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Jun21
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There's interesting news over at TopLeadGenerators about a reported program being tested by Internet goliath Google. It involves a "cost per action" program, where you would pay only for clicks that resulted in sales. Read the article here, and other blog comments here. Fascinating concept! Imagine...only paying for sales leads that actually result in sales. I can't wait to find out more. |
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There is another sales lesson hidden in the "cost-per-action" label they are using to sell these ads. It's really just a horse of a different color of course.
Anyone buying cost-per-click should already know their cost-per-action. It's just a matter of the math.
It's a smart move by Google to sell the ads based on the customers wants. Very smart.
The smart ad buyer will figure which ad they can get cheaper by figuring the cost-per-click and multiplying it by clicks-per-action to reveal the cost-per-action. Once that is known there may be some good buys in the beginning stages of Google's new system because. Or, Google may just charge a premium for doing the math for the customer.
It will probably take a while for the two to equalize but ultimately they should be the same cost per sale for the advertiser.
The lesson in this would be to ask ourselves a question...
"Is there anything else I could label my product to make it more attractive to the buyer?"
Google seems to have figured out an answer.
Posted by: Sean Woodruff | June 22, 2006 12:28 PM | Permalink to Comment