Performance Media may be one of the easiest, and most cost effective, online marketing opportunities in today's market.
What is Performance Media (also known as Affiliate Marketing)?
This is generically defined as an agreement between two sites in which one site (the affiliate) agrees to feature content or an ad designed to drive traffic to another site. In return, the affiliate receives a percentage of sales or some other form of compensation generated by that traffic.
What are the benefits?
You only pay for results. You don't pay for page views or click-throughs: you pay for results. You decide what is most valuable to you - a sale, an e-mail lead, a download, a newsletter subscriber, or any other measurable activity.
It exposes you to a bigger market to sell your product.
It gives you the potential benefit of getting advertising space on sites and only paying for commissions, not for the actual advertising space.
You will most likely benefit from lower cost per acquisition than traditional online marketing.
5 things that you need to consider for a successful Performance Media Program
Direct traffic to the most persuasive and relevant section on your website - The last thing you want is to generate traffic to your site and see it dropping off straight away, because people can't find what they are looking for. This is particularly important as your affiliates are incentive by commissions and if your site doesn't convert they will stop promoting your program.
When you are advertising for a certain offer in your ad, make sure that potential customers are directed to the exact section of your page that promotes that product or offer.
A lot of businesses redirect potential customers to the landing page and lose valuable leads, as people don't have time to look through the site to find the particular product/offer that you advertised for. Keep the message simple and deliver on what you promise in your ad, i.e. Avoid hidden costs or charges.
Building a regular and robust feedback loop with your performance media partners is crucial to a successful performance campaign. See it as a long-term relationship that you need to work on constantly, which will lead to a win-win situation. It is essential to develop a community of reliable affiliate media, who are committed to your program and its success.
Ensure your website or landing page converts, otherwise you are wasting your time - The best performing online businesses have a simple and clear website. Ensure your site is easy to complete the desired conversion action e.g. fill in a contact form and that potential customers can find what they are looking for within 2 clicks away. Ask yourself the questions:
Who am I trying to persuade to take the desired action?
What is the action I want them to take?
How do you make the person feel confident taking that action?
Rotate your creative to keep it fresh and converting - There are many different types of online advertising creative such as: banner ads, pixel advertising, pop ups, emails, text links and the more options you provide your affiliates the easier it is for them to promote you. You have to decide which is the best for your product and/or service.
If you're not experienced, one of the easiest ways is to find out what methods the bigger sellers in your market are using. Always make sure you have few different ad-formats available, as this will generate more exposure and will give you a better understanding of what works, it also helps you understand which creative converts the best and therefore what your customers prefer.
Credibility of your brand and offer – The internet is full of enterprises that are less than reputable, so it is important that traffic generated to your website or landing page is made to feel they are in a trusted and credible environment. Using testimonials from previous customers or accreditation can be a couple of ways to encourage more conversions.
As with all aspects of the marketing communications, there is a regime of testing and learning that should be part of the campaign. Testing different offers and creative as well as different forms of response can lead to better conversions rates and better customer acquisition.