Bring Back Lost Leads: How Meta Makes Retargeting Work

Businesses spend time employing many elements of their marketing strategy just to get potential customers to their website. However, it’s difficult to get users to convert on their first website visit. 

A recent study from unbounce.com analyzing 41,000 landing pages and 464 million visitors found that the average conversion rate for a landing page across all industries is about 6.6%. This means that well over 90% of first-time visitors will leave your website without converting, stemming from a variety of factors, such as buyers wanting to conduct research and compare offers before deciding on a purchasing decision. 

Yet, even if a customer doesn’t convert right away, that doesn’t mean they are gone forever. Digital advertising platforms like Meta give businesses a second chance to convert potential consumers through retargeting.

Retargeting is the process of showing ads to people who have previously interacted with your brand but didn’t convert. Whether they abandoned a shopping cart, clicked through an email or simply visited a landing page, Meta Ads offer powerful tools to help businesses reconnect and convert what once appeared to be lost leads. According to invespcro.com, 1 in 4 consumers will return to a website as the result of retargeting.

Retargeting can benefit any business with a digital footprint, ranging from small e-commerce brands to enterprise-level service providers, and can be used anytime a lead drops off the conversion path. With Meta platforms allowing for targeting based on user behavior, businesses have a second chance to become top-of-mind among consumers while boosting conversion rates.

Here’s a closer look at how retargeting works on Meta platforms, the best strategies for success and how retargeting lost leads can have a significant impact on your business.

What Is Retargeting and Why Is It Effective?

Retargeting is a form of behavioral advertising that tracks users who visit your website but don’t take a desired action, such as making a purchase or filling out a form, and then shows them ads across other platforms to re-engage them.

This is specifically done through cookies and tracking pixels that monitor user behavior and browsing history. In turn, businesses can create special audience lists to retarget users based on a specific action they took, displaying ads on search engines and social media platforms that remind them of the product or service they may have previously shown interest in but left behind.

Several benefits stem from retargeting, including a potential increase in conversions. Having a second chance to retarget a customer gives businesses a better chance to boost their conversion rate, with WebFX noting that people who see retargeted ads are 70% more likely to convert.

Brand recall is another significant benefit of retargeting, as 42% of businesses use retargeting to specifically boost brand awareness, according to invespcro.com. Repetition helps keep your product or service in the minds of potential consumers, nudging them toward conversions when the time is right.

In addition, retargeting can prove effective when it comes to advertising costs. The goal is focusing on users who are already familiar with your brand, which means higher intent and perhaps less ad spend waste compared to targeting a broader audience segment, or users who have shown little to no interest in your brand.

Through browser cookies, tracking pixels and user IDs, retargeting ads can deliver personalized content based on user behavior. This relevance is ultimately what makes them so effective, as they are tailored, timely and targeted.

If a business isn’t retargeting, they are missing out on timely follow-ups that increase brand awareness and sway users to the conversion stage of the buying process. Ultimately, that could lead potential buyers toward your competitors.

Retargeting is often effective when done during these times or following these actions:

• Cart abandonment – Incentives or discounts can perhaps lead users who abandoned an online shopping cart to come back and finish their purchase. Consumers who abandon their cart usually have high intent to purchase, but perhaps shipping costs, hesitation or other distractions led to abandonment. Smartly segmenting audiences while promoting urgency-driving incentivization can help these users complete the purchasing process. According to demandsage.com, retargeting can reduce cart abandonment by about 6.5%.

• Product interest – Users who have shown interest in a specific product or service should be retargeted through an ad showcasing benefits of that product or a similar item. These users may simply need another nudge in the right direction to complete the purchasing process, which can be done through adding personalized messaging or social proof to ads.

• Cross selling or upselling – Retargeting with ads featuring related products or services, or product or service upgrades, can immediately help an existing customer convert again. This strategy can prove particularly beneficial after releasing a new product feature or a pricing plan update.

• Seasonal promotions – Retargeting is often beneficial during peak buying seasons such as holidays, as users are introduced to new items they want to buy or persuaded to purchase an item they earlier came across but didn’t act on. 

How Meta Makes Retargeting Work

Facebook and Instagram are two of the most popularly used social media channels worldwide, as Facebook is estimated to have 3.07 billion monthly active users worldwide, while Instagram has over 2 billion. Meta platforms are not only a good place to draw consumers to your brand initially, but also offer one of the most robust retargeting ecosystems, leveraging their vast user base within Facebook and Instagram feeds, Stories and Reels. 

Socialsellinator.com notes that a general rule of thumb for most marketers is to allocate around 20-30% of their Facebook advertising budget to retargeting, while the remaining 70-80% should aim to bring in first-time prospects who will continue to feed the retargeting funnel. It is recommended to always have a retargeting campaign running to keep your product or service top of mind.

Key tools for retargeting within Meta Ads include:

• Meta Pixel – This small snippet of code placed on your website tracks visitor behavior, such as what pages users visit, time spent on page, what they add to their cart and where they drop off.

