What Is Performance Marketing How it Works

So often, we use digital marketing as a ubiquitous term. In reality, there are many , and the channels and capabilities of each type are growing every day.

One overlookedis performance marketing. With performance marketing, advertisers only pay when specific Tongliao Phone Number actions occur. For example, when a viewer clicks through to their page or makes a purchase.

In this article, we’ll take a deep dive into performance marketing: how it works. Why you should use it, and what channels offer the most bang for your buck.

 

What Is Performance Marketing?

Performance marketing is a digital marketing strategy that’s  It’s ideal for companies that are looking to reach their audience at scale, because payment is based on how users interact with the content.

OR,

Performance marketing refers to a form of  in which brands only pay marketing service providers after their business objectives have been met or when specific actions have been taken, such as a click, sale, or lead. In other words, it is performance-based marketing.

Performance marketing works when advertisers connect with either agencies or publishers to design and place advertisements for their company on any number of performance marketing channels , search engines, videos, embedded web content, and more. Instead of paying for an advertisement in the traditional way, these advertisers pay based on how well their ad performs, by measuring number of clicks, impressions, shares, or sales.

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How Performance Marketing Works

Advertisers put their ads on a given channel (see more on top performance marketing channels below), and then pay based on how that ad performs. There are a few different ways to pay when it comes to performance marketing:

based on the number of times their ad is clicked on. This is a good way to drive traffic to your site.

Impressions are essentially views of your ad. With CPM, you pay for every thousand views (so if 25,000 people view your ad, for example, you’d pay your base rate times 25).

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