What Is Performance Marketing?
More than ever, brands need help to reach their audience. That’s where performance marketing comes in. It can help you deliver your message to the right people at the right time on channels like search engine marketing and social media. But what is performance marketing? How can you use it to grow your business? And how do you determine whether your brand is ready for performance marketing in the first place?
What is performance marketing?
Performance marketing is the art of bringing together data, analytics and technology to drive business growth. It’s a constantly changing field that can help brands grow their market share by reaching new audiences with relevant messaging.
Performance marketing refers to various online marketing tactics that help you generate leads and drive sales through digital channels. It’s also called lead generation or demand generation because these campaigns are designed to generate qualified leads for your business.
Performance marketing is a broad term encompassing many different digital marketing types. These include:
- Affiliate marketing
- Content marketing
- Paid search (including Google AdWords, Bing Ads, social media and other paid channels)
- Social media advertising (Facebook and Twitter ads)
- Display advertising (banner ads)
Email marketing can also be considered part of performance marketing when it’s part of a broader strategy that includes other channels like content syndication or social media advertising.
The goal of any performance marketing campaign is for people who visit your website or app (known as “visitors”) to take action on an offer in exchange for something valuable–like their contact information, attention span or time spent viewing content. This can happen in several ways: by filling out a form; downloading an eBook; watching an educational video; or signing up for email updates about new products/services the company offers.
What Is Performance Marketing?
Performance marketing spans multiple channels so you can engage customers where they spend time online. They use data-driven strategies to optimize their efforts across each channel. By creating unique audience segments for each channel–and then measuring performance against those segments–you’ll know which channels are working best for your business at any given time.
The most successful performance marketers use all their resources, including content creation, social media channels and email newsletters, to deliver personalized messages at scale through targeted audiences.
Performance marketing package lets you pay after performance occurs.
Performance marketing allows you to pay only when the customer performs the desired action, such as clicking on an ad or completing a purchase. This is known as pay-per-click (PPC).
Another popular form of performance marketing is pay-per-action (PPA). This payment structure allows you to pay only after a customer takes a desired action, such as signing up for a newsletter or downloading content from your website.
What Is Performance Marketing?
Performance marketing strategies are fluid.
Performance marketing strategies are fluid, which means that as your needs change, you can pivot to new tactics quickly for maximum results.
The ability to pivot quickly is a key advantage of performance marketing. It’s one of the reasons why so many companies use this approach. Adapting to changing market conditions and consumer preferences allows marketers to respond more effectively than their competitors. That can make all the difference when it comes time for customers or investors to decide which brands they want on their team (or in their wallet). It also helps them stay ahead of new technologies like machine learning and AI that threaten traditional approaches like branding campaigns or direct mail efforts with lower ROI than ever before
Performance marketing strategy
What Is Performance Marketing?
Performance marketing is a strategy that uses data to drive performance. The five key steps in this process are:
- Validate your brand’s readiness for performance, including defining goals and objectives, choosing the right channels and partners, creating a clear strategy and plan, and executing it on time.
- Define your goals and objectives. This is important because it helps you determine the best way to achieve them. For example, if your goal is to increase brand awareness to drive sales, then measuring performance on that metric (e.g., using Google AdWords) would be more effective than measuring engagement with social media posts that have no direct impact on ROI (e.g., likes/shares).
- Create a timeline. This can be as simple as creating a Google Doc and filling out the steps needed to carry out your project (e.g., drafting social media posts, creating videos, etc.) so everyone knows what needs to be done and when. If you have a lot of content to create (e.g., blog posts), then it’s best to assign each piece of content and its corresponding due date to a person. This ensures that nothing falls through the cracks!
- Create a budget. This is important because it helps you determine what resources you can afford to hire (e.g., a writer or graphic designer) and how much money you need to spend upfront (e.g., on website design). Once you have a budget in place, then it’s time to start interviewing people who are qualified for the position(s) that need filling!
- Evaluate partners–including agencies or consultants–to ensure they have the skills to support you through all process stages (e.g., planning). This includes reviewing their past work history with other clients and asking for references who can discuss their work ethics in detail; checking references’ LinkedIn profiles; speaking with current clients so you know what kind of experience they had working together; etc. You also want to ensure that whoever you hire has experience working on projects similar in size/scope/complexity as yours before committing to any contracts with them!
The most important thing to remember when hiring is that you’re not just looking for someone with the skills needed for your project; you’re also looking for someone who can work well with the rest of your team. In other words, only hire a social media manager if they can collaborate with others on creating content!
Alignment
The more alignment between the partner, publisher and consumer, the better the performance outcomes. This means that if you have a product or service that’s well-suited for a specific audience–and if that audience can be reached through an affiliate network–you’re more likely to see positive returns on investment.
Conclusion
The digital landscape is changing rapidly, and so is how we can reach customers. Performance marketing is one of the industry’s fastest-growing segments, and it’s poised to become even more important as consumers continue their migration online. If you want to get ahead of the curve by tapping into new audiences and increasing brand awareness through multiple channels, then this strategy could be right for your business.