Enlighten Me: PPS and 100% REVSHARES - GoFuckYourself.com

The Porn Nerd · 05-06-2013, 06:28 PM

I know this is basic stuff, and I do apologize for obviously not understanding how "the Biz" really works, but here goes:

Say you sell a Membership for $30. You, the Program Owner, offer $50 PPS for every signup to Affiliates. You're losing $20 right off the bat so you're counting on making your money with....rebills?

The average Member rebills for 3 months. That's $90. So theoretically you're making $40 by the end of those 3 months (assuming the Member rebills for that long). BUT the $50 you paid to the Affiliate is an actual, real $50, right? Your cut, as the Program Owner, from the initial $30 Membership might be, in reality (after processing fees, other costs, etc) $20. So really, at the end of the day (or at the end of those 3 months) you've made a whopping $10.

Hmmm.....

Okay let's try 100% Revshare:

You sell the Membership for $30 but you give every penny to the Affiliate.

Okay, um.....so you're counting on, not rebills (since the Affiliate is getting 100% of that) but rather....cross-sells? Upsells?

Hmmm...

Seems like a lot to "give up" to get a little in return, no matter how you slice it. Hey, great for you Affiliates, God bless. But for the Program Owner (seemingly) not so much.

What am I missing here? How do the "Bros" do it and make a profit?

newB · 05-06-2013, 06:42 PM

I'm only familiar with programs offering 100% RevShare when promoting a new site, and only then for a limited time. The advantage to the program is that hopefully the offer will result in affiliates giving preference to promoting those sites over other programs, thus long term rewards to the program by getting a huge influx of links to their newer site.

2013 · 05-06-2013, 09:40 PM

Quote:

Originally Posted by MisterPeabody

I know this is basic stuff, and I do apologize for obviously not understanding how "the Biz" really works, but here goes:

Say you sell a Membership for $30. You, the Program Owner, offer $50 PPS for every signup to Affiliates. You're losing $20 right off the bat so you're counting on making your money with....rebills?

The average Member rebills for 3 months. That's $90. So theoretically you're making $40 by the end of those 3 months (assuming the Member rebills for that long). BUT the $50 you paid to the Affiliate is an actual, real $50, right? Your cut, as the Program Owner, from the initial $30 Membership might be, in reality (after processing fees, other costs, etc) $20. So really, at the end of the day (or at the end of those 3 months) you've made a whopping $10.

Hmmm.....

Okay let's try 100% Revshare:

You sell the Membership for $30 but you give every penny to the Affiliate.

Okay, um.....so you're counting on, not rebills (since the Affiliate is getting 100% of that) but rather....cross-sells? Upsells?

Hmmm...

Seems like a lot to "give up" to get a little in return, no matter how you slice it. Hey, great for you Affiliates, God bless. But for the Program Owner (seemingly) not so much.

What am I missing here? How do the "Bros" do it and make a profit?

I've also always wondered this but to lazy to type it out.

Dmcontent · 05-06-2013, 11:12 PM

Quote:

Originally Posted by MisterPeabody

I know this is basic stuff, and I do apologize for obviously not understanding how "the Biz" really works, but here goes:

Say you sell a Membership for $30. You, the Program Owner, offer $50 PPS for every signup to Affiliates. You're losing $20 right off the bat so you're counting on making your money with....rebills?

The average Member rebills for 3 months. That's $90. So theoretically you're making $40 by the end of those 3 months (assuming the Member rebills for that long). BUT the $50 you paid to the Affiliate is an actual, real $50, right? Your cut, as the Program Owner, from the initial $30 Membership might be, in reality (after processing fees, other costs, etc) $20. So really, at the end of the day (or at the end of those 3 months) you've made a whopping $10.

Hmmm.....

Okay let's try 100% Revshare:

You sell the Membership for $30 but you give every penny to the Affiliate.

Okay, um.....so you're counting on, not rebills (since the Affiliate is getting 100% of that) but rather....cross-sells? Upsells?

Hmmm...

Seems like a lot to "give up" to get a little in return, no matter how you slice it. Hey, great for you Affiliates, God bless. But for the Program Owner (seemingly) not so much.

What am I missing here? How do the "Bros" do it and make a profit?

It´s called user value

Programs calculate the user value and according to it they set the PPS.

sarettah · 05-06-2013, 11:21 PM

https://gfy.com/showthread.php?p=19438288

Quote:

Originally Posted by BillPMB another place, another time

ALL pps programs shave. Wake up and smell the coffee. Just do the math.

