If Acai revenue model changed, would you still promote it?

Status
Not open for further replies.

coach

New member
Jan 15, 2008
279
1
0
With all the grief that acai is going through in regards to the rebill model, would you still sell Acai if it was more of a traditional CPA product where the customer actually buys the stuff. Of course the free trial model is hot right now, but if things changed, would acai still be worth promoting if the CC companies stepped in and stopped the auto rebill?
 


You can actually promote it as a one time purchase already if you search around. I spoke with someone about this and the guy admitted to me that they themselves can't even compete against the free trials.

They just can't pay out nearly as much as a free trial offer can unless they charged like $80 which you can bet will affect your conversions.

Now assuming the rebill was illegal or cc companies wouldn't allow it anymore then I guess everyone would be on a level playing field and in that case it could surely work.
 
"if acai revenue model became much less profitable, would you still promote it?"
 
"if acai revenue model became much less profitable, would you still promote it?"
This is a massive IF since that business model has been around since I can remember. I remember getting 15 CDs for a penny when I was about 8.

But, for the sake of arguing, the clicks would be cheaper too and there would be less competition.
 
>>you really think the free trial model is going to change after decades of use? not likely.

Hmmm,

I've been in aff marketing for 10 years and never saw this model for aff marketers until less than a year ago for online aff marketing. I'd love to know what products I missed out on promoting those first 9 years.

The model has been around for a long time, but that was all offline and the disclosure was much more upfront than you see in the online model and offers.

From what I see, google isn't liking this model, just as they stopped liking the online pharmacy model and put an end to adwords for online pharms and prescription drugs. Am I wrong here, or am I seeing that the biggest marketing avenue for products is giving a thumbs down to this model just as they did to selling drugs online?
 
>>you really think the free trial model is going to change after decades of use? not likely.

Hmmm,

I've been in aff marketing for 10 years and never saw this model for aff marketers until less than a year ago for online aff marketing. I'd love to know what products I missed out on promoting those first 9 years.

The model has been around for a long time, but that was all offline and the disclosure was much more upfront than you see in the online model and offers.

From what I see, google isn't liking this model, just as they stopped liking the online pharmacy model and put an end to adwords for online pharms and prescription drugs. Am I wrong here, or am I seeing that the biggest marketing avenue for products is giving a thumbs down to this model just as they did to selling drugs online?
They're not giving a thumbs down to the model, just to hiding the price within the TOS imo.
Proof? girls gone wild - Google Search
 
More proof: any book club, columbia house, bmg. I remember seeing those on commission junction a long ass time ago. I think to this day you can open some magazines and buy X books for $1 or whatever. But expect a rebill or obligatory repurchase of additional books.
 
Long time ago I was an employee of book-of-the-month club. That company has been doing the same thing since 1926. get in for cheap, pay full price later.

Offers will come and go and rules will change, but this basic model ain't going anywhere.

shamwow-of-the-month club anyone?
 
Basic model will not go anywhere and has been around a long time, but the upfront info on future obligations have been much more up front in the past than what is currently being shown online. Heck before I decide which acai to offer, I look for the one with the smallest print and least obtrusive terms as well as testing out which offers convert the best.

I've found that the offers that make the Terms and Conditions the hardest to find and least obtrusive convert better than those that are upfront, landing pages being equal ( of course LP's aren't equal, but if they were then the unobtrusive terms site always wins).

BUT, that isn't why I started the topic. I was trying to find out IF all merchant CC processors decided that this practice was unethical and they got their ass sued and then decided to change models, would you go with a traditional model of commission on an actual sale.
 
We built our business on this model. The model is solid and when managed correctly, extremely profitable. I don't know of any other way to do huge volume with strong margins online. <great points above GoddFadda>

The issue is, the majority of the companies promoting Acai offers are either small shops or product companies who have no clue how to run a continuity program. It takes buttoned up credit card processing, customer service, etc. I know a lot of those small shops have blown up their merchant accounts and as a result not paid their networks and publishers. There is so much volume in Acai that they were not prepared at all for what they were getting into. The amateurs will go away and the continuity players who have been in the game for years will flourish.

We've just recently launched an Acai offer and it is killing it. The model isn't going anywhere, whether it's Columbia House, BMG, Blockbuster, Hoodia, Green Tea, or Acai, there will always be a demand for products people can try free. It's the nature of consumers. Learn it and love it.
 
Last I checked I can still get a "free" phone from my wireless carrier with a forced continuity of 2 years. This model will only get bigger as will the size of the fine print.
 
By the way coach, you're right about the expectations for disclosure changing; however, there will always be a spectrum of folks in the space. Some people throw T&C's in your face to try and build a loyal customer base and some people who hide it to make quick cash. That won't change.

Your proposition that the CC processors will ever shut down product companies is ridiculous. You should see the checks we cut for merchant processing, just imagine what Guthy Renker pays for a $1B dollar brand like Proactiv (oh yeah, that's another continuity offer that a few people have heard of).

Get a grip.
 
you really think the free trial model is going to change after decades of use? not likely.

yes, there will always be trial offers of some sort... but it could all change overnight... one rule change by visa and everyone will be fucked...

there's a lot of card slamming and outright fraud billing going on in the adult industry... FTC is investigating and visa is aware, but they move slow...

there has been talk of a visa rule change... the card companies have a lot of control over these things... if they get enough complaints or enough fraud it'll force a rule change... not saying that will for sure end trials or rebills, but it probably won't be good...

physical products have it easier... but any rule change regarding trials and/or rebills may have an impact...
 
FYI , I am a distributor for one of the "Normal" MLMish acai distributors. It's almost impossible to compete with these acai free offers. These S&H offers have been around about as long as CCs have , sure someone will get in trouble, and one will come right in on autoship and take the acai offer's place.
 
yes, there will always be trial offers of some sort... but it could all change overnight... one rule change by visa and everyone will be fucked...

there's a lot of card slamming and outright fraud billing going on in the adult industry... FTC is investigating and visa is aware, but they move slow...

there has been talk of a visa rule change... the card companies have a lot of control over these things... if they get enough complaints or enough fraud it'll force a rule change... not saying that will for sure end trials or rebills, but it probably won't be good...

physical products have it easier... but any rule change regarding trials and/or rebills may have an impact...

The thing that you're missing is the fact that most of the companies doing rebills/continuity programs are much savvier than you would think about protecting themselves in terms of charge backs and such with multiple merchant accounts (and by multiple, I mean *alot*). VISA/MC really have know way of clearly distinguishing whether your a scummy rebill or a legitimate one if the merchant is intelligent enough to spread stuff around ;).
 
If it still made bank, yes. If it didn't then obviously I wouldn't.

Nothing to do with revenue model, I'll just promote the offer if it's going to make money.
 
haha, i remember BMG, Colubmia House... I ordered it as a kid, then they would send out the monthly selection (unless you actually wrote them otherwise every month) along with a bill. So i started writing return to sender on every CD i got from them. They incurred the shipping charges and eventually told me they'll switch me to a plan where they don't send me anything until i ask for it :) (sorry just flashed back to my childhood and thought i would share)
 
Status
Not open for further replies.