What is Performance-Based Advertising? Why is it Important?

Performance-based advertising is a type of advertising where payment is based on specific actions that are taken by the audience, rather than just impressions or clicks.

Importance of Performance-Based Advertising

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1

In performance-based advertising, advertisers only pay when certain actions are taken by the audience.

Payment is Based on Specific Actions

2

 It aims to achieve specific results, such as generating leads or making sales.

Focus on Results

3

Because payment is based on results, performance-based advertising can be more cost-effective than other forms of advertising.

Cost-effective

4

Performance-based advertising allows for a more equitable distribution of risk between advertisers and publishers.

Risk-sharing

5

There are several payment models used in performance-based advertising, including pay-per-click (PPC), pay-per-lead (PPL), pay-per-sale (PPS), and others.

Variety of Payment Models

6

Performance-based advertising often provides greater transparency into the performance of ad campaigns.

Transparency

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