Variables

Number of Signups 500
Trial $2.95
Regular $39.95
PPS $35.00
% of Referred Signups 85%
Fixed Expenses $20,000.00

Monthly Retention Levels
Trial to Full 40%
Month 2 28%
Month 3 17%
Month 4 10%
Month 5 5%

Month 1
Initial $45,208.75
Recurring $244,893.50
Additional Income $31,546.88
Advertising Expenses $(455,918.75)
Processing Expenses $(72,147.04)
Fixed Expenses $(20,000.00)
Profit $(226,416.66)

At 500 signups per day paying $35 per signup billing $39.95 per monthly membership with fixed expenses at 20 grand a month for hosting, content, employees, etc with a chargeback ratio of 1% and billing fees at 10% a pay per signup program is almost a quarter mil in the hole at month 1 of the start of measurement. That's with a 40% trial to regular member conversion which is probably a fair number in surfing some of the member areas out there to see what is what.

That is at an 85% shave, where 15% of the incoming sales aren't reported or credited to the webmaster. At this rate of shave, the program starts making money at month 5 and actually starts doing ok thereafter.

If a program were not shaving at all, using just the income derived from the signups. No cross selling, upselling, NADA. Then at month 5 they would be 20 grand in the black for THAT MONTH, but still be over a half million in the red from the previous 4 months.

Now, if there were some method of only allowing your traffic to leave your sites when there were green lights at the intersections, then you'd have it licked.

BTW, if you'd like to know the point where you could start a PPS program and make money right out of the gate the shave % would be 42% . Where 58% of the incoming signups are not counted, credited or reported/paid.

42% would probably be the "weasel factor"

harvey · 05-06-2013, 11:26 PM

OneHungLo · 05-06-2013, 11:36 PM

baryl · 05-06-2013, 11:41 PM

PPS programs also make money from each signup through cross sales and member's area upsells, cams etc.

The Porn Nerd · 05-07-2013, 06:00 AM

Ahhhh I see now....so 'shaving' is a big part of PPS eh?
So then why would affiliates go along with this, um, situation?

Google Expert · 05-07-2013, 06:12 AM

how are you even in the paysite business asking these stupid questions?

/double facepalm

The Porn Nerd · 05-07-2013, 06:44 AM

Quote:

Originally Posted by M.A+

how are you even in the paysite business asking these stupid questions?

/double facepalm

I'm "special", in the way some Olympics are special.

Roald · 05-07-2013, 06:52 AM

Quote:

Originally Posted by M.A+

how are you even in the paysite business asking these stupid questions?

/double facepalm

I would not go as far as calling them stupid but yeah I would think this would be the default knowledge for a paysite owner.

Back to class Peabody ;)

The Porn Nerd · 05-07-2013, 06:57 AM

Quote:

Originally Posted by Roald

I would not go as far as calling them stupid but yeah I would think this would be the default knowledge for a paysite owner.

Back to class Peabody ;)

LOL This thread was based on math and program owners NOT "shaving". If we factor in dirty deeds then everything makes sense.

I run a Revshare (CCBill) program and don't do PPS for the reasons people outlined in this thread. I don't WANT to be "in the hole" for months and months, paying out PPS hoping to recoup some vague time in the future.

Call me crazy. Oh wait, you all did. LOL!

(Roald, I'm a HS dropout. Explains everything eh?)

purecane · 05-07-2013, 07:02 AM

the "bros"..........hahahahaha

signupdamnit · 05-07-2013, 07:13 AM

Shaving, yes. But also you can offer 100% revshare and still be profitable eventually. It's a dirty little secret that tracking sucks and increasingly surfers aren't retaining cookies. Many people join for a month and then come back later (minus the affiliate cookie) and join again later. Eventually as you build up a big enough brand it would be sustainable.

Quote:

Originally Posted by MisterPeabody

Ahhhh I see now....so 'shaving' is a big part of PPS eh?
So then why would affiliates go along with this, um, situation?

Why do you think so many affiliates have left the industry? The affiliate has few choices. There are many things going on which affiliates would rather not see such as leaks, uncredited cross sales, uncredited one click upsells, shaving, poor tracking, three day cookies, uncredited processors, $300 minimum payments. And on and on. In the end the choice often becomes deal with it or decide not to be an affiliate. Increasingly many are choosing the latter.

signupdamnit · 05-07-2013, 07:17 AM

Quote:

Originally Posted by baryl

PPS programs also make money from each signup through cross sales and member's area upsells, cams etc.

