Publisher's Synopsis
Cost Per Action Marketing Formula
A cost-per-action agreement defines activities directly related to some sort of conversion, with purchases and registrations being the most frequent. This excludes agreements based entirely on clicks, which are referred to as cost-per-click or CPC. Thus, the cost-per-action (CPA) model is the polar opposite of the cost-per-impressions (CPM) model, with the cost-per-click (CPC) model somewhere in the center. In a CPA model, the publisher bears most of the advertising risk because their rewards are based on high conversion rates from the advertiser's creative units and Web site.
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