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Exactly my point Mike...you will always lose reagrdless of how many joins per day comes through the program....if you net 5.00 per join, it is still 5.00 per join....LOL
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Alex, this was a previous reply from you from another thread about volume. If you dont understand this, you will not understand PPS at all. You say, its still $5 net per sale, no matter how many sales per day. Do you know fix and variable costs? Do you think BMW would make money if they sell 1000 cars a year? No, they have to sell some amount to only break even and then they start making profit. Its the same with PPS, you have some fix costs, like employees, content, offices, etc. You need some number of sales to break even, after that you make profit. 100 sales above break even sales means $500 net(if we assume, you make $5 net per sale). From those $500 you dont pay any fix costs, they are paid already, so only variable costs. But they are not that high. If you make 1000 sales above the break even sales are, you make $5000 net, etc...Every biz is about volume, because only fix costs are the real problem.