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Why Performance Marketing Is a Win-Win for All the Involved Parties?

With time, marketing has evolved a lot. Starting with traditional marketing techniques like brochures, newspaper ads, etc., to digital marketing like social media marketing, search engine marketing, content marketing and whatnot, we have travelled a lot, leaving behind an era. We are not saying traditional marketing is dead, but, yeah, it won’t be wrong to say that digital marketing is a technologically advanced form of marketing that can better fit into today’s requirements.

“You have to know the past to understand the present.”

– Carl Sagan.

But the basics of marketing are the same. The difference is in the methodology. In the internet age, digital marketing makes it easier for you to connect with your target audience. And what makes it even more manageable and fruitful is the availability of forms. You can choose the ones that appear to be most beneficial for marketing your business.

Of many digital marketing tactics or methods, one is Performance Marketing.

What is Performance Marketing?

The phrase is self-explanatory! It’s a technique that revolves around the outcome. In performance marketing, the company pays the agreed sum of money to the marketer upon the completion of the desired action or achieving the specific results.

Now, what does the term ‘results’ indicates here? It could be anything, including leads, sales, impressions, clicks and engagements. It’s up to you to choose what you (the company) want.

Well, how to do performance marketing. That depends. On what? There are numerous factors like your business, expectations, performance marketing channel you choose, etc.


Yeah, performance marketing has much to offer and can help you in many ways. It has many channels for you to choose from. And what are those? Well, let’s not get into this now. That’s a vast area; so, let’s keep it for another time.

Today, we will see the parties involved in performance marketing and how performance marketing is an option worth selecting.

Performance Marketing – Parties Involved?

What are the parties involved in performance marketing depends on the type of performance marketing channel you choose? But mainly, there are three parties involved in it. These are –

Company – The Main Face

The foundation! It’s the one who offers the products or services. The company needs someone to promote its offerings for – leads, sales, clicks, impressions or engagements. And in return, it’s ready to pay a particular amount in the form of fees or commission.

The Promotional Face

It’s the one who agrees to promote or market your product. The important thing here is that it need not necessarily be a person, a platform or a website. Instead, it can be either of these. Like your promotional face can be a person if you choose to move ahead with affiliate marketing. It can be a website if you select native advertising, etc.

The Acting Face

Undoubtedly, he is the one who is willing to perform the desired action like buying products, clicking for detailed information, etc. In the absence of this, nothing makes sense. Yeah, it’s none other than the customer.

Well, there can be a fourth party too, but only if you want. And what’s that?

The Managing Face

If you don’t have relevant and sufficient resources in-house to undertake performance marketing or don’t want to lose or shift focus from the core task, then you can outsource the performance marketing task. And the one (external party) to whom you appoint for doing performance marketing for you is the fourth party. Depending upon your needs and as per your instructions, the agency will take the needed actions, ensuring you attain your goal. And if you decide to outsource the task, then the best would be to choose an agency. They can offer you comprehensive support.

Benefits of Performance Marketing

Though there are many, let’s start with the most promising one.


In performance marketing, it’s easy to establish an input-output relationship. You can easily measure the results, link the resources to the results and check what’s working and what’s not. Also, you can identify the effectiveness of the strategy because there is transparency in operations. It’s the best way to improvise and increase the richness of the campaign. Here, you can ensure the optimum utilisation of funds.

Less Risky

Unlike other marketing methods where you pay a particular sum to initiate the marketing activity, that’s not the case in performance marketing. Here, you pay only when the desired action occurs. So, the risk involved is minimal. And if you are not satisfied with the outcome or facing budget constraints, you can pause or stop the activities. It allows you to take time to re-strategize things and revise the course of action. And this way, it becomes Flexible too.

Higher Reach

Performance marketing has many channels or types. Plus, it’s designed to save costs. By choosing the appropriate form, you can broaden your reach substantially. You can have many people genuinely working for you as they only earn when you derive benefit.

Focused on ROI

No doubt! The basic logic behind performance marketing is to ensure that you get the best return on the amount you put into marketing. And not just that, it’s appropriate for all the involved parties as they get paid for the efforts they put to get the desired action done for you.

Ending Thoughts

Performance marketing lets you generate maximum results in lesser funds. All you have to do is plan effectively, build a solid performance marketing strategy and choose the performance marketing channel wisely. It’s an advanced marketing technique that, being practical, is gaining popularity.

Looking to Grow Through Performance Marketing?

Let Neel Networks assist you.

We are a leading digital marketing agency based in Mumbai, serving across the globe. Our team has experienced and result-oriented marketers who know the formula to succeed in performance marketing. We are glad that we can create a win-win position for all the involved parties. So, what’s stopping you?

Know the Performance Marketing Success Formula

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