Incentive vs Non-incentive (8)
Hi all,
I have been wondering, what categorize as incentive, and generally why networks don't accept it?
Let's say i ran a contest with fb with giveaways or sweepstakes, this method will increase conversion. But is it considered incent?
Yes that is incentivised marketing.
Networks don't accept it, because the advertiser is interested in the business that a new customer can bring them during that customer's lifetime. Someone who submits a lead form because they thought they may win an iPod is not valuable (and indeed would have negative value) for an advertiser trying to find customers for personal indemnity insurance policies.
Originally Posted by cmdeal
Or 2nd example : Stand a chance to get free coupon when you register for this membership site? (closely related)
I mean, an advertiser can do that, but not an affiliate?
Depends on how many actually concert as a long term customer. Usually the quality of this traffic is a tiny tiny fraction of the non incentived traffic.
You will see some advertisers from time to time allowing incentive traffic. But you will see that the payouts are very low. This is the reason. .
Incentivisation is basically where you give the user something - e.g. an eBook, download, money, etc. for doing the action that generates you a payout from the advertiser.
The root of the problem is that most people will be driven to register/sign-up to get the thing that you are offering, not the product/service that the advertiser offers.
Click here and sign up to who-gives-a-fuck service X and we'll send you a $10 movie coupon by email!
That's essentially what most users will see, and service X pays you for a user of very little value to them.
Different advertisers will have different strategies though - some may aggressively monetise low-intent users so can do incentivised leads at a payout cut. Other advertisers won't want to touch those kinds of leads with a 10-foot pole.
One area where incent can be very useful is in collecting email addresses to build a list. "Sign up to our list and you'll get BLAH free".
The key thing there, though, is to match the incentive you're offering to the list you're trying to build.
If you're trying to build a list for people who want to get cheap/free gadgets, then offering the chance to win a free iPad is pretty good. If you're looking to build a list to sell business insurance to, it's... not so good.
Earn $500 in a week? Is this headline considered incentive?
No.
Incent is specifically when you offer something of value, whether it be money, an e-book, in-game credits or naked pictures, in return for the user performing the action that gives you commission.
In other words, anything where they might do the action that generates commission, simply to get the reward you are offering.
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