All else being equal, will a remarketing ad cost more or less on a CPC basis than other ads? Why?

All else being equal, will a remarketing ad cost more or less on a CPC basis than other ads? Why?



Answer: Remarketing is a very profitable advertising technique. The advertiser is able to target visitors with a demonstrated interest in his site, resulting in a higher conversion rate and higher profitability. The ad network makes more money because it can charge advertisers a higher rate to target these visitors. Because the ad network shares ad revenue with web publishers on a percentage basis, the publishers also make more money. Finally, the web users can be considered better off as a result, because the ads they see are more likely to be for websites from which they are interested in buying.

In other words, Remarketing ad cost more because you are willing to pay more for people who are already interested


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