Offer analysis is an important step in traffic arbitrage. A proper understanding of key metrics and indicators helps advertisers determine the profitability potential of an offer and make informed decisions about using it. In this article, we will look at the key metrics and indicators that should be analyzed when selecting and evaluating offers.
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EPC (earnings per click) – is a metric that shows the average earnings received for each click on an offer. The higher the EPC, the more opportunities to profit from the offerer.
CR (Conversion Rate)– is the percentage ratio between the number of conversions (such as sales or form fills) and the total number of conversions. A high conversion rate indicates the effectiveness of the offer and its appeal to the audience.
Earnings Per Conversion – is the average revenue generated from each conversion. This indicator allows advertisers to assess the real profitability of the offer after taking into account the costs of traffic and other expenses.
Retention Rate – is the percentage of customers who stay with a company over a period of time. A high retention rate indicates a quality product or service and can be a key indicator of the long-term profitability of an offerer.
Average Order Value (average check) – is the average amount a customer spends when making a purchase. A high AOV can compensate for lower conversion rates and increase the overall profitability of an offer.
ROI (return on investment) – is a percentage figure that reflects the ratio between profit and traffic costs. A positive ROI indicates that the advertiser is making a profit on the offerer after accounting for all costs.
CTR (click-through rate) – is the percentage ratio between the number of clicks and the number of times an ad is shown. A high CTR can indicate the attractiveness of an offer to the audience and the effectiveness of the advertising campaign.
Analyzing offerers using key metrics and indicators is an important step in successful traffic arbitrage. Understanding these metrics helps advertisers make informed decisions about selecting offerers, optimizing campaigns, and maximizing profits. By carefully analyzing metrics, you can identify potential opportunities to improve the performance and effectiveness of your ad campaigns.