As the global business news informs, affiliate marketing is among the most popular and cost-efficient ways of promotion. Recently cost per action (CPA) affiliate networks have also risen to prominence. As CPA marketing is performance-based, publishers get paid for the particular business results – sales, leads, conversions.
With cost-per-action affiliate networks, business owners can maintain high ROI while creating opportunities for affiliates. Unlike the other types of advertising that don’t guarantee a sale, CPA marketing allows businesses to pay affiliates at a set rate and only after a target action occurs. So, for business owners, CPA marketing may be the most cost-efficient form of promotion. And for influencers, media buyers, and other affiliates, it is an effective way to monetize their traffic.
This Login Casino article breaks down the cost-per-action marketing model. Keep reading to know how to select the best CPA network in the modern market.
What is CPA affiliate marketing?
CPA marketing is a type of affiliate marketing, where a publisher gets paid each time a customer completes a specific action on the advertiser’s website or app. Depending on the target action, CPA affiliate programs fall into several categories:
pay per install (PPI) or cost per install (CPI), where an affiliate gets paid each time viewer downloads a piece of software;
cost per lead (CPL) – an affiliate gets a commission for each submitted email;
cost per sale (CPS) – one of the most difficult conversions to make.
Every CPA model has the following key elements:
Advertiser, or the brand that wants to drive traffic to its website, boost sales, conversions, or generate leads;
Affiliate (or publisher) is the marketing specialist that promotes the business of the advertiser for a commission;
CPA network is a platform that connects an affiliate and an advertiser.
What about commission rates?
The most important questions for every advertiser and publisher are the payout rate. According to the Google AdWords research, the average cost per action rate is $59.18 on the search networks and $60.76 on the display networks. The education ($42.13), real estate ($41.14), and advocacy industries had the lowest CPA commission rates. Legal ($135.17) and health ($126.29) sectors, at the same time, are the highest-paid.
Affiliates can promote products on the CPA basis in two ways:
Sign up for an affiliate program of a particular company;
Join an affiliate network and partner with multiple brands across different GEOs and verticals.