{"id":859,"date":"2016-06-24T11:59:34","date_gmt":"2016-06-24T11:59:34","guid":{"rendered":"https:\/\/academy.mobidea.com\/?p=859"},"modified":"2018-05-04T16:33:46","modified_gmt":"2018-05-04T16:33:46","slug":"payout-campaign-performance","status":"publish","type":"post","link":"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/","title":{"rendered":"Payout and Campaign Performance: Variations that Matter"},"content":{"rendered":"<div class=\"mobid-before-content\" style=\"margin-top: 5px;margin-bottom: 5px;margin-left: auto;margin-right: auto;text-align: center;\" id=\"mobid-3997084466\"><div class=\"mobid-adlabel\">Advertisement<\/div><a data-no-instant=\"1\" href=\"https:\/\/www.mobidea.com\/academy\/recommends\/banner-placement-1\/\" rel=\"noopener nofollow\" class=\"a2t-link\" target=\"_blank\" aria-label=\"da\"><img src=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2022\/09\/da.gif\" alt=\"\"  class=\"no-lazyload\" width=\"730\" height=\"90\"   \/><\/a><\/div><p><em><strong>Editor\u2019s Note:\u00a0<\/strong>This is a section of our <a href=\"https:\/\/guides.mobidea.com\/semi-advanced-guide\/\" target=\"_blank\" rel=\"noopener noreferrer\">Media Buying Guide\u00a0&#8211; Semi Advanced<\/a>. Check it out!<\/em><\/p>\n<p>Every now and then, when analysing the performance of a specific campaign, you may notice a huge <strong>variation<\/strong> of a factor Media Buyers love talking about:<\/p>\n<p>The <strong>payout<\/strong>, or the value you get per each conversion.<\/p>\n<p>If you are a Media Buyer working with Mobidea, you have two options to promote our offers:<\/p>\n<ol>\n<li><strong>Smartlink<\/strong> &#8211; only one single link, ensuring you that you\u2019ll always promote the best offers for a specific segment (country, operator, operating system);<\/li>\n<li><strong>Single<\/strong> <strong>offers<\/strong> \u2013 when you want to promote specific offers. You\u2019ll basically select which one to use, depending on the vertical you\u2019re promoting.<\/li>\n<\/ol>\n<p>You can check the advantages of using either the <a href=\"http:\/\/www.mobidea.com\/academy\/single-offers-vs-algorithm\" target=\"_blank\" rel=\"noopener noreferrer\">Smartlink or a Single Offer<\/a> on one of our previous posts<\/p>\n<p>Payout variations may be caused by the rotation of the offers inside the smartlink.<\/p>\n<p>In this article, I\u2019ll take you through the process of dealing with payout variations.<\/p>\n<p>You\u2019ll get to understand which decisions you should make on your journey.<\/p>\n<p>Moreover, you\u2019ll learn how to be super profitable even when having to face variation-related problems.<\/p>\n<p>Ready?<\/p><div class=\"mobid-in-content-15-p\" style=\"margin-top: 26px;margin-bottom: 26px;\" id=\"mobid-714481254\"><div class=\"mobid-adlabel\">Advertisement<\/div><a data-no-instant=\"1\" href=\"https:\/\/www.mobidea.com\/academy\/recommends\/semrush-v2\/\" rel=\"noopener nofollow\" class=\"a2t-link\" target=\"_blank\" aria-label=\"semrushtrialseo\"><img src=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2022\/09\/semrushtrialseo.gif\" alt=\"\"  class=\"no-lazyload\" width=\"728\" height=\"90\"  style=\"display: inline-block;\" \/><\/a><\/div>\n<p>Let\u2019s go!<\/p>\n<p>For some segments &#8211; especially in Europe &#8211; the great variety of offers available can also mean that there are huge differences in <strong>payouts<\/strong>.<\/p>\n<p>In fact, Europe is the continent in which payouts can go from 0.8 cents to 24\u20ac. You\u2019ve read it.<\/p>\n<p>That\u2019s how wildly these values can vary!<\/p>\n<p>Once you have different payouts, your campaigns will become harder to optimize.<\/p>\n<p>Why?<\/p>\n<p>Due to the fact that your optimizations were always based on the same payout.<\/p>\n<p>In case there\u2019s a change, the campaign will behave differently and you\u2019ll have to adapt to this new reality.<\/p>\n<p>As you can imagine, this can be rather tricky to handle, particularly if payouts keep changing.<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_81 counter-hierarchy ez-toc-counter ez-toc-transparent ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">Table of Contents<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/#why-do-payouts-differ-so-much-inside-campaigns\" >Why Do Payouts Differ So Much Inside Campaigns?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/#1-new-stable-payout\" >1. New Stable Payout<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/#2-inconsistent-payouts\" >2. Inconsistent Payouts<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"why-do-payouts-differ-so-much-inside-campaigns\"><\/span><strong>Why Do Payouts Differ So Much Inside Campaigns?