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Paid placement

Definition

Prominent positioning on a publisher's site or newsletter, such as a top banner or featured deal slot, that an advertiser pays for directly instead of relying solely on commission to earn visibility. Paid placement is often combined with standard commission tracking on any resulting sales.

How does Paid placement work in practice?

A skincare advertiser pays a beauty deals site 800 dollars for a paid placement in the top position of its weekly newsletter, then also pays standard 8 percent commission on any sales that link generates.

Does paid placement replace commission, or do advertisers pay both?

Most publishers charge the placement fee for guaranteed visibility and still track commission separately on any resulting sales. The placement fee compensates for prime positioning; commission then rewards actual performance from that positioning, so an advertiser can end up paying both costs.

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