Performance branding in five strategic steps

A holistic approach to brand building and management

Branding
Ecommerce

11.06.2024

Growing in a crowded market

The market is crowded. Packed. Competition is everywhere. Simply building great websites or online stores is no longer enough. Many companies struggle with declining returns and marketing strategies that no longer cut through the noise. To grow, maximize your digital potential, and capture market share, you need innovative, intelligent solutions. AI-powered performance branding provides that solution.

Where does the term ‘performance branding’ come from?

In 2020, McKinsey introduced the term “performance branding,” describing the integration of performance marketing and branding, with an emphasis on a full-funnel approach. In today’s marketing world, too many e-commerce managers are overly focused on the bottom of the funnel — performance marketing — where everything revolves around conversions. As a result, the upper funnel, dedicated to brand building, is neglected.

Although McKinsey highlighted it early, the term “performance branding” didn’t immediately gain traction. More recently, LinkedIn brought it back into the spotlight. And when a performance marketing giant like LinkedIn signals that change is happening, it’s time to take notice. Companies that ignore it risk falling behind — especially now that AI has entered the equation and is fundamentally changing how performance branding works.

Focusing on long-term results with AI

Traditional lead generation captures existing demand but does not create new demand. It does not grow market share. By building mental availability and brand preference — and combining it with performance marketing — performance branding reaches both current and future buyers. AI amplifies this by detecting emerging needs before they’re expressed, predicting the most effective moments to build brand salience, and continuously optimizing message delivery. Businesses that limit themselves to Google’s traditional funnel thinking and short-term results miss the opportunity to scale their brand and revenue exponentially.

AI-Driven Performance Branding in 5 Steps

Performance branding can be deployed in five strategic steps that together form a holistic, AI-powered approach to brand building and management. Here’s how each step works when enhanced by AI:

  • 1. Reach the entire category

    It’s essential to reach a broad audience across the entire product category — not just current buyers, but also potential future customers who have never interacted with your brand. AI enables hyper-accurate audience modeling, predicting which untapped segments are most likely to convert in the future and adapting creative assets in real time to resonate with each one.

  • 2. Communicate across multiple relevant category entry points

    Generate conversation and ensure your brand becomes a talking point through AI-enhanced storytelling. Identify and communicate around the various Category Entry Points (CEPs) — the moments when consumers could think of your brand. AI tools can analyze large-scale social, search, and behavioral data to detect which CEPs are growing in importance, then create dynamic content variations for each, keeping your brand top-of-mind in diverse buying situations.

  • 3. Brand everything

    Ensure your brand is present and consistent across every interaction and touchpoint. AI-powered creative automation can adapt branding elements for different channels while maintaining 100% brand consistency. Every consumer touchpoint — from ads to automated emails to landing pages — reflects your brand identity, increasing recognition and trust at scale.

  • 4. Measure everything

    What gets measured, gets managed. With AI-driven analytics, every marketing activity can be monitored, analyzed, and refined in real time. Predictive models highlight which campaigns are most likely to generate future demand, while advanced attribution models reveal the true impact of branding across the funnel. AI turns your dashboard from a reporting tool into a proactive growth engine.

  • 5. Be distinctive & make it easy

    Differentiate your brand from competitors by being unique and instantly recognizable — and make it as easy as possible for consumers to choose you. AI can test thousands of creative variations to identify the most distinctive brand cues, and can streamline the customer journey by removing friction at every stage, from first impression to checkout.

The AI-Powered Performance Branding Dashboard

In a digital and data-centric world, our approach gives marketers the tools to assess and optimize the effectiveness of their efforts on both branding and performance marketing by bringing it together in one integrated dashboard. With aligned variables.

  • (Programmatic) advertising
  • Size of the category
  • Your share of the category
  • Purchase frequencies
  • Brand awareness (TOMA)
  • Brand engagement (brand equity & NPS)
  • Distinctiveness (liquid death)
  • Brand consideration and preference
  • Conversions and costs
  • Customer satisfaction and loyalty
  • Online Mentioning and Sentiment on social, among others

With AI, this dashboard doesn’t just tell you what happened — it predicts what’s likely to happen next and guides you toward the highest-impact actions for sustainable growth.

Lukas Roeling
Head of Performance Branding & Digital Strategist

Want to know more about performance branding?

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Grow with performance branding

Linkedin says so. Harvard business review and McKinsey too. Performance branding is the future. The winning combination of branding with performance marketing.

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