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Traffic Arbitrage
Definition
The practice of buying traffic at a lower cost and monetizing it at a higher rate through affiliate offers or ad networks. The profit comes from the price difference.
Related Terms
Media Buying
The process of purchasing advertising space or time to display ads. Media buyers negotiate rates, select placements, and optimize campaigns for ROI.
ROI (Return on Investment)
A metric measuring the profitability of an investment. Calculated as (Revenue - Cost) / Cost × 100%. Positive ROI means profit, negative means loss.
Affiliate Network
A platform that connects advertisers (merchants) with affiliates (publishers). Networks provide tracking, payments, and offer management.
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