Performance marketing is a modern digital marketing strategy that focuses on the performance and results of marketing campaigns. Performance marketing is the contemporary, ‘go to’ strategy for a very large number of companies that have a ‘no compromise’ attitude towards selling. PM results in significant reduction in cost per acquisition and increases the ROI. It helps companies to evaluate measures such as brand reach and conversion rates, down to a single ad. PM is elastic because it uses a combination of brand marketing and paid advertising to complete desired set of actions. You only pay when the desired set of actions is completed. With PM, you get to see the outcomes of your campaign before paying for it. It usually results in a smaller fee per conversion. It also allows businesses to pay to third-party promoters when they play a catalyst role in accomplishing sales. The cost-effective approach of PM enables a much greater focus on accomplishing goals, compared to paying flat fees. A more traditional approach of paying upfront for a marketing campaign can result in disappointments and waste of money and resources. PM fuses innovation and advertising to help retailers and affiliates improve their business in dynamic ways. Good PM practices ensure highly targeted approach for each retailer in such a way that everyone can succeed. It offers win-win opportunities for many sellers. PM’s best feature is its objectivity: it is trackable and measurable down to a single click. It gives a great room for advertisers to quantify everything from the acquisition cost to incrementality. PM’s data-driven marketing approach gives advertisers valuable insights to boost their performance and helps them optimize their campaigns to get the best cost.
Simple boosted posts are fairly less complex. The ‘boost’ helps to reach out to a specific number audience. The people who are likely to engage in the content are shown the ad. Boosting just does not have the discreet powers of Performance Marketing. PM also allows you to target your organization’s Key performance indicators such as customer turnover rate or percentage sales. KPIs are part of digital marketing too. Digital marketing companies usually discuss the KPIs before taking on a particular job.
Boosting is a rather outdated and traditional approach to advertising that is based on upfront fees and overlooks the success of the ads. Advertisers using PM only pay for transactions that succeed. PM is used in areas such as Social media marketing, promotion of sponsored content, native ads, SEM, Affiliate marketing, Pre and post launch plans, affiliate network, and general advertising. Thus, it involves players including advertisers, merchants, retailers, publishers, outsourced program managers, agencies, and solution providers. Companies using PM range from small sole-proprietors to Fortune 500 companies. PM involves the usage of social media platforms such as Instagram and Facebook to display content and build/increase brand awareness. Sales, Clicks, and lead generation are good indicators of successful PM. PM marketing has created a new value proposition for advertisement and has the power to gauge real-time measurement of ROIs.
