Businesses are always trying to find the next best thing in advertising and marketing. Traditional marketing tactics include paying for ad space on a website and crossing your fingers hoping that the paid ad will give you a Return On Investment (ROI). Another way of making advertisements count for your business is to implement Performance Marketing Strategies. Through performance marketing businesses can see real-time results with the advertisements they purchase. This article will quickly highlight performance marketing as a whole and how companies can utilize it.
What Is Performance Marketing?
Performance Marketing is a cost-efficient way businesses can place advertisements that will lead them to tangible results from the ad. Unlike traditional marketing, performance marketing is set up so that companies who had an ad only pay for successful transactions with customers. Rather than paying for ad placement on a website, businesses base the amount of money spent on the advertisement from visits to the businesses main site, successful deals closed, potential leads, or sign-ups for their email list. This kind of marketing gives the business a lot of space to experiment with how they formulate their ad experience to their customers.
Pay for What You Get
An immediate benefit to this kind of marketing strategy is that advertisers only pay for what they get for. Performance Marketing eliminates the uncertainty of purchasing an ad space hoping for ROI’s. There are different avenues advertisers can pay for that will attract different kinds of interactions online.
Cost Per Lead (CPL)
Cost Per Action (CPA)
Cost Per Click (CPC)
Although the third option, CPC, is an unusual route for performance marketing, it is a standard that the advertiser and host site can agree to for this marketing strategy.
The idea with performance marketing is a great one, but as with anything else there needs to be a solid follow up after the potential customer clicks on your ad. Having a team of website developers or SEO professionals will help you with the follow up task of creating and maintaining a quality landing page after the potential customer interacts with your ad. The landing page of an ad can make or break the potential of a new customer with your business. Create a good landing page that is easy to navigate, read, and understand and you will see better success with customer retention and brand awareness in the long run.