Do you prefer pay-per-lead or pay-per-sale?

Discussion in 'Affiliate Programs' started by Ladan Lashkari, Sep 27, 2006.

  1. #1
    [FONT=Verdana, Arial, Helvetica][FONT=Verdana, Arial, Helvetica] I'm going to launch a big event and want to start an affiliate program to get people spread the word about it. I'm considering using a pay-per-sale or a pay-per-lead commission model.

    So here's my question from you:

    As an affiliate, do you more actively promote an affiliate program that offers you a commission for every sale you make, or for every subscriber you bring for their free newsletter?

    What I like most about pay-per-lead programs is that you don't have to spend any energy on convincing your visitors to take out their credit card and make a purchase. So it's far less hassle.

    But that might be just me. I'd like to hear what YOU think. :)

    Thanks!

    Ladan
    [/FONT][/FONT]
     
    Ladan Lashkari, Sep 27, 2006 IP
  2. Annie7

    Annie7 Active Member

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    #2
    I doubt that pay-per-lead programs are reliable enough. Never tried one but heard they did not pay. So you should be careful...
     
    Annie7, Sep 27, 2006 IP
  3. xboxundone

    xboxundone Well-Known Member

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    #3
    it depends on the payout and how simple the lead. Email leads are easy and if you pay atleast a 1.00 per lead you will get plenty of people to promote it. Per sale I don't care for as it's easier to create a lead but if oyu payout enough per the sale people will promote it..

    I prefer pay per lead.
     
    xboxundone, Sep 27, 2006 IP
  4. capitalistpig

    capitalistpig Peon

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    #4
    I personally only do pay per lead programs. I've always found that it's a lot easier to get people to fill out a form than it is to pull out their credit card.
     
    capitalistpig, Sep 27, 2006 IP
  5. Vollylina

    Vollylina Peon

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    #5
    pay-per-lead, no doubt.
     
    Vollylina, Sep 27, 2006 IP
  6. Ladan Lashkari

    Ladan Lashkari Active Member

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    #6
    Thank you everybody!

    So what do you think is considered a good, acceptable commission for a pay-per-lead program that is very easy to convert?

    Actually I'm launching a free giveaway program where people will get a lot of high quality ebooks, special reports, tools and scripts - many of them are being sold online.

    So when affiliates send visitors to this website that also has a powerful sales copy, a large percent of them will happily sign up. So the conversion rate will be very high and it wll be easy for the affiliates to make money because they make money for every person that signs up for downloads.

    So for such a program, what commission do you think would be enough to make people motivated to promote it?

    • $0.50
    • $0.40
    • $0.30
    • $0.20
    • or $0.01? ;)
    Thanks,

    Ladan
     
    Ladan Lashkari, Sep 27, 2006 IP
  7. LTEli

    LTEli Guest

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    #7
    Well... Judging by my experience so far, $0.50 cents is a start. If it's as easy to convert as you say it is i might go with .30 - .40 cents. But to start out i would go with .50 cents just to start out, and lower it over time.
     
    LTEli, Sep 27, 2006 IP
  8. Kalev

    Kalev Peon

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    #8
    I used to promote furniture program which had both per lead and per sale programs. I someone filled out a form I earned $3 and if this person also perchased I earned 8%. And earnings where goooooood.
     
    Kalev, Sep 27, 2006 IP
  9. aeiouy

    aeiouy Peon

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    #9
    I don't tend to look at any leads that are below $1.00 but I am sure plenty of people do, so your mileage may vary.

    Really depends on what you require for lead verification and how much you scrub your leads.
     
    aeiouy, Sep 27, 2006 IP
  10. JP Sauve

    JP Sauve Guest

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    #10
    From my experience, anything under $1 is viewed as a sub-par by most affiliates.
     
    JP Sauve, Sep 28, 2006 IP
  11. jameskon

    jameskon Well-Known Member

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    #11
    Pay per lead with $1 is a good idea ... i don't think there will be many affiliates promoting you for less than that.
     
    jameskon, Sep 28, 2006 IP
  12. xxfb123

    xxfb123 Peon

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    #12
    Depends what you are selling and target demographics. I have made more money in Pay-per-sale than pay-per-lead programs.
    Generally the competition is higher in Pay per lead programs.
     
    xxfb123, Sep 28, 2006 IP
  13. shopping

    shopping Peon

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    #13
    I like with $1.50 pay perlead and 35% pay per sale. It's pretty.
     
    shopping, Sep 28, 2006 IP
  14. JonathanLyons

    JonathanLyons Active Member

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    #14
    Targeted pay-per-lead offers are a great way to go. Seek out payouts over $1, and only settle for less then that if the offer converts at an extreme rate.
     
    JonathanLyons, Sep 29, 2006 IP
  15. webmoney

    webmoney Well-Known Member

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    #15
    I would go with combination of $0.50 per lead plus 40% per sale recuring.
     
    webmoney, Sep 30, 2006 IP
  16. BusinessEmpire

    BusinessEmpire Peon

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    #16
    I don't promote any pay per lead under $1.00. A dollar and more, now we're talking.
     
    BusinessEmpire, Sep 30, 2006 IP
  17. MN Sandy

    MN Sandy Guest

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    #17
    It depends from traffic and how well you are in that niche. E.g. If there is like .50 cents per lead payout but with good review site you can make 5$ from lead. Then it's worth thinking about it a bit.
     
    MN Sandy, Oct 2, 2006 IP
  18. smaxor

    smaxor Peon

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    #18
    Just some food for thought. Why would anyone build a site for 1$ a lead when there are people willing to pay 20-70$ a lead? I build a lot of sites and find if I'm going to spend the time to build and promote I'm going to go for something with a big payoff. When you talk about 50 cents a lead I can get that with adsense for not even a lead, just a click. So if I'm looking for low dollar actions I'd chose adsense before a low payout lead program, wouldn't you?

    I'd suggest re-analyzing your strategy and looking at the competitive landscape. Possibly look into ppc advertising with some of the lower $ advertisers like adbright and MSN adcenter. In my personal opinion you'll get more for your money this way. As getting affiliates on board will be an uphill battle.

    Unless the conversions are 50-70%, which we all know isn't that realistic.

    Success,
    Smaxor
     
    smaxor, Oct 2, 2006 IP
  19. Datasta

    Datasta Peon

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    #19
    i personally prefer pay per lead too. People are more likely to give an email address than give out their credit card number.
     
    Datasta, Oct 2, 2006 IP
  20. nvidura

    nvidura Well-Known Member

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    #20
    i think beter one is paypersale.
     
    nvidura, Oct 8, 2006 IP