Payment Models in Nutra & E-Commerce Explored

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Who it is for

1. webmasters
2. affiliate

When you decide to start making money on affiliate marketing and choose nutra or e-commerce for yourself, you will definitely come across offers where payment is provided by COD, Trial or SS. What it is, how it works and what to choose for a beginner - we tell in our new material.

What payment models are available in nutra and e-commerce and how they work

First, let's define each term:

Cash-on-delivery (COD) - offers where payment occurs upon receipt of the goods by the user by mail or by courier. It works like this: the user leaves a request on the landing page → the manager contacts him (there is a call center for processing requests in such offers) → places an order. As soon as the order is placed, the request goes to the "Hold" column in the webmaster's statistics. As soon as the user bought the product from the mail → the webmaster receives his reward.
Straight Sale (SS) - offers involve paying for goods on the site online. In other words, the user needs to enter their credit card details directly on the advertiser's website (on the landing page) and wait for the goods to be delivered. In this case, the webmaster receives a reward immediately after paying for the goods.
Trial-offers - the client receives the first unit of goods for free, but with a subscription after the test period. It's easier to explain with an example. On the landing page, the user is invited to get the first jar of the product for free, but with a postage fee (only $6). After filling out the first form, where, as we see, you need to enter your payment data, the user issues a paid subscription. Every month, the advertiser will send the client a course of the product, deducting $120 from the card, according to the subscription.Offer landing page with payment by Trial

Advantages and disadvantages of COD offers in CPA marketing

Advantages	Disadvantages
It's easier to be creative. This is an old method, very common. If you have chosen such an offer, it will be easier to peep creatives and bundles of other webmasters.	Processing. Goes through the Call Center, lasts for some time. The result and profit of the entire bundle depends on the work of the Call Center, do not underestimate this factor.
COD has more stats, is highly distributed, and doesn't require big budgets to run. Due to the prevalence, it will be easier to find statistics and develop a bundle.	Payment to the webmaster. It goes only after the first paid order, which is not very convenient. In addition, the Affiliate Program may request a traffic stop in order to process current leads.
Convenience for the client. It is more convenient for a person to buy goods at the post office, without prepayment. This inspires more confidence. Accordingly, there will be more leads, and the price for them is lower.	Delivery. Lasts for a while. During this time, a person can change his mind, respectively, the chances of payment are lower than in SS.
	Hold on the first payment. If the arbitrator is just starting to pour, the affiliate program will check the traffic and freeze payments. If the quality of the audience is low, the payout will also be reduced.

Advantages and disadvantages of SS offers in CPA marketing

Advantages	Disadvantages
They allow you to work with the richest GEOs, have 100% approval and large payouts that fully cover traffic costs.	There are practically no offers for tier-2.3 GEOs, which means you will have to buy expensive traffic.
A new, not scorched market, which increases its performance.	Users’ distrust of noname landings, so they are in no hurry to enter card details.
SS offers have a short sales funnel, fewer opportunities for cancellation or rejection. In SS, the actions of call centers and delivery employees will not affect profit.	The information contained on the pre-landing page and the landing page must fully meet the expectations and needs of the buyer in order to exclude the possibility of returning the goods (chargeback).
Payouts in SS offers are an order of magnitude higher than in COD, since there is no need to spend money on call centers and customer processing.

Advantages and disadvantages of Trial offers in CPA marketing

Advantages	Disadvantages
The trial works only in countries with a well-developed economy and a high standard of living.	You can not pour anywhere except Australia, Canada, USA, UK, New Zealand.
Applications are confirmed after linking a bank card, and not through a call center, this guarantees almost 100% approval.	Confirmation of a bank or credit card when subscribing is possible only on the advertiser's landing page, so working using the API in this model is not possible.
The payout for a lead on trial offers is 2-3 times higher than in COD, but slightly lower than in SS.	Further work with the offer and the advertiser depends on the quality of the traffic (percentage of repeat rebills).

Rebill - re-ordering of goods by the buyer, carried out automatically every month - the full amount is debited from the card for the goods that are sent to the buyer.

If after a few weeks the volume of rebills is more than 60%, then such traffic is considered good and the webmaster can be provided with more favorable conditions for scaling and caps.

Comment from the editors of AffJournal

For beginners, we advise you to start working with COD offers, as it is easier to work with them with cheap GEO Tier-2.3 countries. Having gained experience with COD and earned the first money, you can already switch to more expensive GEO and SS and Trial offers, which will require more costs for tests.

For any payment model, tests are important, a detailed study of your Target Audience, creatives on which the final result depends, and the right affiliate program, which will always help you achieve the desired result for any payment models you choose!

by Editor