Did you know it takes 6 visits on average for customers to purchase online?
Did you also know that only 2% of shoppers convert on their first visit to an online store, according to Adroll?
How do you think online shops get the other 98% of shoppers by making them visit the online stores for 6 times?
It’s by retargeting!
In a nutshell, it allows businesses to target customers based on their previous interaction with their website. It’s an effective marketing strategy, and we’ve got the latest retargeting statistics to prove it.
But before we dive into the pictorial representation of our work, let’s check out some…
Fascinating Retargeting Stats
- 92% of consumers who visit a website for the first time don’t intend to make a purchase.
- 3 out 5 people notice retargeting ads
- ⅓ rd of consumers who intend to purchase end up not finalizing the deal.
- Retargeted ads are 76% more likely to get clicks on Facebook than regular ad campaigns.
- Retargeting ads can get 10 times more clicks compared to display ads
- With 87.9%, Site Retargeting is the most used retargeting type
- 91% of marketers find Retargeting as effective or more than email and display.
Now let’s dig deep into some more stats and facts that can help your retargeting strategies.
General Retargeting Statistics
Here are some significant numbers to think about when deciding whether you should adopt retargeting methods within your marketing strategy:
3 out of 5 consumers are likely to take note of retargeted ads.
Let it be list-based, or pixel-based retargeting, 3 out of 5 viewers are likely to take notice of the retargeted ads. It is not necessary to specifically mention the increase in conversions.
Not to explicitly mention this visibility increases CTR
Let’s take a look at that in the next stat
The average click-through rate for retargeted ads is 0.7%, as opposed to displaying advertisements that only yield 0.07%.
To put in simpler terms, as we mentioned in the fascinating stats about Retargeting efficiency, CTR of retargeted ads is 10 times more than display ads.
So if your display ads are not getting enough mileage, allocating some retargeting budget makes sense.
Combine the following stat with Retargeting CTR statistics, and you might not want to say no to retargeting.
- 26% of prospective clients (who exited from the checkout page) when retargeted completes the desired action on the website.
Here we have one of the most intriguing retargeting conversion-related statistics. 26% of prospective clients that have been exposed to retargeting, return, and complete the desired action on the relevant website.
Value click media in claims 1046% or more brand lift with retargeting
Retargeting research done by Value Media in collaboration with ComScore claims a 1046% increase in business name searches with retargeting, which highest compared to all other efforts.
Moreover, this research is done across 7 industries, which can add a supporting retargeting fact: “Retargeting works across industries.”
Retargeting, implemented in conjunction with other channels, are 50% more likely to produce sales.
As mentioned in the above point, combining retargeting with advertising on email or social media will improve your sales conversions.
We have seen some stats on retargeting conversions and comparisons until now
Let’s take a look at how these numbers translate into reality in an example.
Adobe CMO in their blog stated retargeting website visitors increases conversion rates by 70%.
In addition to that, they also mentioned that retargeting could also boost up the ad response by 400%. When you combine retargeting with prospecting, the conversion rates might rise to 147%.
These retargeting statistics are a clear demonstration of the retargeting power in getting conversions from the customers.
Now that we know it is useful across industries to increase brand awareness, conversions, and click-through rates, let’s find out how these numbers are influencing the marketers to adopt Retargeting.
Retargeting Usage Statistics
68% of marketing agencies and 49% of brands now have a dedicated budget to adopt retargeting strategies.
(Source: Digital Agency Network)
When it comes to retargeting adoption rate amongst the industries, the retail industry to have adopted retargeting strategies more than any other sector.
Retail Industry – 27%
Media – 17%
Tech – 10%
Healthcare – 10%
Finance – 9%
To give you an even better picture of how marketers are curious to use retargeting, take a look at the following retargeting stat.
50% of marketers have revealed that there will be an increase in their retargeting budget in the next 6 months.
Interestingly, 46% of marketers have stated that retargeting is the most underused online marketing technology despite its results.
Google Display Network retargeting ads can reach up to 90% of people on the internet.
When deciding whether to adopt a retargeting marketing strategy, an essential factor to take into account is that of reach. How many people will you be able to reach on the internet? Well, if your company uses Google Display Network to promote its retargeting ads, it can reach up to 90% of people on the internet spread over 2 million websites.
Retargeting Impact Statistics
When it comes to the impact of it, 7.37% of consumers respond to the retargeting ads.
From the above, it is clear that retargeting must play some role in a consumer’s purchase decisions, but let’s see how consumers react to the Retargeting Ads?
Of consumers targeted by this marketing strategy, 8.65% were reminded to revisit the site while 7.37% responded to the offer in the ads while 46.15% ignored the ad.
3 out of 5 consumers take note of retargeted ads
As previously mentioned 3 out of 5 consumers take note of retargeted ads, but that still doesn’t explain how they feel about them and, therefore, whether they are effective or not.
So let us see how consumers enjoy these ads in the following retargeting statistics.
25% of online viewers admitted to enjoying seeing the retargeted ads.
Interestingly, another study found that 47% of consumers agreed that they would give up their privacy in the hope of a better deal.
However, there is also a decent proportion of people who would mind their privacy on the internet.
32% of consumers state retargeting advertising is entirely unacceptable.
