What is Affiliate Marketing?

With each passing days, Affiliate marketing has become a very huge market over internet and has high demand. Many investors are investing on affiliate marketing to get greatest returns. Over internet you will find several big networks such as Clickbank, and PayDotCom and Commission Junction and many more are offering multitudes of products and services for affiliates to promote. However if someone questions what is affiliate marketing, it could also be answered as an emerging technique in the field of online marketing or internet marketing.

It comes with host of benefits to an internet marketer. If you are an internet marketer and you choose affiliate marketing, you do not have to waste time and effort to come out with the services and products as they can just leverage on the existing products and services offered by other owners. Affiliates will also be able to build their own list out of the products that they are promoting, where they can establish themselves as experts and able to cross sell other related products through their lists. It is a very effective way to generate traffic. Often it uses SEO (Search Engine Optimization) PPC (Pay per click), viral marketing and email marketing to get traffic. Most of the affiliate programs use Cost per Sale, Cost per Action to attract affiliates to promote their products and services.

When you are learning what is affiliate marketing, it is important that you understand the ways to excel in affiliate marketing. When you are opting for affiliate marketing, choose a few products but make sure they are excellent in their functionalities. The reason behind it is simple, when you are taking too much assignment in hands; there is high risk that you might lose out the chance to properly market each and every product at a time.

It is important that you know your audience and target market properly. Think of the reasons why any individual should be interested in your website and design your plan that way. Find out the unique point of your business. Affiliate marketing online is a cut-throat field, given that marketers are always coming up with new strategies. Stay abreast with these changes so that you can get a continuous passive income from your marketing campaigns. You should monitor and keep track of your product promotion strategies so you can retain those that are lucrative, and change those that fail to work. When you are taking contents make sure that you are not keeping any dated material, readers usually do not like that. And above all keep patience and faith, learn what is affiliate marketing at its core and slowly climb up the stairs of your success.

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What is Pay per Lead ( PPL )?

Pay per Lead is one of the most prevailing forces as far as affiliate marketing is concerned. The effectiveness of the technique has made several people inclined towards it. This technique is essential for your business if you want to generate customer conversions and preserve the targeted list, which might go uncollected otherwise. The effectiveness of pay per lead has been proved not just once. It plays a very crucial role to enhance business and take it to the top. However there are some key points which are vital in case of you are opting for this technique.

The primary factor that you should never forget when you are considering Pay per lead is about the strategies to incentivize your marketers. There are great deals of marketing opportunities and options over the internet, and the scenario is that many of them are going to be either direct competitors or companies that offer profitable and attractive opportunities for the marketers. So keeping that in mind you have to be make your strategies little different from others in order to attract the marketers most. Target any specific angle from where you could attract the marketer’s attention. Again, it is to be mentioned that the angle you’re targeting completely depends on the type of your business. Although in general without targeting any specific angle, you can give offers like excellent payments per lead generated, and high incentives for quality leads. This will definitely attract a class of marketer and these tricks will keep them loyal towards you and will keep them bringing back to you.

Another thing that is most important for Pay per Lead strategy is to consider the ways to convert your leads into your customers and make money. The thing that you must keep in mind is developing strategies to attract the marketer is not all. When you attract the marketer, it is just like winning the half of the battle. Converting leads into customer is another tough thing to do. It is up to each individual retailer to figure out how to convert the leads into customer and make money from them.  Here you can use analytic tracking programs, to get the source of the leads and as well as the demographics of the leads to understand their buying behavior.  You can keep experimenting with your strategies of Pay per lead. You can also carry out a market research or market survey to get the best result and understand the trend. Comparative study says, the more specific you are about your leads, more you increase your chance of generating revenue.

The Pay per Lead programs need to be monitored closely. The more informative you are with your leads; you get to tailor your things as per that. According to the experts this is the best strategy to gain profit from this technique. You have to be focused with your strategies. It is important to remember that it’s not enough to simply have a large number of leads. If they’re not converting, then they’re useless to you and your company. So better you be cautious.

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What is Pay Per Click?

Pay per click, also known as PPC is a technique to drive more number of traffic in a particular website, where the advertiser pays the publisher each time an advertisement is clicked. Normally, advertisers bid for the keyword or phrases which are relevant to their target group. The principle is the more you pay, the more number of times your advertisement will be displayed. Here it is to be mentioned that a keyword or a phrase are that words which a target customer would type into a search engine, as for instance, “how to prepare salad”. Any search engine would display their paid and organic listing based on the keyword used by the user. PPC marketing campaigns are designed to make your website more visible to the user thereby increasing the list of your potential customers.

