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May 25th, 2004, 10:35 PM #1
May 26th, 2004, 05:34 AM #2
- Join Date
- January 18th, 2005
Actually that is how most if not all get us to move over to their in-house program.
Most have stated it’s due to the Network fee savings.
May 26th, 2004, 07:14 AM #3
May 26th, 2004, 07:57 AM #4
That's the theory, but it doesn't always work that way.
Networks provide quite a bit for their fees. Although it varies from provider to provider, most provide:
* Fraud prevention
* Banner serving
* Extensive tracking and reporting software
* Some degree of support
* EXPOSURE to a prospective affiliates
* Some degree of prequalification of affiliates
* Tax reporting
If a merchant doesn't use a network, they have to shoulder the cost of all that themselves. Part of what the merchant would have paid to the network will likely go towards those things rather than directly to the affiliates.
May 28th, 2004, 06:21 AM #5
- Join Date
- January 17th, 2005
Yes, that is very right, often you have to deal with that "push-pull" dynamic...on top of all of the costs Michael spoke of, you must also take into consideration your margin on your inventory and measure that versus what you pay your affiliates or in the end as a merchant your running a cash-flow negative business, so to speak. Very good point on your last thread Michael.
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