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CPA Profit – What on Earth Does it Mean?

2011 May 14

I am confident that if you are going to this page, you will be interested in CPA gateway. Simply put, arbitage stands for an attempt to make money from a price difference of an action taken on different markets or platforms. In the case of Cpa arbitrage all this means is that you, the affiliate, act as an agent buying visitors (example: search engines like google) for just one price then selling it back — as leads — to the system for a higher charge. Baffled?

Don’t be concerned it’s simple:

If you are hunting for best deals and opinions on this topic, than please visit ad publisher. Let us assume you are promoting a Cost per action offer. You go out there, buy visitors for that particular offer and get it converted at a lower price money than the offer pays. If you’re successful in doing so, you generate the distinction between what are the network will pay for contributing and also the price you paid to get contributing (conversion).

Here’s an example: An X offer will pay $5.00 per business lead. You start a PPC campaign and buy traffic for, let’s imagine 0.25 cents per each click. Now let us assume only 1 out of 10 clicks converts. What’s your own cost per conversion (lead)?

Cost per conversion: 10 clicks @ $0.25 ea. = $2.50

Your Profit: $5.00 – $2.50 = $2.50

Here is what you have done: You took an offer that pays $5.00 per conversion. You purchased visitors and got a conversion that cost you $2.50. That conversion (business lead) you sent (sold) to the network that paid you $5.00 for that trouble. That’s exactly what Cost per action profit stands for; profiting from the difference between the purchase and sell price on two different markets.

Whether they know it or not, all affiliates who promote Offers of cpa marketing are traffic brokers. They buy visitors at a certain charge then sell it back (in the form of a lead) for, hopefully, a higher price. They all engage in Cost per action Profit. The idea here’s to buy (traffic) low then sell (leads) high. To maximize your profits you must find ways to pay less than possible for your own visitors. PPC is only one of many other approaches you can take to advertise CPA offers. The smart affiliates go way beyond paid traffic. They’re going where visitors are free. For a lot more data and best evaluations, please pay a visit to ad publisher.

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