It has been observed that Pay per Click campaigns are very much essential to boost your website. There are certain tips and tricks to increase your website’s visibility through PPC. The use of relevant and pertinent keyword is very much necessary to give success to your PPC marketing campaign. People will click based on the keywords of your advertisement with the expectation to land up in a useful website related to the keywords he has typed.  If the page and the link are not relevant, then it might happen that the user visits your website but leave it as soon as he realizes the irrelevance. You have to pay the publisher for the click, but ultimately you get a zero end result.

To get result from your Pay per Click campaign, make sure you use the right keywords. You must cross check with the keywords and find out the keywords that has highest results on search.  This certainly have no meaning that you have to use expensive keywords, you can always opt for keywords which are not that expensive but get good results. Also you can actually control the number of paid clicks your website is getting in a particular day. This enables you to take the control in your own hands. Then it becomes completely your wish, how much you want to spend in a day for your advertisement. The benefits that you get form Pay per Click campaign is you can simply put a stop whenever you want. Whenever it so happens that you cannot handle your account, you can just put a pause to your campaign and again you can continue with it whenever you want.

When you are opting for Pay per click campaign make sure you are devoting enough time to the campaign. Monitor closely the number of clicks you are getting in a day. After you monitor your campaign you also judge and understand which set of keywords are bringing traffic to your website and you could just delete the keywords which are not working. All Pay per Click providers have some distinct rules and regulations, so make sure you read them very carefully. Plan very cautiously each step you take and you can easily land among profits.

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What is Cost Per Lead?

Cost per Lead or commonly known as CPL, is actually an online advertising module, where the advertisers have to pay for each sign-up from the interested customer in the displayed advertisement. This online advertising module is quite interesting and profitable for the advertisers. Often CPL module is compared with the CPM (Cost per thousand) or CPC (Cost per Click). Although there are some disadvantages of this module but still you can count some really great advantages. In CPM, advertisers are bound to pay for wasted impressions, whereas in CPC, also the advertisers have to pay based on each click on his advertisement. But Cost per Lead is completely different, if you are the advertisers you have to pay only and only when a qualified sign up comes in. it is indeed good news for the online advertisers that in CPL you get guaranteed returns. In the recent times this technology has shown fats growth. You can also call it Online lead generation.

It is to keep in mind that leads in online advertisement is basically of two broad types- sales lead and Marketing leads. Sales leads are generated on the basis of demographic details which could be age, income, gender and many more. Whereas marketing leads are normally brand specific generations of leads for a very unique offer or advertisement. With the wide usage of Cost per Lead strategy it has become really easy for the advertisers to generate lead in very short time and at very affordable rates.

Often people get confused between Cost per lead and Cost per Action. But both are completely different. The differences are-

In CPL campaigns advertisers pays for a lead who is interested for the advertisement of the advertiser. It could be the interested person’s contact number or any worthy information. CPL campaigns are most suitable for brand marketers and direct response marketers who are looking to engage consumers at different touch points – be it by building a newsletter list or member acquisition program. But in CPA campaigns advertisers are compelled to pay for any action on the advertisement.

Cost per Lead campaigns are very much advertisement centric. The advertisers can manage to stay within the boundary of the selected publishers to run his product or offers. But Cost per Action and affiliate marketing are essentially publisher centric. Advertisers have no control over the brand or the offer as it depends on the publishers. Publishers only choose which offer to display in the website. Advertisers often do not know what exactly the offer is displaying in his website.

Cost per Lead campaigns are high volume and light weight. In this type of online advertisement module the customers can just submit their basic contact information which h could be a telephone number or may be just the email id. But Cost per Action is typically complex and of really low profile. Customers might feel hassled while you are using CPA as it requires the detailed information of the customers.

So when we actually sit and discuss about the online advertisement modules, we can easily conclude that it is better that you as advertisers opt for CPL.

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What is Cost per Impression or Cost per Mille?

Cost per Mille (CPM) is the advertising module that is used extensively by the advertisers round the globe. It is also known as Cost per Impression. Often it is denoted as Cost per M, as m is the Roman numeral for 1000. This phrase or technique is widely used in online advertisement and marketing to promote a website or any specific product or any particular services offered by any particular advertisers. An impression is the single instance if any ad appearing in any website. Cost per Impression or Cost per Mille is highly relevant metric in present day internet era. It is the measurement of the cost of advertising impressions which is measured in the units of thousand.

