Seeking Help CPL

[jeff@adzioaffiliatenetwor]

Hey everyone,

I’m looking to get a better understanding of CPL (Cost Per Lead) pricing and how it’s typically structured. Specifically:

How do networks determine CPL rates?
What are the key factors that influence lead cost (e.g., traffic source, quality, vertical)?
What’s the average CPL range in [your vertical, e.g., Nutra, Finance, etc.]?

Would love to hear insights from those with experience running CPL campaigns or setting rates. Appreciate any input

 

[Graybeard]

In overview, CPL payouts are based on historical conversion rates of these signups by the
sponsoring affiliate program website.

What I mean by this;

• it is a dating site, maybe they've had 100,000 signups and had 1,740 paid in customers
• people convert into paying customers, each one of those paying customers would generate
• $144 dollars of revenue during their lifetime of the gross revenue I offer to my program affiliate or an affiliate network middleman

This is a 1.75% conversion median

Your CPL payout should be lower than the revenue per signup to maintain profitability. The exact payout depends on the margin you are willing to keep.

• Ideal CPL (50% margin) = 2.51×0.50=1.252.51×0.50=1.25
• Aggressive CPL (75% margin) = 2.51×0.25=0.632.51×0.25=0.63
• High-Risk CPL (Break-Even) = $2.50 (not recommended)

note: This is before the affiliate network takes their cut before paying the affiliate.
These are hypotheticals as I do not have the real site data to use.