1,247 'remarketing' clicks. 14 from actual past visitors. (The Optimized Targeting trap)

Quick Take

I audited a client’s Google Display campaign last week. It was labeled “retargeting.” Out of 1,247 total clicks, only 14 came from real past website visitors. The other 1,233 went to cold traffic the algorithm decided “looked similar.” The cause was a single checkbox: Optimized Targeting, left on by default. Turn it off, build a custom audience, run creative that assumes the buyer already knows the brand. Then your remarketing budget actually retargets.

The receipt

1,247 clicks. 14 from real past visitors. The other 1,233 went to “expansion and optimized targeting”, Google’s polite phrase for ignoring the remarketing list and showing the ad to whoever the algorithm thought might convert.

The issue was a single checkbox: Optimized Targeting, left on by default.

What Is Optimized Targeting in Google Ads?

Optimized targeting allows Google to go beyond your selected audience and show your ads to users the algorithm thinks are likely to convert.

That sounds helpful until you’re running a Display remarketing campaign, where the entire point is to only reach people who’ve already interacted with your brand.

When optimized targeting is enabled, Google ignores your remarketing lists and begins expanding your audience to people who may have similar behaviors, not actual past visitors.

How to Know If This Is Affecting You

Here’s how to check if optimized targeting is sabotaging your retargeting campaign:

1. Go to your Google Ads campaign
2. Click into your Display ad group
3. Review the Audience segments tab
4. If you see a high number of impressions and clicks under “Expansion and optimized targeting,” you’ve got a problem

In the example I audited, the campaign looked like this:

• 1,247 clicks total
• Only 14 clicks came from real remarketing audiences
• The rest were misallocated to cold, random users

How to Set Up a Remarketing Campaign Correctly

If you’re just getting started with remarketing or suspect yours isn’t working, here’s a simple checklist to set things up the right way:

1. Build a Custom Audience

• Use Google Ads or GA4 to create an audience of site visitors
• Segment based on pages visited, time on site, or conversion intent

2. Create a Display Campaign

• Choose “Display” as your campaign type
• Select “Sales” or “Leads” as your objective

3. Turn OFF Optimized Targeting

• In your ad group settings, scroll down to the Optimized Targeting box
• Uncheck the box that says “Use optimized targeting”
• This ensures your campaign sticks to your defined audience

4. Use Exclusions Wisely

• Exclude converters or users already in your sales pipeline
• Exclude cold audiences from warm ad groups

5. Tailor Your Creative

• Retargeting ads should address familiarity and trust, not introduce your brand from scratch
• Think “reminder,” not “introduction”

Common Google Ads Remarketing Errors to Avoid

• Leaving optimized targeting on by default
• Forgetting to exclude other campaigns’ audiences
• Using generic ad creative for warm audiences
• Not segmenting based on user behavior
• Running remarketing without conversion tracking in place

Final Thoughts

Just because a campaign is labeled “remarketing” does not mean that is what it is doing. Before you launch the next one, open the audience settings, turn off Optimized Targeting, and verify the audience the algorithm is actually serving against. The number that matters is the share of clicks coming from real past visitors. If it is not above 90%, the campaign is not remarketing.

Keep going

If this hit, the next two pieces in the same universe:

• Why Performance Max Gets Credit for Shopping Conversions. The attribution trap where PMax steals credit from the campaigns that warmed the buyer.
• Why Max Clicks = 0 Conversions. The bidding strategy that lets bots eat your budget while looking healthy on the dashboard.

Free PDF: The 25-page Google Ads Setup Audit. No email gate.