What is CPA marketing?
CPA (Cost Per Action) marketing is an online advertising model where advertisers pay for a specific action taken by a user, such as signing up for a newsletter, filling out a form, downloading an app, or making a purchase. This action-based structure makes CPA marketing a popular strategy because advertisers only pay for actual results, rather than impressions or clicks that may not convert.
Here’s how CPA marketing works:
- Advertisers and Affiliates: Advertisers are companies or businesses that want to promote a product, service, or offer. Affiliates (also known as publishers) promote these offers on their platforms, which could be a website, blog, social media, or other digital channels.
- CPA Networks: CPA networks act as intermediaries between advertisers and affiliates. They offer a wide range of CPA offers for affiliates to promote. Examples of CPA networks include MaxBounty, PeerFly, and CPAGrip.
- Payout Structure: Affiliates are paid only when users complete the specified action, which could vary from a sign-up or survey completion to a sale. CPA payouts can range from a few cents to hundreds of dollars, depending on the difficulty of the action and the industry.
- Advantages of CPA Marketing: Since advertisers only pay for actual conversions, CPA marketing often has a high ROI. Affiliates also benefit, as they earn income through performance-based promotion.
- Common CPA Offers: These include email submits, trial offers, app installs, and survey completions, which are relatively easy for users to complete.
