There are three ways you can advertise on the internet:
1. Display advertising
You pay for attention. You buy time on the media or views. Media owner’s pet. This model is familiar from TV and print advertising. You don’t have to pay for clicks or sales that your advertising may produce. Easy to buy and budget.
The least interactive – and usually the most expensive – way to communicate online.
2. Pay Per Click advertising
You buy visitors to your web site. You pay only when someone clicks your ad. You get the views for free. Easy to buy and budget. Google makes their money here.
You don’t know who clicks your ad. You need be ready to “invite people in” at your web site. Don’t make the mistake most companies make; flush your visitors down the toilet. Try get the people to your database to start a relationship with them.
3. Cost Per Order advertising
You only pay when someone buys something from you. If you don’t sell anything online you can use this model when someone registers to your service, signs-up to your newsletter, inquires for more information, for example. You get the views and clicks for free. This is risk-free advertising.
For an advertiser, the Cost Per Order / Cost Per Action advertising is easy to buy, but challenging to budget because no one can guarantee sales in advance without testing.
Can you guess which models are the most popular? The first and the second. Hard to believe? You are not alone.
Why the Cost Per Order / Cost Per Action advertising is the underdog of online advertising and how you can profit from it:
It’s a sad truth that an average marketing director rather spends his budget on something that doesn’t produce results than to budget a part of it to something that guarantees profit.
“What if no one buys from us?” “What if I’m not able to spend my budget by the end of the year?” “I may not get as much money again.”
What many marketers and agencies fail to understand: You can’t lose money with Cost Per Order advertising, because you only pay for your advertising when someone buys something from you. The commission is fixed, your cost will never outmaneuver you – even if you are poor in math like I am. It's an investment that feeds itself. You can’t lose.
PS. Please share this message with anyone you think could profit from learning more about risk-free online advertising.