Many of us use pay- per-click advertising systems (like AdWords, Yahoo Sesarch Marketing, Kanoodle etc) for promoting their business. And though pay-per-click advertising model still remains one of the best ways of capturing online traffic it is considered to become more and more expensive for advertisers to acquire customers through it.
A significant advantage of such advertising method can hardly be underestimated – the ads are served to those particular customers that search exactly for the product or services you propose.
No other advertising model can brag of this. That is what made world’s most brilliant minds to search for a new advertising mechanism that will keep the same advantage but supply lower cost-per-acquisition (CPA) and higher return of investments (ROI).
The first one to propose that kind of system was Bill Gross (the same person that proposed pay-per-click advertising model for Google). In this pay-per-action advertising model (called Snap) advertiser pays only when customer completes a certain action. An advertiser creates a keyword campaign and submits his bids ( the amount he is willing to pay for a customer’s action) and pays when the action is completed y the user. Otherwise, the only cost is a $50 non-refundable sign-up deposit.
The whole thing sounds to me like a dream come true the only question with no answer currently is which search engine will the system be implemented on? The one that was worked out by Gross’ company is quite good and uses innovation techniques that are not used by any other search engine but still it’s rather hard to compete with such giants as Google and Yahoo. Engine that seems to be interested in this advertising system is Google. It doesn’t point on the interest directly but the spokesman of Google Mike Mayzel said that the company is `always considering new ways to provide value, including various pricing models.”
So we are just to wait if the pay-per-action advertising system will find a search engine with LOTS of traffic (whichever engine it will be) or not!
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