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The owner of any business is always looking for the most profitable and effective ways to promote their product. Therefore, advertisers are increasingly interested in the possibilities of affiliate marketing. The market of which is dynamically developing from year to year.
The interest of advertisers is explained by significant benefits for the business owner. They can accurately plan the budget and forecast costs, formulate requests for targeted actions and a list of allowed traffic sources, and pay for a specific result.
However, promoting a product through affiliate marketing makes the advertiser face a choice between launching their own affiliate program and working with an existing CPA network. In this material, we will analyze all the advantages and disadvantages of these promotion models.
How does the CPA network work?
Before using traffic affiliate marketing to attract an audience. You need to understand the features and principles of CPA affiliate programs. If an advertiser has their own program, two main parties are most often involved in it – the business owner and the affiliate. When you work with a CPA network, a third party appears – an intermediary between the advertiser and affiliates.
In both business mechanisms, it is possible to create a list of conditions for cooperation. First of all, the advertiser determines the amount of remuneration. They are willing to pay for attracting targeted traffic to their site. Most often, they use a percentage of the profit of the owner of the company. But sometimes the advertiser can pay a fixed amount.
It also depends on the business owner in which countries their product will be promoted. What action will be considered the target and what traffic channels affiliates will be able to use? For this reason, they compile a list of allowed and prohibited sources. When an offer is formed, affiliates join its promotion and drive traffic to the site. The advertiser can use statistics to pay for confirmed targeted actions. Whether it is placing an order, paying for a product, or filling out a registration form.
Your own affiliate program vs. CPA network
To decide whether to work with an existing commodity CPA network or create their own affiliate program. The advertiser needs to compare these two models in several important ways.
1. Speed
It takes a lot of time and effort to create CPA affiliate programs. The development and launch of the platform, the search for qualified personnel, and the establishment of all processes. And the promotion and involvement of affiliates – each of these tasks require attention. The launch of work with the CPA network is much faster. Because all the tools will become available to the advertiser. After signing the contract and adjusting technical settings for data exchange.
2. Affiliate attraction
Creating an affiliate program from scratch involves an independent search for affiliates. Given a large number of affiliate programs on the market, attracting good specialists will require regular promotion costs. Existing networks usually already have a lot of proven affiliates and effective mechanisms for attracting new specialists.
3. Traffic quality control
In its affiliate program, the advertiser is responsible for traffic quality control, which may also require regular costs. There are many risks in this area, and most CPA networks have a quality control department that helps to weed out low-quality traffic.
4. Program changes
Your own affiliate program allows you to make changes to it fast, adjusting to the realities of the market. However, it is worth noting that modern commodity CPA programs are also very flexible and always listen to the wishes of the advertiser for the most mutually beneficial cooperation.
5. Individual conditions for affiliates
An advertiser can offer affiliates favorable conditions for attracting them to their own affiliate program, but these conditions will also have to be negotiated individually with each affiliate. Existing networks usually take on these tasks.
Why do brands choose the CPA network?
Comparing the two models of cooperation in affiliate marketing, most advertisers still choose to work with existing CPA affiliate programs. The main reasons for this are as follows:
- Significant budget savings – the business owner does not spend money on platform development, the work of a large team, and the promotion of their own affiliate program.
- Interaction with thousands of affiliates – the CPA network provides access to cooperation with many experienced and trusted specialists at once.
- Budget control – the advertiser can anticipate the cost of attracting an audience and significantly increase profits due to a stable flow of traffic.
- Time-saving – the affiliate network takes care of most of the tasks related to the promotion of offers, interaction with affiliates, and traffic quality control.
- Professional support – the advertiser can count on the advice of managers and assistance in promoting their product.
Thanks to these benefits, working with affiliate networks helps you increase sales, grow your business, and at the same time save a huge amount of resources.