Quote:
Originally posted by baycouples
I have a question for those who have membership based sites and in addition to monthly recurring fees give their customers an option to pay 3, 6 and 12 months in advance:
Are you concerned about the following?:
- If your site goes belly up - you personally will be responsible for returning money to those customers who have paid many months ahead?
- Re-bill customers are more loyal customers and don't need to be "bought" again when their one time fee membership expires
- You can get more money out of a customer by having him on a rebill
- If you sell your business all the multiple month memberships that are still active are "liability" and decrease the price of your business.
Thank you for your opinion!
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For your second point, it can work in your favor as well. Someone who purchases a 3-month pass for example, earns you more than someone who purchases a 1-month and chooses to cancel.
Another advantage is for affiliates who get %, they earn more right away (lots of affiliates like to earn more now, not rely on rebills - even if it makes them more money - from what I've seen).
Most sites do offer them, but focus on marketing/advertising their one-month membership or trials.