Retargeting, also called remarketing or behavioral retargeting, is an online advertising method that serves ads to users who previously visited your website but left without converting. It uses cookie-based technology to follow these visitors anonymously across other websites. This matters because only 2% of web traffic converts on the first visit (ReTargeter), leaving the remaining 98% to address.
What is Retargeting?
Retargeting is a form of targeted advertising that keeps your brand in front of bounced traffic after they leave your site. It operates through a JavaScript code called a pixel that you place on your website. When a new visitor arrives, the pixel drops an anonymous browser cookie. As that visitor browses other sites, the cookie signals your retargeting provider to display your ads via ad exchanges.
Some sources distinguish between retargeting and remarketing, using retargeting to describe paid display ads to previous visitors and remarketing to describe email re-engagement to existing contacts. Others use the terms interchangeably.
Why Retargeting matters
- Recovers non-converting traffic. For most websites, 96% to 98% of visitors leave without purchasing on the first visit (Instapage) (ReTargeter). Retargeting gives you a second chance to reach these users.
- Improves ROI. Retargeting campaigns typically run on lower-cost display media and focus budget on audiences already familiar with your brand, improving overall return on investment compared to cold acquisition (Wikipedia).
- Increases revenue. Combining retargeting with other advertising efforts can increase revenue by 50% compared to running campaigns in isolation (Mailchimp).
- Higher conversion rates. Visitors who see retargeting ads convert at higher rates than first-time visitors because they already recognize your brand and have evaluated your offerings (Mailchimp).
- Builds brand awareness. Repeated exposure during the decision process keeps your brand top-of-mind when prospects are ready to purchase.
How Retargeting works
- Install the pixel. Place a small JavaScript pixel on your website or landing page. This code is invisible to visitors and does not affect site performance.
- Tag the visitor. When someone visits your site, the pixel drops an anonymous browser cookie that assigns a unique identifier.
- Capture the audience. The cookie tracks whether the visitor completed a conversion goal (such as a purchase). If not, they join your retargeting list.
- Serve the ad. When the tagged visitor browses other websites or social platforms within the ad network, the cookie signals your provider to display your ad. The Google Display Network alone reaches over 90% of internet users across more than 2 million websites (Mailchimp).
- Alternative method. For known contacts, use list-based retargeting. Upload email addresses to platforms like Google Ads or Facebook to target specific users without relying solely on cookies.
Types of Retargeting
| Type | Mechanism | Best Used When |
|---|---|---|
| Site Retargeting | Targets anyone who visited specific pages on your site | General conversion recovery and brand awareness |
| Dynamic Creative | Generates ads on-the-fly showing exact products viewed (e.g., items A, B, C) | E-commerce cart abandonment or product-specific follow-up |
| Search Retargeting | Targets based on search behavior (e.g., RLSA in Google Ads) | Capturing high-intent queries from past visitors |
| List-Based | Upload email lists to target known subscribers or customers | Re-engaging inactive subscribers or upselling existing customers |
| Social Retargeting | Uses Meta Pixel or LinkedIn tags to reach users on social platforms | Cross-channel consistency and social proof |
Best practices
- Segment by intent. Separate "Interested" visitors (who viewed pricing or spent significant time) from "Not Interested" (who bounced immediately). Serve hard-sell ads to high-intent users and soft-sell content offers to researchers.
- Send clicks to landing pages. Never direct ad traffic to your homepage. Use dedicated landing pages that match the ad's message and offer a 1:1 conversion ratio to maximize relevance.
- Control timing and frequency. Avoid showing ads immediately after a visitor leaves; this can irritate users. Set frequency caps to prevent showing the same ad multiple times on one page, and limit the membership duration (default is often 30 days).
- Use dynamic personalization. Implement dynamic creative to show the specific products or content the visitor viewed, rather than generic brand ads.
- Integrate with traffic campaigns. Run retargeting alongside content marketing, paid search, and social ads. Retargeting cannot drive new traffic; it only converts traffic you already have.
Common mistakes
- Targeting all visitors equally. Serving ads to every visitor including immediate bounces wastes budget on low-intent traffic. Fix: Create behavioral segments based on pages viewed and time on site before adding users to campaigns.
- Linking to the homepage. Directing retargeting clicks to your homepage creates a disconnect and lowers conversions. Fix: Build specific landing pages for each retargeting segment that continue the conversation from the ad.
- Aggressive frequency. Showing ads too soon or too often creates negative brand perception. Fix: Implement a delay before the first ad impression and set daily frequency caps to avoid overwhelming users.
- Static generic ads. Using one-size-fits-all creative ignores the visitor's specific interest. Fix: Deploy dynamic ads or tailor creative to the specific product or category the visitor viewed.
- Isolated execution. Running retargeting without supporting acquisition campaigns. Fix: Coordinate with inbound and outbound marketing to ensure a steady flow of new visitors to retarget.
Examples
- Cart recovery. A shopper adds running shoes to their cart but abandons the purchase. They later see a display ad featuring those exact shoes while reading a news article, click through to a dedicated checkout page, and complete the purchase.
- New collection launch. An apparel retailer uploads their existing customer email list to Facebook Custom Audiences to show ads for a new winter collection to previous buyers, driving faster sell-through than cold targeting.
- Content-to-lead nurturing. A B2B visitor downloads a whitepaper. The company retargets them with ads for a related webinar registration page, moving them down the funnel without relying solely on email.
Retargeting vs Remarketing
While often used interchangeably, some practitioners distinguish the terms:
| Feature | Retargeting | Remarketing |
|---|---|---|
| Primary tactic | Paid display and social ads | Email campaigns |
| Targeting method | Browser cookies/pixels | Uploaded email lists |
| User relationship | Anonymous or unidentified visitors | Known customers or subscribers |
| Goal | Bring back website visitors | Re-engage past purchasers |
Rule of thumb: Use retargeting for anonymous site visitors who haven't converted; use remarketing for your existing email list.
FAQ
What's the difference between retargeting and remarketing? Some sources treat them as synonyms. Others define retargeting as paid ad campaigns targeting previous site visitors via cookies, while remarketing refers to email re-engagement campaigns targeting existing contacts.
How does retargeting track users? It uses a JavaScript pixel placed on your website that drops an anonymous browser cookie when someone visits. This cookie follows the user across the web and signals ad networks to display your ads. No personally identifiable information is collected.
When should I start a retargeting campaign? Start when you have consistent website traffic but low conversion rates. Retargeting works best as a secondary layer to existing inbound or paid acquisition campaigns, not as a standalone traffic driver.
What are the main types of retargeting? The main types include site retargeting (all visitors), dynamic creative (specific products viewed), search retargeting (past visitors doing new searches), list-based (uploaded emails), and social retargeting (Facebook/Instagram).
How long should I retarget someone? Most platforms default to 30 days, resetting if the visitor returns within that window. Adjust based on your sales cycle, but avoid excessively long durations that may annoy users or waste budget on stale leads.
Is retargeting expensive? Retargeting typically runs on lower-cost display inventory and uses CPM, CPC, or CPA pricing models. It generally delivers better ROI than cold acquisition because you target interested audiences, though costs vary by platform and competition.
Does retargeting comply with privacy laws? In the US, retargeting providers self-regulate and do not collect personally identifiable information, relying on anonymous cookies. In the EU, the ePrivacy Directive requires explicit opt-in consent for cookies used in retargeting.