But the disadvantage of Cost per Impression or Cost per Mille is that even ads that are not clicked by any user could also advertise your website. It is not always necessary that any advertisement that is clicked by the visitor has the capacity to market your website along with the products and the services. A well designed ad with good catchy keywords can also attract your potential customer’s attention, even if the user does not click on the image or take action just immediately.

Any targeted Cost per Impression or Cost per Mille advertising also offers the advertisers an open space to innovate and explore. This could easily be your alternative to the much costlier CPC. In addition if you could successfully put your CPM advertisement to your targeted audience you have good chances that your click-through ratios will improve faster. Advertisers can also use sites that are focused on earning money from advertising impressions. This is indeed a good way to increase your click-through count. There are many who work from home through generating revenue for advertising impressions, you can have one of them to increase your click-through rate.

Here it should be mentioned that in Cost per Impression or Cost per Mille, effective Cost per Mille (also known as eCPM) is used to measure the effectiveness of any publisher. Also from this technique publisher also gets to know what they could receive if they sold the advertising inventory in a CPM basis. This information can be effective to compare the revenue across various channels, especially those with widely varying traffic. Cost per Impression or Cost per Mille technique is also used in advertising of print and television medium. In online this method is used for pricing banner ads. If you closely observe you can notice this process is highly advantageous for the advertisement publisher as in this the advertisers normally pays for around 100 impressions of a banner.

Often publishers present it in an advertisement package to the advertiser. This includes text ad impressions or in that case banner ads. When the publishers offer it in packages, it becomes easy for the advertisers to compare several publishers at a time. The rate although depends from publisher to publisher. The number of exposures provided in different plans tends to vary with the price of the total plan.

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What is Cost Per Click?

Cost per Click, also known as CPC. As the name suggests this means the cost of a click. Whenever any user clicks any banner ad or any other ad over the internet, the advertiser has to pay a certain amount. It has been long that Google AdSense has been using this specific technique of online advertising to bring traffic to the websites. But only one drawback of the Cost per Click technique is the publishers of the ad cannot earn good money as it is not in their hands and neither could they force the visitors of their websites to click on to the advertisement. Also the price that has been agreed between the advertiser and publisher is very nominal. Although the common statistic has figure out that minimum 50% of the visitors of your website should click on the ads displayed so that you get the chance to make good amount of money out of it.

However with various experimentations advertisers can cut down the cost. Advertisers when you are adopting Cost per Click by Google AdWords, you might find few keywords are very expensive. In such cases, get cautious. You can always give a persuasive message using just the relevant keywords. Expensive keywords can break you pretty soon. You always have the option of choosing keywords that are quite less expensive and can you can pretty well organize them in order to get a great search results. You have to be bit more wise and innovative to find a very suitable position in the search results with possibly the lowest Cost per Click. From the keyword “bid tools”, online you can check the present bid rates for a specific keyword. You can pick up keywords as per your wish and as per the rates you need.

In Cost per Click often it is observed that long tail keywords or keyword phrases of three words or more are comparatively cheaper and can describe your product or offer in a better way than expensive keywords. The reason behind this is phrases that are really less popular could be just too appropriate for you. It leaves quite a space for you to innovate and play with the phrase to get the best advertisement for you. Also if have more than one option to advertise your product or service, you can just put up two to three campaigns with single set of words. By this way you can find out the one campaign that works just too perfect for you and driving more number of traffic towards your website and do not harassing your bank balance too much.

You have to be very careful before displaying your ad, that your advertise is short, concise but clearly depicts all the facts of your products and persuasive enough to attract your customers. It is better of you make the title with your keyword and put a hint of the offers in the very first line. Make sure you are promising quality and also try to include the keyword in the display URL. These are formulas of a hit advertisement, while using Cost per Click.

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What is Cost Per Action?

This is an online advertisement module where the advertisers have to pay when any specific action has been generated in his advertisement. Making money in the internet era has become too easy. Anyone with a bit of knowledge can increase their arena of earning just like that. There are numerous ways which could lead you to generate huge profits like affiliate marketing, Google Adsense, Cost per Action and many more.

