Thread: disparity in pricing

 
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Old May 21st, 2003, 02:56 PM
oscar oscar is offline
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I noticed that for dentalplan.com darkblue advertises a payment of $45 per plan sold whereas if you go to dentalplan itself, the price quoted in their affiliate program is $40 per plan sold. Why the difference?
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Old May 21st, 2003, 04:04 PM
DarkBlue DarkBlue is offline
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Hi Oscar,
Lets say that the break even cost of acquiring a new customer for DentalPlans.com is $50 and they then say that the minimum profit they are willing to make is $5 per customer, then the theoretical maximum price they can pay per customer if $45.
Now if they need to maintain a support team for their affiliates, manage their accounts, distribute payments etc then this could quiet feasibly equate to an addition average of $5 per customer. As a result DentalPlans.com can avoid this cost by using DarkBlue. Now because DarkBlue is free to join with no fees and no commission on the sales we pass the entire $45 onto you the affiliate.
As a result you can make an addition $5 through DarkBlue per sales.

This obviously makes most people wonder how we make any money. This is done via our pop under the advertisers site. Example here. http://www.darkblue.com/advertisers/example/
It is our goal to produce the best CPA offers for our affiliates and therefore drive maximum sales for our advertisers.

Please remember that I of course do not know what DentalPlans.com can afford to pay or what their profits are like.
 

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