CPA Ads Nutra Billing Flow | Successful Alternatives to COD
6 May 2021
Nutraceutical, or Nutritional Supplements, or simply Nutra is a broad term accepted by affiliate marketers to label all products that are being sold and are here to improve someone’s general well-being, control symptoms, or just enhance appearance. The products can be either swallowable or topical. That being said they fall under more specific niches, like health supplements, weight loss, weight gain, skincare, teeth whitening, brain enhancement, and male enhancement pills.
The hype on keeping both the body and the mind in a healthy condition, especially in the past year with the global pandemic, kept growing even further and made the demand for these kinds of products even bigger.
But there was another thing that changed – the way people bought their very necessary diet and health supplements.
For a very long time, the Nutra vertical relied, especially in the Eastern part of the world, on a payment method called Cash on Delivery (COD). This simply means that the buyer paid in cash when the product was delivered to their door. With the pandemic hitting hard, and social distancing being promoted (aka avoiding physical contact), as well as with the increased trust (as well as necessity) into online shopping, there was a significant shift from paying cash to using other payment methods, especially credit cards.
In the meantime, the Western part of the world was already heavily using credit cards to buy their favorite products online.
With all the above being said the current situation happened – media buyers who were successful in Nutra COD flows, noticed a drop in demand in the regions they were previously selling because the buyers’ purchasing habits changed. Instantly they started looking for offers in other GEOs where alternatives to COD performed really well:
Trials, also known as ‘subscription’ offer free samples to customers once they provide their address and credit card information, they will only have to pay the shipping cost. After a period of time, usually 14 to 30 days, the customer will receive the product again and pay the full retail price. The billing will continue until the customer cancels their subscription.
The main target GEOs for trails are tier 1 countries (USA, CA, UK, IT, ES, FR, GE, BE, AU and Nordics) where credit card usage is high and people are more familiar with this payment method.
In 2019 we, at Advidi, added US Trial Nutra offers to our portfolio. Since then we have seen a huge boost and the volumes have been increasing ever since. The need for traffic in this GEO is like a rabbit hole – it never stops. For Nutra Trials offers, we partnered up with a boatload of new US advertisers and built strong relationships with them to bring more offers/caps than ever before.
Straight Sales, customers are charged full price from the beginning. With SS, the payment is made immediately. The customer converts on the advertiser’s landing page. SS quality is measured by the average basket value. Because there are no rebills with SS, it is important how much the user spends on the landing page.
This sub-vertical is attractive to affiliates because it gives an instant insight into the offer quality. It has almost unlimited scaling, does not depend on approval or call centers, and works in GEOs with the highest purchasing power.
The top GEOs for SS offers are: USA, CA, AU, UK, FR, DE, IT and Nordics, which have huge purchasing power, a large population and are accustomed to online purchases, as opposed to GEOs, where the COD model works, where the user is more careful about their spending, especially online.
The advantage of moving to the Nutra Trials and SS is that the majority of the approaches and products are the same as what affiliates push in COD. So they are already in the right headspace, it’s a simple switch.
In December 2020, Advidi’s Marketing and Business Development Manager for the CIS region, Stan Semenov and Affiliate Manager, Elena Tolstolutckaiajoined us for a webinar on ‘Nutra Trials and Straight Sales – successful alternative to COD’ to explain the differences between these Nutra billing models and offer some explanation how media buyers interested in selling Nutra products can benefit from all of them. Head over to our Youtube channel to learn more from our experts.
This webinar is recorded in Russian and can be watched with English CC.
For more information about our high converting offers, reach out to your AM. If you aren’t an Advidi affiliate, you can sign up today and we will match you with your own AM.