Big sponsors lowering rates
 

Would you say it's bullshit if a big sponsor said they were going to lower their payout rates because of the new Visa regulations? Considering it's just a yearly fee they need to pay.

i doubt any 'big' sponsor would..

Well I have to disagree, I think it is perfectly possible and if it does happen it will be one more thing flowing on from the new Visa regs.

If the sponsor had been using one of the big billing companies then their charge backs would have been hidden in the figures of hundreds of sites. Now that each pay site has to carry its own charge back ratio the big guys are going to have to pay a lot more attention to that nasty 1% figure.

When you think about it sponsors must have found it difficult to pay a high commission to their webmasters - even on trials - and at the same time maintain a high quality members area.

One way to cut back on charge backs is to have a members area that offers all the good stuff that is implied in the tour and to do that they have to find money to spend. One way to find that is by reducing commissions.

My crystal ball is a little fuzzy but I think you will see more sponsors reducing commissions, more sponsors moving to a revenue sharing model rather than the current one off payment and I think you will see a lot of people ditching trials.

you're probably talking about sexhit.

and they are lowering rates because they are stopping free trials.

sexhit is going to stop the free trial program?

Lowering rates because they are STOPPING free trials??? Wouldn't it be the other way around?

Intressting...where is CJ tell us now how it will be !!!
cj cj cj cj
:warning

Probably less people getting tricked into signing up for a month, so less money to pay out.

nay

SexHit's payouts dropping to $45/su instead of $70. Quite a large drop but I can't say I'm surprised. I imagine their chargeback ratios were quite high.

WG

Everyone quit porn now, it's over!

Exactamundo!

CJ is going to hate me posting this here, but there was an article in the papers in Aus today, saying they had to amend their accounts for last financial year as they had underprovisioned for chargebacks by A$2.28 million.

The article is here - http://www.smh.com.au/articles/2002/...027038794.html

You might as well hit all the "free" AVS sites and all other "free" paysites as well. Maybe Sexhit was just overextended.

I will wager that this will become an industry trend as companies become more agressive about refunding to avaoid chargebacks. I would not be surprised to see the 3 day trial follow the Dodo bird into the archives of extinct creatures also.

It is a bitch to have someone chargeback months of charges once their wife looks at a bill and asks them to explain the charges. I deal with the stuff daily and it means refund, refund, refund.

I don't sexhit is STOPPING free trials? If they are, I'm not using them anymore, and I've send them thousands of signups...

I don't sexhit is STOPPING free trials? If they are, I'm not using them anymore, and I've send them thousands of signups...



Never said that they were. I was dusting off my crystal ball.

CJ has left Sexhit...

I think you will find the same with Intergal and Sexhit.....$45 per paid trial now...
$70 for free trial=fucking ridiculous!

WOW maybe things cought up with them.

yeh...reality

*shrug*. Sponsors pay what they will. IMO, if an honest sponsor
decided to lower their rates, I'd accept it. There are so many dishonest
sponsors that might just start shaving traffic, ect, that I'd be
happy they said so. Although, as another poster said, I doubt
BIG sponsors would do so. BIG sponsors would do 200+ joins a day,
at say $30-$40, what's $750 to them other than telling the wife/husband
no, we have to pay visa, no "super fancy restaurant at $350/plate" this week.

Sexhit= Adultshop?
Im lost

adultshop bought sexhit a while back

Yep and adultshops shares here in Aussie dropped from 24 cents to 7.5 cents a share overnight because of all this VISA STUFF. They were going to report 12 million profit and then they said "oops we are going to report a loss for the next 2 quaters"

CJ quit as of October 26th.
Last week I was checking my links and saw this 2.99 trial on the sexhit sites. I'm checking it now and it's back to free 3-day trial.
I remember cj mentioning their chargeback ratio for them was lower than 2% and this she mentioned before the Visa regulations.

I'm not sure and maybe it's something we have to wait for, but so far they are the only ones to be lowering their payout rates.

isn't fnp sending their new members to intergal?? this could influence those free avses that use other programs for their traffic.