Buyer behaviour has changed. Consumers no longer act in a linear fashion. The traditional approach may not be dead, but it is outdated. Regardless of whether you operate a B2C or B2B business, your sales funnel needs to react and adapt to this change.
In the traditional model, the largest number of leads enters at the wide top of the funnel. As they are pulled through the linear sales process from one stage to the next, more and more leads drop out along the way until only a small portion actually make it to the bottom, narrow part of the funnel to become loyal customers. In the traditional funnel, it is the salesperson who controls or guides the lead through the sales process, educating and qualifying the prospect along the way until the purchasing decision is finally made.
However, customers are now said to be 57% of the way through the process before ever engaging with a sales person, indicating high levels of customer self-education and how much information is being consumed by prospects. These highly-educated consumers now enter the buying process much closer to the bottom of that traditional sales funnel as qualified prospects ready to purchase.
Businesses need to flip the funnel, and that’s where remarketing comes in. Remarketing, also known as retargeting, is a simple concept, and in general terms means, the more often a message is seen or heard by the same prospects, the more likely it is to be successful.
Buy how does remarketing work? From a technical point of view, retargeting tags your site visitor’s browser with a cookie and then serves up display ads to these visitors.
Why is remarketing so effective? With careful planning and deliberate use of the display network, businesses can be more targeted in their approach. Even if consumers don’t click through a website, multiple exposures lead to increased brand recognition. And, because consumers who have already shown some interest in a brand are being targeted, remarketing results in lower cost per impression and higher conversion rates.