Posted on April 7th, 2009 1 comment
Continuing with my series of blog posts on various acronyms (revenue / compensation models) that are popular in the online ads world, let’s get into a bit more detail on CPA (cost per action or acquisition).
CPA (cost per action) is a model that is somewhat similar to PPL (pay per lead). In CPA, the payment terms are based on people (potential customers) visiting the website of the advertiser and taking some action on the website. There are various actions from which one or more might be solicited from the visiting user / customer. The advertiser will incur a cost under the CPA model only if the user takes the expected action. The example of actions that might be required from the user:
Asking the user to fill a form or participate in a survey or provide some other information
Getting the user to sign-up or enroll for the service
Asking the user to subscribe to a newsletter or email series
User buying a product or service that is being offered by the subscriber.
These are just few examples only; and you might as well have the advertiser looking for some other action.
A lot of advertisers, however, use CPC or CPD based advertising programs e.g. Xoole Adpost (http://xoole.com/post.php). Xoole Adpost helps you reach the target audience at a very minimal cost. And to add more to it, you can just use the promo code PROMBG to get a sign-up bonus of $50 advertising credit on Xoole Adpost.