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What is Performance Marketing?

What is Performance Marketing?

Performance Marketing is a method of interactive advertising which pays on a “performance” basis. Sometimes the term Affiliate marketing is used interchangeably, but they are not actually synonymous.

Performance Marketing pays out only on a completed action. Often the action is based on a sale (Cost Per Sale) or a lead (Cost Per Lead), but can also be other revenue models including Cost Per Download.

Most people think of Performance Marketing as being affiliate marketing, but affiliate marketing is just a subset, although large part of, the Performance Marketing community. Affiliate Marketing is generally a cost-per-sale, revenue sharing model where affiliates receive a portion of the sale of any product. However, much of the online advertising industry is focused on a performance basis, and many advertising banner networks, PPC networks and other platforms currently take performance based advertisements as part of their sales.

Looking for a good affiliate network to join or advertise with? Check Out AdStation

What is Affiliate and Performance Marketing? from Performance Marketing Insider on Vimeo.

You can also watch this video about Performance Marketing on YouTube

 

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About Pace Lattin

Pace Lattin is one of the top experts in interactive advertising, affiliate marketing. Pace Lattin is known for his dedication to ethics in marketing, and focus on compliance and fraud in the industry, and has written numerous articles for publications from MediaPost, ClickZ, ADOTAS and his own blogs.
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