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Retargeting Ads Explained: A Guide for Small Businesses

Retargeting shows ads to people who've already visited your site. Here's how it works, when it pays off, what to avoid and how to set it up sensibly.

Coffee & Candle3 min read
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Retargeting Ads Explained: A Guide for Small Businesses

Most people who visit your website don't enquire or buy the first time. Retargeting is how you stay in front of them afterwards. You show ads to people who've already shown interest, so you're reminding warm visitors instead of introducing yourself to strangers.

In this article

How it works

  1. A visitor lands on your site.
  2. A small piece of tracking code, such as the Meta pixel or the Google tag, records that they visited, if they've given consent.
  3. They're added to an audience.
  4. Later, they see your ads on social media, search or other sites.

You can create different audiences: everyone who visited, people who viewed a specific service, people who started a form but didn't send it, or people who added to basket but didn't buy.

Why it works

Retargeted people already know you. They've shown real interest, so they're usually more likely to act than a cold audience. It's often cheaper per enquiry than reaching new people, which is why it's a favourite of performance marketers.

It works best where there's a gap between interest and decision: considered purchases, higher-value services and anything where people compare options.

The main types

  • Site visitors. Everyone who came to the site in the last 30 to 90 days.
  • Page-specific. People who viewed a particular service or product.
  • Abandoned basket or form. People who got close and stopped.
  • Customer lists. Existing customers, for upsells, repeat orders or to exclude from acquisition ads.
  • Engagement. People who watched your video or interacted on social media.

What to say in the ads

Don't just repeat "buy now". Retargeting is a chance to answer the doubt that stopped them:

  • A case study or review to build trust
  • An answer to a common question, such as price, timing or process
  • A reminder with a clear next step, like booking a call
  • A small incentive, if it suits your business and margins

Change the message as time passes. Someone who visited yesterday needs a different nudge from someone who visited a month ago.

How to set it up sensibly

  1. Get consent right. In the UK, tracking cookies need valid consent. Make sure your cookie banner works properly and only fires tags after consent.
  2. Install the tags. Add the platform's pixel or tag, ideally through a tag manager, and check it's recording.
  3. Build audiences. Start with two or three simple ones.
  4. Set a frequency cap. Don't show the same ad to the same person ten times a day.
  5. Set the time window. 30 days is a good start for most businesses.
  6. Exclude people who've already converted, so you don't chase customers.
  7. Track results. Look at cost per enquiry from retargeting separately from your other campaigns.

Mistakes to avoid

  • Chasing people too hard. Over-frequent ads annoy people and damage your brand.
  • Ignoring privacy. Respect consent choices and be clear in your privacy policy.
  • Treating it as the whole strategy. Retargeting only works if people are visiting in the first place. You still need to bring in new traffic.
  • Counting the same sale twice. Retargeting often gets credit for people who would have returned anyway, so judge it with care.
  • Sending them to a weak page. The page still needs to convert. See why your website isn't converting.

When it isn't worth it

If your site gets very little traffic, the audience will be too small for the platforms to work with. In that case, put your effort into bringing in more visitors first.

Frequently asked questions

Is retargeting legal in the UK?

Yes, if you have valid consent for the tracking involved and explain it in your privacy policy. This isn't legal advice, so check your own set-up.

How big does my audience need to be?

Platforms generally want a few hundred people at least, and ideally more. Larger is easier.

Can you set it up?

Yes. See our performance marketing service, or get in touch.

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