Understanding EPC – 1 Click, 100 Clicks or 1000 Clicks?

With so many terms and variations used in performance marketing there continues to be confusion in the space. With metrics measuring ROAS, CRM, CTR, CPC, PPC and so many more, the terms used to describe EPC in affiliate marketing, or Earnings Per Click, is no exception.

EPC is one of the most important metrics both for affiliates and affiliate managers alike . It helps EPC - Earnings Per Clickdetermine understand the success rate of an affiliate program over a particular timeframe compared to other programs, helps affiliates understand how much they may earn and if a program is well managed, and helps merchants understand how well their affiliates are performing and what they may potentially be doing to drive sales.  (more…)

Affiliate Marketing Terms, Definitions and Abbreviations – Part 4: Functionality and Tools

Affiliate Marketing terms for tools and functionalityOver the last two weeks I have been defining many of the commonly used terms in  performance marketing. It can be overwhelming and confusing at times, so understanding the key terms will help ease your experience and effectiveness in this industry.

In part one we looked at the key players in performance marketing, in part two we looked at common affiliate program models, in part three we looked at metrics and KPIs and this section will take a closer look at the terms used in overall functionality and “tools” used in affiliate marketing. (more…)

Affiliate Marketing Terms, Definitions and Abbreviations – Part 3: Metrics and Key Performance Indicators (KPIs)

Affiliate Marketing Terms, Metrics and KPIsAffiliate Marketing is a complicated industry and the various terms used don’t make it easier. In part one of our Affiliate Marketing Terms, Definitions and Abbreviations we talked about key players in the performance marketing space. In part two, we define the various affiliate marketing models that exist. This next section takes a look at the terms used when discussing common key performance indicators and affiliate marketing metrics.

Metrics and Key Performance Indicators

AOV / AOS – Average Order Value / Average Order Size

There are two general references to AOV or AOS. These are the overall Average Order Value of all purchases made on a website. If you look at your Google Analytics, for example, and go to your Conversions > Ecommerce > Overview section, this is the one called “Average Value”. (more…)

Affiliate Marketing Terms, Definitions and Abbreviations – Part 2: Common Affiliate Program Models

Affiliate marketing program modelAs a continuation from Part 1 of Affiliate Marketing Terms, Definitions and Abbreviations today we look at what the most common affiliate program models are.

Common Affiliate Program Models

CPA – Cost Per Acquisition

This is a term used to describe the action of acquiring a new customer. CPA can be used to describe a type of network (such as CPA network) or a $ or % payout to an affiliate for a particular action taking place.

CPC – Cost Per Click

This is a term used to either describe an affiliate marketing model where the affiliate earns on every click they send to a merchant or advertiser, exactly how Google AdSense works. (more…)

Affiliate Marketing Terms, Definitions and Abbreviations – Part 1: Key Players

Affiliate marketing can be incredibly complicated, especially when throwing around various industry terms, slang and abbreviations. Here are a few of the most commonly used / seen terms and expressions used in the affiliate marketing space.

 

Key Players

Before we get into defining commonly used terms, it’s important to point out who the key players are in the affiliate marketing / performance marketing space.

Merchant / Advertiser

This is the company or person selling and distributing the good or service to the end user. They are also known as internet retailers, e-commerce stores, service providers and a few other terms. However the two most commonly used are “merchant” or “advertiser”. It’s the affiliate’s job to promote the merchant in order to drive traffic that will ultimately generate a sale (or other desired action). (more…)

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