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Old 04-11-2007, 07:54 AM  
Dollarmansteve
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Join Date: May 2005
Location: T.O.
Posts: 2,849
Quote:
Originally Posted by mpahlca View Post
Interesting opinion, I have to say that what i disagree with is that you cannot increase retention longer than stock numbers, I believe this is a falacy of people who have only come from the paysite side. I won't go into details etc. as it would be a chapter, but you know Steve I always like any discussions with you! So what would you say back to me about our retention? I believe we are an industry leader in retaining members, and our methodology is that we believe its easier to keep a member than to get another one. Let me know what you think!
You dont have trials and that allows a lowish mothly recurring price.

By not having trials you take in less front door sales and have lower affiliate payouts. This reduces costs and allows a less aggressive monthly price.

The type of front door joins you take in is different than someone who would join on a $1 trial. If I look at the rentention of members who joined at the initial monthly price point it is higher than trial joins.

So I will modify the company mantra a little

"It is easier to keep less members at a lower monthly price than to get a new person to pay $25 up front because paying out affiliates on low-dollars trials is expensive and risky"
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