Affiliate Marketing - Some Facts 2

Nowadays almost eighty percent of Affiliate programs use revenue sharing or cost per sale (CPS) as a reward system, nineteen percent use cost per action (CPA), and the rest of the programs use different methods like cost per click (CPC) or cost per mile (CPM).

Usually, cost per click and cost per mile are used as a reward system, with a great deal in display advertising and paid research, but in further mature markets, about one percent of fixed affiliate marketing programs use cost per click and cost per mile.

Cost per mile needs only that the publisher display his advertising to his visitors on his website to get the commission. Cost per click needs an extra step in switching procedure to produce reward for the publisher: the visitor must click on the advertisement to go to the advertiser’s website not only respond to the advertisement.

In the very beginning of affiliate marketing, cost per click was more popular, now it is reduced because of cheating. Although these examples had been reduced in the mature e-commerce and online advertising markets they are commonly used in the growing industries, but for example in China Affiliate Marketing , obviously they doesn’t follow the same pattern of the West as most of the affiliates are paid “cost per Day” and some networks use cost per Click or CPM.

It’s not a very big deal in the case of cost per mile/click whether the visitor is a member of the clients or viewers that the advertiser tries to focus on, as the advertiser has already get his commission, but the great threat and failure is that the visitor or the viewer cannot be converted.

As for the cost per action/sale, the mentioned viewers or clients must go further than visiting the advertiser’s website before the affiliate gets his commission. The advertiser must start with converting the viewer or the client.

The most excellent way for the interest of the affiliate is to drive the most near objective traffic to the advertiser likely to enlarge the possibility of a conversion. In this case the risk and loss are mutual between the affiliate and the advertiser.