Know-How Guide #2: Performance Display Sector

Know-How Guide
Get yourself the Tradedoubler Performance Boost! With the first issue covering Premium Content, we now take a look at the Performance Display Sector.

Performance Display

Well-known affiliate marketing models such as price comparison or cashback and loyalty sites appeal to customers in the second half of the sales process in order to induce them to buy a specific brand or to visit a specific shop.

Those partner models are established, very effective, and can be applied to almost any product group. Publishers in the performance display sector combine the advantages of two opposing business models of the funnel as they work on the top and bottom of the sales funnel. As the name suggests, an advertising campaign is run on display advertising spaces on high-reach websites. These advertising spaces can generally only be booked on a CPM basis or on a fixed budget. The Performance Display Publisher books matching advertising spaces at his own responsibility and therefore pays in advance. Using intelligent algorithms that differ for each of these publishers, the advertising space is then optimally allocated with suitable advertising campaigns.

This intelligence allows a performance display publisher to be paid on a risk-free CPO basis. In order to compensate for the publisher’s advance payment, a soft cookie is already set when the ad is seen by the user.  This increases the chance that the publisher will be paid. Due to the subordination, however, this is only the case if the customer is not directed to the advertiser’s shop by another publisher.

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Since the optimization algorithm of each partner acts differently, it is worth testing several partners in this area. Depending on the shop size, a maximum of up to three publishers is recommended. Each publisher fills in “gaps” of the other publisher.

Interested in finding out more? Take a look at our previous Know-How Guide about Premium Content.