| If you are like most Internet marketers, you've probably | | | | Survey |
| heard about pay-per-click (PPC), but what is CPA? | | | | Maybe they are running a survey and want to get |
| Sounds like some sort of certified public accounting | | | | more input. They can add that action to their CPA, and |
| network, doesn't it? It's actually a type of advertising | | | | maybe collect emails at the end. |
| network, similar to how affiliate networks operate, but | | | | Subscriptions |
| instead of basing the payout on clicks or sales, they | | | | You can also get paid if someone signs up for a |
| offer a payout based on cost-per-action (CPA), where | | | | subscription, like a newsletter subscription. |
| you get paid for leads you generate to their site that | | | | Expect To Hear More About CPA Networks |
| perform a particular action. | | | | If you are an advertiser and you devoted a lot of time |
| CPA-based advertising models are also known by | | | | to generating a PPC campaign only to find out how |
| other names. Sometimes you will hear them referred | | | | people were gaming the system with click fraud, you |
| to as “cost per acquisition.” The acquisition is | | | | are probably not too happy with this model now. The |
| either a sale or some type of information the | | | | truth is that click fraud does take a chunk out of |
| advertiser is wanting before they will credit the | | | | advertising revenues and produces very little benefit |
| publisher. Another term for CPA is pay-per-action too, | | | | for the advertiser. In a PPC model, after all, the visitor |
| in that publishers get paid per some action that a visitor | | | | may have landed on their website, but they may not |
| takes on an affiliate's site. Either way, they are still | | | | have bought anything or signed up even for an email |
| referring to the type of advertising model that requires | | | | list. So, they essentially never even entered the sales |
| some action to be performed by a website visitor | | | | funnel, which starts by knowing something about your |
| before payment is credited to a publisher. | | | | visitors, preferably their email address. |
| If you haven't heard about CPA networks, don't feel | | | | That's why many advertisers are actually shifting more |
| bad. They are just starting to heat up in the past few | | | | towards a CPA model, because it at least gives them |
| years. Estimates say that traditional affiliate programs | | | | a benefit that they can measure versus the cost of |
| that offer a PPC or pay-per-sale model take up about | | | | the program. In PPC models, advertisers spent quite a |
| 80% of current affiliate advertising programs. Only | | | | bit of money only to find out later that click fraud |
| approximately 20% of advertisers are opting for CPA, | | | | meant they may never have had as much traffic as |
| but that is swiftly changing. | | | | they thought. It might have been the same person |
| Is It An Affiliate Program? | | | | harvesting clicks to get paid by abusing the PPC |
| It is a type of affiliate program that works like other | | | | models. This is a real problem for advertisers, so many |
| affiliate networks with one notable exception: they pay | | | | have decided it is better to pay out for the lead than it |
| for the action, not the click. Networks offer a meeting | | | | is to pay out for a click. And, a lead can be a sale too, |
| place for advertisers and publishers, just like a | | | | it all depends on what the advertiser wants,either way |
| traditional affiliate network, and payouts are done | | | | you make money online. |
| based on a cost-per-action (CPA). The advertiser in | | | | This type of program is far more controllable and |
| the CPA program will set up a payout for a particular | | | | quantifiable from the advertisers’ perspective and |
| action and publishers can sign up for that offer or not. | | | | for that reason it's gaining in popularity. If it were just |
| So, you have the same components of a typical | | | | the advertisers that were benefiting, you might still find |
| affiliate program: publishers and advertisers. | | | | that CPA networks weren't going to be that popular in |
| However, they are usually not exclusive to advertising | | | | the future. But, actually, there are other reasons that |
| a particular product or service sales promotion, but can | | | | also make this model a good choice for publishers. In a |
| also advertise a survey, a contest, or an email list | | | | CPA model, the payouts can be better than the PPC |
| signup. There are many forms that the action can take | | | | models and they are far easier to get. The CPA |
| and we'll go over a few of them here. | | | | payout can be between $1 and $50, depending on the |
| Types Of Actions | | | | offer. Since the traffic converts in a higher ratio for |
| A sale | | | | CPA models versus pay-per-sale models too, it can |
| Yes, an action can still be outlined as a sale, and these | | | | lead to a bigger paycheck. |
| would mean more effort, but probably for a higher | | | | These models are so easy to implement for the |
| potential payout. | | | | Internet marketer, that they don't even need a website |
| Fill in a form | | | | to do them, unlike all the other models. As can be seen, |
| Maybe there is a particular form that an advertiser | | | | the benefits to both the advertisers and publishers, will |
| wants filled out in order to credit the publisher. This can | | | | mean that we will be hearing more and more about |
| be anything from an email signup to a more detailed | | | | these types of affiliate programs in the future. |
| form that takes in a lot more information. | | | | |