What is Performance Marketing and How To Get Started


Performance marketing has made a significant impact in the world of advertising. No longer do you have to pay upfront for a product that you hope will work. With the right tools and strategy, you can get the results you want and only pay when consumers respond to your call-to-action.

To be a successful performance marketer, you can make the most of your marketing campaign by knowing who your target audience is, which channels to use, and producing high-quality, relevant content that will increase performance and conversion rate.

In this guide, we’ll offer a quick rundown on how performance marketing works, examples of paid marketing channels, and how to apply this method to your advertising campaign. Here’s what you need to know about this online advertising strategy and how to get started today.

What is Performance Marketing?

Performance marketing is a term for online marketing and advertising campaigns in which the advertiser only pays for ads when a specific action occurs. This method is ideal if you know what you’re selling, who you’re selling to, and want to guarantee your ad visibility.

Flexibility and adaptability are critical factors in this type of advertisement. As you progress with your strategy and content, you can monitor and adjust according to advertising performance.

Types of Performance Marketing Models

Once you’ve created content and are ready to launch your ads, consider what actions are expected of your target audience. You can set goals and pay per:

  • Cost Per Impression – It determines how much an advertiser pays when their ad is shown. It’s common to pay a fixed rate for every one thousand impressions.
  • Cost Per Clicks (CPC) – The advertiser pays per click leading to the desired landing page.
  • Cost Per Acquisition (CPA) – This metric performance charges per completed purchase.
  • Cost Per Lead – (ex: registration, signup, newsletter, etc.)

Performance Marketing Channels

Where will you launch your advertising strategy? Here are some of the most common areas used to generate traffic, increase exposure, and produce a positive ROI from your ads.

  • Native Advertising – It opens opportunities through relevant content that looks and sounds natural to the platform.
  • Sponsored Content – Similar to native advertising, except its content is media placement.
  • Social Media – Platforms like Facebook, Instagram, or YouTube can be used for lead generation or increase click through rate (CTR) through organic reach or ad formats.
  • Search Engine Marketing (SEM) – This method increases visibility and clicks on search engines. It requires you to bid on keywords and determine how much you’re willing to spend per click.
  • Affiliate Marketing – The advertiser receives traffic and sales through publishers.

How To Create A Performance Marketing Campaign

Now that you have an idea of what this type of marketing entails, it’s time to create your Performance Marketing Campaign. Here we’ve outlined what steps you would need to take to make it happen.

Set A Goal

We briefly mentioned targeting an audience, but you have to narrow down your goal as much as possible. Familiarize yourself with the different performance objectives and your budget to set a plan for your campaign.

Choose Your Channel and Target Audience

Find out who you are advertising to and what platform is the most relevant to your advertisement and target audience. Each channel provides its marketing tools and demographic. This step will also help you decide what ad format and content are best suited for your audience.

Monitor And Optimize Your Campaign

Once you launch your campaign, you can track your ad’s performance, keep what works, and change what doesn’t. Use analytics to measure its success and find out what you could do differently.


With performance marketing, your mind is at ease because you only pay when you achieve your goals. It also makes monitoring and measuring your results effortless. Then, you can manage and adjust your campaign accordingly.