>>Think of the profit margin of the PromoCard to CCI. A corporation needs 10,000,000 Cards for a promotion. Assume CCI discounts half to $1.25 each. That is $12,500,000 up front. 10% are activated for 1,000,000 using customers with PromoCards. They buy 5 CDs to generate over $5,000,000. 25% convert or purchase MusicCards at $9.99 or $2,500,000. They buy 20 CDs which generates over $5,000,000. <<
Sounds terrific. In addition, the company most likely advertises on television, in newspapers and magaizines: Free with each 6 pack of Coors, you get a CCI MusicCard which enables you to buy 5 of your favorite compact discs at the lowest prices available on the internet at compactconnection.com
Hopefully the website will have an easier name to remember by that time.
|