Advertising and Retargeting – Does it Work for Advisors?
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We’ve all experienced it. You’re shopping online for something new and decide against the purchase. Suddenly, your browser is full of ads for the product you were just looking at!
This is “retargeting” in action; it’s a strategy businesses have been using for a while. And, pending any voluntary regulation freezes by the SEC, retargeting will become available to advisors on May 4, once the new SEC Ad rule is in full effect.
But how does retargeting work? And what advantages does it bring to advisors? Read on to learn more and to find out how to use retargeting in your marketing efforts.
What Is retargeting?
Retargeting is a form of automated advertising that distributes ads to users who failed to convert while visiting your website. The process starts when a user visits your site, explores a few pages and then leaves. Retargeting tracks that the user who visited the site but never took action. Afterwards, when the user is visiting a different website, relevant ads for yours will appear. These ads are designed to focus on where your visitor left your site.
Approximately 97% of users will not convert after visiting a website. Most people need to see an advertisement multiple times before they act. The magic number marketers have for the number of visits before a purchase occurs is seven, but this can fluctuate depending on industry and brand. And since this strategy is new for advisors, this number will be flexible.
What are the benefits of retargeting?
Retargeting is an active reminder to previous visitors. Unlike a blog or social media post, which require a level of intent to be seen, retargeting makes ads appear on other websites users visit.
Better yet, retargeting has been shown to increase the conversion rate of new visitors by 33%. However, the effectiveness of any retargeting campaign will largely depend on your ad design and content (its “creative”).