Pay Per Lead vs Pay Per Sale:

Pay Per Lead vs Pay Per Sale: What Is Better?

Nowadays there are several types of online marketing programs in which we can find a support to our business and more companies are looking to the internet when it comes to promoting and marketing their products to get a wider range of possible customers.

Because of this, there are many models of the affiliate marketing program. But the most popular that business people are using is the pay per sale and the pay per lead programs.

You may want to find out which model really works when it comes to getting a higher profit. Is it the pay per lead or the pay per sale program?

Difference between Pay per lead and Pay per sale

We all know that pay per lead and pay per sale are methods of marketing different products on the internet and we know that good advertising is the best way to familiarize people with our products.

But if you don’t know the real meaning and difference between the pay-per-sale and the pay-per-lead marketing programs, how can you make your choice?

Pay per sale is a type of the affiliate marketing model where the advertiser pays an affiliate solely for sales of products. For example, a customer follows the affiliate link to the advertiser's website and purchases something. During such a purchase, the affiliate is identified through the system scripts of the affiliate program. Based on purchase information the affiliate is paid a pre-agreed commission.

Of course, the affiliate receives a high commission if the purchase happens. However, pay per sale programs have the lowest conversion rates as the customer is required to pay his money and that requires a lot of convincing.

On the other hand, the pay per lead affiliate marketing model works where the advertiser pays the affiliate for a certain action like a software download, sign-up of a newsletter or subscription, filling out an application form, etc. If the customer follows an affiliate link to the advertiser's website and makes the required action, then the affiliate gets an agreed commission.

In the case of pay per lead programs, the commission is smaller compared to pay per sale programs. Meanwhile, with good promotion methods, pay per lead affiliate programs can result in very high conversions. In turn, this will translate into big affiliate revenues.

There is a big difference between the two marketing models, especially, when it comes to the revenues that the affiliate website earns, but the program that gives the biggest profit and gives the best benefit to the affiliate is the pay per lead program.

If you still find it hard to choose the system which is best for you, then it will be best that you try both and see for yourself which works better for you.