More businesses are focused on shoring up short-term gains today and that means your performance marketing strategy and team is being asked to do more than ever.
The problem I see most often with the performance marketing teams we work with is a lack of strategy. Which is understandable. It’s easy to get started with ads on Google and Meta, see some success, and then get caught in an iteration loop that produces small improvements (or flat results with an increasing price tag).
Inevitably the budget creeps up and your total ad budget performance declines. There’s a reason Social Fresh defines our work as that of a creative strategy agency. We find one of the biggest gaps in marketing today is a lack of strategic thinking around creative assets and content channels.
If we want to abuse the dining hall analogy, let’s step back from the cold pizza slices and consider our broader set of options. What does a good performance marketing strategy look like? Why is it frequently skipped? And how can we reset our performance efforts for more effective results?
What is a Performance Marketing Strategy?
Performance marketing is simple. It’s digital direct marketing. We send out a postcard and try to convert prospects into customers.
That conversion online is usually an email lead, app download, or purchase. Our focus is on a measurable end result.
And because of that most performance marketing efforts start with data (usually from Google and Meta) and optimizing for clicks and conversions on those channels. Those are the basics and the basics work.
Until they don’t.
None of that is a strategy. It’s tactics. So let’s back up. A strategy is a long-term plan. Tactics are short-term actions.
If we go back to the dining hall, a tactical approach is walking up to the lunch buffet and simply picking out which one looks least likely to disappoint. The strategic approach would be considering other dining options, getting to know the cooks, or learning how to prep food in your dorm.
Both take into account our goals and iterating for success. But the strategy looks for the larger system at play and unseen levers.
In performance marketing, this means looking beyond clicks and conversions. We need to consider customer lifetime value, the customer journey, competitor behaviors, brand building, and integrated marketing efforts.
Battling The Duopoly: Google & Meta
“When I talk to marketing leaders who are seeing issues with their performance marketing efforts, they almost always ask for the same solution: “We need new channels.”
They’re tired of seeing their CPC go up and their CTR go down. And they’re tired of giving more and more money to Meta and Google every quarter.
Finding a new channel is tough. In general, the top of the recommended performance channels list is the same for most brands:
- Meta
- LinkedIn (B2B/SaaS focus)
- YouTube
There are many other channels to consider like niche social (Reddit, Snapchat, Pinterest, etc), podcasts, influencers/creators, apps, digital media, OTT/CTV, etc. But even for enterprise brands testing on all these channels, our biggest improvements will typically be found in optimizing their top 2-3 channels.
I hate the duopoly as much as anyone, but the benefits of their scale and mature ad tools are the biggest lever in performance marketing. The strategic approach is to optimize those channels first.
Now, as your performance strategy matures, focusing solely on these giants can lead to missed opportunities. Platforms like Reddit offer smaller but highly targeted user demographics, making them ideal for specific messaging. Meanwhile, channels like TikTok and CTV offer vast audiences that necessitate careful segmentation to reach the right eyes.
Adapting Performance Marketing Strategies for Different Channels
Each channel brings unique characteristics and requires tailored marketing efforts. An email campaign, for instance, demands a different strategy compared to influencer marketing. Understanding the nuances of each platform allows for more effective campaign creation.
Embrace an Omnichannel Approach
Don’t limit your campaign to a single channel. By employing an omnichannel strategy, you can leverage the unique delivery methods each platform offers. For example, CTV ads can blend the traditional appeal of TV with digital targeting precision, tapping into the 87% of US households using CTV devices.
Incorporating a diverse range of channels while optimizing the top performers ensures a balanced approach that maximizes reach and impact. This comprehensive strategy not only fine-tunes your existing channels but also opens up new avenues for audience engagement.”
Common Performance Marketing Mistakes
Much of the iteration work that will create the biggest gains for you will come down to the type of content, images, animations, and video you are building for your ads, organic social testing, and content marketing. We call this your creative strategy and while it is impacted by your brand team’s work, it is a step removed from branding and dives much deeper into the emotion, need, and messaging that your target customer reacts to. As you work to optimize your performance marketing and build a higher-level strategy, these are some of the most common missing elements we see.
