Tuesday, July 12, 2011

UNDERSTANDING AND MAKING MONEY WITH CPA


CPA stands for “cost-per-action” offers where a user fills out a form or downloads
software from an advertiser. These forms can range from a single email submit
(free laptop offer) to a much longer form with multiple fields (life insurance
offer). Downloadable software could be for items such as toolbars, screensavers
or emoticons. CPA Advertisers generally payout
anywhere from $0.25-$3.50 for a single email submit, to as high as $140 for a longer form. What makes promoting CPA offers so attractive is that the user generally does not have to buy anything and is just required to enter their personal information. Once they complete the lead, you earn a lead commission.
 In doing cpa, there are three parties involve, they are the cpa network, the advertisers and the publishers each playing its specific role which is of the mutual benefit of the three parties.

HOW DO THEY WORK
The first among the three party is the cpa network, which work as middlemen between advertisers and publishers. They host CPA offers from their advertisers and then have their publishers (affiliates) push the traffic to these CPA offers and take a percentage of
the lead value. For example, an advertiser may pay the CPA network $5.00 for every lead generated on the network and the CPA network may pay a publisher only $4.00
for every lead generated taking a $1.00 commission cut. This is how the CPA networks make money. Once you login to a CPA network, you have the ability to browse through these CPA offers and decide which one that you would like to promote. For each
individual offer, you will be provided with a unique affiliate ID to promote that
offer. The CPA network controls all the tracking of leads and commissions on
your behalf. The nice thing about working with a CPA network is that you receive one check from the CPA network for all the commissions that you have generated rather
than multiple checks from multiple advertisers. The number of offers that a CPA network has to offer varies from network to network with some CPA networks having over 1,000 different offers to choose from in various markets (verticals).
CPA networks generally have text, email and banner ads that are already created
and ready for you to use. In my experience, using the banner creatives from a
CPA network does not perform as well as using your own banners because they
are poorly designed and get a low click-thru rate. A good banner is one that does not look like an advertising banner. That is why text banners generally have a better click-thru rate. The CPA network tracks all your affiliate data (impressions, clicks, leads,
commissions, etc.) and then sends you a check at the end of the month for the
Commissions generated. The first step to joining a CPA network is to fill out their publisher application to get started. This application goes through a review process and the network decides whether to accept or reject your application.
  
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