Retargeting is still a relatively new marketing tool that advertisers are getting better at using but here's why it's not creepy.
Returning from the holidays fresh at my desk on a toasty Jan 2, Twitter seemed abuzz with people critical of retargeting including reports of how it’s responsible for spoiling people’s Christmas gift surprise. Also on Twitter, the usual tweets calling retargeting “creepy”, “stalker”, etc raised their critical heads amidst other more educational sound bites.
To an industry insider like me, such criticisms of retargeting sound uncannily like that directed towards hitherto unknown technology breakthroughs like Google Autocomplete and back in the 19th century, trains! It’s a result of the general lack of awareness into what retargeting is and how it works. Some criticism is constructive, for example when people complain that ads don’t stop showing up after they’ve made a purchase.
In this column, I’ll try to respond to all of the criticisms and prove that retargeting is a helpful friend rather than the creepy stalker it’s usually made out to be.
Quick recap of website retargeting
Yet again, someone is trying to explain retargeting succinctly. When you want to buy a silk tie or a watch for yourself or family or friend and visit a few pages of an e-commerce site e.g. eBay and not buy, eBay tries to bring you back on to its website and convert you to a customer by showing you ads with ties / watches on them when you visit other websites for news / sports / videos. For a more detailed explanation, please read my previous column: What Makes Retargeting Successful.
How this happens and what data gets stored
1. The advertiser adds a third party cookie to your browser in order to identify you as the user interested in an Omega Seamaster watch.
2. The data stored by this cookie typically includes the pages of the e-commerce website you visited, the time of your visit, your geo location at a city level. This data is typically referred to as non-PII or non-personally identifiable information, because that’s exactly what it is.
3. When you visit a website like say Time.com to read news, and if Time.com belongs to the advertiser’s publisher network, the advertiser identifies you from the cookie on your browser and shows you a dynamic retargeting ad based on the products you’re interested in.
4. The ads are optimized in order to attract your attention and to entice you into a purchase – the basic premise of all marketing.
Why retargeting is really a helpful friend
All said and done, retargeting is still a relatively new marketing tool that advertisers are still getting better at using. There’s a lot that they still need to work on. For instance, understanding users’ ad click behavior, building publisher specificity into campaigns, using frequency caps, using average conversion periods, and marking converted users out of the campaign etc.
Even in its current evolving shape, retargeting is not the devil it’s sometimes made out to be. These campaigns conduct themselves freely and fairly and help advertisers dig deeper to make ads useful and less annoying. Retargeting ads are here to stay. Let’s all contribute towards ensuring they become more intelligent and relevant and also less repetitive or irrelevant.
Search and traffic sourcing are both crucial to luring shoppers to your website. In this article, "2 Successful Holiday Strategies for Online Retail", you'll learn how to use a two-pronged approach for your holiday search campaigns that combine top keywords with the best referral sites. Data in this article comes from SimilarWeb.
Parth heads the marketing team at Jifflenow and brings in considerable experience in the tech marketing space for products as well as services. In this capacity, he manages brand and marketing strategy, investments, campaigns, and product evangelism. Prior to joining Jifflenow, Parth was senior product marketer at ad tech startup, Vizury and he has also worked at Adobe , Cognizant, and Infosys. Parth holds an MBA in Marketing from XLRI and a Bachelors degree in Engineering from IIT Kanpur in India. He can be found on Twitter @parthsm and LinkedIn.
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