Re: [AGA SC] Membership Committee Initiatives

[Erik Olson <erik@thekrib.com>]

Hmm, that's different.  If that's the case, I suggest we don't offer the 
big discount of 40%, maybe concentrate more on the "premium" group 
memberships?

  - Erik


On Mon, 12 Apr 2004, Cheryl Rogers wrote:

> Got a quote from the printers today, and they say that "we already got the 
> price break," which I don't really understand. James Elliot, the owner, 
> will explain it to me the next time I see him.
> 
> Anyway, the prices for TAGs quantities 1500 and 2000 were $4000 and $5200 
> respectively, which is $2.67 per issue, practically the same price per each 
> as we are paying now.
> 
> I've lost the conversation though, and need someone to summarize where we 
> are with this discussion. :-)
> 
> Cheryl
> 
> Karen Randall wrote:
> > The marginal cost per magazine over 1000 at Amprint was only $1 each.  I
> > can't believe the drop is not comparable with the new printer.
> > 
> > Karen
> > 
> > ----- Original Message ----- 
> > From: "Erik Olson" <erik@thekrib.com>
> > To: <aga-sc@thekrib.com>
> > Sent: Monday, April 12, 2004 12:47 AM
> > Subject: Re: [AGA SC] Membership Committee Initiatives
> > 
> > 
> > 
> >>The other bit I was interested in comparing was the difference between
> >>the income as individual members vs. as a group...
> >>
> >>Let's look at the minimums (worst-case scenarios):
> >>
> >># discount group postage individual postage loss
> >>        (at $1 per mailing) per member
> >>
> >>6  10% $12 $15 $24 50 cents
> >>11 20% $44 $15 $44 $1.36
> >>51 40% $408 $20 (approx) $204 $4.40
> >>
> >>These numbers are, though, against the $20/member standard.  So we should
> >>consider that first of all some of the cuts already taken from us.  An
> >>individual member subscribing for a year gets 88 cents taken out by
> >>PayPal, and the two-year membership knocks off another buck per year (and
> >>three-year memberships knock off two bucks per year).
> >>
> >>More importantly, the real question is how many of the group memberships
> >>would have otherwise bought individuals... I guess if it's, say, 50% new
> >>members, then it's not so bad, and totally comparable with what we're
> >>making off the existing online deals.
> >>
> >>I can't do the corresponding overseas calculations, which are potentially
> >>far more profitable or dangerous for us (because the postage is so much
> >>more).
> >>
> >>The basic problem is that if TAG really does cost us $2.50 per issue plus
> >>mailing as we go over 1000, then we simply MUST bring in more than $14 per
> >>normal member in order for us to add new members over 1000.  Right now
> >>it's sort of OK because it's being made up in advertising, but we're not
> >>going to be bringing in more advertising to help supplement higher
> >>membership -- it's supposed to be the other way around.
> >>
> >>  - Erik
> >>
> >>On Sun, 11 Apr 2004, Cheryl Rogers wrote:
> >>
> >>
> >>>I found Robin's original multis quote.
> >>>
> >>>Notes from me inserted.
> >>>
> >>>
> >>>
> >>>>-------- Original Message --------
> >>>>
> >>>>From: Robin Dodson <robin@completedirectmail.com>
> >>>>To: 'Cheryl Rogers' <cheryl@wilstream.com>
> >>>>Subject: RE: Aquatic Gardeners Association quote
> >>>>Date: Thu, 15 Jan 2004 16:42:04 -0600
> >>>>
> >>>>Cheryl,
> >>>>
> >>>>See below for the postage on the multis...
> >>>>
> >>>>2 catalogs - domestic ($1.52), Italy ($4.80)
> >>>>4 catalogs - domestic ($2.44)
> >>>>5 catalogs - domestic ($3.13), Denmark ($7.55), Japan ($8.40)
> >>>>15 catalogs - domestic ($3.85), Canada ($7.65)
> >>>>30 catalogs - domestic ($3.85)
> >>>
> >>>OK, so assuming we have 10 "group discounts" that order 30
> > 
> > issues--pretty
> > 
> >>>ambitious, but what the heck, it's hypothetical. That would cost us $154
> >>>per year in postage. 30 memberships rates a 20% discount = $480 per year
> > 
> > x
> > 
> >>>10 groups = $4800.
> >>>
> >>>If TAG costs AGA $2.50 per issue x 4 issues per year x 30 memberships x
> > 
> > 10
> > 
> >>>groups = $3000 per year.
> >>>
> >>>plus $154 for postage =
> >>>
> >>>$3154.00 in expenses which is a profit of only $1646.00.  Hmmmmm.
> >>>
> >>>Doesn't seem like a lot, but it's not a loss. We *would* have to get
> > 
> > more
> > 
> >>>than 1000 TAGs printed, though.
> >>>
> >>>Cheryl
> >>>
> >>>
> >>
> >>-- 
> >>Erik Olson
> >>erik at thekrib dot com
> >>
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> >>
> > 
> > 
> > 
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> > 
> > 
> 
> 

-- 
Erik Olson
erik at thekrib dot com


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