In an alternative study, 11% of consumers revealed negative emotions towards retargeting; however, 30% had a positive reaction. The remaining 59% showed a neutral response.
So far, we have covered stats on how users like retargeting and how marketers are using this strategy.
Now let’s have a look at How Marketers Feel About Retargeting as a Marketing Strategy
Retargeted customers are 3 times more likely to click on an ad than a consumer that hasn’t visited your website before.
As we are talking about how retargeted visitors consider retargeting as a strategy, let’s take a look at these statistics. Retargeted customers are 3 times more likely to click on the ad.
Further, it is important to reiterate that 26% of customers will return to a site as a result of retargeting. You can see how you can be losing out by not implementing a retargeting marketing strategy.
Retargeting Average CTR, Conversion, CPM Statistics
The average CTR for retargeted consumers is 0.7%.
CTR for display ads is 0.07%. This statistical evidence clearly shows retargeting ads CTR is 10 times higher than that of standard display ads.
- Retargeted consumers are also 70% more likely to convert
With such effective numbers, google display reach, It is possible to reach a rise in a conversion rate of 147% dependant on your industry and implementation of the ad.
An even more significant number is that of a 726% uplift in site visitation after just 4 weeks of retargeted ad implementation.
Marketers also noted a 161% rise in conversion rate when implementing Google remarketing campaigns.
- The average retargeting CPC ranges between $0.05 – $1.25
Retargeting can also save you up to 44% of CPCs with average CPCs ranging from $0.50 – $1.25 per click.
- In the USA the average CPM ranged between $10 – $25
CPM is an interesting one with a range of different costs depending on geographical factors. In the United States, the average CPM ranged between $10 – $25, whereas the average price in South East Asia ranged between $1 – $2.
- 68% of marketing agencies now make use of retargeting strategies for conversions.
With retargeting being effective for improving conversions, 50% of marketers are looking to increase their budget within 6 months.
- 56% of marketers use retargeting ads for acquiring new customers.
It is also important to note here the most important needs marketers want to meet by adopting this retargeting strategy, namely, to acquire customers (56%), to build brand awareness (42%), and finally to gain a competitor’s customer (11%).
Numbers on Different Types of Retargeting
There are various types of retargeting strategies. The main ones being:
Email Retargeting – adopted by over 26% of the time.
- This type is adopted 26.1% of the time.
- This works by creating an email campaign where anyone who clicks on your email will now start seeing your ads. You can list of specific emails to target particular audiences and guide them to what would interest them most on their website.
- This is done by retargeting code into HTML or the signature of your emails.
Site and Dynamic Retargeting marks an adoption rate of 87.9%.
- This type is adopted most of the time, at a rate of 87.9%.
- This is where a consumer has landed on your site, and you track their next few browse searchers to plant perfectly timed personalized ads to re-attract the consumer.
Search – RLSA is preferred by close to 65%.
- This type is adopted 64.9% of the time.
- This works by live marketers, on a paid search engine, guiding consumers to the right page with a trail of ads based on their searches.
- This is done by viewing who clicked on paid ads before and depending on searches, and you can retarget the consumers with more advertisements to lead them in the direction you need them to be heading.
Video advertising is increasing by 40% annually
- Video advertising is increasing by 40% annually, with more than 80% of internet traffic being video orientated.
- This works when a consumer visits your site. You then track their behavior at each level of shopping within you platform. When they then leave your site and start browsing, you can place strategic video retargeting ads. These can be personalized to target the interests of the consumer to get them back onto your site.
This is done by making use of tracking pixels, which allow you to track the consumers’ behavior.
Retargeting Spending Statistics
For retargeting 3000-10000 visitors, you might have to spend $50-$175 per week.
See below how much is spent weekly on retargeting depending on the number of unique visitors to your site;
- 3000 – 10000 visitors: $50 – $175 per week.
- 10000 – 20000 visitors: $175 – $450 per week.
- 25000 – 50000 visitors: $450 – $900 per week.
- 50000 – 100000 visitors: $900 – $1800 per week.
Retargeting Statistics by Device
Let’s also take a look at the devices that can align well with retargeting.
34% of businesses don’t have mobile apps.
- Overall retargeting reach on mobile is 33%
Although this proves to be a challenge, Google is starting to implement cross-device retargeting, which will combine information gathered throughout devices. These issues with mobile devices are essential to solve as there has been an increase in app installs by 35% and an overall retargeting reach increase of 33%.
Statistics On Major Retargeting Challenges
Here are some of the significant retargeting challenges to get a good grasp on the topic.
- Customers don’t like frequent retargeting
Firstly, when an ad is displayed too frequently, it acts as a deterrent, and consumers are less likely to revisit your site. So be sparing in how often you use your ads.
- How long is too long for cookie storage?
The next mistake up for discussion is the debate; how long should we use a cookie window? Most say 30 days on average, and after that, it’s time to put the cookie back in the jar if no one has taken a bite. This is, however, subjective and dependent on the industry you’re in and the consumer you are targeting. It is, however, essential to note that if a consumer has not bought within 30 days, they are highly unlikely to buy. Don’t spend money on leads that are not going to reap the rewards.
Lastly, don’t forget to create unique personalized ads to target exactly what your consumer is interested in. It is crucial to segment your ads here and place them appropriately to get the best results.