If you wonder How Performance Marketing Works, you should rest assured that every performance marketing channel caters you with various ways to target a specific audience. It would enable you to customize your advertisements to target a particular population, gender, age group, or location in a specific region. It would also help you determine when and where your advertisement would appear. In a majority of advertisement channels, the price of keywords would be determined by its competitiveness in the marketing arena. It implies that you would need to bid a higher price for high-intent keywords instead of generic keywords. It would result in your advertisements receiving more prominence on the available platforms.
A majority of people may not be comfortable with advertisements due to the reliability factor. Consequently, the advertising platforms would be required to consider the performance of the individual listings. It would be done when they rank the advertisements. In the event a plethora of people have been avoiding your advertisements, you should rest assured that the ads would earn a significantly lower rating and the exposure would be reduced for the network. The campaign would aim to convert leads into active customers. Your advertisements having low conversion rates would imply the platform is not getting paid.