Volume 10 No. 1: Brand? Performance? Why not both?
According to a WARC study, marketers are planning to spend more on both brand and performance marketing initiatives next year.
31% hope to increase investment in brand-building. 46% are increasing performance spending. That may seem like a lot to tackle. But are the two types of marketing really so different?
The fading lines between brand and performance marketing.
Each week, we break down another marketing trend so you can skip having a breakdown.
Traditionally, brand marketing focused on big creative ideas and upper-funnel channels like TV advertising or OOH. Performance marketing boomed alongside the evolution of digital channels, thanks to their ability to directly measure ROI.
But the lines between the two types of marketing have been breaking down for years.
- Brand marketers are increasingly data-driven. Creative decisions today should be informed by consumer research. Plus, technological advancements mean upper-funnel channels like TV are more measurable and accountable.
- Performance marketers recognize the limitations of short-term results alone. DTC brands that focused on social channels like Facebook are now struggling, in part due to their lack of brand awareness.
- Everyone's renaming their marketing approach. Terms like “performance branding” have been coined to identify areas where brand and performance methods overlap.
Plus, the lines between brand and performance marketing have never been as clear as we sometimes imagine. Traditionally “brand” channels like radio and TV have been used to drive immediate response for decades.
Key Takeaway: Both brand and performance marketing are essential for lasting business success. Focusing 100% on just one type of marketing is almost impossible, and far from recommended.
The Growth Lab
Question: What are the most important skills for a good leader to practice?
We ask an experienced group of business leaders, marketers and statisticians about strategies for success.
Answer: "Leadership skills must constantly evolve. Understand your team’s motivations and unique strengths so you have playmakers in every position. Don’t look for spotless backgrounds, look for strong backbones. Always be learning. Learn from your failures and then let them go. Fail again. Give credit where credit is due. And listen more—you have two ears and one mouth for a reason."
— Whitney Stratten, Chief Client Officer
Whitney doesn’t settle for anything less than the best results for clients. But in her spare time, she can be found either sailing or playing roller derby.
Here we celebrate books, podcasts, videos, and influencers that are actively pushing marketing into the future.
Alchemy: The Dark Art and Curious Science of Creating Magic in Brands, Business and Life explores the irrationality of human behavior. Author Rory Sutherland, former vice chairman at Ogilvy, discusses the power of branding through case studies, scientific research, and stories from industries and disciplines rarely applied to marketing. He may just convince you to bring “magic” back to marketing.
Our favorite insight? Logical thinking is essential. But people aren’t always logical. Marketers should recognize branding, design, and storytelling all influence purchase decisions. Even if that isn’t 100% “logical.”
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