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seopharmacy
Joined: Feb 27, 2006
# Posts: 9
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Posted: 09/21/2006 05:20 am
Hi, guys.
Just a look at the problem from the side of an affiliate program. Definitely, we prefer to pay on the "per sale" basis. Otherwise very soon you will be cheated by some dishonest partners who'll be generating absolutely worthless traffic. So, you'll have to pay less for all clicks, including those which are good. This way what economists call "adverse selection" is being created.
But maybe there are some strong pro-s for the Pay Per Click system?
Can you share your experience with both?
Best regards, Seopharmacy
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Hampstead
Joined: Feb 20, 2001
# Posts: 1996
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Posted: 09/21/2006 05:26 am
I would opt for "Pay Per Sale" every day!
If only Google would do this with AdWords.
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SportsGuy
Moderator
Joined: Aug 30, 2002
# Posts: 3595
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Posted: 09/21/2006 06:27 am
Only pay affiliates for sales they generate - it's that simple.
No sale, no payment. You WILL get scammed otherwsie.
Now, if you're only developing leads, that's different. Then it's pay per qualified leads (you clearly list the requirements - if the leads hits it 100%+, you pay out, otherwsie, try again.).
Sorry to say this, but there's no room to be "nice" when running an affiliate program. Nice comes when they reach $10,000 a week in sales for you and you cut them another point or two on their commission.
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flyingrose
Moderator
Joined: Oct 30, 2003
# Posts: 3361
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Posted: 09/21/2006 02:00 pm
There is a good reason why PPC is more common than CPA at this point. Most sites are so poorly designed and convert so badly that CPA would not really be fair to the PPC engines. They should be compensated for sending quality traffic.
Google is said to be beta testing Adwords Cost Per Action.
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