What is Performance Marketing?

Performance marketing is a strategy where you pay for specific actions or results. In B2B, this might include paying for leads, sales, or other measurable outcomes. It's all about tying marketing spend directly to results.

This approach can be attractive because it reduces risk. You only pay when you get the desired outcome. It also makes it easier to calculate ROI on your marketing efforts. Common types of performance marketing include affiliate marketing and CPA (Cost Per Action) advertising.

Performance marketing requires clear goals and metrics. You need to define what success looks like and how you'll measure it. It also needs good tracking systems to attribute results accurately.

While performance marketing can be cost-effective, it may not always support long-term brand building. It's often used as part of a broader marketing strategy that includes both short-term and long-term tactics.