Affiliate Marketing / CPA Advertising

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Brainstorm New Media - Asheville, NC

Affiliate Marketing (or Cost Per Action) has fast become one of the largest advertising outlets on the internet. Whether you're interested in running a small, locally-based affiliate program or a large, multinational program spread across thousands of sites, Brainstorm New Media can create and manage professional affiliate marketing campaignsm specifically tailored to your e-commerce strategy.

What does "Pay-Per-Action" (PPA) or "Cost-Per-Action" (CPA) mean?

"Cost Per Action" (PPA) marketing is an evolutionary followup to the web's largest advertising channel, PPC (Pay Per Click). PPC and CPA are very different marketing methods. CPA works to the advertisers advantage because instead of having to pay for each click and then having to worry about having proper conversion rates to produce a decent ROI, the advertiser must only decide what he is willing to pay for each "action". An "action" may be the sale of a product, an email newsletter signup, or a lead generated. The advertiser determines the "per-action" price, which remains constant. An appropriate "per action" offer price is determined by many factors, including competition, market conditions, publisher needs, and much more. The obvious correlation to the price per action being offered is simple - the more you offer, the more publishers will pick up your offer.

How Does Affiliate Marketing Work?

Affiliate marketing requires constant management and attention. On a small scale, this requires diligent bookkeeping and reconciliation to make sure that all publishers are being paid on time, all sales or actions are validated before being commissioned, new publishers are constantly being recruited, and much more. Publishers generally require a statistics package through which they can track their commission from your site, which we can easily build and install. Payments to publishers are generally made on a monthly basis, after all sales have been reconciled, generally 7-10 days into the following month.

Affiliate Marketing Networks

While it is more cost effective to manage an affiliate program independently on a small scale, when your campaign reaches the need for hundreds or even thousands of affiliate publishers, it is time to enlist the help of an affiliate marketing network. These networks function very much the same way as described above, except that they actively recruit publishers on your behalf. For this service, a small fee is charged, generally a percentage, on each "action". The benefit of increased traffic from reaching this type of publisher network, combined with a corresponding decrease in fixed costs, far outweighs the variable cost increase. Some of the bigger players in this market include Google, Commission Junction, and Linkshare.

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