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Old 04-17-2007, 08:03 AM  
bdeforest
Confirmed User
 
Join Date: Nov 2003
Posts: 212
Quote:
Originally Posted by Phoenix View Post
not trying to raise drama...but why would anyone in their right mind shut down so many sites like that?
Did they lose their merhcant accounts? if you remember it was when the new regulations came into effect.

Kudos on them for suriviving though and im quite sure they have the money and backing to make it to the top again.
The problem was a combination of high chargebacks and low member values. Remember that was when all the drama over chargeback limits was first starting to play out and there was a real fear of losing the entire recurring database. On top of that, member values were very low and with the high payouts per signup, we were losing money with every signup that came in the door.

It took a long time to get the foundation rebuilt under ARS, but I'm confident that has been accomplished, so now it's time to grow again
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