• Custom audiences – You can create lists of users based on specific actions. These could include groups like “visited product page but didn’t purchase” or “added to cart but didn’t check out.” Audiences can also be segmented by actions like time since last visit, or additional levels of engagement. Ads should be tailored to each audience segment, including things like reminders to complete a purchase, recommendations of similar products, or special offers and discounts.

• Lookalike audiences – Lookalike audiences allow you to reach new users similar to your existing warm leads, further amplifying your retargeting strategy. These prospects may have the same job, live in the same area or are simply interested in the same things as your actual customers.

Retargeting scenarios on Meta:

Following audience segmentation, businesses can choose their ad format and creative, and set their budget, timing and placements based on who they are trying to get to convert. Some typical retargeting scenarios include:

• Cart abandonment – Serve ads reminding users of the exact products or services that they left behind while perhaps offering limited-time offers or discounts.

• Content views – Retarget people who watched a video or read a blog post on your site, perhaps by showcasing additional benefits or customer testimonials.

• Lead generation – Follow up with users who opened a form but didn’t submit by sharing some of your top products or services.

• Post-purchase – A relationship between a business and consumer should continue to exist after an initial purchase as businesses aim to grow a loyal customer base. When it comes to retargeting, this can be done by things such as showing complementary products or services to a recent purchase. Similarly, businesses can aim to target past customers who may not have revisited their website for a long period of time by showcasing new arrivals or offering a discount to spark renewed interest.

Optimization tips:

• Segment your audiences – A product viewer should be treated differently than someone who abandoned their cart. Those who already purchased should be excluded from audiences who haven’t even converted yet to avoid wasting ad spend.

• Use dynamic product ads (Advantage+ Catalog Ads) – Automatically show users the exact products that they previously interacted with, often valuable for ecommerce businesses or service industries in niche markets. Best practices for these types of ads include engaging creative formats and detailed information.

• Limit ad frequency – Ad fatigue can be avoided by limiting how often the ad is shown to particular users.

Retargeting Strategy: Best Practices for Meta Platforms

No matter the platform, a successful retargeting campaign goes beyond the basics of following users with a tracking tag, audience lists and ads. It’s also about re-engaging with value and timing. Here’s a closer look at how you can fine-tune your approach:

1. Define your funnel stages

Segment your audience based on how deep they are in the marketing funnel:

• Consumers in the top-of-funnel (TOFU) stage may simply include blog readers or video viewers.

• Consumers in the middle-of-funnel (MOFU) stage could be in the process of viewing products or exploring categories.

• Consumers in the bottom-of-funnel (BOFU) stage may be users who abandoned their cart or started completing a form.

Regardless of the stage, all retargeting ads should aim to relate and engage with a user’s past website behaviors while highlighting product or service benefits. This can be done through various ad types and incentives, like special offers, product or service reminders, or dynamic ads displaying exact products. 

It is also important to ensure users will be directed to a relevant landing page when seeing a retargeting ad, helping them potentially pick up right where they left off on your website. Businesses should be sure to set a reasonable ad budget as they begin defining their retargeting strategy as well.

2. Align creative to intent

An ad’s creative should also be crafted based on what stage of the sales funnel potential buyers are at. Helpful content can benefit those in the early stages of the marketing funnel, while strong calls-to-action (CTAs) or discounts can help convert users in the latter stages. All ads should aim to accomplish several goals, including:

• Maintaining a relevant message and imagery – More personalized ads can give businesses a better chance of conversions. Messaging should be tailored to user behavior with an engaging headline, copy that gets to the point and an action-driving CTA. Imagery should remain appealing and high-quality.

• Leveraging social proof – One of the most powerful marketing tools can be social proof, such as reviews, testimonials or user-generated content (UGC). Adding these items to retargeting ads can increase brand confidence and trust. Social proof should be aligned with user behavior while featuring credible sources.

• Creating urgency – Limited-time offers can be used to encourage customers to act quickly. Offering a short-time discount or mentioning low stock levels can convince users to take immediate action.

3. Test and iterate

It’s important for businesses to run A/B tests for different creatives, placements and audience durations. Various audience behaviors can also be tracked and tested in subsequent groupings, including time on site, scroll depth, landing page views, form fills and cart abandonment. 

Of course, all businesses should make sure their website is optimized when running retargeting campaigns, with fast loading speeds, clear CTAs and a mobile-friendly layout. Successes or failures of retargeting campaigns can be tracked by Meta Pixel. Some notable metrics to track include click-through rates (CTRs), conversion rates, cost per acquisition and return on ad spend. 

4. Cap ad frequency

While it’s important to frequently put yourself in front of your audience, you also want to avoid being pushy or annoying, potentially turning customers off from your brand. Ad frequency should be kept in check to reduce fatigue or potential brand damage. 

One strategy example is limiting ad frequency to three impressions per prospect, with the first ad reminding the customer of the product they showed interest in, the second displaying a changed message and focus on different benefits, and the third promoting an exclusive offer to drive the conversion. 

