In a time of narrow budgets and data-driven decisions, performance-based marketing is an advertising strategy that has continued to make a mark in the digital marketing industry. Gone are the days where just “clicks” were enough to evaluate the value driven by an ad campaign; instead, today’s marketing is, just as it sounds, based on performance.
Today, a remarkable number of metrics are available to marketers thanks to evolving technology and an appreciation for the insights that data can provide. With that, organizations are now able to measure not just page views, but conversions, where a customer comes on to your platform and takes an action to buy or download something. This connection between conversions and the resources it takes to launch and run an advertising campaign is a quantifiable figure known as the “cost per acquisition” metric.
Whether your team has dialed in your cost per acquisition (CPA) or you don’t know where to start to make some much-needed changes, this article focuses on how marketing teams can more efficiently deliver customers.
Strategies to Maximize Cost per Acquisition
Luckily, online advertising is very different from traditional television or print ads. When a company purchases an ad during a television program or in a magazine, they are relying on the law of averages and hoping enough of the “right” people will read it. Online advertising is different; marketing teams can avoid wasting money on ads that would never convert a viewer to a sale.
But there is more to it than that—much more. Assuming your team has the foundations of online advertising and performance-based marketing down, the following strategies can elevate your campaigns to the next level.
Make Customer Segments Smaller
The most successful performance-based marketing teams continually improve their product offerings and the campaigns that amplify them, nurturing a customer’s experience from their first interaction with the brand.
The first step in developing a personalized shopping experience is to make sure you truly understand the customer segments that not only frequent your site, but convert. Regardless of your product line, geography, or industry, your team needs the ability to specifically target this audience. The more detailed your understanding of their wants, needs, and behaviors, the more specific your ads and online content can be. The more detailed your content, the more relevant it is to your target. This refined target audience can be further tailored by the flagging and removal of ad fraud that skews your traffic data.
Not every customer is the same, but you can use the results of a deep dive into your customer base and your website traffic patterns to better understand buyer patterns. Your team can focus your content and, in turn, your ad rankings by refining website and ad content to a focused audience. In doing so, your organization will more efficiently use marketing budgets while simultaneously increasing conversions.
Utilize Intuitive Traffic Dashboards to Make Campaign Refinements
Of course your marketing team is constantly collecting a lot of data, but do they know what that data really means? Can you dive deeper into the data or filter it for marketing insights? Are the metrics meaningful or are they just “vanity metrics”?
Luckily, tools have evolved along with the sophistication of consumers and the fraudsters trying to take advantage of your campaign. For example, a robust ad fraud detection solution can provide actionable, real-time data and decisions on the validity of traffic, as well as API connectivity and intuitive dashboards with customizable reports, to refine ad campaigns with updated segments, keywords, and content.
Take Advantage of Automation
With hundreds or thousands of data points coming in from publishers, sales departments, website analytics, customer service, and many other sources, marketing teams can be easily overwhelmed. Tracking and measuring this data without automation, let alone making decisions about the validity of a customer, can be overwhelming.
An automated tool takes the complexity out of managing data points and optimizes decision-making and campaign refinements, freeing up time for teams to handle other tasks. Even better, a solution like Anura can handle these tasks in real time, using comparison data constantly updated from customers from around the world, helping your team gain more from each dollar spent.
Customize Landing Pages
After identifying your most important marketing segments and refining your data collection methodology, the next step is to establish personalized customer experiences with dynamic content. This means creating customized landing pages, website content, titles, and media that supports where a buyer may be in their understanding of your product or their readiness to make a purchase.
In addition to understanding which stage a buyer may be in the “sales funnel,” teams can serve up dynamic content to their customer segments. This could include:
- First-Time Visitors: Launch a model to welcome them to the website, offer a coupon, or suggest products/content to review.
- Returning Visitors: Remind returning customers of their previous product browsing history or offer suggestions based on recently viewed items.
- Geolocation/IP-based: Using a customer’s IP address, suggest products based on weather or local trends, or offer international buyers a currency change.
- Source-Dependent: Traffic from a friend referral or search-engine ad may have more motivation to act than a social media link. Recognizing their inbound source can be that final push to make the purchase.
- Behavior-Based: Signed-in visitors with a record of purchases can be welcomed back with personalized messages, or content can be modified based on device-type, such as having websites optimized for mobile or tablet devices.
Continuously Monitor Buyer Patterns
You’re not asking any old visitor to look at your products for the heck of it. You want to bring real buyers to your site to then convince them to take action. In the same way there are weekly or seasonal sales trends, a buyer’s behavior at noon can be different from that of a visitor at 2:00 a.m.
By knowing exactly when, where, and how your most successful conversions are happening on your page, marketing teams can focus their efforts on the right people, at the right time, via the right publishers. Analyzing weeks’ worth of historical data allows you to find and confirm patterns for your team to leverage, building a buyer’s motivation and interest in your site.
These patterns and motivations can change over time, even daily. However, understanding and predicting these patterns—and having the data to back it up—allows your team to close the deal with an expertly tailored ad or piece of content.
Take the Next Step
Performance-based marketing increases the scale, reach, and engagement of your marketing campaigns, ultimately boosting the conversions of visitors and, in turn, lowering the cost per acquisition. In other words, the adage that “less is more” certainly rings true in this type of marketing.
No matter where your organization is in its performance marketing journey, there is always room for improvement with laser-focused ads and content, as well as powerful traffic analysis tools. To see just how much a solution like Anura can unlock the full power of your ad campaigns, request an in-depth demo and get hands on with our solution.