Nowadays technology has been restructured and it is good to use online advertising to earn money online. Google has been doing this since the day it was established and now it has become an advertising giant in this world. Google has used clever advertising techniques to gain number one status in the world and continues to seek new and innovative advertising techniques to generate more revenue online and maintain its leading status in the world. Not only Google but many other online publishers have also been using online advertising techniques to make money online and any one of them has become a millionaire by doing so. Many of the online publishers use CPC advertising and a good number of publishers use CPA advertising. Both ads have their own benefits which are discussed in detail.
CPC is short for Cost Per Click. As its name reflects, it is the cost of a click. The idea is simple, every time someone clicks on any banner ad or any other ad, the advertiser has to pay a certain amount. Google AdSense has been using this online advertising technique for a long period of time. One major disadvantage of this technique is that the publisher serving the ad or the webmasters cannot make good money using CPC because they simply cannot force their website visitor to click on the ad. The price that is agreed between the advertiser and the publisher is much lower and is usually a few cents per click. This shows how cheap CPC is. General statistics say that at least 50% of your website visitors should click on the ad for you to make a good amount of profit.
Now, the next question that arises in your mind is what is CPA? So the answer to your question is that CPA stands for Cost Per Action. As its name implies, it is the cost that the advertiser must pay when an action is taken on the ad. CPA is the second most popular advertising technique after AdSense. The ad publisher can earn a good amount of profit using the CPA technique. CPA is very different from CPC, as CPA earnings depend on actions taken on the ad. In other words, the action can be sale. For example, there is a company that offers a 5% commission to the publisher if their product sells successfully. Then, when the sales close, the publisher will earn 5% on all items sold with that ad.
A summary of the entire discussion is given below:
CPC generates revenue when the ad is clicked. On the other hand, CPA generates revenue when the ad is clicked and some specific action is taken on it, such as any item sold with that ad.
CPC advertising requires high traffic to be profitable, but in CPA you don’t need to have high traffic, you need to have potential buyers of your product.
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