Cost-per-action (CPA) marketing is a type of affiliate marketing which pays affiliates for every lead that completes a certain required action such as submitting an email address or zip code. Traditional affiliate marketing requires effort to persuade a visitor to buy a product you're promoting to earn you a commission, but it can be a lot easier to earn with CPA marketing because you won't need to sell anything. Companies that engage in CPA marketing often pay hefty sums, $20-$50 or more per lead, in return for sending a visitor who submits their information to the company. These companies can afford to pay such generous commissions in return for a lead who tries out a free offer because their marketing funnel is so profitable.

The first step towards making money with CPA networks is to get accepted by them. CPA networks do not work like Clickbank where all that is required to promote a product is an account. CPA networks are always on the lookout for skilled marketers who intend on following through with their campaigns, not deadbeat affiliates. Since most applications will look average, most will be rejected. If your application gets rejected, don't worry. Account managers have nothing personal against applicants, but they do get swamped with applications. If you do not have a track record with CPA, then you won't stand out from the crowd and will probably get rejected. The best thing to do in this case would be to personally contact the account manager and tell them how serious you are about following through. Chances are, you'll be approved because they'll recognize that you're serious from the fact that you made the effort to call.

Once you're approved by a network, you'll need to pick an offer to promote. Some offers convert better and others pay more per lead. Once you've picked a good offer, then traffic generation is the last piece of the puzzle that you'll need in order to start making money with CPA. If you want to test the profitability of an offer, try running some pay-per-click ads for it. PPC is good because the traffic comes very soon after you create your campaign. It is also good because you can set a low budget and a short timeframe for the ad to run so you can get a sampling of the market.

In addition to driving paid traffic, you can also drive free traffic via a blog, articles, and search engine optimization. CPA is all about arbitrage: just how much are you willing to pay to get a payout? Doing PPC advertising can be a mistake is you don't know how to do it. If you choose to run PPC ads to point to your CPA offers, then make sure you constantly test and tweak your campaigns so that you can consistently keep your cost-per-click low and therefore have a larger profit margin.

CPA marketing is much more lucrative than traditional affiliate marketing is done correctly. Once you are able to drive consistent traffic to your website and keep your costs of acquiring that traffic down, then you will not only make a lot of money, but you'll have the necessary knowledge and experience to duplicate your efforts and easily scale your business.
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