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CPA Marketing – Affiliates Action Plan

Tuesday, January 26th, 2010

Many corporations entice new customers to them by advertising online a variety of samples, free trials, and product offers. These advertisements usually require the potential customer to submit information, such as a zip code or post code, e-mail address, or more information depending on the worth or complexity of the offer. Cost Per Action (CPA) marketing involves the affiliate (you) promoting these corporate offers to many potential customers, and in return you are paid a commission depending on the action taken by the customer e.g. submitting a zip code or email address.

Essentially the affiliate (you) gets paid whenever a visitor clicks on the ad on your site AND performs a specific action, such as generating a lead or making a purchase. The affiliate will try to send traffic to their website, and if the visitor fills out a form with the required information and clicks submit, the affiliate is paid a commission (the size of which depends on that particular offer and what CPA network they’re working with).

The purpose of the affiliate is to generate traffic towards their preferred CPA offer, and they earn a commission based on whatever “action” the advertiser has stipulated, e.g. enter an e-mail address or a zip code. The CPA network itself also makes its money via commission. So, when you’ve signed up to a CPA network yourself, you can take a look through all of the different CPA offers and decide which ones you’d like to promote. Once you’ve selected an offer, the CPA network will provide you with a unique affiliate ID in order to promote that offer. This enables them to track all of your affiliate data, such as impressions, clicks and leads, so that they can work out how much commission you should receive on each offer.

There are many online business models that are highly profitable for affiliates, and some that have remained in the background due to the fuss that has surrounded Google AdSense, Google AdWords and traditional affiliate marketing.

CPA is considered to be one of these “hidden treasures”, until now that is! Clearly, providing leads (potential customers) is much easier than selling products. It is far more profitable than other online advertising models, and generally speaking CPA can be used with the vast majority of websites. In truth, CPA is where big money changes hands, because the large companies will spend millions to get new customers, and there are a lot of big players in this game.

More and more online marketers are now discovering the advantages of the CPA system. Indeed, for the direct response advertiser in particular, CPA is now considered to be the optimum method of buying and selling online advertising. Promoting CPA offers is so attractive because the customer generally doesn’t have to buy anything. Instead, they’re just required to enter some personal information, and once they complete the lead, YOU earn commission.

Additionally the advertiser ONLY pays for the ad when the required action has occurred, whereas previously they may have been paying for newspaper ads or Google AdWords clicks, both of them upfront costs to the advertiser. This means that advertising revenue is never wasted. The money that an advertiser spends has a guaranteed success rate, and how often can that be said? And the really good part is that ordinary people like you and me can get paid just for making sure the action takes place!

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