Mind your Math

being a traffic exchange owner is not real hard but this rule is what countless owners have failed to do over and over again.

Mind your Math
two traffic exchanges A and B have 2 different ways of doing math. Which one is going to survive?

Traffic Exchange A
.35 surf ratio
100 credits to Join
Earn .05 of the downlines surfing
Prize pages of 2 to 4 credits every 25 pages surfing.
bonus for referring a new member 50 credits
Start page

Surf bonus 1 (ie Party Surf or Commando surf ect)
Surf Reward ( viral traffic games )
external prize sites

———————————————————————————-
Traffic Exchange B
.30 surf ratio
0 credits to Join
Earn .05 of the downlines surfing
Prize pages of 1 to 10 credits every 20 pages surfing.
bonus for referring a new member 100 credits
Start page

Surf bonus 1 and 2 (ie Party Surf or Commando surf ect)
Paid to promote Co –op
Downline builder with credits 100 – 1000 credits a month
external prize sites

The answer is Both will go in the hole each month. So it’s a matter of time till both are too far in the hole. but one will take longer than the other.

Take the Just the surf ratio:
TE A is .35 so if the average member surf 100 pages that’s 65 credits surplus.
TE B is .30 so if the average member surf 100 pages that’s 70 credits surplus.

but then the bonus for joining
TE A is in the hole 100 credits
TE B is in the clear here

Add that up
TE A after surfing 100 pages is in the hole -35 credits
TE B is with a surplus of 70 credits

Now lets add in the average prize page which is 18 credits for every 100 pages surfed plus the 4 pages per 100 that didn’t move a credit. ( cant remove a credit for a prize page )

NOW
TE A is more in the hole at -57
TE B is now at a surplus of 49

that’s just the first 100 pages.

Now if the owner has:
their own pages, Paid to promote/co-op, external rewards, word search, bubble game, ect., ect., ect.

For every page that isn’t moving a credit, it’s a net hit to the system. Because someone is earning but no credit comes out of the system.

this could be another -10 credits at some sites

NOW
TE A is -67 credits
TE B is 39 credits

now you login to Downline builder Elite or some site like that. And receive your reward. Lets just say it’s the average of 500 hits

now look
TE A -67 credits
TE B -461 credits

If someone upgrades or gets referrals or the site sells credit the problem only gets worse from there.

DO the math as an owner you have to for the members and to the surfers if there is too much its going to only get worse. Being a long term owner is about striking a balance between surplus and being in the hole. Give away too much your site stalls out and members get 4 hits a day.

but then again I have only owned a traffic exchange since 2008 and learned a lot of lessons the hard way.

8 Responses

  1. Ritchy
    Ritchy at | | Reply

    Great words, many owners think credits are free.

    I have disposed of the odd TE from an owner with no math skills and it ain’t much fun.
    LOL

  2. Gary Calvert II
    Gary Calvert II at | | Reply

    Too big of a surplus also creates a problem. If you are an owner of a small TE, especially. It doesn’t take much one way or the other to create a problem. Your 2 solutions are, growth and better management of the credits, be sure to have better management of the credits first. 😉

  3. Jackie O
    Jackie O at | | Reply

    Very important point you brought up James, about owners pulling their ads until they can get the traffic flowing again. So many TEs I belong to are filled with the owners ads…meanwhile my credits aren’t moving.

  4. Vern Chumbley
    Vern Chumbley at | | Reply

    With QualityPageViews, I added about 35
    sites in the beginning so same sites weren’t
    seen every other page. Then backed them down
    as sites came in.

    For about 60 days I just showed Sticker Splash
    page because it was required.

    CoopMG wanted me as their Network Partner which
    comes with a Free Elite upgrade. I couldn’t until
    views were at an acceptable level on my end, so I
    instead paid the $15.00 a month for a few months.

    With LFMTE script they force you to keep banners
    and text within the exchange, only Admin default
    is shown outside, so no way to even get credits
    out through banner/text conversions.
    We had to write our own script add-on to do this.

    Traffic flow is almost there that I can offer some
    credits on Prize pages.
    VTG I can offer Banners and Text and Square Banners
    instead of Credits because I can move those with script
    add-on.

    Owners offering $1 plus 100 Credit Signup bonus are
    both broke and have no surfing in a short time.
    Just 5000 signups is $5000.00 and 500,000 Page views
    owed…..
    40% won’t stick around for the signup money bonus
    but will sure assign those credits!

    Page views is the LifeBlood of Any Exchange!
    No Traffic flow = no sales.
    Affects Upgrades as well.
    “I’m tired of surfing all the time for 0.34 per view!”
    or
    “I only get 12 views a day, why would I Upgrade or
    Promote the site?”

    I understand Owners want Many members, like yesterday!
    It takes Baby steps!
    Don’t look at NOW, look at the Future.

    At the end of the day, I’m Responsible for the Members
    that signed up to My Exchange, I didn’t signup to their
    e-mail!

    If I gave away Free popcorn and make my money on seasonings
    and seasoned butter toppings, and my popper has fits and
    works when it wants, how does that affect my sales?
    The more my Popper works, the more seasonings I’ll sell!

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