Defining Your Audience for a Customer Acquisition Campaign

Before delving into any marketing opportunity, a clear understanding of who you’re targeting is necessary for strategy creation. Without knowing your audience, you will spend more time and money on your marketing efforts while receiving poorer results.

A hallmark of CPA marketing is its consumer targetability - so you need to have a clear understanding of which consumers you would like to reach.

B2C Target Market

Your target market is the group of consumers or users you want to reach with your marketing message. This is the audience you’ve identified as most likely to purchase your product or service. From an overall marketing perspective, it is important to fully understand your customers and their journey, including demographics and behaviors. However, with performance marketing, you only pay for conversions, so the most important metric to understand is CLV, or customer lifetime value.

CLV is defined as the total worth of a customer over the entirety of their relationship with your business. CLV is notable because it helps measure customer loyalty and satisfaction in a way that tangibly links to revenue. Over time, your customer lifetime value data becomes extremely powerful. When CLV is high, it will tell you where to continue pushing your efforts. If its low, it may well be a sign that it is time to reevaluate the products and affiliates you work with. CLV combined with performance marketing can be a powerful duo because the flexibility of performance marketing allows you to easily adjust pricing to directly impact CLV.

• What device types are they most likely to use? • What traffic channels are going to be the most relevant to reach them?

• What locations are you targeting? Do you have geographic limitations or goals? • What does your current customer base look like?

Do any qualities stand out for your top converting customers?

Its also helpful to fully understand the competitive landscape for your products or services. Some good questions to ask in order to define this landscape include:

• Who is your competition, and what are they doing to drive acquisition? Does it appear to be working? • What differentiates your product or service from the competition? • Who are your competitors targeting? - CPA Targetability Example: Leveraging Affiliates Who Performed Well on Competing Apps Once you’ve defined your target audience and understand your competition, you can analyze which CPA marketing pricing model makes the most sense for your goals. With your target market in mind, you can then adjust payouts based on Customer Lifetime Value.

Even though you only pay for conversions with performance marketing, the more defined your target audience, the more efficient your marketing efforts will be, and the faster you will achieve ROI.

Pro Tip: Other helpful things to know about your ideal audience to maximize your performance marketing efforts include: