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A pay-for-performance model (e.g. pay per sale) eliminates all the risk for advertisers. Does this exist anywhere, aside from affiliate deals? I'd be happy to
by mgav 6y ago
A pay-for-performance model (e.g. pay per sale) eliminates all the risk for advertisers.
Does this exist anywhere, aside from affiliate deals?
I'd be happy to pay 50% for each digital product sale, since those are 96% profit.
- PopeDotNinja 6y agoYou just described affiliate marketing. For example, sponsored content on YouTube => https://youtu.be/kUFWalEf31w?t=572 https://youtu.be/kUFWalEf31w?t=572
- Spivak 6y agoYeah, but affiliate marketing is a pretty raw deal for the person doing it because they carry all risk. It's just a job working in sales for other companies but without benefits. There needs to be some adjustment for "your marketing/product is shit and will therefore be much harder to sell."
- tonyedgecombe 6y ago>I'd be happy to pay 50% for each digital product sale You will have to when the advertising network figures out the value of a sale.
- Macha 6y agoAdtech companies don't really want to be held responsible for the effectiveness of your advertisement or the conversion rate of your landing page. When such models exist (called CPA or cost-per-action usually), there's a significant premium attached for that risk. Most advertisers don't want to pay that premium.
- summerlight 6y agohttps://support.google.com/google-ads/answer/7528254 https://support.google.com/google-ads/answer/7528254 Google has a such product but I think it is nowhere close to the majority of ad spending. A part of the reasons is that it needs campaigns' conversion volumes to be above a certain threshold (so their model has a reasonable amount of training data) while advertisers may exploit the system by not reporting legitimate conversions. So Google requires them to be eligible by some unknown criteria.