1. Not Analyzing Competitor Best Performers Through Detailed Competitive Research
Half the performance marketing teams I talk to are unsure who their top 3 competitors are. What we often see is a list of 5-10 competitors, some of which are not competing directly. Understanding who your ads are competing with is essential.
We do an annual benchmark for our clients of their core competitors. This includes a breakdown of audience, channel, messaging, and creative approaches for each. This type of competitive research helps level set and pinpoints potential missed opportunities and where to double down.
2. Not Conducting Customer Research to Inform Ad Messaging
Most brands with performance teams have good data on their target audience. They know demographics, psychographics, and some affinity data. What they often don’t know is more info on the customer journey. What is the pain point that leads new customers our way? Why do they choose us? What is their time to conversion? etc.
We often find big insights in customer research that better informs performance messaging.
3. Testing a Small Number of Creative Formats
You can test too many creative formats and too few. Most performance teams I see are testing too few. Most teams evolve from static photo/text ads to simple animations, and then to UGC or studio video.
Adding UGC creative is impactful, but it’s not a performance marketing strategy unto itself.
Putting time into new testing a broad range of ad formats is time-consuming but a worthwhile investment. Monitor competitors and aspirational brands. Look to platform trends (especially on TikTok) and learn from the creators and influencers who are perfecting what high-performing native content looks like.
3 Tips for Implementing A More Successful Performance Marketing Strategy
1. Know Your Audience Objectives
Knowing what success looks like for your customers is key. Learn why they switch from a competitor or change from using no solution to using your solution. Customer motivation and need are essential to understanding your performance marketing strategy.
Audience research helps here but so does internal data, social listening, and customer interviews. Spell out each step of the customer journey so you can tailor your messaging and creative to speak to these moments authentically.
2. Utilize Minimum Viable Message Testing
When you’re testing what features and benefits will move the needle for your ads, start simple. Use customer language from your audience research and then look to static ads on Meta (or other niche channels) to see which messages create engagement.
Some common roadblocks here are including too many messaging themes in one ad or not giving a clear call to action. Don’t hide the banana from the monkey, clearly ask the user to take an action.
3. Steal From The Best
Don’t be afraid to steal ideas and make them your own when considering creative trends or analyzing competitor research to determine which ads perform best.
You never want your ad creative to look like a copy of another brand, especially a direct competitor. But, performance teams are pushed for time and resources. Steal ideas that already show promise, and make them into something new that fits your brand.
4. Tailor Content for the Platform and Audience
While using insights from your research, ensure your ad content aligns with the platform’s unique characteristics. For example, authenticity is key on platforms like TikTok, where users prefer content that blends seamlessly with organic posts. Avoid force-fitting content designed for other platforms like YouTube, as it may not resonate similarly.
A performance marketing strategy tailored for a B2B HR audience will look much more buttoned up than an Instagram ad strategy for a hip fashion brand’s audience. The audience on each platform has different expectations because of who they are, what they like, and the type of content they expect to see on that platform.
5. Crafting Impactful Ad and Landing Page Content
Your ad should have a clear, concise message with a strong call to action (CTA) that guides your audience toward the desired outcome—whether it’s “learn more,” “shop now,” or “subscribe today.” Have multiple variations ready to test different elements like color and language to find what works best.
Equally important is the landing page. Ensure it’s user-friendly, mobile-optimized, and consistent with the ad’s message. A cluttered or confusing landing page can deter potential customers from completing their journey, so aim for a seamless transition from ad click to conversion.
By integrating these strategies, you’ll create a cohesive performance marketing strategy that not only captures attention but also drives results.
