Quote:
Originally Posted by Sly
You guys that are talking about "doubling" sales are not doing the math correctly. You will need to do more than double in sales to make up for a 50% cut in price due to various fixed costs and also an increased price in hardware/bandwidth. I would be impressed if anyone can cut their price in half and triple their sales, which is about what they would need to do.
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There are other factors that are not being taken into account though
For example -
1) Increase in rebills - I know of some paysites that charge $9.99 per month & they rebill forever
2) Decrease in chargebacks - $9.99 or less doesn't stick out on the cc statement the same way as $29.99
I'm not saying it works for everyone, I'm not saying it won't result in less income but the days of charging $29.99 are long gone
PR_Dave said it best
IMO if you're charging more than Netflix for a porn membership your customer isn't getting value for money.