Performance Marketing Trends

Goals

Provide additional statistics on the growth of performance based marketing.

Early Findings

Since growth-specific statistics on performance based marketing were limited, due to the relatively limited time frame available for study, the research team included additional statistics on performance based marketing to provide a complete picture of the field.

Performance Marketing

  • Performance marketing was a part of 16% of ecommerce sales in 2017.
  • According to a survey of over 2,300 people, "62% of brand and enterprise marketing budget was moving toward performance marketing." Some companies are even dedicating 100% of their marketing budget to performance marketing.
  • In 2018, US spend on performance based marketing was estimated to be $6.2 billion.
  • The retail sector makes up over half of the total spend on performance marketing, followed by the financial, travel and entertainment sectors.
  • By affiliate type, content and bloggers accounted for 39% of performance based ad spend, followed by cashback/loyalty programs, coupons, voucher and rebate programs, and sub network and comparison website spend.

Affiliate Marketing

  • Affiliate marketing was worth $5.94 billion in 2018 and is expected to grow to $6.8 billion by 2020.
  • Performance marketing includes affiliate marketing. Total spend on affiliate marketing in the US is projected to grow by 10% over the next few years.
  • Affiliate marketing "contribut[es] to about 15% of the total revenue made through digital marketing efforts."
  • 81% of brands use affiliate marketing.
  • Global affiliate marketing spend is growing by an astonishing 27% CAGR.

Proposed next steps:

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