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I hear that the average retention is 33% so here is what I think. They pay 3 X $35 = $105 for the one precious member that will stay longer the 3 months on average and that is where the profit is made.
If that member stays 4 months they make 25% on their money or so. I guess in the long run some of these members stay for years even and it all averages out to a profit.
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