What Is Performance Marketing?

Digital Advertising
Performance Marketing

Get Paid Only If You Please!

Not all brands and businesses want to invest in advertisements and campaigns that promise only impressions and clicks but no conversions. Companies would want accurate leads, conversions, and sales. Results Performance marketing is a business model where results are guaranteed as defined by the client, and a performance marketing agency pays if and only if the results are met.

Introduction to Performance-Driven Marketing

Performance-driven marketing involves adopting strategies, techniques, and campaigns to drive sales and conversions. It takes a strategic approach to key performance metrics and focuses on sales and conversions rather than impressions and clicks.

Here, you shift from awareness-building of brands to action metrics like sales. With more and more brands focused on ROI on their ad revenue spending, performance marketing agencies must deliver the results to get paid.

What Is a Performance Campaign?

When a campaign is focused on attaining an action (sales, conversions, leads) instead of driving product awareness (clicks), it is called a performance campaign. And yes, the campaign’s and the user’s effect can be measured for better optimization.

The payment to the performance marketing agency or the performance marketing manager is made only when the campaign can gather sufficient traction as agreed beforehand by the company and the agency.

Let Us Look at Some of the Performance Marketing Channels

A performance marketing company will use different performance marketing platforms and channels to promote a brand, product, or service. The different types of performance marketing are

Sponsored Content:

Sponsored content in the form of advertisements can be put up on various online platforms like search engines, social media, print media, and so on to gain viewer attraction.

There is also content that looks genuine but is sponsored or paid for by the brands, which is included in our next performance marketing channel.

Native Advertising:

Paid ads that match the look and feel of the media format in which they appear are the native ads. They go with the flow of the feed and are non-disruptive.

They can be distinguished by words such as ‘sponsored,’ ‘suggested,’ ‘recommended for you,’ and ‘promoted stories.’ Native advertising has a higher percentage of conversions and leads.

Search Engine Marketing:

Keywords or phrases relevant to the product are studied and selected. The top-ranking keywords are bid-to-place ads at the top of the search engine page results (SERPs).

Gaining top organic ranking is a slow and continuous process that backlinks, blogs, social media engagement, etc., can achieve.

Social Media Marketing:

Another popular platform is through various social media platforms like Facebook, Twitter, Instagram, and YouTube.

Campaigns, ads, contests, and influencer marketing are all included on social media to gain traffic and product engagement through likes, comments, and clicks. The campaigns may be free, paid, or sponsored.

Affiliate Marketing:

This is the most popular of the performance marketing channels. This is a revenue-sharing model wherein the businesses pay a commission to the affiliate when completion of the sale or some pre-defined action happens due to the affiliate’s referral and promotion.

Influencers are also affiliate marketers, which is one way to guarantee some traction in product or service sales.

Tasks Undertaken by a Performance Marketing Manager

The performance manager has to ensure that the advertising campaign reaches the target audience and generates leads and conversions.

He has to design creative campaigns through various platforms, influencers, and affiliates to get the target audience to the website’s homepage or landing page.

He has to design a helpful landing page that will help him convert the traffic into sure-shot sales. A current landing page has to have the following features.

  • Use clean and minimal sharp images and text
  • Minimal navigation steps for checkout
  • To register or sign up, the form requires asking for relevant information. This process should be short and quick.
  • Make the CTA (Call-To-Action) pronounced and noticeable but not distracting.
  • Headings and subheadings must be clear and concise to promote the product as valuable.

Your product on the landing page has to add value to the customer’s need to persuade them to purchase.

A performance marketing manager must correctly use the data to see how the campaigns perform. He has to analyze the data for traffic sources, click-through rate, mobile visitors, bounce rate, etc. He will apply the result to existing campaigns or create new ones that will individually approach the targeted audience with the right message.

He has to use useful performance marketing tools to measure the success of his campaigns. Some of the popular performance marketing tools are

Google Analytics:

This gives you a comprehensive report on many parameters like where your users are coming from, rank in search engines, keyword analysis, bounce rate, etc.


You can automate your campaigns and monitor and track the results. Its SEO tools help you discover traffic and do specific keyword research.


This is for managing multiple social media channels and tracking their results like engagement, clicks, and performance of your content in it.


This is the best tool to analyze Google’s organic and paid search results. It also performs a competitor analysis to see the keywords they have ranked.


This allows you to monitor the mentions of your brand and keyword importance. With this tool, you can discover accessible content that you can share.

Know about Performance Marketing in Holistic Marketing

Performance marketing works best for businesses that already have established brand names. If they are concerned with the sale of their products, they can go in for performance marketing campaigns to get better ROI.

For startups and other companies that are trying to establish a brand in the market, digital marketing suits them because they must first create brand awareness.


The benefit of performance marketing is that the brand and its promoters share the risk. Hence, the developers try hard to drive customers to buy the product or service. Moreover, with performance marketing, brands can reach a broader target audience by sharing the onus with the promoters. Performance marketing 2019 is about promoting your product this year by sharing the commercial risk (s) while reaping the reward (s).

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