Difference Between Remarketing and Retargeting
Remarketing and Retargeting are digital marketing strategies used to reconnect with people who have previously interacted with a brand but did not complete a desired action. Although the terms are often used interchangeably, they differ in their approach. Retargeting mainly uses paid ads to reach past website visitors, while Remarketing typically uses email marketing to re-engage existing leads or customers. Both strategies help improve conversions, customer engagement, and overall marketing performance. This guide explains their differences, benefits, and how they work.
What Is Remarketing?
Remarketing is a digital marketing strategy that focuses on reconnecting with users who have previously interacted with a business, website, product, or service. It commonly involves sending personalized emails, offers, reminders, or promotional messages to existing leads and customers.
The goal of Remarketing is to encourage users to return and complete a desired action, such as making a purchase, renewing a subscription, downloading a resource, or engaging with a brand again.
Remarketing typically relies on:
- Email marketing lists.
- Customer databases.
- CRM systems.
- Existing customer information.
- Purchase history.
- User engagement data.
For example, if a customer adds a product to their cart but does not complete the purchase, a business may send an email reminding them about the abandoned cart along with a special discount offer.
Remarketing is often used to nurture leads and maintain relationships with existing customers.
What Is Retargeting?
Retargeting is a digital advertising strategy that displays ads to users who have previously visited a website, viewed a product, watched a video, or interacted with digital content but did not complete a conversion.
Retargeting works by using tracking technologies such as cookies or pixels to identify users and show them relevant advertisements across different websites, apps, and social media platforms.
Retargeting commonly uses:
- Website visitor data.
- Tracking pixels.
- Browser cookies.
- Social media engagement.
- Video viewers.
- Ad interactions.
For example, if someone visits an online store and views a pair of shoes without purchasing them, they may later see advertisements for those same shoes while browsing other websites or social media platforms.
Retargeting helps keep a brand visible and encourages users to return and convert.
| Feature | Remarketing | Retargeting |
|---|---|---|
| Definition | Remarketing is a marketing strategy that reconnects with existing customers or leads through email, SMS, or other communication channels. | Retargeting is an advertising strategy that shows ads to users who have previously visited a website or interacted with a brand online. |
| Main Goal | Re-engage past customers and encourage repeat purchases or actions. | Bring back visitors who left without completing a desired action. |
| Primary Focus | Existing customers or leads. | Previous website visitors or app users. |
| Marketing Channel | Email marketing, SMS, push notifications, and CRM campaigns. | Display ads, social media ads, and paid advertising platforms. |
| Audience Type | People who have already shared their contact information or made a purchase. | People who have interacted with a website, app, or advertisement. |
| Data Source | Customer databases, email lists, and CRM systems. | Browser cookies, tracking pixels, and audience lists. |
| Advertising Required? | Not always. It can work through direct communication. | Yes, it mainly relies on paid advertising. |
| Common Platforms | Email marketing tools and CRM software. | Google Ads, Facebook Ads, Instagram Ads, and other advertising platforms. |
| Example | Sending an email to a customer who abandoned their shopping cart. | Showing a display ad to a user who visited a product page but did not buy. |
| Purpose in Sales Funnel | Encourages repeat purchases and customer loyalty. | Recovers lost visitors and increases conversions. |
| Cost Structure | Usually based on email or marketing software costs. | Usually based on advertising costs such as CPC or CPM. |
| Personalization Level | Highly personalized using customer information and purchase history. | Personalized based on browsing behavior and online interactions. |
| Customer Relationship | Strengthens long-term customer relationships. | Focuses on bringing users back to complete an action. |
| Target Audience Size | Generally smaller because it uses existing customer data. | Can be larger because it targets all previous visitors. |
| Conversion Goal | Increase repeat sales and customer retention. | Increase conversions from previous website visitors. |
| Best For | E-commerce stores, subscription businesses, and customer loyalty campaigns. | Lead generation, abandoned cart recovery, and product promotions. |
| Tracking Method | Email lists, CRM records, and customer databases. | Cookies, pixels, and audience tracking technologies. |
| Automation | Often automated through email workflows and CRM systems. | Often automated through advertising platforms. |
| User Permission | Usually requires user consent for email or SMS communication. | Usually depends on website tracking and advertising policies. |
| Common Mistake | Sending too many emails and overwhelming customers. | Showing the same ads too frequently, causing ad fatigue. |
| EEAT Best Practice | Provide relevant and valuable follow-up messages that help customers. | Show useful and personalized ads without being intrusive. |
| Can They Work Together? | Yes, remarketing can nurture existing leads. | Yes, retargeting can bring visitors back to the website. |
| Which One Is Better? | Better for building customer loyalty and repeat business. | Better for recovering lost traffic and increasing conversions. |
| Simple Rule to Remember | Remarketing = Reconnect Through Email or Customer Data | Retargeting = Bring Visitors Back with Ads |
How Remarketing Works
Remarketing works by using customer information collected through sign-ups, purchases, inquiries, newsletter subscriptions, downloads, or previous interactions with a business. Unlike traditional advertising, remarketing focuses on people who already know the brand and have shown some level of interest.
When users join an email list or become customers, businesses can segment them into different groups based on their behavior, interests, purchase history, or engagement level. This allows marketers to send highly personalized messages that are more relevant to each user.
Common remarketing campaigns include:
- Abandoned cart emails.
- Product recommendation emails.
- Renewal reminders.
- Discount offers.
- Re-engagement campaigns.
- Customer loyalty promotions.
- Upselling and cross-selling emails.
- Event or webinar reminders.
For example, if a user adds products to their shopping cart but leaves without completing the purchase, an automated email sequence can remind them about the items they left behind. The business may also include customer reviews, limited-time discounts, or free shipping offers to encourage conversion.
Similarly, an existing customer who purchased a product several months ago may receive recommendations for related products or services. This helps businesses increase repeat purchases and customer lifetime value.
The primary goal of remarketing is to re-engage users through direct communication, strengthen customer relationships, improve retention, and encourage users to take the next step in the buying journey.
How Retargeting Works
Retargeting works by placing a tracking pixel, browser cookie, or similar tracking technology on a website. When visitors browse the website, the system records specific actions they take, such as viewing products, visiting service pages, watching videos, or adding items to a shopping cart.
Based on this behavior, users are added to custom audience lists that can be used for advertising campaigns. These audiences allow businesses to show highly relevant ads to people who have already interacted with their brand.
Later, those users may see personalized advertisements on:
- Search engines.
- News websites.
- Mobile apps.
- Social media platforms.
- Video platforms.
- Display advertising networks.
For example, if someone visits a course page but leaves without enrolling, retargeting ads may display that same course across websites, social media feeds, YouTube videos, or mobile applications. The ads often include compelling messages, testimonials, discounts, or reminders designed to encourage users to return.
Advanced retargeting campaigns can also segment audiences based on specific actions. For instance, users who viewed a pricing page may receive different ads than users who only visited the homepage. This level of personalization improves ad relevance and conversion rates.
The main objective of retargeting is to keep the brand visible after a visitor leaves the website, increase brand recall, recover lost traffic, and encourage users to return and complete a desired action such as making a purchase, registering for a service, or submitting a lead form.