profit margins on pay per signup programs?

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  • TheDoc
    Too lazy to set a custom title
    • Jul 2001
    • 13827

    #51
    Originally posted by andrej_NDC
    But you need much more sales for a PPS program to be as profitable as a recurring program + a PPS program has to be a program with trials, that means, less $$$ first(much more less, lets compare a $2 membership with a $30 membership), if you dont make enough (much above the average or you have to fuck the surfer over some way) rebills, you are fucked.
    PPS idea is more volume, which is easier to get because you are paying pps. You just need a good amount of extra cash to make the payments. With recurring the owner still waits a good period of time for a good profit %. The owner always nets 40%, PPS can make more than 40% net even paying on trials, even more so with trial upgrades. The better the site retains the more net the pps will make, as time goes on the net increases.
    Last edited by TheDoc; 12-07-2005, 03:06 PM.
    ~TheDoc - ICQ7765825
    It's all disambiguation

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    • bigdog
      Confirmed User
      • Jul 2001
      • 6964

      #52
      Originally posted by TheDoc
      PPS idea is more volume, which is easier to get because you are paying pps. You just need a good amount of extra cash to make the payments. With recurring the owner still waits a good period of time for a good profit %. The owner always nets 40%, PPS can make more than 40% net even paying on trials, even more so with trial upgrades. The better the site retains the more net the pps will make, as time goes on the net increases.
      i always love to hear from TheDoc

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      • bigdog
        Confirmed User
        • Jul 2001
        • 6964

        #53
        morning bump for a biz thread

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        • bigdog
          Confirmed User
          • Jul 2001
          • 6964

          #54
          Originally posted by kmanrox
          im sorry but real business threads are not tolerated here



          lol
          Hey you got try sometimes

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          • Blizzard
            Confirmed User
            • Jan 2006
            • 200

            #55
            Bump for a business thread.

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            • FlyingIguana
              aspiring banker
              • Mar 2002
              • 10870

              #56
              Originally posted by Toolz
              $68 for no trials sounds doable, $39.95 per w/ 1.7 avg retention.
              i can't think of a site that would be worth 39.95

              thats part of the problem with a lot of sites, burn too many surfers for a long time with huge rebills for crap content

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              • FlyingIguana
                aspiring banker
                • Mar 2002
                • 10870

                #57
                Originally posted by AmateurFlix
                not to imply that you're doing anything deceptive, because this is just the nature of tracking mechanisms, but there's still a ton of no cookie traffic, people who've cleared cookies, people with privacy programs, etc; not counting the occasional glitches at the processor that for whatever reason don't credit a valid referral...

                so lenthening the cookie expiration is helpful to affiliates (and you should be commended for doing so), but there's still a ton of 'unmarked' traffic

                btw, regarding my example above, I had cookies on my program set to the maximum ccbill allowed
                cookie cleaning programs. i remember when every 2nd site promoted those lol

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                • andrej_NDC
                  Registered User
                  • May 2004
                  • 7760

                  #58
                  Originally posted by FlyingIguana
                  i can't think of a site that would be worth 39.95

                  thats part of the problem with a lot of sites, burn too many surfers for a long time with huge rebills for crap content
                  every site is worth more than 39.95...1 DVD costs that...the problem is not the expensive sites, but the cheap ones, which fucked up the pricing

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                  • bigdog
                    Confirmed User
                    • Jul 2001
                    • 6964

                    #59
                    Originally posted by andrej_NDC
                    every site is worth more than 39.95...1 DVD costs that...the problem is not the expensive sites, but the cheap ones, which fucked up the pricing
                    Very true, sites are pretty cheap considering what the surfer is getting

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                    • fuzebox
                      making it rain
                      • Oct 2003
                      • 22363

                      #60
                      Originally posted by FlyingIguana
                      cookie cleaning programs. i remember when every 2nd site promoted those lol
                      Not just technical issues, but word-of-mouth between friends, and typeins. Picture this, surfer is on his computer at work, finds a paysite he likes, remembers the url, and checks it out at home again when he has more time and privacy.

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                      • sfera
                        Confirmed User
                        • Aug 2005
                        • 8597

                        #61
                        i think they lose if you ask me

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                        • wedouglas
                          So Fucking Banned
                          • Aug 2004
                          • 5921

                          #62
                          Depends. Some sites that pay out $$$ on a $2.95 trial don't cookie. I would prefer they did, but hey, I enjoy good ratios at high $$ per trials. It's a compromise.

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                          • Reak AGV
                            Confirmed User
                            • Dec 2004
                            • 4283

                            #63
                            Originally posted by sfera
                            i think they lose if you ask me
                            We have a winner here, that's the only correct answer. Thread closed.

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                            • FlyingIguana
                              aspiring banker
                              • Mar 2002
                              • 10870

                              #64
                              Originally posted by andrej_NDC
                              every site is worth more than 39.95...1 DVD costs that...the problem is not the expensive sites, but the cheap ones, which fucked up the pricing
                              thats part of the problem. you may think its value but it actually isn't in the surfer's eyes. the best sites i've seen charge well under 39.95. typically the ones who charge 39.95 are the cookie cutter sites.

                              its almost as if the shittier the site, the larger the monthly.

                              compare with other movie type services. on cable, the movie channel offers tons of movies for a low monthly. renting that shit let alone buying, costs a lot more. even online music sales is the same way when you look at the subscription models.

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                              • woj
                                <&(©¿©)&>
                                • Jul 2002
                                • 47880

                                #65
                                in my opinion a normal decent site can profit around $35/member...
                                a great, well run site, with popups, mailing old members, upsells etc, can probably push it to $40ish/member, but I really doubt it's much more than that....
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