Quote:
Originally posted by psyko514
thefreakybeaver, you really don't get it, do you?
they aren't cutting the prices/payouts in order to save money. they are doing it to reduce chargeback rates.
many programs are looking at their sites and saying "wow, this really isn't worth $40 a month". in this very thread, LAMike said "$39.99 per month for our sites? You have to be kidding me? They arent worth that much. No way!"
because their sites aren't worth $40 a month, the surfer charges back because he feels ripped off. this was fine when the ratio was 2.5% but this isn't fine at 1%.
so now they are lowering the prices so the surfer won't feel ripped off.
|
No, I think I am getting the jist of it. These paysite owners are saying that MOST chargebacks come from fraudlent webmasters and ppl who are conned into joining a site via free trial or low price trial and already checked cross sale boxes.
How is lowering the cost per month even relative to that at all??? I can't see joe surfer saying damn I'm paying $39.99/month for this shit I'm charging back. But if he sees $29.99 he'll be happy as a pig in shit and stay? Or just cancel and not chargeback? Doesn't seem logical but of course as I have stated I'm not into the "secrets" of running a paysites.
And I dont' see joe surfer with dick in hand saying wow only $29.99/month to join cool and whips out his credit card more often than if he saw $39.99/month.
Or joe surfer looking at his credit card statement wondering where the hell this charge of $39.99 came from and feeling ripped off. Isn't he going to feel just as ripped off if it's only $29.99? I know I sure would. I watch my statements closely and any $ amount that I didnt' authorize or KNEW I was authorizing is going to get the same reaction out of me no matter what the amount is.
So you are saying the paysite owners are lowering the consumers costs by $10 but also the webmasters by $10 so who is losing the money here? The webmaster not the paysite owner. Why don't they eat 50% of that $10 they decided on their own to save the consumer?
So even taking your comment into account, lower the signup price $10 for the consumer, cut your extras you offer like free hosting etc and keep the webmaster pay the same. Is this really something that cannot be done? If the MAJORITY of paysite operators say yes than I apologize but I think I'm on to something here that may not have been thought through. They think they HAVE to offer free hosting, hosted galleries etc to stay competitive when I say fuck the extras SHOW ME THE MONEY
I dont' think us webmasters demand higher payouts when they raise their cost to the consumer, why should we lose out when they lower it?
Say today they lower the price to $29.99 and lower the webmasters payout by $10 per signup. In a few months if they see it's not working and decide for whatever reason to raise the price back to $39.99 do you think they will announce it here? And even better higher their payouts by $10 again? Ha ha from what I read I would say NO DAMN WAY!
All I am saying is that THERE IS a way around it to NOT lower the webmasters payout per signup and those that are smart will figure it out and use it to their advantage and these are the ones that will make more money in the long run period.