It seems like the days of Pay Per Click advertising are counted as there is a new online marketing payment model on the horizon: Costs Per Action (CPA) a model which Google is currently testing and about to add to their Google AdSense program.

With the existing Pay Per Click campaigns payment will be taken for every single click which the advert is receiving, no matter if you actually make a sale, get a new business lead or not. After all PPC can bring you visitors and potential buyers to your website but this is where the measurability ends. Does this bring the expected return of investment for your business. And not to forget there is click fraud - people click on your ad without having a real interest in what is offered and with the increase of companies using PPC there also is a keyword inflation n- pushing costs up.
Will Costs Per Action bring the change?
As the name already promises with running a CPA campaign costs will only accrue if an 'action' is reported - this could be selling an item or a visitor subscribes to the services on the website. The type of action is dependant to the type of business and website, whether the user will sign up for your newsletter or purchase a product.
The aim with this way of online advertising is to protect companies from being charged for nothing in return and more control over budget and results. Furthermore there will probably be a higher Return on Investment. The future holds if CPA will replace PPC soon.

Contact Tetridia on +44 (0)20 8144 6655 for more information on how to raise your marketing to the next level using Search Engine Marketing.
Article by Lea Loana Roelz @ Tetridia