Best Affiliate Programs in E-Marketing
Today, the technology of web grows very rapidly. There is always new invention found almost every day to facilitate human life. The web technology supports all area of life, include business. One of the most popular usages of web technology today is in the field of advertising. There are many ways that people use to advertise their products and services by using the technology. One of the most influential marketing strategies by the web technology is affiliate program. What is affiliate program actually? And what are the payout models mostly used in best affiliate programs to support their programs? Just read more to find the answer.
What is Affiliate Program Actually?
Affiliate program is also often called as associate program. As the name suggests, the program is based on the association between the merchants and the website’s owner. In this kind of program, the merchants link somebody’s site (the affiliate) to their links. Then the merchants have to pay the link owner for that. But, when will an affiliate get his payment? Well, commonly the affiliate will be paid if there is actual sale made by the merchants as a result of the affiliate’s link. Both the merchants and the affiliate will get benefit from this relationship. It is because an affiliate will only be paid when website’s visitors do actual actions, such as making a purchase, filling out forms, or making a visit to the site after bringing the merchant’s advertising link on his site.
Payout Models Mostly Used in Affiliate Networks
Knowing the advantages both the merchants and the affiliate will get by using this program, there are lots of affiliate networks pop up now. Some of them offer interesting programs, include the payout models to ease the payment but still give benefits for both the merchants and the affiliate. So, what are the payout models are commonly used by the affiliate and merchants to support their affiliate programs? Just take a look at the following list to find out more about them.
1. Cost Per Sale (CPS)
Cost Per Sale (CPS) is sometimes also called as Pay Per Sale (PPA). This kind of payout model is the most favorite in best affiliate programs due to the benefits it can give to the merchants and affiliate. The CPA is usually low risk but high in profit and can attract huge number of new customers to buy the merchants’ products or use their services. The merchants give commission to the affiliate due to the site linked by them. Most merchants are fond to use this model since they only have to pay the affiliate after they get payment from customers who buy their products. It means that the merchants don’t need to spend money for up – front cost to the affiliate.
2. Cost Per Action (CPA)
The second favorite program is called Cost Per Action (CPA). It is a model of payout in which the merchants give commission to affiliate if there is actual action done by the referral. Those actions include form submit, impression, registration, click, and sign up.