Alternative Billing School - Lesson Two: Micropayments = Macropayouts
 

My GFY Peeps!

(As always, cliffnotes at the bottom in yellow :winkwink:)

Today?s lesson is to help shed a little light on what micropayment really is and how this underutilized but powerful solution can help you make more money.

As Internet commerce becomes more and more saturated, it?s important to realize that the consumer is getting smarter all the time. They are realizing more specifically what their needs are. This is crucial to keep in mind when planning how to optimize your billing systems. Micropayment is an effective way to convert those users who know ?exactly? what they want.

What Micropayment is not: Micropayment is NOT ONLY SMS!!!!

We are all aware of the hype surrounding SMS. It is a remarkable way to charge people. After all, in 2005 the estimated number of mobile phone users was 2.14 Billion. Unfortunately the adult industry is often treated differently and with regards to SMS payment, this is unfortunately the case. In most countries it is illegal to convert adult content through SMS payment. Hence, many people have dismissed it as unfeasible.

But?

There is WAY more to Micropayment!

The user can also pay through credit card and phone, tremendously increasing the number of countries where you can convert adult.

The membership model has long been the standard in adult. However, how many average users do you think can afford or are willing to buy multiple memberships at 20-30 bucks a pop? Once a user has a membership at another site the chances of them buying your membership seem to decline steeply. Micropayment allows you to strategically sidestep this problem by letting the user buy targeted content, or simply, whatever they want.

This is a real revenue booster people. Micropayment simply means a small payment, usually just a couple of dollars in return for a certain video, picture set, or limited amount of access to your site. Payment can be made in several ways (not just sms), and most importantly Micropayment offers you a completely different way to sell your content.

Is it worth the effort for just a couple of bucks?

Yes. This game is all about volume. Think of micropayments as drops of water in a bucket, they are small, but they really add up quickly. If you integrate well and have good traffic you?ll see there?s tons of biz to be had.


Break the Traditional Paysite Mold! Think Creatively!

NoCreditCard.com has 2 Micropayment Solutions depending on your exact needs. They are

http://www.nocreditcard.com/images/e...cket_small.gif

and

http://www.123ticket.com/img/header/logo.jpg



Our solutions offer the user the ability to pay in 3 ways; SMS (where applicable), Phone, and CreditCard. Converts over 75 countries world-wide and are multi-lingual. If you need any help or info don?t hesitate to get in touch me.


Cliff Notes:
1) Micropayment is NOT just SMS! Users can pay through phone and credit card also.
2) Micropayment allows users to buy targeted content. They can buy videos, pic sets, limited site access, etc?
3) You?re able to compliment your ?membership? business model. Customers can browse your content as if they were shopping in a store and purchase, for a smaller price, a specific piece of content. This is a newer concept and it works very very well.
4) Once a user has a membership at another site the chances of them buying your membership seem to decline steeply. Micropayment is a good way to still catch these users as customers.
5) Always think outside of the box with billing. Willing customers, who for any reason, can?t pay for your content/services represent an untapped market for you and a possible new revenue stream. Micropayment is an effective way to make more cash.

thanks for the lesson :winkwink:

Nice thread Ben!!

thanks brother. you know, I've been dreaming of tampa lately...

Micropayments are a good way for the provider to earn interest on stagnant balances. :thumbsup :winkwink:

wooow...thanks ...what a lesson..........

lol no problem man, glad you enjoyed :thumbsup

Benny!!! long time no talk, great thread :)

meow meow meow

looking forward to chatting with you

I know man! I'm coming over your way this month I think :winkwink:

You should post some case studies with actual numbers. i.e., Bob's site only offered $30 a month memberships, and made $30,000 a month but also included micropayment pay-per-scene and now makes $55,000 a month.

good read, Ben

So am I brother. I'm also looking forward to the XBIz Summer Forum and Vegas baby! CuckooooOO!

That would be great, unfortunately I could never post such sensitive and confidential client info. I'm sure you understand. However, I can tell you generally that the revenue boost we provide our clients falls anywhere between 5 and 20% percent. Depending, of course, on how much effort they put into the integration and important things like customization, optimization, marketing and geo targetting. Really, the sky is the limit :thumbsup

:1orglaugh :1orglaugh :1orglaugh

my pleasure mang :thumbsup

:thumbsup :thumbsup

Thanks man, got your icq, I'll be back in the office monday or if you want shoot me a mail and I'll get back to you tom. :)