This week, Pinterest announced that marketers can use their CRM data to target advertising on their platform. According to Frank Fumarola, Pinterest Product Manager (via AdExchanger):
“This is becoming a must-have in the marketplace because of the performance it drives. Marketers have seen the success, and there is a level of comfort sharing data with platforms.”
Pinterest joins Google, eBay, LinkedIn and Marketo, who have all introduced their own CRM retargeting solutions. What this means is that it’s easier than ever for retailers to leverage their customer data in a way that was impossible just a few short years ago. However, while the technology is taking off, not all retailers are familiar yet with the ins and outs of CRM retargeting.
Why is CRM Retargeting Gaining Traction?
So why is CRM Retargeting gaining traction with platforms and marketers? It all starts with the power and limitations of email.
Email is a critical part of brands’ strategies for communicating directly with their customers. In 2015, there was an average 93.1 billion consumer emails sent and received per day, generating an average 3,800 percent return on investment.
With those kinds of numbers, it’s no wonder that 60 percent of marketers are looking to increase their email marketing budgets in 2016.
But as powerful and effective as email is, it has its limitations. Retailers, on average, will see a 22 percent open rate on any email they send. That means that 78 percent of their customers never see the offers they’ve crafted for that campaign. With CRM retargeting, now these retailers can reach more of these customers, more often, in more places, without actually having to send more email.
What Is CRM Retargeting?
CRM retargeting leverages a marketer’s existing email list segments to match known customers across any device or browser whenever they login to paid media channels like Facebook, Twitter, Google search, YouTube and (our favorite) email.
Using CRM retargeting, marketers can:
1. Reach more customers, more often, without sending more email.
2. Target customers across every device with 100 percent certainty, no cookies.
3. Measure the impact of digital marketing efforts on sales, in-store and online.
Why Use CRM Retargeting?
CRM retargeting works the same way as any other email campaign you run, with one major difference: Instead of relying on a customer opening your email to deliver your message, you reach these exact customers wherever they’re paying attention, no matter the platform, device or channel.
Here’s how it works:
1. Prospective Customer Bob gives you his email address (tom@emailaddress.com).
2. You include Bob in a CRM retargeting campaign offering 20 percent off his next purchase.
3. Bob uses that same email address to log into an online platform like Twitter.
4. Bob sees the offer every time he signs into Twitter on his smartphone, tablet and laptop.
Since the campaign is matching Bob’s email address to your message, you can be sure that Bob is going to see it, no matter what channel he’s on or what device he’s using.
How Does CRM Retargeting Actually Work?
These theoreticals can be confusing, so here’s an example of how this works in practice: An online home décor marketplace recently used LiveIntent’s CRM retargeting solution, LiveAudience, to reach their best customers.
The client uploaded multiple email segments of their audience, like customers that have signed up for their newsletter but have yet to make a purchase, to find the best converting strategy. When the campaign went live, the retailer was able to reach those customer segments when they opened newsletters across the LiveIntent platform.
Ultimately, the campaign was able to drive a 450 percent Return on Ad Spend (ROAS) while reaching about 1 million known customers with specifically targeted messaging.
And that is the promise of CRM retargeting: Finding your audience everywhere they are paying attention, using the data any good retailer should have.
For More on LiveIntent, visit our Contact Us page or download our CRM Retargeting Handbook.
