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Old 06-29-2003   #22
Rolo
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Join Date: Dec 2002
Location: Six Feet Under
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I have been wondering about the changes going on, and who are going to adapt. Business truth is that "If it ainīt growing, then its dying", and alot of companies have not been growing for some time now.

Processors have really lost alot in the last 2-3 years, and Iīm suprised that they have not changed their business much within that period. When I think of the "million dollar" fines, then spending "thousands" getting more billing options seams like a small cost to secure more business.
Ofcourse processors have been under attack in that time, and it could probably explain why they are not more ahead. Good news its not too late for processors to rethink their billing setup (on a grand scale that is, not just add another dialer, talking about real longterm solutions).

Paysite owners will probably soon need to rethink their payout model...
TAX, fines, fraud, low conversions, low rention, higher production/content costs, more programming etc. all cut into those big profits everyone saw years ago. Make no mistake you can still run a paysite program, and make alot of money, but the margins are getting lower, and the volume needs to be higher to make the same amount of money. Dunno if the "old" programs will change their payout or incress their "scrubbing" (countries, hits, signups etc.), but the current payout model will just keep getting worse... When you hear someone complain about 1/1000 signup ratios today, then I bet in 1 year from now, you will hear some say that he thinks "xxx sponsor" is great because it converts 1/1000, and not 1/2000 like all those other per signup programs...

Actual I think that most webmasters sending traffic would like to see some changes, which will make their traffic convert better, and add to their overall bottom line.



Last edited by Rolo at Jun 29 2003, 11:30 AM
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