What’s in Store for Performance Marketing in 2013?
posted by Dan Cohen - Regional Director, North West • 11 Jan 2013
The world of marketing is spinning faster than ever. Developments in technology and improved access to customer data are providing marketers with exciting new opportunities, but also new challenges in terms of identifying and meeting the needs of an increasingly empowered, demanding and multi-channel customer base.
Performance marketing has a powerful role to play in addressing these challenges. Rewards-based, third party online marketing enables brands to reach out to wider and more targeted audiences, track the consumer journey and gather valuable data on buying behaviour and campaign success, as well as boost brand awareness and drive revenue, all at minimal cost. So what are the key trends we all need to factor into our plans? Here is my final selection:
1. Performance marketing will provide vital metrics – With marketing budgets increasingly constrained, advertisers need a clear insight into where their money is being spent and which approach or channel is proving most successful. Performance marketing is based on metrics such as the ‘cost per action,’ ‘cost per lead’ or ‘cost per download’, providing marketers with a clear picture of programme’s success.
2. Technology will be foundation for success –Technology will play an increasingly important role, tracking where sales are coming from and rewarding partners, such as affiliates or consumers, accordingly. Technology can also be implemented to provide real-time data and insight regarding consumer behaviour and deliver valuable feedback on sales and campaign success.
3. Data, data, data – Technology, social media, tracked affiliate and performance marketing and online and mobile commerce are all delivering vast volumes of real-time structured and unstructured data. Marketing professionals must find ways of capturing this data and turning it into valuable customer insight. This insight should underpin performance marketing campaigns into 2013 and beyond.
Overall, the use of performance marketing as an essential component of the overall marketing mix is growing. The latest research from the Internet Advertising Bureau (IAB) revealed that 61 per cent of advertisers plan to increase their investment in affiliate marketing in 2013, giving a huge vote of confidence in this most rewarding of marketing disciplines.
I hope you’ve found these three posts on Trends in Performance Marketing for 2013 interesting – don’t forget to comment below if you have any additional thoughts and here’s to a successful 2013 for us all!
Regional Director, Tradedoubler.