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Originally Posted by shap
Steve you mention that you are dropping sites to $7 a site. The truth is you aren't dropping any price. You are increasing the charge on the client's card from $29.95 to $34.95. You aren't adding any costs to your bottomline, you are simply re-packaging your product to milk an extra $5 from the surfer and put yourself in a situation that will improve your retention as the client has a higher perceived value of the purchase they just made.
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From my perspective, bundling our sites was the worst thing I ever did. Yeah, it helps retention. BUT we used to get a surfer who would sign up for 3-4 sites at a time, each at full price. So I effectively went from earning $140 to earning $35.
So tell me again how I'm not offering a better deal to our fans?