Today, the online marketing landscape has changed a lot. Why? Because digital marketing is a broad category that brings different kinds of marketing with it. For example, mobile marketing, SMS marketing, social media marketing, online advertisement, PPC (pay per click) marketing, and performance marketing. There are many more categories that come under digital marketing. But today, our focus would be on performance-based marketing and some ways through which you can get started with it.
Before I talk about ways, let me first give you a simple definition of performance-based marketing here. So what is performance marketing? As the term suggests, marketing based on performance. It is a combination of paid advertising and brand marketing together. Here advertisers only pay when a specific action is completed, rather than for impressions or clicks. The power is in the hands of the advertiser.
Now the main question comes here – how do you get started with performance marketing? Curious to know? Let’s have a look below.
Effective ways through which you can get started with performance marketing
– Build an effective plan
The first tactic you need to follow here is to build an effective plan before you step in performance-based marketing. Let me be very specific to you that before starting any marketing business, developing a plan is very essential for your business. And for building a successful performance marketing campaign, you need to start with asking hard questions about your company and what you desire to achieve. Below I am going to provide you a list of some questions that you can ask yourself –
- What do you (as a company) want to achieve with marketing?
- Who is your target audience?
- How much ROI do you want to generate or desire?
- Who you have hired to design your ads?
- As a company, how much commitment you are willing to make?
- What are your strengths and where do they lie?
- What will you bring to the market that your competitors have not?
Asking these questions to yourself and getting answers to it will allow you to build a solid roadmap with measurable milestones. You must know your own value and put it in your business.
– Design your marketing strategies
On marketing strategies you come, when you’re done with building an effective marketing plan for your business. Now it’s time to know how you want things to be done and in what manner. And this you achieve by knowing who you’re targeting. It includes various points such as –
#Finding targeted audience
Tell me is your audience a general consumer audience or you wish to target a specific segment of the population? Knowing which age group audience you’re targeting is very crucial for you because without it you can’t sell products in the market. All your efforts will go in vain. Moreover, you need to know the needs of your consumers.
After finalizing audience, you need to determine which channel you want to use for your advertisement that can reach out to your target audience. This might be the same for all the time; you need to keep evaluating the possible combination of channels.
– Some specific traffic channels
Social media, websites, paid searches, display ads, mobile advertising, email, organic user searches, etc, while selecting a particular advertising channel, make sure the cost of the channel is not too high and you can get enough ROI from it. A comprehensive data helps you analyze whether you’re getting a good ROI on your performance marketing or not.
– Tracking and Analyzing Data
So if you are done with planning, strategy, and targeting audience, now it’s time to track and analyze data. How do you do so? You need to make sure that you invest in the type of analytical tools that provide you with the raw data. It will help you prove the ROI on your efforts. Here are some points that will help you review your performance based on the data.
- Find out actual sales resulting from responding to your ads
- How often your ads get clicked
- Check any negative and positive feedback about your company
- The conversation generated online by your efforts
- How many people are aware of the new products you have in the market
- Analyze the actions people take before making an actual purchase.
All the above points will help you track and analyze your marketing data and its performance. Moreover, you can also create sales and marketing funnels displaying the outcomes you expect to find in your data.
Let’s move on to know what you should avoid in performance-based marketing.
Some pitfalls you need to avoid for Performance Marketing.
Below points are very important for you to have a look at because these will help you save money in marketing. So have a look at them below.
- Firstly, you need to thoroughly test the performance of your marketing campaign before you finalize it to launch in the market. If you fail to do so, your business might get affected by it a lot.
- If you’re a newcomer or un-professional then you can always think of hiring an experienced person who can manage your digital marketing campaign. As an individual you can’t handle your business alone, you need someone who can guide you in performance marketing.
- Now it comes to ROI. In case, you are not getting enough ROI (Return on Investment) from any particular channel then don’t spend money on it recklessly.
The bottom line
Performance marketing is a wonderful opportunity for publishers, affiliate marketers, advertisers, and digital marketers because they get paid commissions on desired ‘actions’ such as sale, lead, or click. No doubt, every marketer is becoming more aware of verifiable consumer actions as part of their digital marketing. It is because, without consumer actions, marketers will not be able to generate ROI. This is the reason you should follow the above-mentioned ways to get started with performance marketing. I have also highlighted some of the pitfalls that you need to avoid in it.
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