And the emails from the 1st join form. Many take the email and feed it to a dating or cam API. At this point nothing is paid to the affiliate unless the lead actually completes a purchase for the paysite. If the visitor you sent enters their email and signs up for a $200 lifetime membership at a dating program you don't get a penny for it. The sponsor pockets it. Imagine how much money this generated years ago when adult dating was bigger and more lucrative.

Google Expert · 05-07-2013, 07:33 AM

Quote:

Originally Posted by MisterPeabody

LOL This thread was based on math and program owners NOT "shaving".

no one is shaving, stop listening to idiots

EDIT:

You say you only do RevShare. Now imagine if you went with proper processing and added two $40 cross-sales to your initial sale.
Then go from there.

Roald · 05-07-2013, 08:14 AM

Quote:

Originally Posted by MisterPeabody

LOL This thread was based on math and program owners NOT "shaving". If we factor in dirty deeds then everything makes sense.

I run a Revshare (CCBill) program and don't do PPS for the reasons people outlined in this thread. I don't WANT to be "in the hole" for months and months, paying out PPS hoping to recoup some vague time in the future.

Call me crazy. Oh wait, you all did. LOL!

(Roald, I'm a HS dropout. Explains everything eh?)

Forget the shaving and add some cross sales, some proper up sales, some proper live cam tabs and work from there

Aidoru · 05-07-2013, 08:32 AM

You are doing fine Peabody

The Porn Nerd · 05-07-2013, 09:48 AM

Quote:

Originally Posted by Roald

Forget the shaving and add some cross sales, some proper up sales, some proper live cam tabs and work from there

I'm actually doing all of that (inside the Members Areas) tho not cross-sells. I find those pre-checked boxes so annoying I don't want them on my Join forms. LOL

With a little luck and four hundred years I could be as big as Freeones!!

Quote:

Originally Posted by Aidoru

You are doing fine Peabody

Thanks, I feel so much better now.

LouiseLloyd · 05-07-2013, 09:54 AM

You missed out shaving

MaDalton · 05-07-2013, 10:00 AM

also $50 PPS is not really common on paysites i think (anymore). and you are the only one that knows how your members rentention is. so if your average retention is 3 months at $39.95, why not offer $30 PPS?

newB · 05-07-2013, 10:07 AM

Quote:

Originally Posted by MisterPeabody

Ahhhh I see now....so 'shaving' is a big part of PPS eh?
So then why would affiliates go along with this, um, situation?

They don't if they know about it.

Just as I stopped promoting your program because you link every tour to your Peabody World site that replaces the affiliates CCBill ID with your own (2026216).

The Porn Nerd · 05-07-2013, 11:23 AM

Interesting responses in this thread.

baryl · 05-07-2013, 11:35 AM

Quote:

Originally Posted by signupdamnit

And the emails from the 1st join form. Many take the email and feed it to a dating or cam API. At this point nothing is paid to the affiliate unless the lead actually completes a purchase for the paysite. If the visitor you sent enters their email and signs up for a $200 lifetime membership at a dating program you don't get a penny for it. The sponsor pockets it. Imagine how much money this generated years ago when adult dating was bigger and more lucrative.

Which is why as an affiliate I always go for PPS if it is offered. The fact that they are offering PPS means they are making revenue off signups I send that I won't see a piece of with revshare.

Jman · 05-07-2013, 11:41 AM

Quote:

Originally Posted by Roald

Forget the shaving and add some cross sales, some proper up sales, some proper live cam tabs and work from there

Making sense on GFY is a banable offence

05-06-2013, 06:28 PM	#1
The Porn Nerd Living The Dream Industry Role: Join Date: Jun 2009 Location: Inside a Monitor Posts: 19,490	Enlighten Me: PPS and 100% REVSHARES I know this is basic stuff, and I do apologize for obviously not understanding how "the Biz" really works, but here goes: Say you sell a Membership for $30. You, the Program Owner, offer $50 PPS for every signup to Affiliates. You're losing $20 right off the bat so you're counting on making your money with....rebills? The average Member rebills for 3 months. That's $90. So theoretically you're making $40 by the end of those 3 months (assuming the Member rebills for that long). BUT the $50 you paid to the Affiliate is an actual, real $50, right? Your cut, as the Program Owner, from the initial $30 Membership might be, in reality (after processing fees, other costs, etc) $20. So really, at the end of the day (or at the end of those 3 months) you've made a whopping $10. Hmmm..... Okay let's try 100% Revshare: You sell the Membership for $30 but you give every penny to the Affiliate. Okay, um.....so you're counting on, not rebills (since the Affiliate is getting 100% of that) but rather....cross-sells? Upsells? Hmmm... Seems like a lot to "give up" to get a little in return, no matter how you slice it. Hey, great for you Affiliates, God bless. But for the Program Owner (seemingly) not so much. What am I missing here? How do the "Bros" do it and make a profit? __________________ My Affiliate Programs: Porn Nerd Cash \| Porn Showcase \| Aggressive Gold Over 90 paysites to promote! Skype: peabodymedia

