Performance Marketing vs. Branding: What Should Startups Choose First?

When you launch a startup, it’s easy to get pulled in two directions:

• Let’s run ads and get leads now!
• Wait—we need to build our brand first!

So what comes first—branding or performance marketing? The answer isn’t black and white. You need both—but done in the right sequence, they fuel growth instead of confusion.

1. Build the Brand First — Even If You’re Just Starting

Branding doesn’t mean big budgets or celebrity endorsements. For a startup, it’s about positioning and perception:

• What do you stand for?
• Who are you speaking to?
• How do you want your customers to remember you?

Establish your brand tone, visual identity, and key messages before you spend a rupee on ads. If people don’t trust you, they won’t click—even with the best offer.

2. Use Storytelling to Build Connection First

Performance marketing focuses on action. Branding focuses on emotion. Before you ask people to “Buy Now” or “Book a Demo,” take time to:

• Share your origin story.
• Post testimonials and case studies.
• Highlight your purpose or mission.

These build familiarity and credibility—so when your ad shows up, people don’t scroll past.

Think of branding as the trust builder. Ads convert better when people know who you are.

3. Segment Your Audiences for Smarter Results

Don’t blast the same message to everyone. Segment your audience into:

• Cold (Never heard of you)
• Warm (Seen your content)
• Hot (Engaged or ready to buy)

Your performance campaigns should speak differently to each group.
Example:
🧊 Cold → Discover how we help startups raise funding.
🔥 Hot → Limited slots open for our 1:1 startup funding session—book now.

4. Use the Right Metrics for the Right Campaign

You can’t measure branding the same way you measure conversions.

• Branding KPIs: Reach, Impressions, Engagement, Mentions, Time on Page.
• Performance KPIs: CTR, Cost per Lead, ROAS, CAC.

Trying to judge a brand awareness campaign by leads is like asking your logo to make sales calls. Unfair and ineffective.

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Praful Chatrapati says:

“Performance without positioning is noise. Branding without conversion is vanity. Balance the two with strategy—not instinct.”

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Key Takeaway

If your startup is just getting started:

1. Define who you are (branding).
2. Build trust with stories and purpose.
3. Then, run ads that convert.

It’s not branding vs. performance—it’s branding before performance.