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What is retargeting? Strategies & best practices

TLDR: Retargeting explained? 

Performance Marketing Manager, Marcus Bird, unpacks the ins and outs of retargeting, from pixel-based tracking to dynamic and search retargeting. They explain how brands can re-engage users across Google, social, and programmatic platforms. This blog clarifies the difference between retargeting and remarketing, outlines key audience types, and shares actionable tips on building high-performing campaigns using first-party data, smart bidding, and cross-channel strategies.  

We sat down with our Performance Marketing Manager, Marcus Bird, (from a strong PPC background) to dive into the nuances of retargeting, from paid search to social and even programmatic platforms. 

What is retargeting? 

Retargeting is all about re-engaging users who have previously interacted with your brand, whether that’s clicking on an ad, visiting a product page, or watching a video. It helps keep your brand front and centre by showing relevant ads across various platforms after that initial engagement. 

Picture this: someone searches for “white trainers,” and clicks on a Nike ad, browses your site, then leaves. Later, they’re watching YouTube or scrolling Facebook and…voilà. They see an ad for the same pair of trainers. That’s retargeting doing its job, reminding them of what they liked and nudging them toward conversion. 

How does retargeting work? 

Retargeting typically relies on browser cookies or platform-based tracking (like Google Ads or Facebook Pixel) to identify users who’ve interacted with your brand. Once identified, these users are added to an audience list, and then shown tailored ads across platforms like Google, Bing, Facebook, and programmatic networks. 

Retargeting vs remarketing 

While the two terms are often used interchangeably, there’s a subtle difference: 

  • Retargeting: Engaging users based on prior behaviour (e.g., site visits, video views, ad interactions).
  • Remarketing: More focused on existing customers like targeting past purchasers with email campaigns or tailored offers. 

In short: all remarketing is retargeting, but not all retargeting is remarketing. 

Types of retargeting 

Not all retargeting is created equal. Here are the main types, how they work, and who they’re best suited for. 

Pixel-based retargeting 

This is probably the most well-known method. A small snippet of code (or “pixel”) is placed on your website, which tracks users’ actions and lets you show them ads across social media and display networks. 

Best audiences: 

  • High-traffic websites 
  • Content consumers (blog readers, video viewers) 
  • Visitors who didn’t convert on first touch 

Great for building awareness and nurturing users down the funnel. 

List-based retargeting (email audiences) 

Here, you upload a list of contacts, like past customers or newsletter subscribers, into platforms like Google Ads or Meta. These users can then be targeted or used to create lookalike audiences. 

Best audiences: 

  • High-value customers 
  • Basket abandoners 
  • Loyalty members 

Also ideal for tailoring personalised messaging, especially in email-based campaigns. 

Dynamic retargeting (eCommerce) 

Dynamic retargeting uses data to show people the exact products or services they viewed. Think of that “forgot something?” ad with a product image straight from your abandoned basket. 

Best audiences: 

  • eCommerce shoppers 
  • Product browsers 
  • Sneakerheads or hobbyists following new drops 

This is especially effective when combined with automated platforms like GA4 or Klaviyo to dynamically update ad content. 

Search retargeting (based on intent) 

Rather than past site visits, this type of retargeting focuses on search behaviour targeting users based on what they’ve recently Googled. It’s more about intent signals rather than direct interactions. 

Best audiences: 

  • In-market users 
  • People researching competitors 
  • High-intent but undecided searchers 

Often used in tandem with audience signals like affinity or custom segments to hone in on likely converters. 

How to build an effective retargeting campaign 

From a PPC lens, building a retargeting campaign involves: 

  1. Choosing the right list: Basket abandoners, past purchasers, or high-value leads? Your audience defines your strategy. 
  2. Setting up in platform: In Google Ads, you can upload customer lists, use GA4 segments, or define rules for site visitors. 
  3. Using smart bidding: Let Google’s algorithm do the heavy lifting, smart bidding uses intent signals and user history to optimise ad spend. 
  4. Segmenting creatively: Have separate creatives for abandoners vs. loyal customers. The more tailored your messaging, the better. 
  5. Multi-channel considerations: Complement your Google Ads strategy with programmatic display, paid social, and email automations for full-funnel coverage. 

Our best practices 

  1. Keep It fresh
    Don’t retarget users from years ago. Aim for recent engagements—think quarterly cycles. 
  2. Leverage first-party data
    With cookies on the way out, clean and current first-party data is gold for performance and personalisation. 
  3. Automate where possible
    Tools like Klaviyo sync your data and trigger automated lists across platforms—cutting manual effort and boosting precision. 
  4. Tailor your messaging
    Basket abandoners need a nudge (maybe a discount); loyal customers need a reminder (“Hey, we’ve got new styles!”). 
  5. Don’t rely on one format
    Use a mix of display, video, search, and shopping to meet your audience where they are. 

Final thoughts 

“From a PPC perspective, dynamic and list-based retargeting are gold. They’re easy to set up in Google Ads, and when paired with smart bidding, they do a lot of the heavy lifting. But don’t forget social and programmatic, retargeting works best when it’s joined up across platforms. And if you’re not using audience signals in GA4 or feeding the algorithm good data, you’re leaving performance on the table.” – Marcus Bird, Performance Marketing Manager 

Got questions about how to manage your retargeting campaigns? Or how to bring it all together? Please get in contact with our team, at Modo25, or you can email our team, team@modo25.com.  

Marcus Bird - Modo25
Author
Marcus Bird
Marcus Bird - Modo25
Author
Marcus Bird
Marcus joined Modo25 after working at the world’s largest ad agency, Dentsu. After 3 years, Marcus wanted a smaller agency vibe, with a more agile approach, and found us here at Modo25. Day-to-Day Marcus works on planning strategies for clients and formulating what approach will work best for their needs and goals.
 

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