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Performance Marketing for B2B: What? How? Important?

8 Nov 2023 | Performance Marketing

Digital marketing is crucial for business growth nowadays, but it’s often used broadly to describe all marketing methods. In truth, there are various types of digital marketing.

For B2B companies, a sometimes neglected but effective approach is performance marketing.

With performance marketing, you only spend money when you see tangible outcomes, like clicks or sales. This short-term strategy is particularly useful for B2B brands since it delivers fast results, enabling you to adapt to a constantly evolving market.

What is B2B Performance Marketing?


B2B Performance Marketing is a results-driven approach that prioritises generating quick leads and revenue for an organisation. Unlike brand marketing, it focuses on actively enticing potential customers to take action. This method is particularly effective for B2B tech companies operating in the fast-paced tech industry, allowing them to adapt to changes swiftly.

The key distinction from traditional digital marketing is that in performance marketing, you only pay when specific, predefined results are achieved. For instance, instead of paying for an ad placement on a website, a performance marketing campaign sets specific criteria that must be met by prospects before any payment is made. These criteria typically include actions like form submissions, Marketing Qualified Leads (MQLs), Sales Accepted Leads (SALs), pipeline growth, or revenue generation. This approach ensures that resources are dedicated to high-quality leads and measurable outcomes.

Importance of B2B Performance Marketing

Performance marketing offers several significant benefits for B2B companies, making it a valuable strategy for achieving growth and efficiency:

Targeted Marketing: Performance marketing allows for precise targeting of business prospects, resulting in more qualified leads and higher conversion rates. This means your marketing efforts are directed toward those most likely to become customers.

Measurable Results: Every aspect of a performance marketing campaign can be tracked and analysed, providing clear metrics for Return on Investment (ROI). This transparency helps in evaluating the effectiveness of your campaigns.

Cost-Effective: It offers a cost-effective approach, as B2B businesses only pay for successful actions, such as clicks, form submissions, or conversions. This predictability in spending makes budgeting more manageable.

Increased Brand Awareness: While the primary focus is on measurable actions, performance marketing can also contribute to boosting brand awareness within relevant business circles. This occurs as your marketing messages reach the right audience.

Customisable Strategies: B2B performance marketing strategies can be easily tailored to align with specific business goals and buyer personas. This flexibility ensures that your marketing efforts are in sync with your unique needs.

Improved Customer Relationships: By delivering relevant content and solutions, B2B businesses can build stronger relationships with their customers, enhancing trust and loyalty.

Scalability: Successful performance marketing campaigns can be scaled up to reach a broader audience, maximising their impact and potentially leading to substantial growth.

Performance marketing for B2B companies offers a growth-oriented Return on Investment (ROI) with lower financial risk compared to other marketing strategies. It provides a guaranteed return on investment, as you only pay for actual results. Additionally, its short-term and data-driven nature allows for rapid adaptation, as real-time campaign performance data guides adjustments to maximize effectiveness.

B2B Performance Marketing Channels

In B2B performance marketing, there are specific channels you can use to reach your audience effectively. Here are some top channels that work well in the B2B space:

Over-The-Top Advertising (OTT Advertising): This type of advertising occurs on devices connected to the internet, such as smartphones, TVs, tablets, and laptops. It’s effective for B2B marketing because it reaches your audience on the devices they use most often.

Programmatic Display Advertising: This includes banner ads placed on websites, apps, and social media platforms. You can work with publishers to display highly targeted ads based on their audience data.

Social Media Marketing: Social media is a great platform for lead generation and brand awareness. For B2B, focus on Facebook and LinkedIn, where engaged audiences spend their time.

Native Advertising: Native ads blend seamlessly with the content on the platform where they’re placed. Examples include suggested articles, sponsored posts, and promoted listings.

SEO and SEM: SEO focuses on organic traffic through search engine algorithms, while SEM uses paid ads to drive traffic. Both can be part of your performance marketing strategy.

How Do We Measure B2B Performance Marketing Success

To measure the success of your B2B marketing campaign, track relevant metrics and KPIs, as performance marketing relies heavily on data. Here are some important metrics:

Conversion Rate (CR): This measures the percentage of customers who take a specific action, such as signing up for a demo or subscribing to a newsletter.

Return on Advertising Spend (ROAS): ROAS indicates how much revenue is generated as a direct result of your advertising spending.

Return on Investment (ROI): ROI shows the ratio between profit and investment. A higher ROI means your ad generated more revenue.

Cost Per Acquisition (CPA): CPA measures the total cost of acquiring a customer, such as through ad clicks, website visits, or free trial sign-ups.

Customer Lifetime Value (CLV): CLV is the total revenue you can expect from a customer over the course of your relationship. It tends to increase as clients stay with your business longer.

Final Musings

In the end, if you’re looking to enhance your B2B marketing efforts, performance marketing is a highly effective approach. It offers improved conversion rates, all while maintaining a lower cost and delivering a higher return on investment compared to traditional marketing methods.

Performance marketing ensures that your marketing initiatives are finely tuned and optimized for tangible, measurable results. For B2B businesses that implement it correctly, this data-driven and results-focused strategy can yield significant benefits.

If you’re considering venturing into performance marketing, particularly with CTV (Connected TV) advertising, we’re here to assist you. MNTN Performance TV offers an advertising solution designed to elevate your CTV campaign performance. Feel free to reach out to us to discover how Performance TV can elevate your marketing efforts to new heights.

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