<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>As you may know, smartlinks give you the best offers for the current time period.<\/p>\n<p>Our powerful algorithm chooses the best offer, ranking it on the basis of its eCPM (revenue per 1000 visits).<\/p>\n<p>However, be aware that offers&#8217; eCPM will always be influenced by both conversion rates and payout.<\/p>\n<p>Indeed, an offer can have a very good payout but &#8211; if it doesn&#8217;t convert too often &#8211; other offers will overcome it.<\/p>\n<p>This means that the offer with more revenues by 1000 visits will be on top.<\/p>\n<p>That&#8217;s why the algorithm takes offers&#8217; eCPMs and not payouts into account.<\/p>\n<p>By doing so, the offers ranking is based on their performance, making sure the best ones will be in the top position.<\/p>\n<p>Another reason why payouts vary is the fact that some advertisers make campaigns with variable payouts available.<\/p>\n<p>This is something that can also impact your results, which means you&#8217;ve gotta be aware of it at all times!<\/p>\n<p>On the example below, you can check the top offer <strong>(A)<\/strong> that had a sweet payout and was beaten by offer <strong>(B)<\/strong> with a much lower payout, for a few days.<\/p>\n<p>Please <strong>pay attention<\/strong> to the increased conversion rate of offer <strong>(B)<\/strong> impacting the eCPM, allowing you to understand why this offer moved to the top position.<\/p>\n<p>As you can see, offers inside smartlinks can rotate on a daily basis, depending on how they perform (CR and eCPM).<\/p>\n<p>In this case &#8211; in order to overcome the eCPM of offer <strong>(A)<\/strong> &#8211; the conversion rate of offer<strong> (B)<\/strong> needs to be roughly 4 times higher than it&#8217;s now.<\/p>\n<p><a href=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2016\/06\/SL.png\"><img decoding=\"async\" class=\"wp-image-858 aligncenter\" src=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2016\/06\/SL.png\" alt=\"SL\" width=\"509\" height=\"296\" srcset=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2016\/06\/SL.png 679w, https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2016\/06\/SL-250x145.png 250w, https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2016\/06\/SL-120x70.png 120w\" sizes=\"(max-width: 509px) 100vw, 509px\" \/><\/a><\/p>\n<p><strong>Problem detected \u2013 Margin Decreased &gt; Was there a Payout variation? &gt; Let\u2019s solve it!<\/strong><\/p>\n<p>Think about that great campaign.<\/p>\n<p>The one that generated splendid margins and then suddenly &#8211; without any competition or optimization \u2013 made you feel disappointed.<\/p>\n<p>Indeed, your margins started decreasing to such a low point that you had no choice but to think about giving up.<\/p>\n<p>Take a look at your daily revenues and see if your payout changes.<\/p>\n<p>If you notice any variation, there are two possible explanations:<\/p>\n<p><strong>1)<\/strong> you have a new <strong>stable<\/strong> payout<\/p>\n<p><strong>2)<\/strong> you have variable payouts with an <strong>inconsistent <\/strong>behaviour. I\u2019m gonna explain the solutions for both these problems in case you\u2019re having trouble with your campaigns<\/p>\n<p>Bear in mind that these solutions are only to be used when you realize there\u2019s been a drop in your margins.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"1-new-stable-payout\"><\/span><strong>1. New Stable Payout<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Let&#8217;s pretend you had your campaign established in order to get payouts of 10\u20ac.<\/p>\n<p>You&#8217;re being profitable and don&#8217;t have negative parameters affecting your campaign.<\/p>\n<p>In a situation where the payout drops or increases you can expect the following scenarios:<\/p>\n<p><strong><span style=\"font-size: 14pt;\">Scenario with a new payout of 15\u20ac<\/span><\/strong><\/p>\n<p>Did you know that even when your payout increases, you can still lose margins?!<\/p>\n<p>In this scenario, you have to keep an eye on your conversion rate (CR &#8211; the number of visits needed to get one conversion).<\/p>\n<p>It can happen that &#8211; with the newly increased payout &#8211; you have fewer conversions.<\/p>\n<p>This means that, while still being profitable, your margins can decrease.<\/p>\n<p>To improve them, you\u2019ll probably have to adjust your bid according to your eCPM.<\/p>\n<p>Even so, there&#8217;s no need &#8211; at least for now &#8211; to change the campaign targeting (devices, browsers, etc.)