“It’s a horrifying feeling for anyone who’s been there,” CM Productions’ CEO Todd Glider said.
“Your focus narrows. Innovation stops. Every waking hour you’re playing defense, pouring over billing data. It gives you nightmares.”
The company said the solution starts with CM Productions’ EasyBurner software. It’s an add-on that allows consumers to burn downloaded videos to DVD and convert downloaded videos to formats compatible with iPhone, Blackberry, Android, XBox 360, PS3 and others.
EasyBurner is licensed directly to participating program owners.
“Licensing is key," Glider said.
"As an EasyBurner licensee, the software is yours. You process the billing. You set pricing. Like any site in your portfolio, you make all marketing decisions."
No matter how aggressive the pricing, the company said the EasyBurner licensee pays CM Productions $5 per sale.
“When you get that call from the bank or ISO about your ratios being in the danger zone, there are two demands,” Glider said.
“One: explain how you’re going to lower your ratios. two: lower them with an influx of good, organic transactions.”
Because EasyBurner is a value-added product with low overhead, it’s positioned to satisfy both demands.
“EasyBurner is a great tool for anyone looking to add revenue dramatically, but when you’re in trouble with the bank we advise a different approach — one that focuses less on increased revenue and more on increasing clean transaction volume.”
The key, according to Glider, is aggressively upselling EasyBurner at a low, non-recurring price.
“Since we’re only charging you $5 for each sale, you’ve got a lot of flexibility. So take advantage of it when you get into hot-water with the banks. Upsell it for a one-time fee of $6. At $6, it’s a bargain for the consumer, and at that price you’re covering your overhead on licensing and processing," he said.
Citing EasyBurner as your solution will also satisfy the bank when you’re asked to explain, in writing, how you’re going to lower those ratios, Glider said.