CPA meaning can be guessed from abbreviation expansion – Cost Per Action. It denotes that an advertiser should pay each time a visitor has taken a desirable action: left his email to get a discount, subscribed for news, signed up etc.
CPA offers clear system of payment, as neither displays nor clicks are paid here, only necessary action. The results of successful campaign here are not mythical creatures like positions in search queries, but concrete interested visitors.
A lot of costs are taken by a publisher. It is not exactly money, CPA traffic should be really of high quality for a performer to be well paid.
CPA stands for
CPA = actual costs for advertising / Number of active actions
Acquisition cost – that is how sometimes CPA stands for, as majority of the actions are buyings. It means that an advertiser has bought a new client.
*There are 2 interchangeable notions: CPA and CPL. The first one means buying an action, while the latter one implies buying a lead.
Topics where CPA model is highly effective:
- Affiliate CPA Marketing
- online games;
- legal, accountant and auditing services;
- internet shops;
- health clinics;
- tourist agencies etc.