<\/p>\n<p>You should understand that such an increase in the payout is usually not this dramatic and you always need to wait for data in order to analyse and act accordingly.<\/p>\n<p><span style=\"font-size: 14pt;\"><strong>Scenario with a new payout of 5\u20ac<\/strong><\/span><\/p>\n<p>In the first days &#8211; in a situation where the payout drops and you can&#8217;t afford a specific parameter due to the lower payout &#8211; you&#8217;ll have to act on the target side.<\/p>\n<p>With time, your CR can increase, which is great!<\/p><div class=\"mobid-in-content-15-p_2-2\" style=\"margin-top: 26px;margin-bottom: 26px;\" id=\"mobid-1638025101\"><div class=\"mobid-adlabel\">Advertisement<\/div><a data-no-instant=\"1\" href=\"https:\/\/www.mobidea.com\/academy\/recommends\/semrush-v1\/\" rel=\"noopener nofollow\" class=\"a2t-link\" target=\"_blank\" aria-label=\"backlinks\"><img src=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2021\/03\/PD-970x250-Discover-backlinks-faster-than-ever-1.png\" alt=\"\"  srcset=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2021\/03\/PD-970x250-Discover-backlinks-faster-than-ever-1.png 970w, https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2021\/03\/PD-970x250-Discover-backlinks-faster-than-ever-1-250x52.png 250w, https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2021\/03\/PD-970x250-Discover-backlinks-faster-than-ever-1-700x144.png 700w, https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2021\/03\/PD-970x250-Discover-backlinks-faster-than-ever-1-768x158.png 768w, https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2021\/03\/PD-970x250-Discover-backlinks-faster-than-ever-1-120x25.png 120w\" sizes=\"(max-width: 970px) 100vw, 970px\" class=\"no-lazyload\" width=\"970\" height=\"200\"  style=\"display: inline-block;\" \/><\/a><\/div>\n<p>This happens because the cost per acquisition is lower which means you&#8217;ll expect more users to convert!<\/p>\n<p>After you&#8217;ve analysed your campaign&#8217;s new behaviour, you can see whether or not you have to change your bidding.<\/p>\n<p>Please note you should retest the old target for both scenarios, since it can work with the new type of payout.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"2-inconsistent-payouts\"><\/span><strong>2. Inconsistent Payouts<\/strong><span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>Here you&#8217;ll face a completely different challenge. When you have inconstant payouts inside the same campaign, optimizing becomes a tricky business.<\/p>\n<p>Why?<\/p>\n<p>Because you don&#8217;t know what payout to expect.<\/p>\n<p>In order to deal with this issue, I suggest you try one of the three following optimization choices:<\/p>\n<p><strong><span style=\"font-size: 14pt;\">Use the average payout value of the last days to optimize<\/span><\/strong><\/p>\n<p>This is a safe approach if your payout variations don&#8217;t diverge too much.<\/p>\n<p>If the variations occur on a daily basis, the best way to look at your parameters&#8217; eCPAs (effective cost per action) is taking an average of the several payouts into account.<\/p>\n<p>A good example would be getting payouts of 8\u20ac, 10\u20ac, 12\u20ac and 14\u20ac. Here, the average payout is 11\u20ac.<\/p>\n<p>This approach allows you to stay safe, fighting for what you&#8217;re bidding without losing money from conversions with lower payouts.<\/p>\n<p><span style=\"font-size: 14pt;\"><strong>Take only the payout that makes your campaign profitable into consideration<\/strong><\/span><\/p>\n<p>This is a good strategy if you&#8217;ve realized the payment variation was sporadic.<\/p>\n<p>By doing this, you&#8217;ll be able to maintain both your target and position, since you&#8217;re expecting to receive a certain amount of payout.<\/p>\n<p><span style=\"font-size: 14pt;\"><strong>When the other two options don&#8217;t work and you keep losing money<\/strong><\/span><\/p>\n<p>If you&#8217;re a sharp Media Buyer that&#8217;s always ready to embrace new challenges, don&#8217;t even think about giving up on a particular campaign!<\/p>\n<p>If there&#8217;s money to be made, then you know you&#8217;ve gotta do your best to grab some of that cash!<\/p>\n<p><span style=\"color: #000000;\"><strong>Here&#8217;s what you do: <\/strong><\/span><\/p>\n<p>First, look at the <strong>single offers<\/strong> available for the segment of your campaign and search for a <strong>top offer.<\/strong><\/p>\n<p>Then, ask your account manager for advice on that particular single offer.<\/p>\n<p>Now, what?<\/p>\n<p>Go for it!