Here our topic of discussion is Cost per Action. It is s great way to make money in instant as you can get money per lead against per sale. There are certain steps that you need to take in order to make money this way.  There are several benefits of this program.

You get paid per lead not per sales and this adds a big plus to the reasons for those people who are working on it. Often it is hard enough to get traffic leave alone transforming leads into sales, which is quite frustrating, because if you fail to convert lead into sales you will not get your money. But when it comes to promoting Cost per Action, you just need to pull traffic to the website or the blog and making them sign up. Making money through this is quite easier. With a persuasive message you can tell people about the program or about the benefits of a particular program that you are promoting.  With Cost per Action, the formulae is quite simple you just need to put leads, so you can just be out and out creative to generate sales and you do not have to think in converting all your leads into sales.

But before starting off you must take a pause and choose the right program for yourself. The thing you must understand is to create a boundary line between the programs that you are knowledgeable of and not too knowledgeable of. Do not be in hurry while choosing your program just because the route is lucrative. Some little effort, a thorough plan of action and innovation is required just like any other businesses.  It is all about thinking wisely before you take up any step.

While you are opting for Cost per Action you can use platforms like Google Adwords, Facebook or Twitter marketing. In such cases you have to be cautious that you do not overuse these mediums. Whenever you are using Google AdWords, you must use relevant words with the campaign you are promoting. There is no use of words that is irrelevant, because that distracts people’s concentration form your promotion. Even in case of social media’s such as Facebook and Twitter you must be aware of the usage. If you are not fully aware of the ways to use it, better you take up a course on effective ways of marketing over internet.

You can also opt for Cost per Action by using Pay per Click programs but be sure that you are not spending more than your returns. If so happens then it is only you who is in loss. A little experience in the industry will definitely make you the big player. Keep learning from every promotion you do.


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What Is Online Advertisement?

In very simple words online advertisement is a type of promotion that uses World Wide Web and Internet to attract customers by the relevant marketing messages. It could be contextual advertisements on the search engine results page, blogs, banner ads, social network advertising, online classifieds, email marketing, cross platform ads including email spam.

How Online Advertisement gives the necessary boost to your business?

Living in the internet era, organizations, be it big or small must have their presence in the web. The simple logic behind it is when your target market is in internet, you must be there in the internet too in order to draw their attention. And to draw your potential customer’s attention advertising and promotion plays a very crucial role. A well planned online marketing strategy with a persuasive message is enough to drive traffic to your website. No matter your company sells any product online or not but advertising the latest product in your bag in immensely important. If we tend to define what is online advertisement, we should also mention that these days it has become a trend, that common mass first watch the commercials in either TV or Newspaper and later for further confirmation they go to the website of a particular product. Internet serves as the platform to let people know which even print and TV advertisement could not include.

Online advertisement provides a lot of information on a particular product unlike TV advertisement and Newspaper advertisement. Also to define the question what is Online Advertisement, I would like to add the point that online advertisement is way more credible as compared to the traditional modes of advertisement.

The High Demand of Online Advertisement

The high demand of Online Advertisement has resulted in the loss of ad revenue for newspaper and TV.. There are variety of online advertisement like PPC (pay-per-click) and PPI (pay-per-impression). Pay-Per-Click (PPC) and Pay-Per-Impression (PPI) are two variant modules of online advertisement. Pay-per-click (PPC) as the name suggests involves payment to the host every time users click on any advertisement. Pay-per-impression (PPI) calculates the cost of the entire marketing campaign that is conducted online. With each passing day, some millions of people are investing on Online Advertisement.

Use of Social Media in Online Advertisement

Social media is very much in vogue and the increasing demand social media has brought online advertisement into it. Social media provides a platform for the advertisers to create a good rapport with the target market. Interaction with the potential customers, displaying persuasive messages and reputation management over social networks like Facebook and Twitter actually gives the new definition of what is online advertisement.

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Google’s Acquisitions and Partnerships

Acquisitions :-

As a part of its expansion Google has taken the route of acquisition of several small companies. These companies were those that consisted of innovative teams and products.

Pyra Labs was one of the first companies that were acquired by Google in 1999. Pyra Labs was the brainwave of Evan Williams and were creators of a weblog publishing platform, Blogger and as a result many premium features became free. Evan Williams quit from Google in 2004.

