Pay per lead is an online advertising program where the online advertiser pays the affiliate only when a lead is generated on his website. The affiliate does not receive any money if the users or the visitors do not sign up on to that website. Leads, with respect to pay per lead means that the user or visitor on the website provides the web master with some personal details as well as other details like their contact numbers, location, and some other demographic information. They may also provide the webmaster with the information about their economical status likes, dislikes and preferences.
Sometimes the information provided by the visitors may be very little and sometimes it may not be more than contact numbers and the email address. As compared to pay per click pay per lead may be a little more advantageous because in pay per click you pay when the visitor is clicking on to your link but then in pay per lead you also get some information of the user. Pay per lead has a higher end over pay per click because as you get some information of the user it becomes easier to approach the user at times of updating and also sending some mails which may attract them to visit the site and look out for what is actually being offered.
As compared to PPC pay per lead helps the web master to know how many users have actually viewed the website and know about products and services offered by you. But then same as in pay per click there can be frauds that may occur in pay per lead. Like in pay per click the advertisers those who have appointed marketing experts that is the marketing team for their website may conduct fraudulent activities. They would themselves impel upon some people to sign in and fill in some data and then assure the advertiser about them being the correct marketers fro their website. In pay per click technique it may be difficult to judge and spot the fraud but then in pay per lead technique it may be comparatively easier.
An affiliate working for the advertiser may be paid a little less than the pay per sale but then a little more than pay per click. In comparison with pay per click most of the times it becomes easier for the web masters or advertisers to know who are the potential customers and are they actually interested in buying the product. This is because in PPC advertising you may just get a click on the link but then here you may be able to know all the details and can make sure whether this lead will help you to generate sales or not. Pay per lead may be beneficial than pay per click because the lead be helpful in reminding the prospect about the product at regular intervals.
Thus it is important for the web site advertising specialist to choose whether money should be spent on pay per click or then pay per lead. This is because both pay per click and pay per lead have their own advantages and disadvantages.