Dynamic remarketing vs. recommendation system

Dynamic remarketing for ecommerce

Dynamic remarketing was available for shopping campaigns at AdWords, so only ecommerce sites could use dynamic remarketing feature. I have managed many ecommerce website’s AdWords account where I used dynamic remarketing and usually I reached higher ROI than account average. Since dynamic remarketing shows exact item details in ads, AdWords needs to use a standard feed with item parameters. For an ecommerce website that is not a big deal to create a product feed what you can upload to Google Merchant Center which serves your dynamic remarketing campaign at AdWords with product feed.

dynamic remarketing

Dynamic remarketing for classified websites

That looks great and solution is not too complex, but what happens if I am managing a travel agency PPC campaign and I would like to use dynamic remarketing? I can not upload my offer feed to Google Merchant Center, however my offer feed contains some similar parameters like price. As another example what could be the solution if I have a real estate agency, I have a listing feed about real properties, but I can not run a dynamic remarketing campaign. Until September we had to accept this situation that we can run dynamic remarketing only for ecommerce sites, but we had another option, we had to use a recommendation system.

What is recommendation system?

In my previous blogpost I explained what is a recommendation system and why that is useful. As I described if non-ecommerce website wanted to show exact item details in their ads instead of general ads they need to use a recommendation system. For example I have a car listing website. Visitor A visited a details page of BMW 530d and visitor B visited details page of BMW 328i. In a remarketing campaign I could create a BMW banner ad and show it to both visitor, but it would be better to show BMW 530d cars to visitor A and BMW 328i cars to visitor B in my ads.

Dynamic remarketing for other industries

Google rolled out dynamic remarketing in this September for many other industries, so they provide marketers with similar solution like many other recommendation system vendors have developed. Furthermore if you want to use a recommendation system vendor service you have to pay for that. On the other hand dynamic remarketing is a free service at AdWords.

Dynamic remarketing vs. recommendation system

So if I am using a recommendation system vendor service do I need to change to dynamic remarketing, because that provides me with a similar service for free? We can not say that now?

  • We don’t have any A/B test result where we ran a recommendation system vs. dynamic remarketing, so we don’t have any data about ROI.

  • You have more flexibility to create ad layout if you work with a recommendation system vendor

  • If you don’t spend all of your digital marketing budget on AdWords you need to keep in mind dynamic remarketing is only available on AdWords. You need to serve personalized ads at other ad networks.

In the next few weeks I will work on to setup an A/B test for dynamic remarketing and recommendation system and I am going to share results with you.

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