Value Per Action Search Advertizing
"Value Per Action. Instead of charging fees on the click, we charge our advertisers only when people actually buy, and we share at least half of this fee back with those buyers in a cash back account."
Description
From the Jellyfish blog at http://www.jellyfish.com/blog/2006/06/26/unveiling-jellyfishcom-and-vpa-advertising/
"we connect people directly to the value of the advertising market. Instead of measuring how much money WE make when you click, we measure how much value the advertiser is willing to pay YOU for your sale. With VPA, the advertising value of your attention becomes transparent (you see it in the form of cash back) and changes from annoying advertising into a new kind of currency (we call it buying currency) that lowers your end price.
And to help you get the maximum amount of savings when you buy, we are launching VPA in the same kind of advertising auction system used by the major search engines. But instead of ranking our results by the amount companies pay us in the form of hidden advertising fees, we rank results by the end price for a product, after our cash back. We think this will create a perfect retail marketplace because retailers will increase their VPA advertising rates (keeping pricing constant on their own sites) to get to the top of our rankings and the value of that advertising competition will flow directly to our users in the form of lower net prices.
The power of the VPA auction is this: The more stores compete for buying attention, the more end consumers save. In this way, we think we hope to create a system that delivers the maximum return on a consumer’s intention to buy, and they don’t have to do anything more than search they way they would at one of the existing comparison shopping engines.
And what does this do for retailers? It allows them to spend the same $1 of advertising on both search promotion (paying for higher rankings) and price promotion (dropping price to drive conversion) in a risk free channel where click fraud is impossible." (http://www.jellyfish.com/blog/2006/06/26/unveiling-jellyfishcom-and-vpa-advertising/)