have a sister company, GottaBe! Ethnic, as multicultural marketing specialists we know how to connect with ‘hard to reach’ communities. So, whatever audience you wish to target we are here to help you achieve your goals. Contact us today to start making the most out of your paid social advertising!