Analyzing Commission Junction

Commission Junction is one of the 800 poundall this data? There are categories that aren't so
gorillas of Affiliate Marketing. CJ is part of thegreat at CJ. If your site is about web services
publicly held ValueClick, which earned $39 millionadvice, handbags, new age, car travel or rentals,
last year on marketing programs, including affiliatecommercial insurance or weddings, I'd look
programs, email marketing and software forelsewhere. Another way to interpret the data
advertising agencies.CJ handles affiliate programswould be to say that the marketers CJ has for
for a lot of the big names, including Home Depot,those categories don't pull well. Still another would
Yahoo and Citibank.Can you make money withbe that the type of sites that sign with CJ just
Commission Junction? Like most affiliate programsdon't attract the type of people that would click
it depend on the theme or niche of your webon ads in those categories. No matter how you
site, and how well you match your content andslice it it still comes out the same - it seems like
the CJ programs.Our spider ran through the siteCJ isn't the place to look to fill that ad space.Not
recently, and I've made a list of the majorcontent with my mountain of data, I opened the
categories and their average Earnings Per Clickfirehose a little more. I ran a program that
(EPC). You will recall that EPC is calculated bycompared the average EPC for Pay-per-sale
taking the total commission payout for theprograms vs. Pay-Per-Lead programs. For
advertiser and dividing it by the number of clicksper-sale, the EPC was .36. For per-lead it was .67.
that advertiser gets, so EPC measures howIntutitively I would say that advertisers pay more
profitable each click is for the publisher. We usedfor sales than leads, so the clickthrough on leads
7 day EPC, which measures EPC across the lasthas to be much higher on CJ, which also seems
seven days.The spider also only saves the topcorrect since less of a commitment is required
ten advertisers in each category/subcategory,from the visitor for a lead than a sale. So if you
and since some advertisers are in more than onehave a choice in programs between sale and lead,
category/subcategory it tends to skew thetake the lead program.So what did we learn here?
results a bit (higher). We came up with anIt seems to me that if your site visitors would
average of .56 (fifty-six cents) per click acrossrespond to banners or text links about mortgage
the board averaging every category andfinancing, insurance, gardening or web services,
subcategory.We've created a metric we call Trueadd some CJ banners to the mix. What the heck,
EPC or TEPC, which measures the actual Earningsadd them anyway if you have room, because
Per Single Click, rather than the earnings perexperimentation is important to success in affiliate
hundred clicks that companies like CJ use to makemarketing. If you have a site with content that
the numbers look bigger.Note: I only included thefits those categories or is a general interest or
first 5 categories here, and only part of the data.entertainment site, there are many good
All of the data can be found at a very interestingprograms to choose from at CJ.Lastly, I did a
list by category:Category True EPC / Top Ad &quick comparison of the average Adsense payout
TEPCFinancial Services $ 2.41 / Get Smart $(using 80% of the average of keyword bids for
32.98different categories), and Adsense comes out a
Insurance $ 1.25 / American Life $ 2.98better EPC about a quarter of the time. So check
Home & Garden $ 1.16 / Sunsetter $ 8.21Adsense first before you put up a CJ ad that has
Web Services $ 1.13 / Yahoo Hosting $ 3.75an EPC of a dollar or more. A big banner ad vs. an
Computer & Electronics $ 0.87Adsense ad may seem like a good idea because
Accessories $ 0.80more exposure may translate into more clicks,
Health & Beauty $ 0.76What does it all mean?but you can fit three Adsense text ads in that
Well, to me it means that if you have a websitebanner space.There are many hidden insights in
that gets visitors interested in Loans, Insurance,the data, and I encourage you to go to the
Sunsetter awnings or Yahoo hosting, you shouldwebsite, print out the page and take a look.
be a member of Commission Junction.MoreThere might be some terrific-paying programs
generally, if you think you can get decentyou can ad to your website.I'd like to put
clickthrough on Finance, Home & Garden,together a free weekly email service that
Insurance or Web Services, I would include someprovides stats like the ones on this page. If this is
Commission Junction ads.Some commentary onsomething you might be interested in, drop me a
the top 4 ads: what strikes me right off the batline.Matt DeAngelis runs Matt is the former CTO
is that the little Yahoo text ad at #4 pulls almostof Modem Media, a pioneer in the Internet ad
four bucks. I actually signed up for that programspace. As a foot soldier in the Internet revolution,
myself, and I'm going to put it on this site when IMatt devised the technology behind many of the
get the chance. My calculations tell me that 1:5 tomost successful ad campaigns of the time.
1:7 clicks results in a signup.What's the flip side of