<\/p>\n<p>By using a single offer, your payout problems will become a mere memory! You can now optimize your campaign, knowing you&#8217;ll always get the same payout. Moreover, you will benefit from having solid targeting, adjusted to a specific offer<\/p>\n<p>Trust me:<\/p>\n<p>This is something I can guarantee based on my personal experience.<\/p>\n<p>Now you know there&#8217;s always a way!<\/p>\n<p>You can fight against variations that you probably think you can\u2019t control.<\/p>\n<p>By doing this, you\u2019ll be able to improve your campaign\u2019s performance, making those massive margins, and counting that shiny gold like a true pro!<\/p>\n<div class=\"mobid-after-content\" style=\"margin-top: 5px;margin-bottom: 5px;margin-left: auto;margin-right: auto;text-align: center;\" id=\"mobid-3564007264\"><div class=\"mobid-adlabel\">Advertisement<\/div><a data-no-instant=\"1\" href=\"https:\/\/www.mobidea.com\/academy\/recommends\/banner-placement-2\/\" rel=\"noopener nofollow\" class=\"a2t-link\" target=\"_blank\" aria-label=\"da\"><img src=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2022\/09\/da.gif\" alt=\"\"  class=\"no-lazyload\" width=\"730\" height=\"90\"   \/><\/a><\/div>","protected":false},"excerpt":{"rendered":"Editor\u2019s Note:\u00a0This is a section of our Media Buying Guide\u00a0&#8211; Semi Advanced. Check it out! Every now and then, when analysing the performance of a specific campaign, you may notice a huge variation of a factor Media Buyers love talking about: The payout, or the value you get per each conversion. If you are a&#8230; <a class=\"view-article\" href=\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/\">View Article<\/a>","protected":false},"author":11,"featured_media":861,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[8974],"tags":[214,221,222,178,180,202,205,213],"learning_paths":[],"class_list":["post-859","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-media-buying","tag-optimization","tag-single-offers","tag-smartlink","tag-campaign-performance","tag-campaigns","tag-key-performance-indicators","tag-media-buying","tag-offers"],"translation":{"provider":"WPGlobus","version":"3.0.0","language":"en","enabled_languages":["en","ru"],"languages":{"en":{"title":true,"content":true,"excerpt":false},"ru":{"title":true,"content":true,"excerpt":false}}},"yoast_head":"<!-- This site is optimized with the Yoast SEO Premium plugin v26.1 (Yoast SEO v26.1) - https:\/\/yoast.com\/wordpress\/plugins\/seo\/ -->\n<title>Payout and Campaign Performance: Variations that Matter<\/title>\n<meta name=\"description\" content=\"The variations in payout and campaign performance need to be handled in style! 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Check how it&#039;s done in the Mobidea Academy!\" \/>\n<meta property=\"og:url\" content=\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/\" \/>\n<meta property=\"og:site_name\" content=\"Mobidea Academy\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/Mobidea\/\" \/>\n<meta property=\"article:published_time\" content=\"2016-06-24T11:59:34+00:00\" \/>\n<meta property=\"article:modified_time\" content=\"2018-05-04T16:33:46+00:00\" \/>\n<meta property=\"og:image\" content=\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2016\/06\/1500x844_Payout_Campaign_2.jpg\" \/>\n\t<meta property=\"og:image:width\" content=\"1500\" \/>\n\t<meta property=\"og:image:height\" content=\"844\" \/>\n\t<meta property=\"og:image:type\" content=\"image\/jpeg\" \/>\n<meta name=\"author\" content=\"Rodrigo Sengo\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:creator\" content=\"@mobacademy\" \/>\n<meta name=\"twitter:site\" content=\"@Mobideanews\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\/\/schema.org\",\"@graph\":[{\"@type\":\"WebPage\",\"@id\":\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/\",\"url\":\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/\",\"name\":\"Payout and Campaign Performance: Variations that Matter\",\"isPartOf\":{\"@id\":\"https:\/\/www.mobidea.com\/academy\/#website\"},\"primaryImageOfPage\":{\"@id\":\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/#primaryimage\"},\"image\":{\"@id\":\"https:\/\/www.mobidea.com\/academy\/payout-campaign-performance\/#primaryimage\"},\"thumbnailUrl\":\"https:\/\/www.mobidea.com\/academy\/wp-content\/uploads\/2016\/06\/1500x844_Payout_Campaign_2.jpg\",\"datePublished\":\"2016-06-24T11:59:34+00:00\",\"dateModified\":\"2018-05-04T16:33:46+00:00\",\"author\":{\"@id\":\"https:\/\/www.mobidea.com\/academy\/#\/schema\/person\/d4bbc80b18b7c6de3c0e13e231c3d593\"},\"description\":\"The variations in payout and campaign performance need to be handled in style! 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