Newly launched sites with low priced ads, How do they balance out? Options

[pennylane77]

As you already have noticed, many newly launched PTR programs are throwing extremely low priced ads.
Here are the examples from one of them:

3 cent solo ad to all - $4.00
5 cent solo ad to all - $8.00

Prices are getting even cheaper with another new site where 5 cent solo ad to all costs $0.99!! and guess what, the min. payout is $120

I wonder how they would add up with such low prices?
Well, advertisers are really glad to get the most out of it putting ads in all those new programs like Wanna be rich or Solar clicks.
For the first 3 months, most members won't reach payout, so the revenue far exceeds the spending. Only handful of upgraded members or those who have huge downlines may request payouts, but sites have enough money to handle them.

Let's do some math.

For example, one site sends twelve 5 cent emails per day ?~ 30 days??$18/month
It will take about 3 months to reach payout with no referrals.
If the 1000 members who joined early February request payout at the end of April, the amount of money ends up $50,000. What about the revenue of the site?
5 cent solo ad to all - $8.00?~12?~30?~4(month)????11520 4 months is because it takes one month to get paid.
$50,000?|??11520 ????38480?@short. Of cource there are incomes from Banner impressions, PTC, or others, but no way they cover the shortage.
How are the site going to pay their members? In other words, what percentage of members will be paid? Maybe 3 - 5% ? I don't know.

What about ad prices of other PTR programs?
Take Gimmemail, for example.
1/4 shared email to all members costs $9.95
Wow, looks much more expensive in front of those low priced ads.
Recently Gimmemail haven't sent lots of emails like before. Why? I think many advertisers rushed to those newly launched high pay sites with much cheaper ads.
Gimmemail is one of the most reliable sites with no doubt. I got paid once only 14days after payout request.

I'm really worried about this recent trend in the PTR industry.

[Guest_mvanantwerpen_*]

Aw...Welcome to the PTR World :( ...This is becoming the norm. No is it impossible they will be able to pay all their members...They rely on the fact that a good amount will quit before reaching and other factors <_<

[pennylane77]

I'm not talking about paying all members or not but paying just 10% of them will be difficult for those sites with low advertising rates.

[markrag]

Newly launched sites with low priced ads, How do they balance out?


simple anwser They Dont

[ccofer]

This is why some sites don't make it. The WM are trying to pull in advertisers - but then when people start reaching payout they don't have the money to pay them.

I can understand selling ads at a slightly cheaper rate due to the fact that all members don't click on all ads and there are other ways for a site to earn money such as selling banner impressions.

But some sites get so carried away with their sales promotion that there is no way to make up the missing money. <_<

[No-Minimum.Com]

has anyone inhere ever paid 10$ for 1000 1cent PTC's ?

[tnek]

the actual value of a 5 cent ad to all at AYS is about 0.1 cent.... (3000cents/28000members). not strange that they having problems with payouts..

[blueeebird]

[pennylane77]