The dark side of CPA (cost per action) deals.

Latest posts | Feed | By Mark Brownlow

For those unfamiliar with the term CPA or Cost Per Action, it's where the advertiser pays a fee to whoever is displaying their advertisement only when someone viewing this advertisement undertakes some kind of action.

Example actions include a white paper download, newsletter sign-up or a product purchase.

There are lots of pros and cons to this approach, which is the basic model used by the multi-billion dollar affiliate marketing industry.

In email marketing, you can get affiliates or list owners to promote products or services on your behalf, and pay them on a CPA basis. A risk-free way of advertising you might think.

Not so.

Ken Magill explains why the CPA model encourages the people sending out the email to behave like spammers and how this can have disastrous consequences for your brand and the effectiveness of your own marketing emails.

Permalink | July 19, 2006 | 0 comment(s)
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