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  • Essay / Compensation Models in Digital Marketing

    Table of ContentsPay Per LeadPay Per SalePay Per ClickPay Per ImpressionCompensation models are used in Internet marketing as a pricing system, which is how a business is charged for marketing online.Say no to plagiarism. Get a tailor-made essay on “Why Violent Video Games Should Not Be Banned”? Get the original essay Pay per lead Most businesses using internet marketing will focus primarily on leads, pay per lead rates vary due to different advertisers and different industries, they typically pay between £2 and £20 for prospects. The types of businesses that use pay per lead are typically businesses that focus on a subscription service, for example; Internet service providers or mobile phone network providers. Pay Per SalePay per sale is a commission for each time a product or service is sold. The commission is generally a percentage of the price received for the product or service sold. The price received generally varies in the same way as most other compensation models. Compensation models are extremely common when it comes to affiliate marketing, so whenever someone sells a product or service they will receive a percentage of the product price, pay per sale is usually very competitive and time consuming. An example of a pay per sale, affiliate marketing campaign is that of Trip Advisor because Trip Advisor has many different websites that contain links to their websites. Trip Advisor will then pay the website the link is clicked on if it makes a sale. This ad compensation model will allow it to create brand recognition because people will see links to Trip Advisor on most websites when searching for vacations, so they will become more aware of Trip Advisor next time. whenever they want to do it. book a vacation, they can contact Trip Advisor directly. Pay Per Click Pay per click is the most common type of compensation model. With pay-per-click, Internet marketers make money every time an online ad is clicked. When people create apps or websites and want to monetize them, they can insert ads that will be paid on a pay-per-click basis in order to generate money. However, PPC ads don't make a lot of money because they are usually paid pennies per click. Therefore, the more traffic a website or app generates, the more money they will make from pay-per-click ads. An example of pay per click advertising is the YouTube ad in the right corner, because when you click on the ad, the channel owner of the video you are watching will receive a small amount for each time someone clicks on the ad. advertisement. This WIX ad creates brand recognition for the company because even if people don't click on the ad or sometimes don't even see it, it enters their subconscious and if they at some point want to create a WIX website . will likely be the first service they think of.Keep in mind: this is just a sample.Get a custom article from our expert writers now.Get a custom essayPay Per ImpressionDisplay ads and text ads typically have a pay-per-impression model. This is when revenue is generated based on the number of times the ad is viewed. The salary is generally low and is..