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What is Remarketing (Retargeting)?
  1. Glossary/

What is Remarketing (Retargeting)?

3 mins·
Ben Schmidt
Author
I am going to help you build the impossible.

Most visitors to your startup website will not buy your product or sign up for your service on the first visit.

They browse. They click a pricing page. Then they get distracted and leave.

In the past, that traffic was simply lost. You had no way to speak to them again unless they voluntarily gave you an email address. Remarketing, often used interchangeably with retargeting, changes that dynamic.

It is a form of online advertising that allows your website to show specific ads to users who have already visited your site as they browse other parts of the internet.

This is not about casting a wide net to strangers. It is about continuing a conversation with someone who already knows who you are.

How the Technology Works

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The mechanics behind remarketing are relatively simple.

You place a small snippet of code on your website. This is often called a pixel or a tag. This code is invisible to your visitors and does not affect the performance of your site.

When a new visitor lands on your site, the code drops an anonymous browser cookie. Later, when that visitor browses the web, reads the news, or scrolls through social media, the cookie lets your ad provider know to serve your specific ad.

It ensures your ads are served to people who have already engaged with your brand.

Remarketing vs. Retargeting

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While industry professionals often use these terms to mean the same thing, there are technical differences worth noting for a founder.

Retargeting generally refers to cookie-based ad placement. This happens on ad networks like Google or social platforms like Facebook and LinkedIn.

Remarketing is historically more associated with email. Think about the emails you receive when you leave items in a shopping cart without checking out. That is a form of remarketing.

However, for the purpose of general startup growth discussions, both terms imply the same goal. You are marketing to the same person again to drive a conversion.

Startups often operate with limited budgets. You cannot afford to waste money showing ads to people who do not care about your problem space.

Remarketing is efficient because intent is already established.

The person has visited your site. They know your name. They might just need a reminder or a little nudge to finish what they started.

Standard display advertising has a much lower click-through rate because it targets cold traffic. Remarketing targets warm traffic. This usually results in a lower cost per acquisition compared to other advertising channels.

The Privacy Challenge

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There is a significant question mark hanging over this technology. It relies heavily on third-party cookies.

Browsers and tech giants are moving toward a privacy-first web. Updates to iOS and changes in Chrome are making it harder to track users across the web. The efficacy of traditional pixel-based retargeting is changing.

Founders need to ask serious questions about their reliance on this data.

If third-party cookies disappear entirely, how will you reach your audience? Is your first-party data strategy strong enough to survive without retargeting?

It is a powerful tool today, but it is one that requires you to keep an eye on the evolving landscape of digital privacy.