so now on all the rebill LPs we can say "As seen on CBS" and "as reported on by Katie Couric"
so now on all the rebill LPs we can say "As seen on CBS" and "as reported on by Katie Couric"
i've always wondered though - these guys at FWM ship the shit out, but who actually puts the powder in the pill and seals it?
John Lawless the guy in the video, represents a good target demographic
"my wife thought it would help with the weight
we're open to trying things. nutritional suppliments. things like that"
Contract manufacturers all over the place will create, bottle and private label anything you want.
Pharmaceutical Online:Sourcing for Pharmaceutical Manufacturing, Pharmaceutical Contract Manufacturing
From what I have heard from industry insiders, the cost is literally a few bucks per unit or lower.
Yeah, they're banking.
pharmaceutical, pharmaceutical Manufacturers & Suppliersi've always wondered though - these guys at FWM ship the shit out, but who actually puts the powder in the pill and seals it?
Doldgigga: And you're still not talking about all the costs there. There's also the call center (supposedly), administration costs, paying their own staff, etc.
So whilst they're still walking away with $35 a bottle, the true ARO is probably closer to $7-$8... which is still a metric fuck tonne, as they're likely pushing a couple thousand a day.
(Imagine having the mailing address' to tens of thousands of people who've boughten Acai products etc. Huge potential.)
Would be interesting to break down the costs. People often look at basic number make associations like "Oh they charge $90 per bottle and sell 100 or more each day." But in reality they are probably paying 5% or more to process each charge (high risk merchant), they pay almost 1/2 of that $90 to a CPA network, their chargeback/return rate is probably over 3% which is high for any company dealing with physical products. Each order has shipping charges associated, plus the wages paid to the employees. Call center expenses are a possibility at well, but with VoIP it's not as expensive as it was before to have a bank of operators set up.
That's not true, although you get raped at rates often higher than 5% for high risk merchanting, it's all about volume. the chargebacks/complaints are miniminal compared to the amount of successful rebills.
I worked for a company that did the back-end of grant offers through a number of networks, at the peak they were averaging 2,000+ a day for months and doing 8,000 sign-ups a day at their peak. You could expect 3-4 months of rebill per user. They setup a call center and focused on taking those calls and minimizing chargebacks. Last year they did over $62mil in revenue and about 35% of that was overhead on CPAs/infrastructure/fulfillment. This year I'm sure they'll clear double or triple that.
Quite the biz...
Imagine having the mailing address' to tens of thousands of people who've boughten Acai products etc. Huge potential.
Eric