GoFuckYourself.com - Adult Webmaster Forum - View Single Post

Trixxxia · 08-07-2008, 06:19 AM

commonsense,

Here is the dilemma - For an affiliate to become a 'whale', he found what worked for him and then replicated it X amount of times. To do that, 99% of the time, he's invested time, money and perhaps taken on additional recurring monthly costs such as employees. Normally, (unless they had the capital to start) they would go for the PPS model because it will help them meet their monthly obligations 'faster'. The problem with that model, from an affiliate's standpoint - is you keep having to replenish every one of those members/sales month after month. On the other side, the problem with a Revshare model for them is that the income is between 50-75% less to begin with and monetizing is basically deferred to a later date - with the possibility that 'it may never monetize' like it would have had they opted for PPS.

Basically, with the history on processors going bust, companies shutting down out of the blue, people deciding to cut the 'Revshare' affiliates out of their money down the line, affiliates see PPS as more secure and beneficial to them in order to get their money fast and they'll worry about finding new sales next month.

For the record, since I've been working for companies in this business, I've met few whales that chose the Revshare over PPS model.

08-07-2008, 06:19 AM
Trixxxia Confirmed User Industry Role: Join Date: Aug 2004 Location: Montreal, Canada Posts: 5,600	commonsense, Here is the dilemma - For an affiliate to become a 'whale', he found what worked for him and then replicated it X amount of times. To do that, 99% of the time, he's invested time, money and perhaps taken on additional recurring monthly costs such as employees. Normally, (unless they had the capital to start) they would go for the PPS model because it will help them meet their monthly obligations 'faster'. The problem with that model, from an affiliate's standpoint - is you keep having to replenish every one of those members/sales month after month. On the other side, the problem with a Revshare model for them is that the income is between 50-75% less to begin with and monetizing is basically deferred to a later date - with the possibility that 'it may never monetize' like it would have had they opted for PPS. Basically, with the history on processors going bust, companies shutting down out of the blue, people deciding to cut the 'Revshare' affiliates out of their money down the line, affiliates see PPS as more secure and beneficial to them in order to get their money fast and they'll worry about finding new sales next month. For the record, since I've been working for companies in this business, I've met few whales that chose the Revshare over PPS model.