All you need to know about CPL campaigns
There are many types of campaigns affiliate marketer can participate in. Those vary by the target audience and target goals. Some of the campaigns are launched to improve acknowledgement of the brand, others to increase sales or subscribers. And the type of reward being paid out is based on the goal of the campaign. Below we are going to disclose one of the most popular types of campaigns launched, the cost-per-lead campaigns.
First of all, it is necessary to answer the question what CPL is. CPL is a model that considers paying an affiliate marketer a reward in case of lead acquired by the offer owner. Lead is a potential client, someone who might be interested in the services you offer. There are specified criteria of clients that can be called leads that vary depending on the product and services offered.
Let’s give an example. There is a company that provides some kind of services and it needs to increase the base of clients. Thus, they need contact data of the people who are interested in their services to include those in their mailing. Company launches an offer and CPL campaign to get more subscribers. The affiliate marketers that manage to find (in specified ways) potential clients, who submit their contact data, get paid for each contact acquired. This is how CPL works.
You may be interested in how exactly CPL differs from other models? This is going to be disclosed in the next section.
What is the difference between CPA, CPC and CPL campaigns?
So let’s start with definition of CPA and CPC:
- Cost-per-action (CPA) – affiliate marketer gets paid for each target action made by users (purchase, subscription, download, etc.);
- Cost-per-click (CPC) – affiliate marketer gets paid for the number of clicks made (usually after a click user has to be redirected on the advertiser’s website).
As you can see the target goals of the CPA and CPC differ from the CPL campaigns. CPA is mostly used when you need to increase sales or user engagement while CPC is mostly used when you need more visitors or views.
However, it is obvious that these models can sometimes intersect with the CPL, especially when the target action or click may consider acquisition of lead by the advertiser. Nevertheless, the division of three models is essential to be clear with the goals of campaigns.
Who needs CPL campaigns to be launched?
There are situations and services that should mostly rely on the CPL model rather than on CPA or CPC. Due to the fact CPL’s main goal is to get potential client, we can make a conclusion that this is suitable for premium class (or just expensive) products or services that are provided with subscription.
The thing is that when you use CPA model you usually get sales directly. And that is all. And CPL better fits services where it is rather hard to convince potential client to make a purchase immediately.
This model is also the most appropriate when the main income company earns comes from the additional sales and post-production services. Or if you have various different services for one type of clients, then the main goal of the campaign you launch should not be a sale itself, but the client (lead) you can work with further.
If your business is somehow connected with content production for the mass consumer, CPL model would be the best for you. As it allows you to collect the mailing list effectively and in a short time.
How can CPL model be realized?
There are many traffic sources for CPL campaigns:
- email marketing;
- guest blogging;
From all of the listed above guest blogging would be the most effective way, especially if you are promoting a publisher or newspaper, as it allows making an easy and natural integration of the opt-in box, where user can leave his contact data to get mailings.
Email marketing is also an efficient way; however, it is about creating a mailing list consisting of very loyal users.