OBM In a Nutshell: What is Outcome-Based Marketing (OBM)?

If you’re not already part of the 60% of marketers leveraging outcome-based marketing (OBM), it’s time to stop paying for impressions and clicks that don’t deliver. OBM is a transformative approach that ensures you only pay for real, measurable outcomes. Let’s explore what makes OBM a game-changer in customer acquisition.

What is Outcome-Based Marketing (OBM)?

Outcome-based marketing (OBM) is a performance-driven advertising strategy where brands pay only when specific, pre-defined outcomes – such as a qualified form fills, post-install events, or purchases – are achieved. Unlike traditional models that rely on speculative ad spend, OBM puts outcomes first, enabling marketers to integrate new performance channels alongside existing ones without additional risk.

By utilizing OBM, marketers can:

• Test and refine media channels to uncover the best options for their customer acquisition goals.
• Ensure budgets are allocated only toward campaigns that deliver tangible results.
• Partner with performance-driven teams who share responsibility for success, alleviating financial risk.

With OBM, you can confidently scale campaigns while ensuring every dollar spent ties back to real, measurable business outcomes.

Why Outcome-Based Marketing (OBM)?

Marketers turning to OBM are gaining a competitive edge, driving customer growth, and maximizing return on ad spend (ROAS). Here’s why OBM outshines traditional marketing models:

• Focus on Results: Only pay for actual outcomes, such as new customers or completed sales.
• Reduced Risk: Shift financial responsibility to performance-based partners, minimizing wasted spend.
• Optimized Budgets: Align spend with results for greater efficiency.
• Agility and Precision: Adapt campaigns quickly using real-time data.
• Customer-Centric Approach: Prioritize meaningful engagement and conversions over impressions or clicks.

Still not convinced? Consider this: Marketers who implement OBM often see up to 50% better ROAS compared to traditional models. Additionally, 41% of marketers have improved performance by leveraging AI and data insights that further boost OBM campaign performance. 

Do Affiliate and Performance Marketing Differ From Outcome-Based Marketing (OBM)?

Outcome-based marketing (OBM) is an umbrella term that encompasses an array of traditional tactics: 

• Performance Marketing: Typically involves platforms like Google or Facebook, where marketers pay for clicks or conversions. OBM focuses exclusively on outcomes.
• Affiliate Marketing: Often centers around deal and coupon sites with varied partner networks. OBM prioritizes results-driven partnerships tailored to specific outcomes.

OBM’s distinct advantage lies in its laser focus on measurable results, ensuring marketers pay only for success. It allows you to explore additional performance channels that seamlessly complement your existing marketing efforts – all without wasted ad spend.

Transform to an Outcome-Based Strategy for Real Results

Outcome-based marketing empowers brands to unlock new customer acquisition channels without disrupting their existing strategies. By integrating OBM, brands can:

• Identify which channels and tactics drive the highest ROI.
• Test new customer acquisition opportunities with minimal risk.
• Scale confidently, knowing every dollar is tied to a meaningful outcome.

Ready to see the power of OBM in action? Perform^[cb] offers unmatched expertise in designing and executing outcome-based strategies. Connect with our team today to start optimizing your customer acquisition efforts.

Interested in diving deeper? Read Perform^[cb]’s C-Suite Guide to Outcome-Based Marketing and discover how OBM can transform your approach to customer acquisition.