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Old 07-23-2007, 09:06 PM  
gwkg
Confirmed User
 
Join Date: Dec 2006
Posts: 179
Quote:
Originally Posted by gelfer View Post
So I understand that they are trusting their members to stay, right ?
How effective is that ?
Obviously its pretty effective for the companies doing it or they would be out of business.

As for you math question, once you have enough data to figure out the average lifetime value of your members, you can decide your payouts from there. If your average member gives you $100 before they cancel, then paying someone $35 for sending you that member isn't so bad, is it?

Last edited by gwkg; 07-23-2007 at 09:08 PM..
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