It is also wise to stop retargeting the same user after a certain duration, such as 30 to 60 days. The amount of time can be increased or decreased depending on various factors of the retargeting campaign, but it is key to find a balance that includes not showing an ad too quickly, and not dragging one on if there is little interest.

5. Leverage automation

Meta offers AI-powered options for audience targeting and creative optimization that can make the retargeting process easier for businesses and help them scale wiser.

6. Be transparent to maintain trust and credibility

One overlooked part of the retargeting process is to make sure you are transparent with users about what is happening when they visit your website, perhaps through a privacy policy. While this may not be viewed often, it’s important to let users know if your website is using cookies or pixels to track them, and what information you might collect by doing so. 

Meta is enhancing first-party data capabilities and server-side tracking, such as Conversions API, to maintain ad performance while respecting user privacy. It’s essential for businesses to invest in strong data collection practices, such as opt-ins, CRM integration and user consent, to retarget effectively.

Retargeting should also be used in conjunction with a broader omnichannel marketing strategy that may include retargeting through email campaigns as well to reinforce messaging and nudge users toward converting. Emails can be coordinated with ad delivery, helping keep your brand top of mind while potentially gaining loyal, longtime customers.

It’s no secret that the customer journey is usually fragmented across multiple platforms and devices. Retargeting in several spots can ultimately bridge the gap, giving your brand the chance to stay visible after it has already been shown.

Real-World Businesses That Have Seen Retargeting Success

Neuhaus, a Belgian chocolatier founded in 1857, has expanded its product offerings to several countries through its long history, including the United States. While already a successful brand, Neuhaus was looking to drive further growth digitally by retargeting through Facebook Ads. 

Using Facebook’s multi-language and country-based dynamic ads, Neuhaus was able to retarget a wide range of users globally who had visited its site or abandoned their cart. The multi-language ads helped Nehaus reach audiences across 11 countries, resulting in doubling conversions, a 50% lower cost per purchase and a 72% higher return on ad spend.

Best Version Media Can Enhance Your Digital Advertising Strategy

Best Version Media can help your local business retarget potential buyers through our management of digital advertising campaigns on Google, Facebook and Instagram. BVM oversees 13,000+ digital ad campaigns that create over 300 million monthly impressions.

Through Google Display Ads, BVM can put your local business in front of local consumers on a wide network containing millions of websites and apps. Similarly, BVM can connect your business with geo-targeted users across Facebook and Instagram, showcasing specific products and services to customers who might be ready to convert.

With multiple tiers of display ad campaign bundles available, connect with BVM today to create a digital ad strategy that is best suited for your local business.

FAQs

1. What is retargeting in digital advertising, and how does it work?

Retargeting in digital advertising is a strategy used to re-engage users who previously visited your website or interacted with your brand but didn’t take a desired action, like making a purchase or filling out a form.

It works by using tracking pixels or cookies (like the Meta Pixel) to monitor user behavior. Once users leave your site, they’re shown personalized ads on platforms like Facebook or Instagram, reminding them of the product or service they viewed.

Retargeting is highly effective because it focuses on people who’ve already shown interest, which increases brand recall, boosts conversion rates and minimizes ad spend waste. In fact, users who see retargeted ads are up to 70% more likely to convert, according to WebFX.

2. How does Meta retargeting help different types of businesses?

Meta’s retargeting tools are versatile and scalable, making them effective for businesses of all sizes and industries. Whether you’re a local retailer, an online service provider or a national brand, Meta Ads allow you to reconnect with warm leads and drive them closer to conversion.

• For e-commerce businesses, Meta’s dynamic product ads can automatically show users the exact products they viewed or added to their cart, helping recover lost sales.

• For service-based businesses, retargeting can re-engage users who visited key landing pages or started filling out a contact form but didn’t finish.

• For local businesses, Meta’s geo-targeting combined with retargeting can help keep your brand top of mind in your immediate community, especially during promotions or seasonal events.

By leveraging tools like the Meta Pixel, Custom Audiences and Lookalike Audiences, businesses can deliver personalized messages that speak directly to a user’s past behavior, boosting conversions while optimizing ad spend.

3. When should I use retargeting ads, and what types perform best?

Use retargeting ads whenever users drop off your conversion funnel, especially after these key actions:

• Cart Abandonment – Remind users of items they left behind with a discount or limited-time offer.

• Product or Service Views – Retarget users who browsed specific offerings but didn’t convert.

• Content Engagement – Follow up with users who viewed videos or blog content but didn’t take action.

• Post-Purchase – Upsell or cross-sell related products to existing customers.

Top-performing retargeting ad types include:

• Dynamic Product Ads – Show users the exact products they interacted with.

• Video Retargeting Ads – Re-engage Instagram viewers.

• Carousel and Collection Ads – Ideal for showcasing multiple products.

To maximize results, segment your audiences, tailor ad creative based on behavior and set frequency caps to avoid ad fatigue.