Retargeting versus Remarketing: The Subtle Distinctions


Many of us, while scrolling through the labyrinth of the Internet, have come across an advertisement about some product that we had checked out recently. Many assume it to be a coincidence, but is it really so? The online marketing strategists say otherwise. This is, what in common knowledge, known as retargeting, (or remarketing).

Retargeting vs Remarketing

Retargeting (or remarketing) is a very feasible way of advertisement in present times. In this form of online advertisement, the people who already have had some sort of previous interaction with the concerned brand or website are the part of the ‘target audience’. Hence the ‘re’ prefix in the term. The companies prefer this tactic for the better calculation and planning data it provides.

Both retargeting and remarketing serve a very similar purpose, and hence, used interchangeably, but there are differences in their core principles, in terms of:

1. Audience

Retargeting mainly looks over the target audience, which includes anyone who has visited the website or any related product page, including for random surfing, price comparison etc.People see ads of the website or product they visited; the agenda behind this is to remind the audience of their interest in that particular product or service.

On the other hand, remarketing is for a more specific audience, also known as the custom audience. They are those people who have already shown their interest in some products by adding the item(s) in their cart, or have purchased something previously from the website. This audience is more likely to avail the services the host has to offer, and so, the companies approach them with different, yet more persuasive tactics.

2.Means of Marketing

Retargeting uses the cookies on the websites pages to assemble a list of potential customers. The audience is reminded about the website via static(pop up ads) or dynamic(ad videos) means.

Remarketing takes this a step forward and is mainly characterized by generating Emails regarding discounts, offers on the carted items, making it seem like a good deal to the customers. Buyers also have some ground level experience to rely on and hence, are more susceptible to indulge in the given offers.

Modes of Payment

ROI (Revenue on Investment) in an essential factor to consider while advertising. To make a net profit, the income must be more than the investment. One of the major investment on a product is on its marketing. And retargeting has very economic way of payments. Some of them are:

CPM (Cost Per Mille): It is the most common form of pricing, and is calculated on the basis of every thousand impressions served

CPC (Cost Per Click): In this tactic, cost is charged to the investing company on the basis of per ad clicked on.

CPA (Cost Per Acquisition): Here, the advertisers are charged on the achievement of the pre decided acquisition action.

In case of remarketing, advertisers adjust their campaigns on the basis of who does or does not opens the email. This is also termed as email retargeting. The purpose of this system is to weed out the uninterested people, and in turn increasing the number of potential buyers. 

Advantages of Online Marketing

  • It is easier and subtle to pitch ads for audience consideration.
  • Unnecessary costs can be reduced
  • The extent of advertisement is vast
  • Peer advertisement is a explorable option
  • Customer and potential customer database is easy to avail

With all the above considerations, it is often advised that remarketing and retargeting, as a whole should be used in tandem with each other to achieve optimum results. And other marketing tactics can also be implemented accordingly.