Yesterday (in STM) I read about somebody's experience of promoting a low-price offer; they were pleasantly surprised to find that the sales volume more than justified the advertising costs involved - via zeropark, if I remember correctly. Unfortunately I can't find that thread again now, so I am hoping that someone from this forum will be able to enlighten me.
What I have in mind is a $7 offer; I have shied away from advertising however, thinking that the costs would simply be too great. If the low price bumps up the conversion rate however then I could be very interested!
Does anyone here have some insights into this aspect?
Thanks ...
Richard Prosser
The payouts always reflect the conversion flow, the harder/longer/more complicated it is, the bigger the payout per lead will be. Simply because the lead is more qualified, better targeted and it takes more clicks for it to happen. It is also based on the ability to actually monetize such a lead by the advertiser and what is the expected value of such a conversion. So leads in wealthy countries will be way more valuable than leads from Africa for example.
To put this into perspective, a Single Opt In lead in India has way lower value than a Credit Card submit lead in Switzerland. But obviously, it is way easier to get a SOI conversion than a CC submit, needless to mention the traffic price difference.
When thinking about payouts, you need to keep in mind that the whole affiliate business is based on the auction model - We bid for traffic. With so many people involved, the traffic prices simply reflect how much $$$ it is possible to make from that traffic. In GEOs with lower paying offers, there will be lower traffic prices and vice versa. We can only pay so much for the traffic and we can only push offers that provide decent returns.
When comparing offers in ONE GEO, it will always be easier to get conversions with low paying offers, because of the simple flow. That's why we always recommend to try low paying offers to new people, there will be more conversions for lower amount of $, which is much better for learning purposes.