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Which pricing model is more profitable — RevShare or Cost Per Subscription?
Which pricing model is more profitable — RevShare or Cost Per Subscription?
Xenia avatar
Written by Xenia
Updated over 5 months ago

Indeed, there are two pricing models to monetize traffic with Push Subscriptions: RevShare and Cost Per Subscription.

Let's explore the pros and cons of each of these pricing models.

RevShare

With the RevShare model, you get a certain % of revenue generated by your traffic.

Pros

  • You continue to receive revenue from subscribers as long as they remain subscribed, so overall revenue is typically higher than with the CPS model.

  • Once you have gathered a large number of subscribers, they begin to generate significant passive income, even if you cease to acquire new subscribers.

  • In most networks, the payment hold period is shorter when you operate under the RevShare model.

Cons

  • You need to wait a little until your expenses start to pay off.

  • So, usually at the start of the campaign, you have a negative ROI for a few days.

Please note:

  • Some users will unsubscribe over time.

  • New subscribers are the most active and generate the most revenue.

  • The longer it has been since the subscription, the less money that user generates.

  • To maintain a sustainable income, you need to keep traffic flowing and continue collecting new subscribers on our landing pages.

CPS

With this payment model, you receive a fixed amount of money instantly for each subscribed user.

Pros

  • You receive your money immediately and don’t have to wait for the subscribed users to generate revenue.

  • This allows you to potentially achieve a positive ROI right from the beginning of your campaign.

Cons

  • CPS model is available only after a short test period of working on Revshare because we need to assess the quality of your subscribers.

  • Overall income on CPS may be lower because you don’t get a share of all the future revenue that will be generated by your users after weeks, or even months after subscription.

  • The payment hold period on the CPS model is usually higher because the network takes a lot of risk by paying for your subscriptions upfront.

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