Quote:
Originally posted by Lenny2
Ok I'm going to be a newbie and ask you to explain this one.
Theoretically speaking, a program can only afford to pay out so much of its revenue to advertisers and still remain profitable.
I know there is definitely money to be made on the exit traffic, and a little bit to be made on upsells in the members areas, but there are a few programs that pay per sign up AND pay on all of the exit console sales.
So over the long term, shouldn't the money from a recurring program be the same as the income from a per sign up, all other things being equal?
And wouldn't recurring be the way to go since you yourself said earlier that very few companies will be able to stay with the per sign up model in the future?
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um, yes.
I said I like recurring best. I don't quite know what your asking with ""shouldn't the money from a recurring program be the same as the income from a per sign up, all other things being equal? ""
equal to who, the webmaster? not really. you may hit a patch of surfers who don't recur for long. in that case, you're ok in persignup. what you are doing in recurring is taking the risk that the sponsor usually takes and getting the reward that they get as well with the guys who recur forever. the difference between the say, 35.00 per signup and the 50% recurring could be looked at as the VIG the house takes to share in their action.
see what I'm saying?
or did I miss your question?