Sunday, September 13, 2009

Pay Per Lead

The advantage that a pay-per-lead program offers is that visitors to your web site do not need to make any type of purchase for you to be able to earn a commission. As prevalent as e-commerce is becoming today, and even though a large portion of the Internet populace is now comfortable with shopping online, it is still, and will probably always be, easier to give something away then to sell something.



Pay-per-lead programs are generally designed to promote some type of free service or product. Since the merchant is mainly looking for a way to widely distribute their product or service, they are willing to pay you for each user, subscriber or member you attract. Generally these payments range from $0.05 to $20 for each 'action' taken by one of your referred visitors.

Since no purchase is required by your visitors, you can expect significantly higher conversion ratios (i.e. the number of visitors you refer that go on to earn you a commission). Although pay-per-lead programs generally pay lower commissions than pay-per-sale programs, the higher conversion ratios will often translate into higher overall profits for you.

Pay-per-lead also lends itself to a wide variety of marketing strategies. Since you are offering your visitors or subscribers something they can receive for free, you can easily position ads for pay-per-lead offers as a valuable service to them. When done properly, you are adding value to your web site at the same time you are adding a revenue stream.

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