View Single Post
Old 2008-03-26, 05:36 PM   #8
Toby
Lonewolf Internet Sales
 
Toby's Avatar
 
Join Date: Mar 2005
Location: Houston
Posts: 4,826
Send a message via ICQ to Toby
Quote:
Originally Posted by Ramster View Post
I don't know Toby. Processing is 15% so he is still getting 55%. Hosting on a paysite is very very very cheap. Even a server for galleries is a 200-300 hundred a month tops unless this person is submitting galleries every single day and movies too.

The ONLY thing is if she is getting 30% of total sales and there are affilates to pay out ect. Need to know more details but I think 30% is WRONG somehow for sure.
I hadn't considered the affiliate payouts. Add that into the equation and it could quickly be a 30/30 situation.

She did however say "split of the profits" which would mean after expenses. If that is indeed the case then 70/30 is very unfair.

The one other asset that the webmaster brings to the table is an existing network of traffic resources. Building traffic is the single largest problem for most independent amateurs.

[soapbox]
IMO indie sites should use an affiliate program to suppliment income, not to build a traffic base. Learning to build traffic, especially traffic that you don't have to pay 50% off the top of each sale to get, is a far healthier long term business plan.

Launch that affiliate program after the site is established, some content has been built up, and the site tours have been tweeked and are converting well.

I've seen way too many indie sites launch, open an affiliate program right out of the gate or within just a few months, and a year or more later they're still not making enough to quit their day jobs.
[/soapbox]
Toby is offline   Reply With Quote