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Old 09-19-2011, 03:02 AM  
Paul Markham
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Join Date: Jun 2001
Location: On the sofa, watching TV or doing my jigsaws.
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Quote:
Originally Posted by Zorgman View Post
I've seen this happen before.

1. Sponsors launch program
2. Sponsor gets affiliates with high payouts.
3. Sales come in from all over the place and it's going well.
4. Sponsors realize they are only getting a small payout.
5. Sponsor cuts affiliate program without telling their affiliates.
6. Bank lots of cash.

It's hard for the affiliate these days. Your traffic has to come from multiple sources otherwise your going to take a drop in sales.
You missed the worse part.

The industry fails to keep customers happy.

If a site is run on that model the reason it failed was probably the investment in traffic was too high and investment in product too low. That after a few years give customers a negative view of buying porn online. Best just to get it for free.

While we added traffic, due to new people coming online. Ratios got worse and worse. Customers were getting disillusioned with what was being sold.

Unless we can come up with a great new way to get more people online, in countries we can sell to, we have to convert more of what we have.

Imagine a time when the increase in surfers, isn't covering the decrease in sign ups? Imagine the year 2010.
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