What is CPA, and what does it stand for? “CPA” stands for Cost Per Action. In simple terms, an affiliate program may offer a CPA deal, where you send the vendor leads from your customers. You don’t actually sell them a product; you drive traffic to your offer and send that traffic straight to the vendor after collecting vital information about that customer.
What is CPA Marketing in General?
What is CPA marketing? When you add a CPA form to your website, you’re promoting a specific product from a vendor. This might be an offer for a free trial of acai berry juice for weight loss, or a reduced price offer for a membership to a website.
This form usually asks the customer for their name, address, email, telephone number and maybe even a credit card. Sometimes the product itself is free, but the customer may have to pay shipping. This information is all available on the form itself, which contains all the details in the fine print.
Once you send traffic to the vendor, you no longer have to worry about the customer. Your job is only to make the website – and the offer – look attractive enough for the visitor to submit their information. Once they do, the vendor will pay you the agreed upon amount of money for the lead.
What is CPA, and How Much Money Will I Make Per Lead?
But what is CPA as it relates to lead costs? Lead prices differ across the board depending on how much the vendor believes the potential customer will be worth in the long run. For example, if the offer is for a Russian dating website, chances are that the lead price is pretty small, like in the $5 range.
But if the lead promotes a more expensive service, such as an auto insurance quote or an expensive website membership, you might get paid more than $10 per lead. In some cases, leads might turn into a commission on a product. For example, if you send a customer to a vendor for a $7 lead, then you make $7 instantly. If they end up purchasing the advertised product from the vendor, you might make a percentage of that product price, depending upon the terms the vendor outlined in the offer.
Examples of CPA Products
What is CPA as it relates to niche selection? Can I stay within my niche when I choose to do online marketing with CPA? The answer is yes!
CPA offers are available for a wide range of niches. Dating is one of the most popular CPA niches, as most dating sites offer monthly memberships. Some pay fairly decent money, too.
Insurance quotes are another hot topic. Oftentimes it’s for car insurance, and these sometimes pay out in the $7 to $10 range.
Smaller ticket items, like ringtones and music downloads, generally pay less than $7 per lead, but more than $4 per lead. But again, it all depends on the vendor and how much their overall product costs. They won’t pay more than they can afford, or the CPA offer will be short-lived.
It’s time to get started on selecting a CPA niche! This guide should hopefully answer your basic “what is CPA” questions so you have a good idea of where you should go from here.