Why CPA Should Replace PPC Programs - Cost Benefits to Advertisers
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PPCs do benefit the medium, in this case search engines and web sites. They put advertisers where the eyeballs are; advertisers get clicks, and pay for clicks. As an advertiser, the more clicks you get, the more you pay. But search engines and publisher web sites do not care with PPC if you make a single sale (that is your business). With pay per action, your health is their health, and you discourage automated websites that do nothing except serve as glorified doorways.
And no longer will Yahoo threaten small websites with small SEO budgets by way of their infamous "pay for inclusion/pay per click" packages. Now small web sites can competitively get the same key word and advert positioning as big businesses. With CPAs, advertisers will be able to get unparalleled exposure at a fraction of the cost. This will also reduce business websites' overall dependence on SERPs.
Increased email marketing is a feature for which the businesses that focus on pay per action will have to prepare. In order to generate leads, their referrer sites pre-sell visitors, and their services.
So how will all this benefit the search engines, or the publisher web sites?
Higher PricesThe laborer is worthy of his/her wages. If the search engines and the web sites are going to do more work, then they should be richly rewarded. Rental fees for each lead generated on a quarterly or a yearly basis may be required. If the action required is a sale, then a percentage of the sale instead of a fixed price could be standard.
The publisher web sites will have to actually provide some content; I have seen some sites that just have links and ads by Google.
PPCs are successful, but there must be a better way. CPAs enable effective advertising with less policing, and maybe, more money all around.
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