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What is EPC?

Discussion in 'General Affiliate Marketing Forum' started by johnmkerrnj1, Oct 31, 2014.

  1. johnmkerrnj1

    johnmkerrnj1 Affiliate Manager Affiliate Manager affiliate

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    I am seeing columns for payouts and EPC. What is the relationship between the two?
     
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  3. sleenirvana

    sleenirvana Affiliate affiliate

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    Earning per click. Payout is how much u get for each conversion.
     
  4. java

    java Affiliate affiliate

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    Better explanation

    EPC is the ultimate test to tell which of the affiliate merchants you’re promoting is performing the best.

    It can also show you the duds.

    Is an affiliate program that pays $100 commission better than a program that pays $5 commission? Maybe. Maybe not.

    You can find out by calculating the EPC.

    To calculate the EPC, you simply divide the commission generated by the number of clicks.

    For example, if you receive a commission of $20 after sending 100 clicks (visitors) to the merchant…

    Divide $20 by 100 = 0.20.

    Your EPC is 20 cents per click.
    more info can be found here
    associateprograms.com/articles/epc-explained.html

    Here is a great calculator you may use free. EPC Calculator | AdCalc.net - Free Internet Marketing Calculators
     
    Derrickmiller likes this.
  5. rogerramjeet

    rogerramjeet Affiliate affiliate

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    Thanks Java. This has helped me.

    I want to take it a step further. (But most likely a real newbie question).

    Let's say the Network also provides a Conversion Rate along with the EPC. For example the following details are provided by a Network for an iPhone 6 US promo - The offer converts at 4.99%, the EPC is 0.111, and payout is $2.12.

    Is it right to say that for every 100 clicks, I may convert 4.99 of iPhone 6 offer?

    Secondly, is it right to say that if I convert 4.99, then my revenue may be (4.99 x $2.12) $10.57 per 100 clicks?

    If I take this further, should EPC be equal to Revenue? ie. EPC = (.111 x 100 clicks) $11.10 and REVENUE = (4.99 x $2.12) $10.57? (In this example you can see there is a difference of $0.53.)

    Sorry, this has been bugging me. :)
     
  6. johnmkerrnj1

    johnmkerrnj1 Affiliate Manager Affiliate Manager affiliate

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    Thank you both. So, I am seeing in some of the pay per call things like: payout= $12.50 and the EPC =$1,149. Would this mean that out of 100 calls, the earning should be $1,149, or that just under 96 of the calls met the payout requirement?
     

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