Retargeting
Retargeting is a performance metric in Performance Marketing that helps marketers apply paid acquisition economics and measurable channel performance to a specific planning, execution or measurement decision.
Marketing Refs Editorial, reviewed by Marketing Refs Review DeskPerformance Marketing3 sources
Formula
Retargeting = defined numerator / defined denominator over a consistent reporting period- Numerator
- The primary counted outcome or cost used in Retargeting.
- Denominator
- The population, event count or time period used to normalize Retargeting.
- Reporting window
- The date range used consistently across inputs.
Worked example
If 20,000 visitors view a product page and 3,000 later receive ads based on that behavior, those 3,000 users form the retargeting delivery audience for that segment.
Retargeting often shows strong attributed ROAS because intent already exists. Compare it with incrementality, frequency, view-through conversion and MER before over-crediting the channel.
How it works
Retargeting gives teams a named way to govern spend, creative and conversion quality. In the Marketing Refs graph, it links definitions to adjacent metrics, workflows and operating choices instead of leaving the term as isolated vocabulary.
Key takeaways
- Use Retargeting when the decision depends on paid acquisition economics and measurable channel performance.
- Pair Retargeting with related concepts before changing strategy, budget or execution.
Where it is used
- Forecasting
- Budget allocation
- Performance diagnosis
Used by Marketing teams · Growth teams · Students
Examples
- A growth team reviews Retargeting by cohort so acquisition, conversion and retention decisions use the same reporting window.
- A channel owner compares Retargeting against related metrics before changing budget, creative or funnel priorities.
Common mistakes
- Comparing Retargeting across channels without matching the reporting window.
- Optimizing Retargeting alone without checking downstream quality or customer value.
Questions
- What is Retargeting?
- Retargeting is a performance metric in Performance Marketing that helps marketers apply paid acquisition economics and measurable channel performance to a specific planning, execution or measurement decision.
- How do you calculate Retargeting?
- Calculate Retargeting with a consistent reporting window, clear inputs and enough context from adjacent metrics before making budget or strategy decisions.
- What is a practical example of Retargeting?
- A growth team reviews Retargeting by cohort so acquisition, conversion and retention decisions use the same reporting window.
Sources
- tier 3Google Ads Helpplatform docs · cited 2026-08-08
- tier 3Meta Business Help Centerplatform docs · cited 2026-08-08
- tier 1American Marketing Association definition of marketingofficial body · cited 2026-08-08
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