Nice thread in here...
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Originally posted by KimmyKim:I know of a few that have no resellers that probably net as much as some doing twice their business, since they don't have that payout to make...
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With all due respect Kim, you probably don't have intimate knowledge of what that guy's overhead is without a sponsor program. He may be billing the same amount but how much you want to bet it's costing him a shitload more than the guy that has a literal army of webmaster salespeople doing the marketing job?
We buy the content, we pay the hosting and we pay in time...some of us 12-16 hours a day, some even more. We pay in designing galleries as well. Let's see one compnay shoulder all that
AND net as much money as the company that has outside contractors. I'm not saying they won't do as much gross billing, but no way they're taking home the same money if they do it all themselves. Ain't gonna happen.
Regarding trials, I have two ways of looking at them. If a sponsor offers a trial the only way I will sell that product is if they pay per sign-up. I will not enter into a recurring partnership program, even though I vastly prefer those (especially in the summer), with a sponsor that offers a $2.95 trial and wants me to take half of it. It costs me just as much to produce that $1.47 as it does to produce the $35.00 for a trial signup. Plus, if the member does't recur (and why the hell should they if they can keep bouncing from program to program for $2.95?) I never make my expenses back, forget about profit.
I like recurring programs. I like sponsors that offer recurring programs at $19.95 a month. I'll take $10 now for the promise of future income, and it usually works in my favor. But I won't take $1.47 with little chance of it converting into more than that.
And what's the deal with sponsors that offer trials at a daily rate
less than that of their full membership? 5 days $2.95, one month $29.95. Doesn't take a genius to figure out that if he/she buys that month, they're getting reamed. The daily rate on a trial should be significantly more than the daily rate for a full membership. The value item needs to be the membership, not the damn trial.
</rant>
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