05-06-2013, 06:42 PM	#2
newB Confirmed User Industry Role: Join Date: Jul 2006 Location: Somewhere between reality and total ape-shit bonkers. Posts: 2,870	I'm only familiar with programs offering 100% RevShare when promoting a new site, and only then for a limited time. The advantage to the program is that hopefully the offer will result in affiliates giving preference to promoting those sites over other programs, thus long term rewards to the program by getting a huge influx of links to their newer site. __________________ The best Adult Affiliate Programs reviewed and indexed by niche and feature. Easily find the sponsors that suit your needs.

05-06-2013, 11:26 PM	#6
harvey Confirmed User Industry Role: Join Date: Jul 2001 Location: 127.0.0.1 Posts: 9,266	__________________ This post is endorsed by CIA, KGB, MI6, the Mafia, Illuminati, Kim Jong Il, Worldwide Ninjas Association, Klingon Empire and lolcats. Don't mess around with it, just accept it and embrace the truth

05-06-2013, 11:41 PM	#8
baryl Confirmed User Industry Role: Join Date: Aug 2011 Location: Las Vegas Posts: 1,086	PPS programs also make money from each signup through cross sales and member's area upsells, cams etc. Last edited by baryl; 05-06-2013 at 11:42 PM..

05-07-2013, 06:00 AM	#9
The Porn Nerd Living The Dream Industry Role: Join Date: Jun 2009 Location: Inside a Monitor Posts: 19,490	Ahhhh I see now....so 'shaving' is a big part of PPS eh? So then why would affiliates go along with this, um, situation? __________________ My Affiliate Programs: Porn Nerd Cash \| Porn Showcase \| Aggressive Gold Over 90 paysites to promote! Skype: peabodymedia

05-06-2013, 11:36 PM	#7
OneHungLo So Fucking Banned Industry Role: Join Date: May 2001 Location: Your mom's front hole Posts: 40,910

05-07-2013, 06:12 AM	#10
Google Expert Webmaster Industry Role: Join Date: Jun 2004 Posts: 14,295	how are you even in the paysite business asking these stupid questions? /double facepalm

05-07-2013, 07:02 AM	#14
purecane Annakin Skywalker Industry Role: Join Date: Jan 2013 Location: megaminds' secret lair Posts: 1,324	the "bros"..........hahahahaha __________________ [email protected]

05-07-2013, 08:32 AM	#19
Aidoru Confirmed User Industry Role: Join Date: Jul 2012 Posts: 655	You are doing fine Peabody __________________ Gravurecash - 50% Lifetime RevShare on all signups and rebills, 5% Webmaster Referral

05-07-2013, 09:54 AM	#21
LouiseLloyd SO FUCKING SCAMMED Industry Role: Join Date: Mar 2010 Location: UK Posts: 1,376	You missed out shaving __________________ Tube Theme • Paysite Theme • TikTok Theme

05-07-2013, 10:00 AM	#22
MaDalton I am Amazing Content! Industry Role: Join Date: Feb 2004 Posts: 39,821	also $50 PPS is not really common on paysites i think (anymore). and you are the only one that knows how your members rentention is. so if your average retention is 3 months at $39.95, why not offer $30 PPS? __________________ AmazingContent.com - providing only the best content and service since 2003 Monetize your content on Veegaz.com - one of Germanies largest VOD sites Got German traffic? We convert it into money for you! Skype: madalton02826 - Email: oltecconsult [at] gmail [dot] com

05-07-2013, 11:23 AM	#24
The Porn Nerd Living The Dream Industry Role: Join Date: Jun 2009 Location: Inside a Monitor Posts: 19,490	Interesting responses in this thread. __________________ My Affiliate Programs: Porn Nerd Cash \| Porn Showcase \| Aggressive Gold Over 90 paysites to promote! Skype: peabodymedia Last edited by The Porn Nerd; 05-07-2013 at 11:27 AM..