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-   -   Why there will never be a rake war (longwinded) (http://archives2.twoplustwo.com/showthread.php?t=372109)

grinin 11-06-2005 08:01 AM

Re: Why there will never be a rake war (longwinded)
 
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Me thinks Empire's marketing department sucks donkey balls and don't understand how anyone could come to such a conclusion. Maybe you mean some other department

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Empire is a 40 person marketing company... with a NET profit of over $1 million/employee, they certainly did something right this year

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Empire's growth had less to do with the concerted efforts of a hardworking marketing department and more to do with massive amounts of hardworking grinders switching to them for rakeback.

All someone at Empire had to do was "flip the switch" that condoned rakeback and the rest was history. One bright idea that builds a company from nothing overnight does not a great marketing company make. Afterwards, Empire could have laid off 35 of those 40 marketing employees and still made the same amount of money. One thing about marketing departments, though, if the company is doing well, they damn sure are going to let you know that its all because of them.

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Its my belief that they have a better grasp on how to reward players than Party (although Party's massive datamining project is a step in the right direction to understanding their customer base).

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As I said in an earlier post, the idea that Empire knew how to reward players better than Party is a fallacy. The majority of players were there for two reasons:
1 Rakeback
2 Ability to play against Party's Fish
Once the combination of those incentives was removed the site was destined to shrivel.
Worse still, additional marketing dollars aimed at this "majority" were simply wasted as the majority was going to play as long as 1 and 2 were true anyway.

Sniper 11-06-2005 02:23 PM

Re: Some points of clarification
 
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I net $10k/week and pay 5k/week rake I move my play to a new card room who currently have 1000 players 10% playing at any given time. 50% of all players play on average till they lose $300. The site is currently bringing in 10 new players/week. Do the managers see me and think "woohoo 5k extra revenue/week"? if you do youll never be a manager of a poker site if they do they wont be managers for very long.

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If a site has 1000 players and is only bringing in 10 players/week, and they are not a skin, then they are losing players faster than they are gaining them, with or without your play.

If the same site is part of a larger network of skins, they are very happy for your playing there!


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