As a lead provider we’re always looking to develop new relationships with lead buyers. Being in the online lending niche it’s imperative that it’s a two way partnership. You need your lead buyer to value your business and want to work with you over the long term. That’s why it is beneficial for both parties to go with a CPA(Cost Per Action) payout. Another way of looking at this is you’re only going to get paid on funded loans and not for every lead published and sent. Let’s break down why this is good for both parties.
As a publisher, you need an advertiser to convert your leads into funded loans. What better way to show you mean business by saying upfront that you only want to be compensated if a lead funds. By doing this you’re getting a few things out of the way. You’re telling the advertiser you believe in your service. You’re so confidant in a product that you’re willing to work on a commission basis and don’t need them to pay you up front. In addition to that, you can work at your own pace and won’t face an angry lead buyer if there’s a bad day here and there.
As an advertiser, you want a publisher who knows what they’re doing and believes in their product. What’s better than only paying out a commission when a lead converts. You no longer have days when you pay out hundreds or thousands of dollars for leads that didn’t convert. If a publisher fails to deliver on what he’s promised, then you don’t owe anything if things fall apart. With this method you essentially outsource your marketing and lead generation department to an outside company. This outside company will only get paid if their leads convert. What a deal!