Performance-based marketing is affiliate marketing, which pays Internet publishers (affiliates) to promote a particular product or service, paying a commission for each lead or sale generated by the affiliate website.
There are two main types of targeting – inventory targeting, which serves ads on sites that offer a specific type of content or visited frequently by individuals within a particular demographic, and user targeting – which serves ads to individuals who have exhibited a particular behavior or interest.
Also, there are two activities to track 1- people-based and 2- device-based.
The Best Targeting Strategy Is Diversified & Comprehensive
You don’t have to pick just one of the strategies ; check each of them out and see how they might fit your various target market segments.
Create personas for your ideal customers – who are they? Where do they live? What do they do for work and what do they do after work? What traits and characteristics might they have, and how do those align with the many targeting parameters listed ?
Identifying just who it is you want to reach will guide you to the most effective ad targeting tools and options to get in front of them.
Let’s look at following different performance targeting strategies i tested for social media and beyond CRM databases:
Recent Purchasing Behavior
Purchasing behavior subcategories include Buyer Profiles, Clothing, Food & Drink, Health & Beauty and a lot more. Within each broad subcategory, you can drill down into types of behavior; for example, choosing Buyer Profiles will then let you target DIYers, Fashionistas, Foodies, etc.
Life Events Targeting
The Life Events parameter is unique in that you can choose to target people at specific intervals of time after the change.
Custom Audiences are an advanced feature that enable you to connect with your existing contacts. Getting in front of your existing customers and app users on their favorite social network reinforces your brand, but also gives you the opportunity to increase lifetime customer value, order frequency, and loyalty.
This works the other way, too – you can increase the efficacy of your campaigns and avoid wasted clicks by excluding your existing customer list. If you’re offering a free trial to new users, for example, there’s no reason to show it to your loyal customers.
Custom Audiences are created by uploading your customer phone list, or purchaser/subscriber email list in CSV or TXT format, to a platform. You can also create a Custom Audience based on your site visitors (and specific pages visited on your site), or on specific actions taken within your game or app.
Lookalike Audiences are a logical next step, once you have a good Custom Audiences strategy in place. Even if you don’t have your own email or phone list, you can mirror your Facebook fan base. Lookalikes allow you to expand beyond your reach but still target people with highly specific profiles, by creating audiences that look like your own targets.
If you have neither a list nor a big enough Facebook following, you can still create a Lookalike Audience using a tracking pixel to create a Website Custom Audience to mirror.
Layered Targeting Options
The really powerful thing about Facebook ads is in your ability to layer targeting options on top of one another, gradually making your audience more and more specific.