Quote:
Originally posted by Jak
Hehe I knew someone would tag me on this, but that's why I said "Quick calculation".
What are the actual percentages of people who forget to cancel? What are the actual percentages of people who retain memberships at most of these sites? Come on, we've all visited some of these paysites at one time or another and taken a quick peek inside their members area. Most of them blow chunks and I can't imagine that many people sticking around.
I was going to go into details on how the salesman I paid $50.00 to would get me customers that I could upsell to, etc. but in the long run the percentages just wouldn't ever work out high enough in my favor. That's why shaving goes on.
If you're going to tag me and say my logic is flawed, and that the companies actually do make money from retaining memberships, upselling, etc. then you're going to also state that shving doesn't happen. Otherwise the execution of my logic might have been screwy, but the end result is the same. You can't make an honest profit by paying out 10 times more than what you take in.
Jak
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Actually, one doesn't follow the other. Let's say that I believe that these companies make a profit from rebills and upsells. OK, that's point one. Now, you say if I believe that I must also believe they don't shave. That is not the next logical step. I don't see any reason why they couldn't turn a profit on their rebills and shave, anyway. Then they just make BIGGER profits and greed is a powerful force.
SpaceAce