Advertising.com's CMO explains how an ad network enables every ad to both increase brand exposure and invite conversions.

Pay only for sales? It's a marketer's dream. And with ad networks, it's an advertising reality.

Because networks work with hundreds of advertisers and thousands of sites with billions of impressions, they've had to develop technologies to automate the allocation process. These optimization tools consider factors such as the marketer's goals, the consumer's observed response, and the websites' characteristics to determine when and where to serve which ad. Optimization became so effective that networks were able to sell advertising on a pay-for-performance or cost-per-acquisition (CPA) basis, with the network shouldering the risk, not the marketer.

For the advertiser, this system sounds like a no-brainer. But it's not quite as easy as it sounds. There are a number of variables to consider when executing a performance marketing campaign to ensure it really pays off.

Here are a few tactics I recommend:

1. Play to win
Optimization technologies are designed to maximize returns for the advertiser and the website where ads appear. Publishers are often paid on a revenue-share basis, which means they split your CPA with your network partner. A publisher-friendly, more competitive CPA will give your ads an edge over those with lower CPAs, resulting in more impressions for your brand and therefore more conversions.

There's an added benefit to this impression volume. Even though only one in 20 impressions may lead to a conversion, those 19 other impressions can provide great brand exposure. Thus a higher CPA means more consumer eyes on your ad; that's valuable exposure you don't have to pay for directly as you would with CPM advertising.

And keep in mind, you get what you pay for when it comes to networks. Inventory on higher quality sites simply costs more. The higher the quality of your network, the more competitive your CPA needs to be in order to maximize impressions and therefore conversion volume.

2. Mind your creatives
The kinds and sizes of creatives you use -- and the appeal of your landing page -- can have a significant impact on the success of a performance campaign.

Remember, the primary goal of performance ads is to drive an action. Make sure your ads and landing pages are clear, concise and easy to use. Remember, anything confusing, frustrating or time-consuming can cause you to lose that conversion.

• Ad: Be sure it has a strong, obvious call-to-action so consumers know exactly what to do next.
• Landing Page: Link directly to the product advertised, not your homepage or another section of your site.
• Registration Form: State exactly what benefit consumers get for entering their information and keep the form as short as possible.

Also remember that the more creative sizes and formats you employ, the higher the volume of placements you'll receive because there are more opportunities for them to run. Large and small, any and all formats should be used to maximize your exposure and the likelihood of conversion. When you are paying on a CPA basis, the more impressions and placements you receive the better.

3. Lose the caps
Why cap frequency when it costs you nothing? The more of your ads served, the more likely an action will occur, so frequency caps provide no benefit when it comes to performance, specifically in the network environment. And there's plenty of data to support this guideline. One Advertising.com study examined 4.6 billion impressions across four creative sizes at various frequencies. The number of conversions that still occurred after the fourth impression of an ad was remarkable. Conversions slow with each additional exposure, but they don't stop completely, in some cases continuing at a surprising rate. Does capping these incremental conversions out of existence really make sense? And if you're worried about overexposure, remember that ad networks spread advertising across thousands of sites, so you won't be reaching the same consumer on the same content with the same ad over and over again.

4. Retarget. Retarget. Retarget.
If you want to give every consumer every possible opportunity to convert, retargeting is the answer. Behavioral retargeting is one of the best ways to maximize campaign efficiency and ROI by ensuring that the traffic you drive to your site ultimately generates conversions. Retargeting works by anonymously observing consumer behavior while visiting your website. Then, based on that behavior and whether they complete the desired action, targeted messages are delivered to those consumers after they leave your site and surf elsewhere on the network.

Because online consumers rarely click and make an immediate purchase, retargeting is the most effective way to prevent your offer from losing steam during this consideration phase. With retargeting, you'll get the most conversions and increase the overall efficiency and value of your campaigns.

5. Work as a team
The beauty of a performance advertising model is that what's good for you is good for the network. You're both on the same team, so work together. Be sure your network partner understands your exact goals as your campaign evolves. For example, are you seeking a certain total sales volume or a specific cost-per-sale? Is your goal to maximize sales for a specific product? Or is it generating leads? And do you have seasonal needs? You'd be amazed at the wealth of tools your network partner can apply to help you achieve very specific results.

6. Let your ads multitask
Whether you're paying per impression or paying per action, the ultimate goal of your advertising is to generate business by whatever means. So, although performance campaigns should certainly be optimized toward generating actions, branding can still be at work, and vice versa. In fact, Advertising.com's 2007 Publisher Survey revealed that publishers expect their greatest source of revenue this year to come from hybrid campaigns that incorporate both direct-response and branding goals. Make your CPM campaigns work harder for you by keeping an eye on your ultimate costs-per-acquisition. And your CPA campaigns can actually be doing double duty by increasing your brand's awareness and favorability.

At the end of the day, every ad is an opportunity to gain mindshare, and every ad is an opportunity to make a conversion. With the advantages of an ad network, every campaign can do both. 

Mollie Spilman is chief sales and marketing officer of Advertising.com. Read full bio