CPA or RevShare: which one to choose?

CPA is a kind of commission model where the webmaster is paid a certain amount for each trader. But it may also have unfavorable conditions: for example, in order for a webmaster to get his income, a trader must deposit cash into the affiliate program’s account within 12 months.

At the same time, the RevShare program is a typical «lifetime income» model, where it is possible to get a certain percentage of the profit that the client brought to the affiliate. Such percentage is basically only 5%, the maximum is 25%. Therefore, if a client (online casino) of a webmaster makes a profit of $ 100,000 over three years, the programmer will earn a maximum of $ 25,000.

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CPA: principles of work

So, what is cpa? CPA (cost-per-action) is a format of an affiliate program in which payment is made to performing a certain action: it may be a transition to a website, filling out registration forms, subscribing to a newsletter, etc.

The main goal of the CPA program is the same — to bring the advertiser and the programmer together so that they work mutually beneficial.

What sources are suitable for the CPA model

Traffic sources may include:

Also it may be clickunder, popunder or doorways.

Pros and cons of working on CPA

The main advantage of the CPA earnings is efficiency: the advertiser pays after receiving the action he needs, which means he won’t waste the marketing budget. The advertiser’s partner is also vitally interested in the result — here works the win–win principle.

Such a scheme does not work if the advertiser’s offer does not match the market and competitors’ goods or services are significantly cheaper. Partners will not promote a product that does not meet the market prices – it is not profitable to them.

It makes no sense to invest if the business is at the limit of production capacity and may not be able to cope with a significant surge in demand. It can disappoint both customers who do not get the product and partners who do not receive rewards.

RevShare: how it works

And, what about revshare? In revshare, programmer are paid a percentage of the proceeds from each attracted client. Money can be received indefinitely as long as the user deposits them. However, not everyone invests their own funds, and their amount can varies.

The RevShare programs are beneficial in the long run. If pour a lot of traffic, then after a while, will appear an income. The following option is more suitable for webmasters who are confident in their traffic sources.

What sources are suitable for the RevShare model

For such type are suitable the following sources:

At the same time, working with each of these sources has its own nuances.

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Pros and cons of working with RevShare

RevShare: Pros and Cons:

Which is better to choose — RevShare or CPA

It is very difficult to answer this question clearly. Each system has its own benefits for one and disadvantages of the other. Therefore, when choosing, it is worth focusing on how RevShare or CPA will be applied. For example, the use of RevShare is more relevant for specialists in the SEO promotion niche. For those who work with purchased traffic, it is better to focus on working with the CPA.