I think we have a small disconnect here?

Yep.


1.  The contract I signed stated 6.9 percent plus 1.00 per sale, not the
16 percent you mentioned.

Used to be 20%. Now they dropped to 6.9%(I haven't looked into what
the catch us; most vendors are still at the 16%). They've been
dropping a lot of things like chargeback protection to lower their
rates. You also can't manually approve orders or credit them back
without still paying them their horrible rates. I had an OBVIOUSLY
fraudulent order come through-- IL shipping address, NY billing
address, Netherlands IP, and "barrister" in the Email(@msn.com
address). I could see it was fraud in a couple seconds, but they
wouldn't void it, etc., and when it got charged back(duh; stolen
card), I still had to pay the 16%.



2.  I had planned to pay affiliates anyway for pushing my software. RegNow
pushes 30 percent to the affiliate after a closed sale. I don't see that
as an issue - others might. so that a total of 36.9 percent, not the 50
percent you mentioned.  I'll give up this percentage to have a quick
marketing penetration, any day of the week.

Ha. You didn't read the fine print. Regnow charges you for handling
the affiliate payment. I just read the 6.9% faq, and it looks like
they're now waving this 15% charge(yes, 15%!) if you're 'certified'.
This means that you have to be 'leak proof' and not sell through any
other manner, whatsoever.


3.  I don't worry about the concept of chargebacks at all, for a few reasons:
 - I don't see the money anyway until a month later, so if someone decides
to return the software for nonusability, it happens within that one month
period.

You lose more than just the money you made-- you lose your fees that
you paid to handle the transaction. You end up with a net loss.


 - This is a client/server app, with the server side being IN my data
center.  If a user decides to return the software and seeks a chargeback,
there is no way they can continue to use the software.

For you, yes. Most products sold through Regnow aren't that way.


4.  RegSoft is also the largest in the industry, and has marketing hooks
INTO the software sites I want my software marketed IN.  This has to be a
good thing for my software marketing scheme for *this* product.

RegSoft or RegNow? Two different places(both owned by Digital River
now, I think-- they own most of them).

As for getting onto download sites, that's as easy as submitting your
PAD file. Most download sites won't give you that much free promotion
beyond listing them on your site(already free). Occassionally they'll
give you better placement or 'featured' spots if you increase the
commission to 75%.

Trust me-- I run a download site and know many others who run them.


Thanks for your feedback, though - I'll keep a big eye on the traffic
based on what you've said.

I used to sell exclusively through RegNow until I found way too many
sales were coming thru as 'affiliate sales' even though I could tell
through my logs that the person had searched a generic term on Google
and found my site that way. Obviously they had probably clicked an
'award' or something on my site, and the download site set a cookie,
etc-- the download site did nothing to 'earn' the commission-- they
just got lucky.

Now, I have a merchant account and pay <1%. It has paid for itself
many times over. I still use RegNow for 'affiliate marketing', but
affiliate-marketing(particularly thru RegNow) is incredibly
over-rated-- great in theory, not that great in reality.


--
Derek


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