Thursday, November 20th, 2008

EPC… Eat Pizza Cold?… That’s not right…

So I have been thinking for a few weeks now… Actually like 3 months… I’ve wanted to talk a little bit about EPC so you can better understand it.  Now I have re-written this post several times so I can explain it the best possible way. However, after getting frustrated with how it was sounding I got in touch with my awesome AM over at Market Leverage and asked her if she could do a little post about EPC for me.  So this is a “Guest” post from my rockin’ AM Chelsea.

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Earnings per Click – An Accurate Outlook on the Right Campaigns

Wondering if the time you are spending promoting ad campaigns will pay off in the end?

Ultimately, Earnings per Click, or EPC, is the key factor in determining which campaign a publisher will promote.

And with good reason, an investment in advertising dollars is usually tracked by how much ROI is received on the click. However, since EPC’s don’t always tell the entire story upfront, you need to consider a few other EPC factors when setting up an ad campaign.

First things First! – Know the Equation!
EPC = CPA x Conversion Rate

A Low EPC doesn’t mean it’s a bad offer!
An offer can generate lots of clicks but receive a low conversion, which results in a low EPC. This can be seen in general interest campaigns that have mass appeal such as an email submit or a survey offer.
These types of offers are still worth promoting because the high clicks make up for the low EPC.

High EPC offers are not for everyone!
At the other end of the spectrum, an offer may have low clicks, but a high conversion rate, resulting in a high EPC. However, this kind of offer may be a highly targeted offer, such as a diabetes campaign or specific legal relief. These offers are worth promoting if you can target your traffic accordingly. Otherwise they’re a waste of your efforts.

The Insider Advantage
One of the many advantages of working with a network, like MarketLeverage, is taking advantage of your Publisher manager’s knowledge about these types of campaigns. We have countless stats from a wide variety of Publishers, which paint an accurate picture of a successful campaign. This is why MarketLeverage does not post conversion rates or EPC’s on an offer. A campaign may be skewed for different reasons, but we have the inside scoop, and will help you succeed! All you have to do is ask!
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So what did you learn?

  1. Low or High EPC it doesn’t matter…
  2. Ask you AM what they see on their end.

Those are really the two little things I live by.  I like to look at the offer and see what has a high EPC… But I always make sure to ask Chelsea if thats because of one publisher or if that is across the board.  Remember.  Some offers convert best from search and some best from mass mailing.  So ask how most affiliates are promoting an offer and ask about the EPC.


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13 Responses

November 20, 2008

Doesn’t High EPC still matter… because if you can drive more traffic to a high EPC product vs. a low EPC product, you will get more profit?


November 20, 2008

Eat Pizza Cold ? lol


November 20, 2008

Excellent post. I also think about EPC as just a tool for yourself. I don’t like the networks EPC because there could be A LOT of test clicks or random clicks and that screws up the EPC too.


November 20, 2008

Great post, ill have to keep that in mind when running my campaigns.


November 20, 2008
Marc

i always thought epc was earnings (total commission) dividd by total clicks.

is this wrong?


November 20, 2008

nice post, clears some EPC stuff up.


November 20, 2008

Low or High EPC it doesn’t matter but you do want to see it high, right? :)


November 20, 2008

Often times, the only EPC that counts is your own EPC. The networks can show you the EPC for an offer but it doesn’t separate out the data from emailers vs. PPC or other forms of traffic.

I use the EPC numbers as a guide when selecting offers but it comes down to collecting and analyzing your own campaign data.

Thanks for post!


November 20, 2008

Sometimes a very low EPC can mean that the advertiser is lead shaving right? I know that this has happened in the past and the merchant/network relations have gone sour in those specific examples.


November 23, 2008

I appreciate the honesty that you felt you were not doing the topic justice, and got someone who could. Shows you are interested in giving us the best information, not just the easiest.


November 23, 2008

Ya, I ignore EPC too.

If you are one of the first affiliates for the offer, the data will be missing or inconsequential.

If you’re going into an offer which is poorly marketed, the low EPC is an indication of the potential and upside available.

I like to compare EPCs for similar offers across 2 or more networks.
That gives you a lot of useful intel when you’re putting yr own campaign together.

The best marketers are the ones who think outside of the box.


November 26, 2008

Keep up the good work


November 26, 2008
SkyWatcher

Sometimes I load the landing pages quite some times and that increases the clicks that are received compared to the leads that are generated for the network giving a false impression of low EPC.

One thing I suggest is always checking the landing page out yourself and go for it.