3 Reasons Why More Retargeters Should Bid On Your Behalf
Programmatic ecosystem has evolved significantly over the past several years and personalized retargeting as one of many programmatic solutions has become more and more prevalent.
According to Magna Global, the global programmatic spending will grow from $14.2 billion in 2015, to $36.8 billion in 2019, which translates to 49% growth expected y/y in 2015. By 2019, programmatic transaction methods will represent more than half of spend in the Programmatic Universe. But what exactly does this mean for advertisers?
The massive potential of performance-based solutions has been already noticed in the market, no doubt – according to Marin Software, nearly nine in ten marketers use some form of retargeting as part of their online strategy. In a time when almost all e-commerce players use retargeting as a way to multiply conversion and get superior ROI, finding the smartest approach for your own business becomes key.
And what does “smarter” entail in this case? Well, when planning an online campaign, we have a number of providers and a million options to choose from. Selecting the right one for your business without proper due diligence is virtually impossible and may lead to suboptimal results. This is the reason why multiple retargeting strategies and different techniques to expand access to selected users have been developed. Today, it is obvious that using a single retargeter is not always optimal. In fact, running 2 to 3 retargeting campaigns with different providers can bring much better results without any additional cost. Here’s why it works:
#1 Wider Access
According to RTB House analysis, 85% of clients changed their retargeting strategy to incorporate multiple tools after one test campaign. Why does this happen?
In this very competitive environment, marketers need to think about the most effective ways to attract as many potential buyers as possible. Otherwise they will lose the race for their customers’ attention. Every provider uses different methods of accessing these users – they operate on different deals, access, and ways to reach potential buyers. Most companies claim to have nearly 100% access to all users, but when you compare daily reach, in some cases it is substantially lower. Moreover, there’s a large variety of ad inventory types in display advertising, and not in every case will one provider be able to deliver a creative in the appropriate format. This is all dependent on how many users a particular retargeter can access in a given amount of time and at what cost. So while one retargeter can be extremely cost and time efficient at finding users in Group A, another retargeter may be better positioned to have access to Group B.
By using multiple retargeters, you’ll expose your online marketing to more display options which can drastically alter how and where the message is displayed, and thus, change the end result for the better. At the end of the day it means that you can run more efficient campaigns in almost separate subgroups, resulting in little overlap and much higher efficiency.
#2 Healthy Competition
Competition between providers is one of the ways to ensure your retargeters are operating at their maximum potential. When you use two retargeters, both must focus on delivering transparent and effective results. It also allows for benchmarking the average effective costs of sale (COS) between the service providers, as well as other measures. Moreover, you can run your own A/B testing of sorts, to see which retargeter provides optimal returns in each marketing channel.
#3 More Goals
Retargeting activities are often considered short-term strategies that are meant to bring back customers within days of abandoning a site. However, many companies use long-term retargeting strategies to remind old visitors (brand awareness) or to bring back visitors during peak sales periods (seasonal purchasing). Retargeting helps keep a brand top-of-mind as users browse the internet, and likely keeps those visitors coming back if they did make a purchase in the past. Different retargeters offer flexibility in your goal strategies. You can have different short-term goals determined by your mid- and long-term display marketing strategy. It can be a specific number of clicks, conversions or just turnover.
So it is good to remember that independent retargeters cannot maximize results across all advertising channels and particular retargeters offer varying inventories, creatives and algorithms. Each execute them differently in local channels. Using multiple retargeters enables expansion of access to your visitors, that you would like back on your website – not just targeting the same user with both tools.