Performance marketing offers companies the opportunity to monitor and calculate everything for a single commercial, including brand scope and conversion rate, among other KPIs
By Siddhartha Vanvani
Digital Marketing has been around long enough for brands to adopt it into their business models immediately. However, one thing that almost always goes amiss in strategies is what the industry has termed as “performance marketing”. There are umpteen numbers of case studies on how performance marketing has turned fortunes around for brands and every brand can do the same, provided they do not falter in terms of execution. Performance marketing offers companies the opportunity to monitor and calculate everything for a single commercial, including brand scope and conversion rate, among other KPIs. Performance marketing has seen modern brands improve ROIs and witnessed tangible business results in terms of positioning the brand as a front-runner in their industry.
What makes performance marketing stand out is the fact that it follows a strict business model of delivery for KPIs. Advertisers have full control over their spending and brand image. It also focuses on tracking competitors’ customers and the force that pushes them to do so.
Performance marketing helps businesses with the three Cs that stand for Compassion, Communication, and Conversions. While the current scenario exacerbated by COVID-19 has restricted businesses across the map to operate in a limited fashion, the opportunity for advertisers to go virtual for driving business results and “catching eyeballs” has become 10 times better, thanks to internet consumption surging due to lockdown restrictions.
Here are some practices businesses can adopt to ensure maximum output from performance marketing:
Targeting the right audience is key
Carefully evaluating customers, industry trends, and competition at various levels can help businesses determine the current demand for goods. This will also give an insight if there is a potential new market in which the business can expand cost-effectively. A deep-dive styled marketing audit can help the company acquire awareness about the current developments and what can be done to compete with other competitors. Decide which market segment resonates with your goods and services. Important variables such as age, gender, occupation, income, geographical proximity, etc. will assist you to create a strategy that will be more productive. Knowing potential consumers and understanding your competition, their tactics, and their preferences are important. A thorough SWOT analysis will help you formulate a particular strategy for development.
Frequent monitoring and evaluation
Conversions, attributions, mobile and desktop bounce rates, and so forth, will provide informative data to give you an insight into what channels and campaigns are helping you drive business. It will direct you to take steps to improve the rate of conversion of campaigns.
Social Media Marketing is key; Communication is pivotal
Social Media marketing has been a blessing for brands in the way it has helped brands derive revenue and optimize marketing spends. It helps in reaching out to a much broader customer base, thereby allowing visibility and momentum to be added to the brand/organization. Furthermore, today, social media draws the bulk of the audience and offers a greater knowledge base of the desires, expectations, and tastes of target consumers. Social media marketing success is calculated through interaction, shares, clicks, and conversions.
Here, the key takeaway is that performance marketing is the one thing that can ensure consistent results and help a brand become stable even during uncertain times.
Another major takeaway here is that Performance Marketing does not perform if you do not implement structures to maximize your output. Just doing activities is never a sure-shot way to success.
Finally, these things take time, effort, and patience. Stay with the process, try out new things and constantly have discussions with other industry experts/colleagues who have had some success in this arena.
The author is CEO and founder of DigiDarts