Traffic arbitrage, what do I need to know about it?

A new concept – traffic arbitrage – has appeared recently. And at the moment this method is becoming more and more popular, but you can not only earn a large sum, but also lose money, so it is worth to learn everything in detail.

Just about complicated

To put it as simply as possible, traffic arbitrage is the purchase of visitors, and their redirection to affiliate programs. Buying advertising means buying advertising on a variety of resources, for example, it can be banners or teasers. You should also not exclude the use of contextual advertising in social networks.

But now we should consider teasers. These are small, but bright and eye-catching images with a catchy headline. This is a really effective move, as it often provides a link to an affiliate with an offer to buy a product or use a service. This is how arbitrage works.

In order to understand the term in more detail, you have to break it down into its components. In terms of traffic, it is the number of users of a particular resource in a given period of time.

If we talk about arbitrage, it is buying cheaper, with the aim of reselling it later for a larger sum. In slang it is also said that it is a drain of traffic.

How to start arbitrage traffic

In this area today there is a lot of competition, but if anyone wants to make money. Of course, it’s risky and unstable type of earning, because everything depends not only on the demands of the advertiser, but also on the rules of advertising sites. But reselling traffic has a low entry threshold. In this case, the main task is only to attract traffic. That is, there is no production to think about, no communication with customers or suppliers.

Where to pour traffic from?

For this purpose, you can use:

1. Banners.
2. Social networks.
3. Contextual advertising.
4. Forums.
5. Teasers.

A cost-benefit assessment has to be made. For example, 100 thousand users were directed to buy a certain product, but only 10 people made a purchase. That is, the conversion rate is 0.01%.

It is important to consider the fact that the lower the cost of traffic, the worse the quality. For example, banners and teasers have the lowest price, but the conversion rate is low.

Before you start, be sure to consider the basic requirements for traffic. Everything is strictly specified in the rules of the advertising network. Often spam is not allowed and it is not allowed to advertise a brand.

Where to get traffic?

It should be understood from the start that earnings do not depend on the number of users who clicked on the link, but on the number of sales. An exception is the situation if this is a common model of CPA. This is where the number of visitors is important.

The task is to attract the relevant traffic, which will match the products. For example, if it is sea tours, the target audience is couples or women with children. The age ranges from, say, 23 to 40. That is, you should always target people who will be interested in the product.