What is CPA (Cost Per Action)?

CPA marketing, also known as cost per action marketing, is a specific type of the affiliate marketing model that offers a commision when some action is completed. As a result every time a customer makes specific action you gain revenue.

The lead action can be anything. For example making a purchase to getting a quote, watching a video, or filling out a form.

How Does CPA Marketing Work?

The CPA model is a very simple concept once you figure out who is involved in it and how it works. There are three main participants in it:

1. Affiliate: The influencer (blogger, brand, business) that promotes a business or product in order to drive traffic to the ecommerce site and make a specific conversion.
2. Business or Advertiser: The brand that desires a partnership with an affiliate to drive quality traffic to the business’ website and increase sales, generate leads, or boost conversions.
3. CPA Network: The platform that brings together the affiliate who wants to make money by promoting products and the businesses that want their products promoted.

Let’s say a popular short story writer named John has a healthy following of Instagram subscribers and blog readers.

He started a blog to make a living — trying new things and recommending specific products to his audience.

After developing a guest blogging strategy, increasing web traffic, and building a cult following, his reading crowd is eager to buy the next book he recommends.

Then we have our example business, proProtein.

proProtein manufactures high quality suplements for bodybuilders, They’re looking to expand their marketing reach and would love to take advantage of John audience.

A CPA marketing network brings John and proProtein together.