What is Google dynamic remarketing and how you should use it

Igor Lazarević

Digital Advertising Manager

Learn how dynamic remarketing can increase your online sales and how to set up your first campaign.

In average, as you may know, most people will leave your online shop without converting. As you may also know, remarketing gives you the opportunity to convert those past visitors after everything else fails. Your best chance to make a conversion and acquire a new customer, is to have the right product in the right format for the user.

Dynamic remarketing, as probably the most effective solution for this matter, will most certainly provide your users the right ads with the right products at the right time. Previous experience with using dynamic remarketing shows a severe increase in conversion rates, followed by much lower CPA than traditional remarketing approach. Why is that so? Because the user had already shown interest for the product, and he’s more likely to make a purchase, and you’ll get your clicks sooner, with average CTR up to 5 times bigger than usual.

With this approach, we can retarget any type and segmentation of visitors from our webshop, all users, general visitors, product viewers, shopping cart abandoners, past convertors (buyers) etc., with relevant ads and products they were really interested in, or related ones, which can and does make the final conversion faster and Conversion Rates much higher.

I should mention that this type of remarketing is available to retailers of all sizes, so if you have just a few products at your webshop, don’t worry! You can make Google Dynamic Ads work for you, too. Even though the implementation can take some time, investing in it is proven to be the right step to take. One of the main technical benefits of using these ads is that you don’t need designers – everything is automated, the banners are made from your existing product pictures from the website (but they must be in the right dimensions), and with the necessary descriptions from your feed, it all gets packed into nice ad templates.

So, how does it work? The user goes to your website and views your product. Immediately after that, Google remarketing tag records this information by custom parameters about the viewed product, connects it to specific user, automatically adding that user to your remarketing lists. Based on this information, ads are shown to this user on the Google Display Network with the products he is interested in.


There are a few steps that needs to be done before you start your first dynamic campaign. We’re going to walk you through them and let you know what you can expect.

First thing you need to do is to create your dynamic feed with the specific information about your products or service. This feed contains all of the information about your products, like name, price, product description, unique product ID, product category etc. This data feed supplies the AdWords system with the correct information to populate into any given ad. We strongly suggest that you maintain an updated list of your products or services with all product details.


The next step is tagging your website. This tag must be placed across all pages on your website. Dynamic remarketing tag must contain custom parameters which are used to identify specific product that a user has viewed on the website. Depending on your business type, you may use several types of dynamic custom parameters (education, retail, travel, custom etc.), so select the one most appropriate for your needs.

When everything above is set, you can start setting up your campaign. First thing you need to do is to make sure that the campaign has been set to use dynamic ads, getting all the information it needs from your feed. Check the box and select the matching feed type from the drop-down menu.


After setting up the rest of the campaign, finally, you can create your dynamic ads (text or image ads) by using one of the templates from the Google Adwords Ad Gallery. Your Dynamic Remarketing should now start delivering through the Google Display Network and help increase your online sales.


Igor Lazarević

Digital Advertising Manager

Loves the conversion rates. Passionate about optimisation. Enjoys in music production and traveling.

All stories by Igor


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