Over the past ten years, Advertisers using the CPA (cost-per-action) business model have dealt with countless headaches and spent significant resources dealing with fraud and poor quality. Recently, emerging technologies have made it easier for Advertisers to tighten up their metrics and evaluate traffic on a much more granular level.
In the early days of CPA advertising, it was hard for Advertisers to determine which Affiliates were sending high quality traffic and which were sending low quality traffic. So they would set the payout somewhere in the middle, thus penalizing those Affiliates with quality traffic and rewarding Affiliates sending bad traffic. In some cases, the poor quality leads would outweigh the good quality leads and the Advertiser would inactivate the offer all together. Advertisers would do their best to mitigate this bad traffic by putting restrictions on their campaigns, such as email only or search only, but by doing so they could potentially lose out on profitable and high quality traffic sources.
Now that Advertisers are better able to measure their campaigns’ success on an Affiliate by Affiliate basis, it’s much easier for them to adjust their payouts accordingly. This is great news for all Affiliates…at least high quality Affiliates.
Working for a CPA Network, my job is to work with Advertisers and Affiliates to ensure both parties are profitable. Throughout my experience, producing high quality traffic is one of the best ways for Affiliates to set themselves up for a long lasting high payout. As a high quality Affiliate, it is essential for you to find an Affiliate Manager that is willing to go to bat for you and negotiate those higher payouts.
First, get approval to run a sought after campaign. When working with your Affiliate Manager, don’t give away trade secrets, but be as transparent as possible when sharing how you plan to market the offer. The better an Advertiser understands how you plan to generate leads, the more willing they will be to test your traffic. Another advantage to disclosing this information is that the Advertiser will sometimes suggest techniques that could help with your conversions.
Testing the offer is only half the battle, so don’t get caught up with getting the highest possible payout right away. Once the Advertiser knows your traffic quality, that’s when the real payout negotiations usually begin. Researching the campaign you are running and understanding the products and services in the Advertiser’s offer puts you in a far better position to negotiate the worth of a lead. There have even been instances where an Affiliate makes a suggestion to an Advertiser about improving the flow of their offer, dramatically increasing profits for both parties.
In the end, we all want higher payouts and sustainable profits. The CPA marketplace is getting more competitive, so be sure to work with Advertisers and promote campaigns that are catered to your marketing methods. Working with an Affiliate Manager you trust and promoting a product or service you believe in will be paramount to your success.
Doug Davis is the Director of Affiliate Relations at affiliate.com, a division of Media Breakaway, LLC