so many smart men in this thread, such a turn-on :winkwink:

Agreed. You'd have to do MORE than twice the sales volume to make it worth while. People have to remember looking at something like this not only are you slashing your prices, but you're also slashing your profit margin.

If you cut your prices in half and only double your sales, in effect you're topline is staying relatively the same while your operating expenses / overhead are increasing to accommodate a larger customer base. It's also got to play hell with your target CPA for your marketing budget.

I also feel looking at netflix is an apples to oranges example as well.

In my experience when it comes to setting your price point it's all in the marketing. You have to decide if you're product is going to be a mercedes or a toyota. A mercedes and a toyota will both get you from point A to point B, but a toyota is a hell of alot cheaper and in all honesty, probably more reliable (or at least cheaper to maintain)-so why would anyone buy a mercedes?

In the online space there is great flexibility to offer upgrades that for customers hold a high perceived value that can be added into your product offering for negligible cost. You just have to decide which path you want to follow and what you feel is right for your product. :2 cents:

For revshare, according to pimp roll's payout options you can select (right now) for $9.95 monthly membership cost and make 50-60%...

lol thats funny.... :thumbsup How much are you paying for everything else, maybe the GFY crowd can help save you more money.... you paying how much for hosting... no way that is too high!!! lol.

Netflix reducing their prices you are right is a bad example of why porn sites should reduce their price. I also mentioned netflix in an analogy in this thread (that seemed to go over some people's heads) but to show why netflix could demand a good monthly membership price every month.

Netflix has 10,000+ movies for you to choose from but only allows you to rent a couple videos at a time. The most you could watch is 20-30 or so a month. Opposed to a regular picture and video website where you join and could browse all of the videos and pretty much watch everyone you want and download the ones you like the best with in the first month. Basically regular pic and vid sites give away the house in the first month and then add very very little new stuff for subsequent months but continue to charge full price. So most people cancel after the first month because they have seen everything the site has to offer. Netflix is smart, due to the nature of how they are set up, that you will likely stay a member for years because you will never come close to watching more than a fraction of the movies they offer.

Regular picture and video sites need to find ways to retain value and not give it all away in the first month if they expect people to rebill (on purpose). I believe what Robbie mentioned, if the sites produces really good custom, quality content, then it can get a following of people who will rebill to see those 10-20 new videos a month. But most pic and vid sites don't have that type of quality custom content.

I think most people fail to see why retention rates are so low... Obviously they managed to get the person to sign up but then most cancel with in the first month why? Maybe they were horny and just needed to get off so once they busted the nut they had buyers remorse and canceled, or maybe they looked at everything you had to offer picked through the good shit saved it and your "updates" just weren't worth dropping another $30 a month for.

As always, PIMPROLL puts the choice in the Affiliates hands when it comes to deciding what is best for their traffic. Certain people want the PPS payouts, others are happy to get a slice of every cent spent.

100% not true. I am happy most of you do not get it.

:pimp

Are you talking about infinite retention? :winkwink:

Better retention is part of it.

The smart ones will dissect instead of looking from the outside.

I just read every post.


PR Dave & Robbie are not attractive.

could be business thread of the year..

lets compare it for a sec to the mainstream i-tunes micropayment vs netflix
i can watch "most movies" on my iphone using the netflix app, why would i pay a micro payment on itunes for the same flick?
yes netflix is only streamed so can only watch somewhere there is "broadband" but that is almost anywhere.

a gigantic provider of content such as porn.com will be prevalent choice for many no doubt but if someone was smart to make a common micropayment processing platform it could have good success also.

no reason same content couldnt be available on both levels, each to his own..

:thumbsup:thumbsup

:1orglaugh:1orglaugh

It's not an insult. It is literally retarded to say "nothing is better than free" in a thread on marketing/sales. You're lucky you're in such a niche market of the industry.

I was applying logic to subscription sites where recurring membership fees are the main source of revenue. Obviously this will not apply to all businesses, if you make more of your money on lead gen and upsells you could give your membership away for free and still be profitable.

You could always fill your buy page with cross sells, fill your member's area with upsells, blast the hell out of your list and sell the user data to everyone under the sun... doing that you could charge $1 for unlimited access and still walk away with money in your pocket. It all depends on the way you choose to run your business.

My industry is dating, and not so different from content there are sites that charge next to nothing and sites that give it away for free. You can discount my opinion if you want to but we face very similar market challanges. You don't see a bull rush to lower the price point in dating, I don't see why the same logic wouldn't apply here. Just like toyota vs mercedes or tap water vs bottled brands, in my opinion it's all about how you market and present your product.

If you slash your prices, unless you simultaneously bring in an additional revenue stream to make up for the difference, you most certainly are slashing your profit margins. I don't know how anyone could view it any other way.

I don't think they are going to see the surge in retention rates that they think nor the doubling of initial joins by dropping the membership prices to $9.95. Also, affiliates aren't going to go for it even if he does pay $20 PPS. Most affiliates are looking for who ever can offer them the most PPS for a credit card join, and $20 isn't anywhere close.

Just because some mainstream sites lowered their prices doesn't mean that it will work for adult sites, they are two totally different things.

This isn't anything innovative either, not the first time someone tried to charge $10 a month access to a porn site.

My personal opinion is that they wont like the results if they make a hard change to this method and will change it back sooner than later. Time will tell.

wow robbie you just "invented" frank kerns four day cash machine.

marketing genius that you are.

should add it to the list of creative stuff you are doing, like copying waynes world in a porn video.