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General Guidelines and Warnings for CPA networks and Affiliates

Discussion in 'General Affiliate Marketing Forum' started by operationoffers, Feb 11, 2013.

  1. operationoffers

    operationoffers Affiliate Manager Affiliate Manager affiliate

    Since we are in the process of coding a script that will help keep networks transparent and limit scrubbing and other practices I Thought I would post an article here with some personal thoughts on how CPA Networks have changed and some potential downfalls

    Imagine if you will that the world truly worked as John Lennon had "imagined". a word without war and everything that scared humanity throughout the ages. If all of this was true then this would certainly impact the business world. Everyone would always be upfront and honest and there would never be lawsuits, hurt feelings, and lost profits. I am sure that if asked everyone would rather live in this world but while we are dreaming then we could always ask for the end of hunger and sadness in general.

    It seems that whenever I turn around there is some war being waged on either someone else or another network is going under due to their business practices. It is unfortunate that affiliate marketing can sometimes temp those to use black hat methods, fraud advertisers, scrub leads, withhold payments...basically cheat the people they work with. I am not sure where this comes from since there is enough to go around. I think that any time there is a short cut there will be some who decide t take it and in the process hurt those who choose to go by the book an try to do everything honestly. I would like to think that those who take short cuts en up slicin themselves up but sometimes it takes a long time when their are a lot of people doing it.

    There have been a large influx of new networks recently and what I see is many of them offering Net 1 or weekly payments to everyone. his seem like a pretty sweet deal until you realize that in most cases it is not sustainable. Many networks who have been lax with fraud and poor quality traffic and even more lax with their payment terms are feeling the sting on their bottom line. Most new networks don't realize that many other networks do scrub. They don't realize that bigger networks are very tough on fraud and will sometimes refuse to pay and will not tell you until you have already made all your payments. Some networks will try to get around this by running up publisher balances they have lost money on an then close their account...but since most of their leads were poor I am not sure how this strategy can work to a positive outcome over the long run.

    Another thing to look out for along with approving anyone and paying virtually instantly on any amount is over exaggerations. some new networks will say almost anything to get your business...anything. Just like some get rich quick programs they might have anything i their sales copy to get you to buy now....especially if they over accentuate money back guarantee. I don't trust offers that over explain this. The logic is this....Say I had a weight loss diet that seemed too god to be true. I sold the program for 50 bucks and gave a money back guarantee. I have no idea if this works but i know it will for a percentage of the people. I also know that a certain amount of people will simply forget to request a refund. I will make money regardless. The point here is too be wary of networks that over exaggerate how wonderful they are especially when they are first starting out.

    Be wary of small networks that pay new 1 or weekly fr everyone. They either have a very large bankroll or front all of the money regardless of all the fraud which will most assuredly hit them. Some affiliates get so deep with these networks that when they don't get paid...they are set back many months sometimes or they jut go out of business. Now i am not saying don't work with them....I am saying start small and work based on how they pay you and how consistently. Networks fall all the time and this is usually the problem....over extending themselves trying to get more publishers or keep them. People end up getting hurt when margin wars ensue.

    What is my solution

    1. if you are a network get IO's from advertisers
    2. start small and build up...don't overextend
    3. be wary of new networks that make wild claims and say they pay instantly..There is no advertiser that pays this way..this method can work...but only for those who prove their traffic over the course of a 3-6 months.
    4. If you are a network...be honest in everything you do.
    5. more accountability and transparency is the key
    6. don't put all your eggs in one basket...diversity your traffic sources

    When we are completed with our script..we will make it available to CPAfix members for a reduced rate as well as those who work with us directly for a even lower rate. I will keep everyone posted. It will be under the name CPAInsight

  2. terraleads

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