Evaluation of Conversion Action Data Mechanisms in Cost-Per-Action Advertising

The online advertising industry's business model undertakes the change from CPM (cost-per-mille)-based to CPC (cost-per-click)-based. However, due to the problem of 'Click Fraud', CPA (cost-per-action) has been regarded as a new step. For CPA, publishers need to get information after a user clicks an advertisement. Therefore, in CPA, the key is to get Conversion Action Data (CAD). This paper introduces two existing mechanisms for getting CAD, compare their characteristics, and analyze their limitations. Then the two new mechanisms are introduced and their requirements and feasibility are analyzed. Lastly, we compare the existing two and the new two mechanisms, and point out each mechanism's business possibility, value and Application Area. This paper will help publishers choose the most appropriate mechanism on the basis of their situation.