Paid Per Click Affiliate Versus Paid Per Sale Affiliate

One of the perks of having your own website or blog is the chance to use it for profit generating purposes. How can you earn through your website or blog? One of the simplest ways is to become an affiliate.

If you look at other websites, you may have noticed that they have text ads and banner ads on their pages.  They are advertising products and services of other merchants. They earn money through these advertisements. This is what you call affiliate marketing.

Payment Schemes For Affiliate Marketing

There are basically two ways by which you can earn from affiliate marketing. You can either become a paid per click affiliate or a paid per sale affiliate:

• Paid Per Click Affiliate – If you are a paid per click affiliate, it means that you are getting paid for every click that the ads generate. Even if the ads are visible to your site visitors, if they haven’t attracted any click, you will not earn anything from them. The amount that you get paid for every click will depend upon what you and the merchant have agreed upon. Your goal as an affiliate is to increase your website’s traffic because basically it is where the clicks would come from. A highly trafficked website has a higher potential to get higher click rate.

• Paid Per Sale Affiliate – If you are a paid per sale affiliate, you will generate profit for every sale that is generated by the ads. For instance, one of your site visitors clicked on the ad and eventually ended up purchasing a product from the merchant. You will get a commission on the sale.

Paid Per Click Vs Paid Per Sale

And here we take a comparative look at the two:

• Pay Out – Generally, the pay out for paid per sale is higher than the pay out for paid per click. Advertisers are more inclined to offer higher pay out to paid per sale affiliates because these are already guaranteed sales. The advertisers will earn and thus, it will be easier for them to pay the affiliate.

• Consistency of Payment – You will have more consistent payment if you choose paid per click. The rate of sales will generally be lower than the rate of clicks. There are more people who will click on the ads than actually make a purchase.

• Amount of Work Needed – For paid per sale affiliates, you will have to exert more effort in building the ads because you need sales. You will have to market the ads on your website so that your site visitors will be convinced to make a purchase. Less work is needed for paid per click because you will still get paid even if the click did not result to conversion.

Conclusion

If you want to earn higher pay outs even if it means not having consistent pay from the advertiser, then go for paid per sale affiliate marketing. But if you want consistent pay, go for paid per click affiliate marketing. However, if you are really serious about earning online profit, you can combine these two.