The internet changed every aspect of the way we communicate and market goods and services. As the internet and marketing changes and shifts, so too does how we reach prospective consumers. Feeling a bit like “Performance Marketing” is a new buzzword, and you’ve been left out of the loop? You’re not alone. Let’s dig into what performance marketing is, and why your business should care about it.
What is Performance Marketing?
Performance marketing is an online advertising strategy where advertisers pay only when the desired action occurs. The cost is associated with the performance – whether the ad or post is successful. The particular action could be a click on an ad, a lead submission form, a purchase of a product, and much more.
Professionals in the performance marketing space rely heavily on paid marketing channels, such as:
- Sponsored advertising
- Search engine advertising
- Social media advertising
- Affiliate marketing
- Native advertising
Larger businesses can spend more of their dollars focused on brand awareness, but smaller independent businesses need to be more choosy in their campaigns. With performance marketing, they can get their brand out in front of their audience and utilize data to reach highly qualified prospects.
Performance marketing puts more of the power in your hands as a business owner. You determine the action you’re looking for. This could be more appointments, more calls, more requests for information. After this, you can accomplish it.
Why You Need Performance Marketing
In short, everyone wins with performance marketing! Consumers are connected faster and more efficiently with their needs. A retailer only pays when the desired action is completed – no wasted marketing dollars and higher ROI. Plus, because they aren’t paying when the desired action doesn’t take place, it equals free brand exposure. The ads are seen, and the company is only paying when they get targeted clicks.
Performance is easy to track. Because they are set up with a particular, measurable purpose, the campaign’s success is easy to monitor. As with any marketing campaign, it’s essential to watch ads as they perform and make changes to create better results.
Performance marketing ads are low risk. You know exactly what’s going on with your campaigns at every stage. By only paying for success, you control the cost and the result. And because they are less risky, they can be easier to get approved to be launched faster. Win-win-win!
Your ad is focused on ROI. Performance is the end goal of every ad, and ROI guides that. That means ads are always moving towards better results, boosting sales and leads.
What are you waiting for?
Performance marketing is a modern marketing strategy that can save your business money and time while reaching your goals. But how can you get started, and what are your options?