Capturing the hearts and wallets of potential customers like never before with the dynamic world might need you to go the extra with promoting your services or products, even with customers who have either visited your store or patronized you before using retargeting Ads.
If you’ve ever wondered how to bring back lost customers and revive fading interest, retargeting ads hold the key to your success. This strategy helps harness the power of personalized advertisements tailored to reignite customers’ curiosity and boost your sales to unprecedented heights.
In this blog post, we will dwell into the secret of retargeting ads and reveal the tried-and-true strategies to maximize your sales potential.
Let’s unravel the strategy of retargeting ads, unveiling the art of audience segmentation, upselling, cross-selling techniques, personalized offers, and optimization.
What Is Retargeting Ads?
Retargeting ads, also known as remarketing ads, are the secret sauce behind online marketing prowess.
With this marketing, businesses reclaim users’ attention who have previously shown interest in their products or services. This is done by utilizing clever tracking codes and cookies from customers’ time spent while shopping on the website.
Retargeting is used to pursue potential customers across the web, delivering captivating messages that remind them of their past engagements and nudge them to leap into a purchase.
Why You Need To Retarget Customers Using Ads
To better improve sales and average order value for your store, retargeting customers whom you have reached before or visited a window shop can help you achieve this sales goal.
1. Reconnecting with customers
Retargeting allows you to reconnect with customers who have bought an item from your store in a long time and have not returned to make another purchase. This way you can boost customer’s lifetime value and increase their average order value.
2. Strengthen brand visibility
Promoting your store vis social media ads or Google ads can give you more visibility to reach potential customers. However, with the same channel, you can reach customers who have visited your store before and probably have an item abandoned in their cart.
Reaching customers this way to remind them about a product they showed interest in your store helps you create a stronger impression in the hearts of potential and existing customers
Retargeting ads are not limited to acquiring new customers they can also be used to nurture potential customers.
3. Personalized shopping experience
Nothing changes or encourages a customer to make a purchase more than a personalized shopping experience where they get to see products they are interested in displayed on the home page or in the cart.
Personalizing customers’ experience makes it easier for customers to make a purchase decision. Basically, they will be seeing products that they like on the home page.
Retargeting Ads allow you to deliver a highly personalized and tailored message to a specific segment of your audience.
Some samples of retargeting ads from Facebook
How to Increase Average Order Value With Retargeting Ads
1. Volume Discounts Or Price Slash
When it comes to increasing AOV for e-commerce stores, discounts can help you play the sugar daddy role.
The benefits of having offers like discounts extend to both businesses and customers. E-commerce stores can increase average order value, move inventory quickly, and generate more revenue.
Customers, on the other hand, can enjoy cost savings per unit since they are buying at a discounted price. In addition to the extra bucks that get off their total purchase price. The higher the volume of items bought, the higher the money customers get to save.
When it comes to discounts, the quantities a customer buys play a major role. Customers might be encouraged to buy more if they see that there is more to gain with the discount attached.
To get this done, you can create a purchase threshold that can qualify customers for the discount or price slash. For example, “Buy 3 for $50” or “Get 20% off when you order items worth $1,500.”
These offers can create a sense of value and savings, motivating customers to buy more than they initially planned. So when creating retargeting ads, you should consider adding a discount to attract dormant customers to make a purchase.
2. Product Bundling
Exclusive bundles are here to take you to new sales possibilities. And can be your strong point when retargeting customers. Since you can get customers to buy more using this strategy.
Product bundling allows you to make a bag with a combination of different products that you have in stock. This combo bag can contain items that customers are highly interested in or items that are complementary or frequently bought together.
When the goal is to increase sales or average order value, you can indulge your customers by creating exciting bundles with offers that can attract customers to buy. Store merchants usually use this strategy to clear the inventory of dead stock. That is items that have been in stock for a long time.
What you have to do is to make a combo of the popular items or best sellers with these slow-moving items to get customers to buy them. And for times when you want to increase sales, you can combine a couple of complimentary items
3. Segment Your Audience
Segmenting your audience enables you to put on your lens and identify unique clusters within your customer base. That is why it is necessary to group them based on demographic, preferences, purchase history, or level of engagement. This will help you gain valuable insights into their needs and motivation,
With these segments in hand, you can craft hyper-targeted retargeting ads that hit the bullseyes. Gone are those days of generic,on-size-fits-all messages. Instead, you can create compelling narratives that speak directly to the hearts and minds of your customers.
Showing a customer an item they have in mind makes it easy to convince them to buy. Once you have this customer psychology in check, it makes your work a lot easier. All you might need to do next is attach a timed discount to finalize the process.
Don’t forget the window shoppers who frequently visit your site without making a purchase. For this segment, retargeting ads can showcase trending popular products, accompanied by personalized recommendations based on their browsing history.
Creating a sense of urgency or showcasing social proof can also help reach any category of your segmented audience. You have to tailor the timer to each customer’s preference or purchase history.
4. Personalized Recommendation
Personalized recommendations in retargeting ads can be a game-changer when it comes to increasing the average order value. Imagine a virtual shopping assistant who understands your preferences and guides you toward products you’re likely to love. That’s the power of personalized recommendation.
To get this done, you need to leverage customers’ data and browsing history using cookies. Retargeting ads can deliver tailored product suggestions that resonate with individual interests. Whether it is based on previous purchases, viewed items, or similar customer preferences, these recommendations create a sense of relevance and make the shopping experience feel personalized
When a customer sees a product they are genuinely interested in, they are more likely to engage with the ad and explore further. By showcasing items that align with their taste and desire, you increase the likelihood of driving them to make a purchase.
FOMO is also a strategy you might want to attach to your ads. Customers usually do not want to miss out on a sale that has a timer running on it. This can push your customers to get to the bottom sales funnel.
5. Optimize ads frequency and timing:
Optimizing ad frequency and timing is a strategic approach that can significantly impact the effectiveness of your retargeting ads in increasing the average order value. Timing is everything, and by carefully calibrating when and how often your ads are displayed, you can create a powerful impact on your target audience.
Ad frequency plays a vital role in capturing customers’ attention without overwhelming them. Rushing customers with too many ads can lead to ad fatigue and a negative user experience.
On the other hand, showing ads too infrequently may result in missed opportunities for engagement. Finding the sweet spot requires a delicate balance.
To optimize your ads, you can monitor users’ behavior and engagement metrics to determine the optimal frequency at which your retargeting ads should be displayed to maintain interest and encourage conversion.
Timing can be customized based on the customer journey stage. For instance, if a customer has already made a purchase, displaying retargeting ads with upsell or cross-sell offers at a later stage can entice them to explore additional products or upgrade their purchase. This strategic timing capitalizes on their existing engagement with your brand and leverages the momentum to drive higher-value transactions.
Ensure to monitor the impact of these strategies and analyze their effectiveness. Continuously optimize and refine your approaches to find the right balance that encourages customers to increase their order value while providing them with value and a positive shopping experience.