Beyond cost savings, the software has features designed to ensure the success of a dvd or game rental site by offering facilities that maximise the user satisfaction level of customers, partners and staff that will be using it.
this stickiness of course translates to better membership signup conversion rates and less subscriber churn
a number of these features are structured to gain cost savings for the site or are additional revenue generators for the rental site
affiliate sponsored traffic that crosses a rental site and qualifies as a signup on an associate rental site results in commissions paid to the affiliate, the affiliate's upstreams, and the rental site being crossed
all rental sites are master affiliates for all affiliates signed up in their affiliate programs. as master affiliates, that account also receives override income from affiliates. the rental site may choose to record these receipts as consolidated rental earnings or may choose to have them remitted to a separate account and accounted for separately.
this traffic spillover feature ties together all out-of-territory dvd and game rental sites to allow them to share traffic that would otherwise be wasted. this is an opportunity that is unique to video rentals and game rentals because of the need for physical presences in the served territory. for example, a dvd rental site in the United Kingdom looses nothing by sharing traffic with a dvd rental site in Australia or Canada
each time a dvd media rental unit is rented by the site, the agreed upon charge is added to the revenue pool. at the end of each payment period, the dvd media rental revenue pool is paid out pro-rata to each revenue pool participant.
there are potentially significant tax benefits for individuals participating in such a program. since they are operating an active business, with risk of loss and opportunity for profit, income can be offset by related expenses even if a tax loss is results in a particular tax year.
a business starting off with one video or game dvd, with the intention of increasing the rental volume at a future date, could potentially expense, for example, an automobile used in game or video buying excursions, research trips to conventions, an internet connection, the computer used to check account status, a dvd player, a hdtv plasma screen to check dvd quality, both xbox and playstation game consoles, trade magazines, and home office expenses.
individual circumstances should be verified with qualified legal and accounting professionals.
an important advantage to entering the internet game, music and video rental businesses as a member of a larger group is the ability to share resources and information. many of the sharing features listed above would not be possible in a standalone effort.
platformlabs.com understands that you will have many upfront expenditures to deal with in creating your new business. so, we charge a modest initial setup fee, and then bill a low percentage fee paid on a monthly basis as site revenues are earned.