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Originally Posted by lazycash
I believe he's referring to those programs that pay on a % of billed minutes. If you believe some of the sponsors that say their average "paying" customer will spend $700 over time, then 20 - 30% doesn't seem so bad. I believe however that those customers are few and far between and not the average.
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yes and it is extremely hard to calculate since some people will stay a customer and buy mins 4 years from now.
But I am sure the program owner has a better feel for what the average person spends on cam. I wouldn't doubt that you make a little more in the long run with a % deal. The sponsor doesn't have to pay you the lump some upfront so they can afford to pay you a little more, over time. I doubt it is much more, it would be dumb for a sponsor to give away a lot with one option. You can bet they have the % amount set just right so you make the same or a little more over time with the % option then the pps option. If they pay $50 per signup or 20%, I would guess that their average customer spends about $250 over the life of his membership.
Sure some will spend $1000 a week but a lot will spend $20 and not a
more.