Pay per action or affiliate program?
The affiliate network “Where is the Elephant?” Starts a series of publications of foreign materials on affiliate marketing. The articles will highlight the methods of selection and evaluation of the effectiveness of products, new technologies of promotion, technical aspects of the organization of the partner business.
Affiliate marketing in Russia is only gaining momentum, while in the West partners make 30-40% of online sales. Competition begins to appear on the Internet commerce market in RuNet, therefore it is possible to predict a jump in the partner market in Russia in the near future.
Today we talk about the differences in pay per action and payment for sales.
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The article is published on the materials of the online magazine Feedfront.com
There is a common misconception about online marketing that the pay-per-action method (CPA networks) and affiliate programs (affiliate networks) are one and the same.
Apples or oranges?
As the name implies, online marketing for pay-per-action (Cost per Action (CPA)) is interesting for online advertising campaigns, where the user is expected to take some action, such as filling in an online questionnaire with personal information (name, e- mail), logging in, subscribing to the newsletter, downloading files, watching videos. Therefore, Cost Per Action in its pure form is not directly oriented to making a profit and is more suitable for advertising campaigns for generating leads or free trial offers, as well as for websites whose monetization scheme is based on a user database (dating sites, online games).
Affiliate networks are intermediaries between sellers and partners, the most popular format for organizing affiliate programs abroad. The product offered by the seller is integrated into the partner network, where then the most suitable ones are selected for it in the partner database, with traffic targeted for the promotion of such goods and services. The promotion of goods by partners is implemented according to the payment model for the sale, that is, the partners are paid a percentage of each purchase made through the network. At the same time, within the partner network, you can usually organize and advance according to the pay-per-action model.
We need volume
It is important for the seller to understand that the partner networks are not partners as such and do not participate in any affiliate program as partners. They provide your product for promotion in their database of partners. At the same time, an increase in the volume of traffic and sales does not necessarily follow immediately after being placed in the partner network, at least not immediately. CPA-campaign can lead to a significant and rapid increase in traffic, it is possible to hold it in just 48 hours, from start to completion. Sales growth is usually delayed by 1-2 months from the date of placement in the affiliate network. Compared to such features of CPA, partner networks should be viewed as a longer-term collaboration, providing quality traffic and sales to vendors over a long period.
Yes, our statistics are correct
Tracking user actions in real time is very important for sellers. CPA networks most often insist that the ability to monitor in real time allows you to determine the number of targeted actions taken during the campaign. The partner network, as well as the CPA network, relies on real-time monitoring, however, the representative from the seller has the right to decide which of the operations in the submitted report are valid and which do not meet the requirements of the seller and are not payable.
We only superficially touched upon the differences between CPA and partner networks. Although both types of partnerships are of interest to sellers, it is important to define your goals before you start looking for a partner. Ultimately, this will have a positive effect on your business.
Affiliate marketing in Russia is only gaining momentum, while in the West partners make 30-40% of online sales. Competition begins to appear on the Internet commerce market in RuNet, therefore it is possible to predict a jump in the partner market in Russia in the near future.
Today we talk about the differences in pay per action and payment for sales.
')
The article is published on the materials of the online magazine Feedfront.com
There is a common misconception about online marketing that the pay-per-action method (CPA networks) and affiliate programs (affiliate networks) are one and the same.
Apples or oranges?
As the name implies, online marketing for pay-per-action (Cost per Action (CPA)) is interesting for online advertising campaigns, where the user is expected to take some action, such as filling in an online questionnaire with personal information (name, e- mail), logging in, subscribing to the newsletter, downloading files, watching videos. Therefore, Cost Per Action in its pure form is not directly oriented to making a profit and is more suitable for advertising campaigns for generating leads or free trial offers, as well as for websites whose monetization scheme is based on a user database (dating sites, online games).
Affiliate networks are intermediaries between sellers and partners, the most popular format for organizing affiliate programs abroad. The product offered by the seller is integrated into the partner network, where then the most suitable ones are selected for it in the partner database, with traffic targeted for the promotion of such goods and services. The promotion of goods by partners is implemented according to the payment model for the sale, that is, the partners are paid a percentage of each purchase made through the network. At the same time, within the partner network, you can usually organize and advance according to the pay-per-action model.
We need volume
It is important for the seller to understand that the partner networks are not partners as such and do not participate in any affiliate program as partners. They provide your product for promotion in their database of partners. At the same time, an increase in the volume of traffic and sales does not necessarily follow immediately after being placed in the partner network, at least not immediately. CPA-campaign can lead to a significant and rapid increase in traffic, it is possible to hold it in just 48 hours, from start to completion. Sales growth is usually delayed by 1-2 months from the date of placement in the affiliate network. Compared to such features of CPA, partner networks should be viewed as a longer-term collaboration, providing quality traffic and sales to vendors over a long period.
Yes, our statistics are correct
Tracking user actions in real time is very important for sellers. CPA networks most often insist that the ability to monitor in real time allows you to determine the number of targeted actions taken during the campaign. The partner network, as well as the CPA network, relies on real-time monitoring, however, the representative from the seller has the right to decide which of the operations in the submitted report are valid and which do not meet the requirements of the seller and are not payable.
We only superficially touched upon the differences between CPA and partner networks. Although both types of partnerships are of interest to sellers, it is important to define your goals before you start looking for a partner. Ultimately, this will have a positive effect on your business.
Source: https://habr.com/ru/post/111719/
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