Quote:
Originally posted by notjoe
That has to be one of the most stupid things i've ever read.
Do you think companies would last if each membership COST them money instead of making them money?
Big affiliates crunch these numbers everyday because if they didnt then whatever the loss on a membership is would be multiplied but amount of members they have.
Sheesh, use some commonsense my friend
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Not Joe: Whether it be the feeds that I am purchasing from you, or my paysites; I think that we can both agree that there are fixed costs. In the case of your feeds, it is easy to assess a per user cost. In the case of running paysites, our expenses are reasonably fixed overall, whether I have 5000 members, or 5500 members. I still pay the same for utilities, staff and content. I can afford to bend certain ways in order to increase revenue, without increasing expenses.
We ran our sites successfully with no affiliate program for 4 years. I suppose it could be said that we lose money on every member sent by an affiliate. That sort of thinking is obviously short term. Yes, we make less per sale than we did before on our own, but overall our success is exponential with the help of sales we would not otherwise have had. 123bill is exactly the same sort of scenario.
Long term vision is what creates longevity around here, not living for the moment.