How is retargeting related to purchase incidence, channel choice, and purchase quantity?

Tanya Mark (), Tirtha Dhar, Peter C. Verhoef and Katherine N. Lemon
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Tanya Mark: University of Guelph
Tirtha Dhar: University of Guelph
Peter C. Verhoef: University of Groningen
Katherine N. Lemon: Boston College

Marketing Letters, 2024, vol. 35, issue 2, No 9, 275-288

Abstract: Abstract We investigate the relationship between retargeting and other marketing activities on buying behaviors in a multichannel environment. By modeling three stages of the buying decision process, we find that retargeting influences customers to make a purchase; it drives purchases through the web and telephone channels more than the store but does not impact how much they spend. A key finding of our research is that when retargeting is used without other tactics, customers are more likely to buy from the web channel; however, when retargeting is combined with email, the effect on the web channel is reversed. A possible explanation for our finding is that retargeting ads are perceived in a similar way as obtrusive ads, and when combined with an email that links to a firm’s website content, retargeting negatively impacts buying behaviors.

Keywords: Retargeting; Multichannel; Synergy; Marketing activities (search for similar items in EconPapers)
Date: 2024
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DOI: 10.1007/s11002-023-09693-4

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