filling the sales funnel with performance marketing

25
the Sales Funnel with Performance Marketing L L

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Performance Marketing is a relatively new term with a rapidly expanding definition. Learn what this new term actually includes as well as 5 reasons why you should try it.

TRANSCRIPT

Page 1: Filling the Sales Funnel with Performance Marketing

the SalesFunnel

with

Performance Marketing

LL

Page 2: Filling the Sales Funnel with Performance Marketing

Bio

Mike McAnally-@mmcanally

- Partner & Co-Founder

- 17 Years Interactive Marketing Experience

- Affiliate Marketer since 1997

Page 3: Filling the Sales Funnel with Performance Marketing

Agenda

What is Digital Performance Marketing

Advertising and Actions

Traditional vs. the Next Generation

Benefits and Risks

5 Key Takeaways

Page 4: Filling the Sales Funnel with Performance Marketing

Digital Performance Marketing

Use advertisingto drive a specific “action "and only pay when that action is completed.

Page 5: Filling the Sales Funnel with Performance Marketing

Digital Performance Marketing

Performance Marketing Requirements- The ad campaign drives consumer action, as

opposed to just raising awareness

- The consumer action can be clearly measured

- Ads can be optimized in near real-time based on the measurement

- Payment is made based on consumer action

Page 6: Filling the Sales Funnel with Performance Marketing

Digital Performance Marketing

Actions - Top of funnel actions

produce engagement and branding

- End of funnel actions result in sales and leads but cost more to produce

Page 7: Filling the Sales Funnel with Performance Marketing

Digital Performance Marketing

Advertising- CPM (Cost-per-Thousand)

- CPC (Cost-per-Click)

- Cost per Lead (CPL)

- CPA (Cost-per-Action or Cost-per-Acquisition)

Page 8: Filling the Sales Funnel with Performance Marketing

Digital Performance Marketing

Two classificationsof Performance Marketing - Performance

Optimization

- Pay-for-Performance

Page 9: Filling the Sales Funnel with Performance Marketing

Pay-for Performance

Pay-for-Performance drives customers to your site where you pay on action

Page 10: Filling the Sales Funnel with Performance Marketing

Pay-for-Performance

A “Virtual Sales Force” uses your digital assets to produces sales and/or leads- Affiliate Marketing

- Cost Per Acquisition

- Multi-level Marketing

Page 11: Filling the Sales Funnel with Performance Marketing

Pay-for-Performance

Affiliate Marketing-Ads run on pre-approved

Affiliate Web sites

- Customer clicks on your addelivered by the network

- Customer lands on your site

- Pay a percentage of sale upon action

Page 12: Filling the Sales Funnel with Performance Marketing

Pay-for-Performance

CPA (Cost-per-Acquisition)- Ads run on CPA ad networks

- The networks pick the sites and affiliates that match your product

- Action tracked on your site

- Pay fixed cost only on defined acquisition

Page 13: Filling the Sales Funnel with Performance Marketing

Pay-for-Performance

Multi-level Marketing- Sales force is

compensated for sales they make and for referred sales

- Use of sub-domain Sites

- Heavy use of Social “word of mouth”

- Good to be at the top

Page 14: Filling the Sales Funnel with Performance Marketing

Pay-for Performance Benefits

Benefits- Low Risk (Performance Based)

- Pay only on sale or lead

- Cash flow friendly

- Visibility and branding

- Virtual sales force

Page 15: Filling the Sales Funnel with Performance Marketing

Pay-for Performance Risks

Risks- Branding issues

- Traffic hijacking

- Sales attribution

- KPIs don’t match

- Virtual Sales force

Page 16: Filling the Sales Funnel with Performance Marketing

Performance Optimization

Performance Optimization utilizes your advertising assets to drive visits to your site

Page 17: Filling the Sales Funnel with Performance Marketing

Performance Optimization

Algorithmic Software intelligence to drive optimization in real-time - Bid Management

- Re-targeting / Remarketing

- Real-time bidding

Page 18: Filling the Sales Funnel with Performance Marketing

Performance Optimization

Bid Management- Predictive Bidding driven

by algorithms

- Forecasting & Recommendations

- Utilized on Search & some Social Networks

- Drives Keyword Clicks to your site

Page 19: Filling the Sales Funnel with Performance Marketing

Performance Optimization

Retargeting / Remarketing-CPC Based ad delivery

-Cookie based technology that delivers ads to people who have visited your site

-Retargeting serves ads based on frequency, interests and search history

-Drives awareness via impressions

- Fills the funnel with clicks

Page 20: Filling the Sales Funnel with Performance Marketing

Performance Optimization

Real-time Bidding (RTB)-Computerized /

Algorithm driven buying

-Bid requests driven by personalization

-Utilized by Demand-side platforms (DSP)

Page 21: Filling the Sales Funnel with Performance Marketing

Performance Marketing Benefits

Benefits- Visibility and branding

- Impressions

- High quality clicks

- Reach new potential customers

- Identify target markets

Page 22: Filling the Sales Funnel with Performance Marketing

Performance Marketing Risks

Risks-Cash flow prohibitive

- Rogue Networks

- Fraud

- Privacy / Data Collection

- Your Web site needs to convert

Page 23: Filling the Sales Funnel with Performance Marketing

5 Reasons to try Performance Marketing

1. Fastest growing segment in Digital Marketing

2. The ROI returned an average of $11 to 1

3. 93% of companies using would recommend it to others

4. New revenue opportunities are utilizing it to great effect; Mobile, Lead Gen, CPA

5. Business intelligence technology and tools are available to enhance tracking and ROI

Page 24: Filling the Sales Funnel with Performance Marketing

Digital Performance Marketing

In the future all digital marketing will be classified as “performance.”

- Thank You