Retargeting vs Remarketing: Differences & Implementation Tips

In digital marketing, there are several strategies that are commonly used by brands to increase conversion opportunities, two of which are retargeting and remarketing.

Although they sound similar, both have significant differences, starting from the target audience to the team skills required to execute the strategy.

This article will discuss the differences between retargeting and remarketing, as well as important tips for choosing the right strategy for your business. Make sure to read the explanation thoroughly to prevent any missteps!

What Is Retargeting?

Retargeting is a strategy of displaying ads to users who have visited your website or app but have not made a purchase or registration.

Generally, retargeting ads are displayed on channels that are not fully controlled by the brand, such as open web (for example, news sites, personal blogs, public forums) or in the form of display retargeting ads on networks such as Google Display Network or Youtube

How Retargeting Works

Essentially, retargeting uses cookie or pixel tracking technology to monitor user activity on websites. When someone visits your website, the tracking system is activated in their browser.

If they then visit another website or platform connected to the same ad network, your brand’s ads will appear there.

So, even if the person does not return to your website, they can still see the ad and remember the product. This strategy is effective for increasing brand awareness  and increasing conversion opportunities.

Retargeting Example

You sell various types of sports shoes, ranging from running shoes, basketball shoes, to cycling shoes. 

One day, a visitor opens your web store, asks about specifications, and even adds basketball shoes to their shopping cart. However, they do not proceed with the purchase.

With pixel tracking technology, all visitor activities, including questions and product preferences, are recorded in the browser and stored in the database. 

After the visitor leaves the website, the retargeting system will display ads for the same product on other websites or platforms within the ad network. 

As a result, potential buyers who postponed their transaction will be reminded of the product they were interested in, increasing the probability of the customer making a purchase.

Read also:  8 Differences Between E-Commerce and Marketplace for Businesses 

What Is Remarketing?

Remarketing is a personalized marketing strategy that targets potential customers and existing customers who have previously interacted with the brand.

This strategy plays an important role in accelerating the process of converting potential customers into actual customers, as the customer journey does not usually happen instantly. 

This means that most potential customers do not instantly purchase a product after seeing it for the first time. Usually, they need time to read reviews or compare with other brands.

Remarketing also plays an important role in encouraging repurchasing from previous customers. Generally, previous customers are those who have already purchased but have not made another transaction within a certain period of time.

Remarketing can be carried out through various media that can be controlled by brands, such as email, websites, social media, or applications.

How Remarketing Works

Remarketing works by utilizing customer data that is already available, such as phone numbers or email addresses. 

With this information, you can contact customers directly to provide offers, discounts, or product recommendations that suit their preferences.

In addition to direct communication, you can also display remarketing ads on websites or apps that are frequently visited by customers. The goal is to keep your brand visible and memorable so that when they are ready to make a purchase, your brand will be their first choice.

Remarketing Example

Someone once purchased a body wash product from brand X. However, after the first purchase, they did not make a repeat purchase within 3 months. 

Therefore, brand X sends a remarketing email containing additional product
recommendations or promotions for the same product. The copy of the email is more or less like this: