The Pepperjam Network, a division of GSI Commerce, launched efficient click pricing (ECP) last week and it may just signal a return to CPC based compensation for affiliate marketers.
Merchants are now able to compensate publishers (affiliates) for driving traffic to their stores on a cost per click (“CPC”) basis which is "governed" by the quality and conversion metrics of the affiliates traffic, rather than a CPA model exclusively. When creating ECP campaigns, merchants will have the ability to select which publishers to work with on a CPC basis as desired, and publishers will be invited to participate in these campaigns. Historical conversion rates, new customer acquisition, and average margin on products sold are just some of the data points used to establish ECP rates at Pepperjam through the program.
“The affiliate marketing industry is constantly evolving and both merchants and publishers need the flexibility to structure relationships based on a variety of performance metrics. Our efficient click pricing capabilities bring new opportunities to all qualified partners on the Pepperjam Network,” said Steve Denton, president of GSI Media and Pepperjam. “With any successful partnership, rewards should be based on desired activities and results. Using efficient click pricing will provide many of our partners the ability to further optimize their performance marketing relationships.”