Leveraging Better Ad Creative Is Your Differentiator
Today’s digital ad platforms are getting better and better at targeting the right audience on our behalf. The targeting and spending settings are becoming commoditized. This makes the ability to generate higher-quality creative a superpower. Creative is not the only important piece of your performance marketing strategy, but it is now the biggest differentiator.
Skilling up your creative team is essential for outperforming the competition. Here’s what that looks like.
Working and Learning From Creators
UGC content is a high performer for every industry that tests this creative format. Work with creators who are talented and produce consistently successful organic content. They are not just great creative partners, but you can learn a lot from their process and perspective.
Build Internal Creator Talent
Don’t just rely on creators as external partners. Bring that skillset in-house by investing in owned media, like podcasts and video series. Look internally for talent, hire strong creators, and start building authentic owned media channels in-house that function as trust content for your brand (and a unique source for performance creative).
Invest in Creative Trends Reports
Work with an agency or consultant to give you regular updates on new content trends in social and performance creative. Understanding new trends is essential to producing performance creative that stands out from your competitors.
Many of our clients have begun inviting their full marketing teams to our trends reports because they know how key these regular sources of inspiration can be.
Why Connected Television (CTV) is Essential for a Performance Marketing Strategy
Connected Television (CTV) is rapidly emerging as a non-negotiable component of your brand’s performance marketing strategy. Beyond its massive audience reach, CTV delivers a blend of precise targeting, real-time analytics, and the captivating “lean-back” viewing experience historically reserved for traditional TV. By bringing these benefits together, CTV offers unparalleled opportunities for performance marketers looking to maximize campaign outcomes. Below are the key reasons why CTV deserves a central role in your strategy.
Expansive Reach
CTV offers access to a vast audience, tapping into millions of viewers globally through popular streaming platforms like Netflix and Disney+. These platforms have introduced ad-supported models, significantly expanding the potential reach and impact for advertisers.
Targeted, Customizable Advertising
With the advanced data analytics available via CTV, advertisers can tailor their campaigns with precision. This means you can deliver specific messages to niche audiences, ensuring higher relevance and better engagement rates compared to traditional TV advertising.
Accessible “Lean-Back” Creativity
Few ad formats captivate viewers like a full-screen TV spot. CTV combines the traditional TV commcerial with the scalability and targeting control of digital ads — the best of both worlds.
It’s now easier for marketers to develop high-quality video ads that maintain the “lean-back” entertainment value of traditional TV while leveraging digital precision. Thanks to advances in production technology and more flexible media buying options, brands of all sizes can craft compelling, cinematic commercials that truly stand out — ultimately driving deeper emotional connections and higher brand recall. And increasingly, these ads don’t need to be the highest quality productions, lofi ads are capable of equally impactful performance on CTV.
Enhanced Measurement and Analytics
CTV also stands out for its superior measurement capabilities. Marketers can track user interactions and gauge the effectiveness of their ads in real-time. This enables continuous optimization, making it easier to adjust strategies to maximize return on investment.
Multi-Channel Flywheel Effect
As Jeff Bezos said, “When we win a Golden Globe, it helps us sell more shoes.” Integrating CTV with other digital channels amplifies your marketing efforts. It allows for a seamless experience across platforms, reinforcing brand messaging and driving conversions efficiently.
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Incorporating CTV into your marketing strategy not only broadens your reach but also enhances your ability to engage and convert viewers into loyal customers. As streaming services continue to dominate, the importance of CTV in performance marketing is set to grow even further.
The ROI of Investing in a Performance Marketing Strategy
If you’re seeing your performance efforts hit a speed bump, consider a more strategic approach to your digital ad efforts. Make sure you’re aware of the best practices around creative strategy, investing in the right channels, and not buying into SEO myths.
Invest in your team’s resources to make sure they have the data and perspective they need, including audience and competitor data.
Give your team the creative training and resources they need to produce high-quality ad creative on a regular cadence.
As always, reach out to the Social Fresh team if you need help with any of these steps. We help enterprise brands and startups level up their performance and social strategies.