In the world of digital marketing, there’s often confusion about the terms remarketing and retargeting. Although these concepts are frequently used interchangeably, they aren’t exactly the same. For businesses looking to boost their marketing strategies, it’s essential to understand the distinctions. Both techniques aim to re-engage audiences who have interacted with your brand, but they do so in different ways. Knowing when and how to use each can significantly improve your campaign results.

Let’s dive into the key differences between remarketing and retargeting and explore when to use each strategy effectively.

What is Retargeting?

Retargeting focuses on engaging users who have visited your website but didn’t complete a desired action—such as making a purchase or signing up for a newsletter. This approach leverages cookie-based technology to follow visitors once they leave your site and serve them relevant ads on other platforms, such as Google Display Network or social media networks like Facebook.

There are two primary types of retargeting: on-site and off-site.

1. On-Site Retargeting

On-site retargeting targets visitors who have already interacted with your website. This interaction might include viewing a specific product, adding items to their shopping cart, or signing up for a free trial but not completing the purchase. Retargeting these individuals is effective because they’ve shown clear intent to engage with your brand, even if they didn’t convert initially.

For example, if a user visited your online store and looked at a particular product but didn’t check out, you can retarget them with ads reminding them of the product or offering a discount. This keeps your brand top-of-mind and increases the chances that they’ll return to complete the purchase.

2. Off-Site Retargeting

Off-site retargeting extends beyond your website, targeting users who have engaged with your brand across other digital platforms, such as social media. For instance, someone may have interacted with your brand’s Facebook page, liked a post, or RSVP’d to an event, but they haven’t converted into customers yet. Using off-site retargeting, you can show these users tailored ads to re-engage them and encourage a conversion.

This type of retargeting allows you to expand your reach beyond your website, targeting a wider audience who may already be familiar with your brand but haven’t yet made a purchase.

What is Remarketing?

Remarketing, on the other hand, primarily refers to the process of re-engaging existing customers or those who have shown interest in your brand through other means, such as email or past purchases. The goal of remarketing is to remind or upsell customers, bringing them back to your brand for repeat purchases.

Remarketing is often carried out through email campaigns but can also extend to paid ads. For instance, you might send a series of emails reminding a customer about products they’ve browsed or purchased before, offering discounts, or encouraging them to renew a subscription.

Key Differences Between Remarketing and Retargeting

While both strategies aim to engage people who have interacted with your brand, the key difference lies in who they target and how they do it:

• Retargeting is about reaching potential customers who haven’t made a purchase yet. It focuses on users who have shown interest in your product or service but have not yet converted. These users are targeted through display ads across various platforms.
• Remarketing involves re-engaging existing customers, typically through email campaigns or paid ads. This strategy targets those who have already converted but can be persuaded to make repeat purchases or to buy complementary products.

The Blurred Line Between Remarketing & Retargeting

In the past, remarketing and retargeting existed in distinct silos. Retargeting was usually limited to paid media like display ads, while remarketing was primarily done through email marketing. However, with advancements in digital marketing platforms, the line between the two has become increasingly blurred.

For example, platforms like Google Ads and Facebook Ads now allow you to upload email lists to create highly targeted ad campaigns. This capability enables brands to use email lists—typically used for remarketing—for paid retargeting efforts. In essence, you can now use the same customer list for both strategies, targeting them with different messages depending on the platform and marketing goals.

When to Use Retargeting vs. Remarketing

Both retargeting and remarketing have a place in a well-rounded digital marketing strategy, but knowing when to use each is key to driving conversions and maximizing return on investment.

When to Use Retargeting

Retargeting is most effective when your goal is to convert new customers who are already familiar with your brand but haven’t made a purchase yet. If you’re running brand awareness campaigns and attracting new visitors to your website, incorporating a retargeting strategy is essential for nurturing those visitors and guiding them down the funnel.

Use retargeting when:

• You want to convert first-time website visitors.
• You’re running awareness campaigns and need to follow up with interested prospects.
• You have a product or service that is typically a one-time purchase, and you need to drive new customer acquisition.

When to Use Remarketing

Remarketing is ideal for re-engaging existing customers and encouraging them to make repeat purchases or buy complementary products. Since remarketing often uses free or low-cost channels like email marketing, it’s a budget-friendly option for businesses that want to maximize their return on investment.

Use remarketing when:

• Your goal is to drive repeat purchases from existing customers.
• You want to upsell or cross-sell complementary products.
• You’re working with a limited marketing budget and need to focus on retaining existing customers.

Combining Remarketing and Retargeting for Maximum Impact

Rather than choosing one over the other, the best approach is to combine remarketing and retargeting to create a comprehensive strategy that targets both potential and existing customers. By doing so, you can drive new customer acquisition while nurturing long-term relationships with existing customers.

For example, you might use retargeting ads to convert first-time website visitors into buyers, while using remarketing emails to re-engage customers who have purchased before. This ensures that you’re covering all your bases, from top-of-funnel leads to existing customers who may need a nudge to make another purchase.

Both methods can also work in tandem to increase your marketing efficiency. Retargeting can help bring new leads into your customer base, while remarketing can keep them coming back for more.

Final Takeaway: Remarketing and Retargeting Share a Common Goal

Ultimately, both remarketing and retargeting aim to increase conversions by targeting users who have already shown interest in your brand. The difference lies in the strategy and who you are targeting. Retargeting focuses on bringing back potential customers who haven’t converted yet, while remarketing focuses on re-engaging existing customers.

By incorporating both strategies into your marketing plan, you can maximize your chances of turning visitors into loyal, repeat customers—boosting your conversion rates, and driving long-term success for your business.