Upstartle had created Writely, an online collaborative word processor. Google acquired the company in early 2006 and merged the technology with Google Spreadsheets leading to the creation of Google Docs & Spreadsheets

You Tube is one of the most popular online video site. Google bought You Tube for USD 1.65 billion on 9th October 2006. It decided not to merge You Tube with Google Video and instead chose to manage it as a separate brand. It then entered into agreements with Sony BMG Entertainment and Warner Music Group on 13th November 2006. As per the agreement both the companies were to supply music videos to You Tube.

With an aim to consolidate its position in online document arena Google acquired JotSpot and the announcement for the same was made on 31st October 2006. JotSpot was a piooneer in collaborative, web-based business software.

It was announced on 17th March 2006 Google announced 2 more acquisitions – Gapminder’s Trendalyzer Software and Adscape Media. The first company specializes in the development of information technology to provide free statistics in new visual and animated ways. The second company was a San Fransisco based small in-game advertising company.

PeakStream Technologies was also acquired. Its latest acquisition is Motorola Mobility on 22nd May 2012 for USD 12.5 billion

Partnerships :-

In its constant endeavor to improve production and services Google has entered into partnerships with several well known companies

Google entered into long-term partnership with NASA on 28th September 2005 under which Google was to build R&D centre Ames Research Centre of NASA. Both the giants plan to work together in areas such as large-scale data management, bit-info-nano convergence etc

Its partnership with Sun Microsystems (entered in 2006) will help the two giants to share and distribute technologies of each other

Google and AOL partnership would enable AOL’s premium-video service to be offered on Google Video

The USD 900 million partnership with News Corp’s Fox Interactive media would enable Google to provide search and advertising on MySpace and other News Corp websites.

Its alliance with British Sky Broadcasting provides Gmail to be linked with Sky and hosting a mail service for Sky while incorporating the email domain @sky.com

The partnership with Pontifical Council for Social Communications allows the Pope to have his own channel on You Tube

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Financing and Initial Public Offering of Google Inc.

Initial Funding :-

The co-founder Sun Microsystem Andy Bechtolsheim was the first venture capitalist to invest in Google with a contribution of USD 100,000 in August 1998. On 7th June 1999 it was announced that the company had got equity of USD 25 million and a majority of it came from rival venture capitalists Kleiner Perkin Caufield & Byers and Sequoia Capital.

The phenomenal growth of Google meant that more funds were required for expansion but founders Page and Brin were reluctant to take the company public as they were in mood to relinquish their hold over Google. Sequoia Capital forced the founders to appoint a CEO by threatening to withdraw their loan of USD 12.5 million. Bowing to the threat Eric Schmidt was appointed the 1st CEO of Google Inc. in March 2001.

Initial Public Offering (IPO) :-

Despite their reluctance the founders had no option but to go public. As the discussions of initial public offer (IPO) began the company was approached by Microsoft Inc. either for a possible partnership or merger but the deal could not be made. Morgan Stanley and Goldman Sachs Group were hired in January 2004 to arrange for an IPO which was to raise about USD 4 billion

On 29th April 2004 Google Inc. filed the required form in which they intended to raise as much as $ 2,718,281,828. Both the date and time had mathematical humor behind it and was consonant with Google’s corporate culture. 2,718,281,828 is equal to mathematical constant while 29th April 2004 was the 120th day of 2004. Under Section 12 (G) of the Securities Exchange Act 1934 it is compulsory for companies whose assets have reached USD 10 million and/or the number of shareholders (including those who have stock options) has crossed 500 to file financial and other information with SEC within 120 days of the year in which it was reached. Google stated that each of their 3021 employees were stakeholders in the company. In its filing Google punned that due to their tremendous growth they would lose some of the advantages of private ownership as they would have file their report to SEC whether they wanted to bring the IPO or not. The deadline had just accelerated the process. The filing also revealed that Google had been in black since 2001 and its profits and revenue in 2003 were USD 105.6 million and USD 961.8 million.

Morgan Stanley and Credit Suisse First Boston were the joint underwriters of the IPO and they chose the Dutch Auction to raise the funds so that everyone could participate in the auction. Though the company was forced to cut the price and the size of the offer it went off smoothly. The company offered 19,605,052 shares @ USD 85 each out of which 14,142,135 were offered by Google (√2 = 1.4142135) while 5,462,917 shares were offered by stakeholders. It raised USD 1.67 billion and the market capitalization of Google crossed USD 23 billion.

Google is listed on NASDAQ and its ticker symbol is GOOG

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