CPS vs RevShare: How to Understand What’s Best?
Let us tell you why affiliates and webmasters should not neglect teaser networks. With the right and reasonable approach, you can buy cheap targeted traffic there.
If you want to succeed in affiliate business, you should be able to find offers that pay well, to get good ROI. Let’s have a look at offer-types that are best for long-term and short-term benefits.
Not all users know about CPS and Revshare, let us clarify the difference:
CPS is Cost-Per-Sale, The system of CPS is that you will be paid for every profit that the seller gets from visitors from advertisements on your blog/website. For example, you put a banner from a particular affiliate network on your blog, then there are visitors to your blog clicking on the banner and making purchases, you can make commissions from the sale that are up to 50% from the order. However, the second order from that customer will not result in any commissions for you.
Revenue Share is that you are paid for a certain percentage of the benefits made by the customer you refer to. Profit sharing rates can be as low as 5% or as high as 15%. If your customer (the person you are referring to) makes USD100,000 profits for 3 years, you will get USD15,000 from that customer. Revshare is more beficial if you are running campaigns with long-term subscribtion, so your are getting commissions from any time the persons renews the service or buys it again.
From our experience, this is a good rule when choosing between CPS or RevShare:
Choose revshare if you can get good prospects and if you need to profit as long as possible. The share of income is the best alternative if you have a fixed pool of leads, proven to work in the long-term. Revshare is the best long-term alternative for affiliates who are working with subscription-based offers.
Choose CPS if you want a quick and easy income. Only by selling 1 product, you can already get commissions. CPS is a good prospect if you need a quick profit. You will also get a share of 15-30% of the sales profit by the advertiser. This is clearly more profitable than RevShare in a short term.