|
Special Report: The Real Cost of
FFA Pages
by SBC Staff
People either love or hate
FFA pages. There doesn't seem to be much middle ground. Others rationalize
using them because they appear to be a cheap source of leads. But how
expensive are they really? Has anyone really gathered any hard evidence and
made it public? We have and we are!
BACKGROUND
There are two ways people use FFA pages for marketing:
1. Posting ads to the pages, and
2. Hosting an FFA page.
Posting ads to FFA pages is generally considered worthless. Very few people
actually visit FFA pages to post their ads. There are a variety of
submission services that will post your ad to hundreds or thousands of FFA
pages and the vast majority of people who post use these services. You can
post in minutes using an automated service to more pages than you could post
to manually in weeks!
The result is that human eyes rarely see the FFA pages, so your ad will most
likely not be seen by anybody. This situation is made worse since your ad
comes in on top of the listings when you post and moves down one step as new
postings are added. Since submission services post ads very rapidly, your ad
might stay on an individual site for only about 30 minutes before it drops
off completely.
But posting to FFA pages is not how most marketers use them: instead they
host an FFA page or pages. When you host a page that others post to you are
allowed to send a confirmation email to everyone who posts to your page. The
purpose of the confirmation is to confirm the poster's link, thank them for
posting and invite them to come back and post again.
But marketers also include an ad with their confirmation. The result: free
email addresses to market to. Because of the widespread use of automated
submission services you can collect hundreds or thousands of email addresses
to market to every single day.
Most of the FFA pages you can sign up to host are part of FFA networks that
include thousands of separate FFA pages. When you host one of these pages
you get the email addresses of everyone who posted to the entire network.
This means you and thousands of other FFA page host/marketers are getting
the same addresses. So those who post to FFA pages receive thousands of
confirmation emails as a result of their post. And, of course, they read
every single one with great interest. Not!
Most people who post to FFA pages are savvy enough to understand the
confirmation email process. As a result, they use an email address when
posting that will feed the confirmation email right into the trash bin,
never to be seen or read by anyone. Others provide a bad email address,
although this will not work with FFA pages that require confirmation of the
email address used. But some people will read your ad and marketers who like
hosting FFA pages for marketing purposes will tell you that the response
rate is still good enough to justify the use. Are they right?
OUR TESTING
We have run extensive tests using ten different FFA networks over a period
of a few months to get an idea of the usefulness of hosting FFA pages. The
following is a summary of the overall results we achieved:
|
FFA |
Leads
|
Cost |
Clicks |
Click% |
Cost/Click |
Cost/Lead |
|
A |
19,898 |
$59.70 |
53 |
.266% |
$1.13 |
$.0030 |
|
B |
65,311 |
98.00 |
29 |
.044% |
3.38 |
.0015 |
|
C |
20,203 |
29.98 |
21 |
.104% |
1.43 |
.0015 |
|
D |
414,050 |
74.85 |
10 |
.002% |
7.49 |
.0002 |
|
E |
68,352 |
39.80 |
118 |
.173% |
.34 |
.0006 |
|
F |
154,998 |
63.80 |
212 |
.137% |
.30 |
.0004 |
|
G |
58,500 |
20.00 |
8 |
.014% |
3.13 |
.0004 |
|
H |
27,750 |
15.95 |
1 |
.004% |
15.95 |
.0006 |
|
I |
127,479 |
101.40 |
68 |
.053% |
1.49 |
.0008 |
|
J |
80,382 |
50.00 |
423 |
.526% |
.12 |
.0006 |
|
|
|
|
|
|
|
|
|
Totals |
1,036,923 |
$558.48 |
943 |
.091% |
$.59 |
$.0096 |
|
Averages |
103,692 |
$55.85 |
94 |
.091% |
$.59 |
$.0005 |
As you can see from the
table above, the response rates from our "confirmation" emails were rather
poor in all cases but one. FFA page J provided what could be considered a
"normal" response rate for this type of lead of just over one-half of one
percent. However, we received more complaints and remove requests from these
mailings than all the others combined. In fact, we never received a single
remove request or complaint related to any of the others.
This is one of dangers detractors of using FFA pages cite in their arguments
against using them. The people you are mailing your "confirmation" emails to
really do not want to receive your offer. This is why the response rates are
so low. As you can see, you will get responses, but you won't be overwhelmed
with the results.
We should also note that there were tremendous differences in the response
rates depending on the type of ads being sent. In our testing, we used a
variety of ad types. Roughly half the ads were for paid programs and half
for free programs. The response rate from ads for free programs was anywhere
from two to five times better than the response rates from ads for paid
programs.
The response rate was also better with those FFA pages that allow you to
delay the mailing of your confirmation email to avoid the avalanche of
confirmations people receive after they post. It seems to be true that if
you delay your mailing for five to seven days after people post, your email
is less likely to get lost in the clutter.
SOME CONCLUSIONS
Our testing of FFA pages supports the following observations and
recommendations:
1. If you are going to host an FFA page and promote using the allowed
confirmation emails, you will get better response rates by using them to
advertise your free to join programs (such as free traffic programs) or use
them to offer free gifts in return for people signing up for your
newsletter. Also, choose one that allows you to delay the mailing for at
least five days.
2. While the cost per lead is ridiculously low, the cost per
click is very high. In fact, the cost per click in almost every one of the
FFA programs we tested is more than adequate to buy you a solid position in
the pay-per-click search engines! Your promotion would be more targeted,
have a better sales conversion ratio and would be less risky with respect to
potential spam complaints. Think about this one carefully. It might seem
much less expensive to pay from $10 to $20 per month for an FFA page to get
an average of more than 100,000 leads, but it is the response rate that
counts. $50 spent on pay-per-click advertising will be cheaper per click and
more targeted, which should result in more sales and more money in your
pocket.
We hope this report has been helpful to you. We are in the process of
actively reviewing more than 140 different programs at this time and plan to
add many more. We're spending thousands of dollars in cash, manpower and
other resources to analyze programs available on the net to identify problem
areas before you waste your money. All these results will eventually be
published on our web site in one form or another, but you, our subscribers,
will see them first!
Copyright © 2001, all rights reserved
|