What is CRM Retargeting?
Customer segmentation created from CRM data is commonly used to target certain audiences with specific messages offline (through direct marketing). That same knowledge has not been – could not be – used to achieve better targeting online… until recently.
CRM Retargeting is a relatively new, highly effective marketing technique that allows you to reach your customers in online display advertising by using your offline customer database.
CRM Retargetingtransforms offline data into anonymized online segments through a process called data onboarding. These audience segments can then receive highly targeted and therefore more effective display advertising.
This enhances significantly the value of your existing offline customer data. With this data now accessible online, you can reach customers through online display ads – all with the preferred ad network or DSP you already use.
I am already retargeting. What's the difference?
Unlike regular retargeting, CRM Retargeting uses your offline customer (CRM) data to reach your customers online, not just after they visit your website (which is what regular retargeting does). By “onboarding” your offline data you can reach your customer segments with targeted display ads appropriate to their purchase history and interests.
For example, a retailer can find and message catalog recipients online with relevant advertising as they browse the web. It’s a marriage of the precision of e-mail with the rich content messaging and context of display – bridging the worlds of offline and online marketing for more effective and successful customer communications.
Your customer database, of course, if full of people with whom you have a relationship (past or present) – but who don’t necessarily visit your web site… or at least haven’t done so recently. This includes “lost” customers – those who may have purchased from or otherwise engaged with you in the past but who have fallen off your marketing radar. CRM Retargeting is a great way to re-engage these customers and make them valuable to you once again.
How does CRM Retargeting work?
There are various approaches for matching offline data with an online customer. Here’s how LiveRamp, a leading CRM Retargeting vendor, does it:
- A brand (or a brand's agency) provides LiveRamp with an encoded CRM safely through our secure upload portal.
- LiveRamp matches your offline data keyed off an email address to an anonymous online audience via cookies with extensive coverage and high accuracy.
- LiveRamp places the online audience on a brand's existing DSP or DMP (or we can suggest one of our partner platform's) & campaign runs as normal with a larger, more valuable, and more targeted audience.
- Your customers see a relevant and timely message from your brand
- LiveRamp does not buy or sell data. They do not collect any data from a site, our cookies do not contain PII, and do not pass any site audience information to any third party. For more information on privacy regulations in the advertising industry, please visit the IAB or Aboutads.com
It should be emphasized that onboarded data is anonymized – that is, unlike CRM data which is frequently used in its individualized form (specific customers), onboarded data is aggregated based on customer segments (e.g. a possible segment could be customers who have not purchased from the brand in more than six months) who receive a specific message (e.g. special incentive to return to the brand). So the customer’s privacy is protected, while the customer is still able to receive an offer or message likely to be of specific appeal.
What are the benefits of CRM Retargeting?
Deliver a specific message to the right customers right when it counts. CRM Retargeting ads boost click through rates and lower CPMs while giving your customers a more relevant brand experience. Triple the size of your retargeting pool (or more!), achieve better online conversions, and get more value out of your CRM data.
- Don’t just talk to people who have recently visited your website. Expand the scale of your retargeting program by adding your CRM database to your audience pool.
- Maximize your display advertising ROI with multichannel messaging
- Unify and personalize your consumer’s experiences with more relevant content and promotions.
Why is it so effective?
CRM Retargeting generates greater sales by keeping your brand front and center and bringing anyone in your CRM back no matter what advertising channel they came through. Every time your customer sees your retargeting ads, your brand gains more traction and recognition and the consumer, no matter how many times you’ve interacted with them, has that “a-ha” moment where they see your Brand name and are intrigued. The high click-through rates and increased conversions that are typical with retargeting campaigns underscore the value of good branding and repeated exposure.
For example, BustedTees recently conducted a CRM Retargeting campaign with LiveRamp and ReTargeter to re-engage inactive customers that drove a 390% ROI and increased conversions 4X. Read more here.
Who should do it?
Do you have a customer database? Then you’ll want to make CRM Retargeting part of your marketing toolbox. It’s a valuable complement to other techniques and enables you to mount more effective, integrated marketing both online and off.
Any data that allows you to create more targeted – and therefore more valuable – segmentation is a candidate for CRM Retargeting. The most valuable such data is that which, when linked with focused messaging, is most likely to achieve a connection with the audience segment. Onboarded data is anonymized; consequently the objective is not to track down and message individual consumers (which would be intrusive), but rather to develop creative messaging to groups of (anonymized) customers (e.g. lapsed customers, or those with particular product or service requirements – for instance, customers with car leases about to expire might well be interested in incentives for a new lease). The best part about it? It works with your existing DMPs, DSPs or ad server so there is no additional channels to work through; just add a more targeted audience to your existing advertising strategies.
How can I get started?
There are only a handful of companies doing CRM Retargeting today. Talk to your agency, ad network, retargeting partner, DSP, DMP, or contact LiveRamp directly.