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Old 05-30-2010, 07:02 PM  
will76
Making $$$$ w/ ClickCash
 
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Join Date: May 2003
Location: USA
Posts: 18,037
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Originally Posted by ********** View Post
I just read that AdultProfit is closing their affiliate program at https://gfy.com/showthread.php?t=970916. It seems like more and more are closing down.

I am not surprised. If you run your own affiliate program, I urge you to take a closer look at your numbers and the practices of others.

We stopped taking on new affiliates to our affiliate program 2 weeks ago because of the expense that it took to run, the incredible amount of fraud, the huge payouts we had to make just to compete, and the general unreliable traffic we were getting (A webmaster could send us good traffic today, but change their mind and send it to our competitor tomorrow).

Just to compete, we were forced in to offering 50% Pay per sign-up which was a loss-leader. After the cost per transaction, payout to the chat model content owners, we would actually lose as much as $25.00 on every $100 sale in hopes of keeping the customer around later.

This method is very dangerous especially for small businesses. It almost worked, until the fraud was factored in. The more we were paying out (we started at 20% and bumped it up over time), the more fraud we got. 50% just seemed to invite all the shitheads out of the wood-work.

This doesn't mean of course that affiliate programs are a waste. What you want to do though is carefully go over the real cost of your own affiliate program. Don't guess at your numbers. If you "bet" on recurring sales to make a profit, try it out, but check your stats closely to make sure your bet is actually paying off for you. Yes it may mean lower payouts for affiliates but it will also mean better health for your business.
If you monitized your traffic better you would be able to afford to pay out $100 PPS.

The more money your program makes the more competitive it is with the others sites, which you can then afford to pay affiliates more money. Then you get more affiliates, and stable affiliates sending you quality traffic day in and day out.

You own a cam site. You should not be in the same sentence with "all the affiliate programs closing". All of those affiliate programs are from membership sites.

This isn't just directed at you, but at several cam site owners here. What a waste of lost income by a lot of you. You need to do more than sell cam credits these days to make enough money to compete with the bigger cam sites. If you can't compete then you are going to be stuck with very few affiiliates...You will then be forced to buy traffic, which inturn most of it you wont be able to profit on because your profit margin is so low. You profit margin is low because you don't monitize your traffic on your cam site.... follow ?

It funny, but sad at the same time. Its like you guys have a old car that is out of gas. I have a gas station and garage shop. If you just want to pull your car in and work together we can do some serious business. But if you keep pissing in the tank and wondering why people are passing you up on the road... you never going to get above 10 mph. (also not directed at you)
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Last edited by will76; 05-30-2010 at 07:08 PM..
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