ECHO EMISSARY

Glossary

EPC (earnings per click)

EPC (earnings per click) is a partner's average income per click sent to an offer and the main guide for affiliates when choosing offers.

In plain words

An affiliate pays for traffic and earns on approved actions. EPC connects the two: how much money each click sent to the offer brings on average. If EPC is higher than the cost of a click, the traffic can make money.

EPC is often quoted per 100 clicks to make the numbers easier to read.

How it is calculated

EPC = partner’s earnings / number of clicks.

A hypothetical example: 1,000 clicks, 30 applications, 15 approved, a payout of 40 units. Earnings are 600, EPC is 0.6 units per click. If a click costs the affiliate 0.4, they are in profit. If 0.8, they are at a loss.

Why it matters to an advertiser

EPC is made up of three factors: page conversion, approve rate and payout size. Two of them depend largely on the advertiser. Slow handling of applications lowers the approve rate and therefore EPC. A falling EPC is a signal for affiliates to move to another offer.

An owner should understand that raising the payout is not the only way to attract traffic. You can raise the approve rate by replying to leads faster and seeing conversations through to the end.

Common mistake

Relying on an EPC calculated over a short period or on a small volume. A few lucky days produce a nice figure that will not repeat. Another risk is an EPC inflated by leads that have not yet passed the hold and may still be rejected.

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