According to a recent report from Ebiquity and the World Federation of Advertisers (WFA), nearly 50% of global advertisers plan to increase their media budgets in 2025 and focus more on performance marketing. Advertisers are shifting strategies to see faster, measurable returns. As economic uncertainty continues, advertisers are increasingly seeking direct results rather than long-term brand-building alone.
Here’s a look at what this shift means, the opportunities it brings, and the challenges advertisers face as they embrace performance-focused strategies.
The drive for measurable outcomes
Performance marketing offers clear, measurable results that help brands track exactly how their budget translates into clicks, leads, and conversions. Unlike traditional brand advertising, which can take time to show its impact, performance marketing allows advertisers to gauge success quickly, making it easier to justify spending and refine tactics. This direct link between spending and results has become particularly attractive, with brands seeking efficiency and proof of impact.
For affiliates, this shift presents new opportunities. Brands are looking for partnerships that can drive immediate action, making affiliates a valuable asset in performance marketing campaigns. Affiliates who can show their ability to deliver results are likely to see increased demand as brands turn to cost-effective channels to maximise returns.
Embracing digital-first strategies
As brands aim for results, digital-first strategies are taking centre stage. Online channels offer powerful tools for tracking and optimising campaigns, making it easier for advertisers to adjust in real time. Social media, paid search, and programmatic ads have become essential parts of performance marketing, allowing advertisers to target specific audiences, analyse engagement, and see how ads perform at a granular level.
For brands, digital channels mean more flexibility. If an ad isn’t generating the expected clicks or sales, adjustments can be made instantly, keeping campaigns effective and reducing wasted spend.
For affiliates, this shift to digital-first means aligning with the platforms and tactics brands are prioritising, such as Instagram ads, search engine marketing, and retargeting strategies.
The appeal of ROI-driven marketing
The appeal of performance marketing lies in its ROI-driven approach. Advertisers can easily track the cost per acquisition (CPA) and return on ad spend (ROAS), ensuring that every penny counts. This approach appeals especially to brands working within tighter budgets, as it prioritises strategies that bring quantifiable results and maximises the impact of every dollar spent.
Affiliates who can provide high-quality leads and conversions will thrive in this environment. Brands want to partner with affiliates who have a proven track record of delivering results, making performance data a key factor in building trust. By focusing on campaigns that yield clear, positive ROI, affiliates can position themselves as valuable partners in the performance-driven landscape.
The challenge of balancing brand and performance
While the shift to performance marketing is growing, brands face the challenge of balancing short-term results with long-term brand-building. Performance marketing can deliver instant returns, but it often lacks the emotional connection that brand marketing can provide. Building brand loyalty requires a consistent, recognisable presence, which doesn’t always fit with performance-focused campaigns.
This is where affiliates can play a unique role. By creating content that blends brand values with calls-to-action, affiliates can help brands maintain a balance.
For instance, an affiliate who incorporates storytelling into product reviews can create a more engaging experience that goes beyond a simple promotion, adding value to both the brand’s performance goals and its image.
The rise of data-driven decision-making
Data has become the backbone of performance marketing, allowing brands to target, track, and tweak campaigns effectively. Analytics tools provide insights into which ads are working, which demographics respond best, and how consumers interact with content.
Affiliates who use data to understand audience behaviour can optimise their strategies, delivering better results for brands and reinforcing their value as partners.
With the right data, affiliates can refine their targeting and messaging, focusing on high-converting audiences. Brands value affiliates who can present clear, actionable insights from campaigns, as this supports faster decision-making and helps optimise future efforts.
Increasing importance of partnerships with affiliates
With the pressure to achieve measurable outcomes, brands are investing in partnerships that drive direct action. Affiliates, known for their ability to generate traffic and conversions, are key players in this performance-focused approach. Brands seek affiliates who have built loyal, engaged audiences that they can tap into, making affiliate relationships more valuable than ever.
For affiliates, this trend means building strong relationships with brands by demonstrating their ability to deliver. By focusing on high-conversion campaigns and providing detailed performance reports, affiliates can foster trust and establish themselves as strategic partners in performance marketing efforts.
Preparing for a future focused on performance
As advertisers continue to prioritise performance marketing, the industry is likely to see more innovations and tighter integration of data, analytics, and optimisation tools. Brands will keep refining their approach to ensure that every campaign is data-driven and ROI-focused, while affiliates will play a key role in helping them meet these goals.
For advertisers, the challenge will be in maintaining a balance between driving immediate returns and nurturing long-term brand loyalty. For affiliates, the shift to performance marketing offers new opportunities to strengthen their role as key players in driving conversions, building partnerships, and shaping the future of digital advertising.
With performance as the goal, both brands and affiliates have the chance to create campaigns that are effective, engaging, and responsive to the evolving needs of consumers.
