Retargeting
Retargeting, also called remarketing, is a form of advertising deliberately approaching users again who have interacted with a website, an app or an ad before but have not yet converted. Through cookies or other identifiers these visitors are recognised again and reached with fitting ads on other sites, in social networks or on the search network. Since these users have already shown interest, retargeting campaigns are often particularly efficient and achieve a lower cost per conversion than approaching people cold. Retargeting is therefore an effective building block in online marketing for turning existing interest into closes.
Also known as: remarketing, re-targeting, retargeting campaign
How does retargeting work technically?
In retargeting, a Trackingcode, such as Meta’sPixel or the Google Ads tag, built into the website. When a user visits a page or triggers an event, they are added to an audience list. Ads are later served on the basis of these lists, reaching exactly those people again.
Classically, retargeting works with cookies that mark the user’s browser. As third-party cookies are increasingly restricted, alternative approaches are gaining ground: server-side tracking, uploading your own customer lists, and platform-native identifiers inside closed ecosystems such as Meta or Google.
One important distinction is between standard and dynamic retargeting. In dynamic retargeting, the specific products or content a user viewed earlier are advertised. That raises relevance considerably and is particularly effective in e-commerce.
Which platforms offer retargeting?
The main platforms are Google Ads and Meta Ads. Through Google Ads you reach users on the display network, on YouTube and, via RLSA, in search too. Through Meta Ads, previous visitors are addressed again on Facebook and Instagram, often with dynamic product ads.
LinkedIn, Microsoft Advertising, Pinterest and specialised demand-side platforms also offer retargeting. Which platform makes sense depends on where the audience spends its time. In B2B, LinkedIn retargeting can be very effective despite higher click prices; in B2C, Meta and Google usually dominate.
In practice a cross-platform approach is often advisable. Addressing visitors again across several channels raises the chance of a conversion but the frequency should be watched, so users are not annoyed by too many ads.
The choice of platform should also follow the value of the audience in question. High-priced B2B offerings justify the dearer click prices on LinkedIn, while in the mass market the cheaper reach of Meta and Google tips the balance. Evaluating each platform regularly shows where the budget achieves the best cost per conversion.
How do you design effective retargeting campaigns?
The biggest lever is the Segmentation of audiences by behaviour. Someone who only visited the homepage needs a different approach from someone who filled a basket but did not buy. The closer a segment came to converting, the more concrete and incentivising the message can be.
Well-considered frequency capping also matters, that is limiting how often a person sees the same ad. Too high a frequency leads to rejection and wasted spend. Excluding users who have already converted is just as sensible, so no budget is wasted on existing customers.
The ads should connect to the landing page in question and address the concerns that stood in the way of a conversion, for instance with a discount, a testimonial or an additional argument. Success is measured through Conversion tracking and metrics such as ROAS and cost per conversion.
Retargeting and data protection
Retargeting processes identifiable users' behaviour and is therefore particularly sensitive in data protection terms. Setting tracking pixels and marketing cookies generally requires, under the GDPR and the TTDSG, express, informed consent from the people concerned through a consent banner.
Only once that consent exists may users be added to a retargeting list. Clean Consent management is therefore the technical prerequisite for retargeting to work lawfully at all. Data collected without consent may not be used for advertising.
Because consent-based tracking has limited reach, first-party data and server-side solutions are gaining importance. Anyone using their own customer lists collected with consent is less dependent on third-party cookies and on the safe side of data protection.
How efficient is retargeting?
In many accounts, retargeting is among the most efficient campaign types because it addresses people who have already shown interest. The Conversion rate is often well above that of cold outreach, and cost per conversion tends to be lower because there is less waste.
Retargeting is no automatic win, though, and limited in reach: it can only address people who have already been in contact. It therefore complements winning new customers but does not replace it. Without a steady flow of new visitors the retargeting audience dries up.
At Elisabit we use retargeting deliberately at the bottom of the funnel to turn existing interest into sales, and pair it with clean measurement in Google Analytics 4 and transparent Marketing dashboards. That way retargeting’s contribution to the overall result stays visible.
Frequently asked questions
What is the difference between retargeting and remarketing?
The terms are mostly used synonymously. Historically, remarketing tended to mean approaching people again by email, while retargeting stood for ad-based re-engagement. Google uses the term remarketing, many other platforms speak of retargeting. In practice both mean the same: deliberately approaching earlier contacts again.
How does retargeting work technically?
A tracking code such as the Meta pixel or the Google Ads tag is embedded in the website. When a user visits a page, they are added to an audience list and can later be reached again with ads on other sites or in social networks. Classically this happens through cookies, increasingly server-side or through your own customer lists too.
Is retargeting permitted under data protection law?
Yes, but only with consent. Setting retargeting pixels and marketing cookies generally requires express, informed agreement through a consent banner under the GDPR and the TTDSG. Only then may users be added to a retargeting list. Clean consent management is therefore an absolute prerequisite.
Why is retargeting often cheaper than other advertising?
Retargeting addresses people who have already shown interest and know the brand. Conversion rates are therefore usually higher and waste lower than with cold outreach. That generally lowers the cost per conversion and improves the ROAS compared with purely prospecting campaigns.
Can retargeting replace new customer acquisition?
No. Retargeting can only address people who have already been in contact with your offer and is therefore limited in reach. Without a steady flow of new visitors the audience dries up. Retargeting complements new customer acquisition effectively at the bottom of the funnel but does not replace it.
What is dynamic retargeting?
In dynamic retargeting, users are automatically shown again exactly the products or content they viewed earlier. That raises the ads' relevance considerably and is particularly effective in e-commerce. A well-maintained product catalogue and correctly configured tracking of product views are the prerequisites.
Related terms
Conversion tracking measures which user actions are triggered by which channels and campaigns.
A metric that relates revenue to advertising spend and shows how efficient campaigns are.
A model of the stages prospects pass through from first contact to purchase.
The share of visitors who complete a desired action — the central metric in online marketing.
The process of winning qualified prospects, along with their contact details, for marketing and sales.
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