CPA marketing is considered one of the most profitable and effective ways to advertise and promote products, but this model is not suitable for all companies. Let us discuss how CPA advertising works and who really benefits from using promotion in this network. For more details, visit https://www.imonetizeit.com/
What Is CPA Marketing?
CPA marketing is a cooperation model in which a company attracts a partner to promote and advertise its product not directly but through an intermediary and pays only for a specific action performed by the client.
The company chooses the type of target action itself:
- Lead, that is, the client filling out a form with contact information.
- Installing an application or program.
- Placing an order or purchasing a product.
- A call to the company.
- Callback order.
- Viewing a specific page or block on the site (price, catalog, banner, etc.).
The CPA advertising system includes three participants:
- Advertiser – a company that wants to use the services of a partner to promote a product.
- Partner – a webmaster or agent who has the resources to promote someone else’s product.
- CPA network is an intermediary or aggregator that places advertisers’ offers on its service, finds partners, and ensures honest cooperation between the two parties for a commission from the order amount.
How Does CPA Advertising Work?
The CPA marketing model is beneficial to all its participants:
- The advertiser wants to find a partner to promote products and draws up an offer with a detailed description of the conditions. The company describes its product and target audience, selects the target action for which it assigns a reward, and determines the period of the advertising campaign, permitted and prohibited methods, and channels of promotion.
- The advertiser contacts an intermediary (CPA network) to place an offer. Sometimes, CPA networks themselves look for companies that want to place an offer for advertising.
- The CPA network places an offer on its service, searches for a suitable partner, and sends data for advertising. In addition, the intermediary analyzes the work of partners, monitors the quality of the traffic (that is, whether the client and the target action are real), and weeds out scammers and unscrupulous contractors. It also controls the timeliness of payment, helps to choose the most beneficial target action, and resolves conflicts between the parties.
- The partner receives an offer and launches an advertising campaign through authorized channels using their own resources. These can be websites, blogs, social media accounts, mailing lists, contextual advertising, pop-up banners, video ads, and any other channels and methods of promotion.
- A potential client sees an ad on a partner site and takes an action. The advertiser receives a real client, the partner receives a reward, and the intermediary receives a commission.
CPA advertising is suitable for B2C and promotion of a mass product with a wide distribution area. The price of the product must be competitive; the advantage will be the presence of bonuses for the client. It is also worth considering the timing of the campaign: it takes at least three months to get results from CPA advertising.
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