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Why
won't we make A LOT OF MONEY by surfing the net?
"Get
paid to surf the web" - this is the slogan of the biggest, and perhaps
most dangerous, hystery flooding the Internet. The phenomenon cannot be
missed, everyone actively using the net can see as the pyramids, built
from surfers with get-rich-quick dreams, grow ever higher, built upon the
two eternal human weakness: naivety and greed.
The avalanche was started
by the American firm AllAdvantage in the spring of 1999, when it launched
the brand new web marketing concept to promise no less than to revolutionize
the relationship between advertising companies and netizens. The new idea
met tremendous success among surfers to whom AllAdvantage promised an attractive
money-making opportunity.
To summarize the system,
it pays registered members $0.50 per hour spent online, if they keep on
their screen a "Viewbar" - a small window continuosly running ads. Of course,
the possibility to earn 50 cents/hour, coming to $20/month by 40 hour surfing,
would not have excited so much the surfers of the world if those concocting
the idea had not topped it with a seductively worded MLM (multi-level marketing)
system promising an opportunity to make thousands (!) of dollars per month.
In March 1999 the company
launched its www.AllAdvantage.com webpage that became popular exceptionally
fast. The whole net has been ruthlessly invaded by the AA-mysery, thanks
to the promotional power of MLM. The big recruitment drive has started,
the new members chasing the dream of easy money tried to build ever bigger
pyramids under themselves, using all possible means of web marketing. "Targeted"
messages of AA members filled unmoderated email lists, online forums, free
classified areas, chat channels; thousands of webpages sported to purple-white
AA banner, and began the proliferation of homepages thrown together just
for recruiting members, and the aggressive ads to promote visiting these
sites. The signup code got built into many individual signature files as
well, so the pyramid-builders messages even got into private email. All
this led to over 2 million registered members of AllAdvantage within the
first 3 months already.
Meanwhile we could suffer
time and again the very upsetting experience of spoiled joy of hearing
from a long-lost classmate/relative/acquaintance, only to find out the
real reason for the call: that is we are wanted as one more member to the
guy's MLM network. On the net the acquaintance provides us with a tortuous
web address, clicking on which we can get into the club of the Internet
get-rich-quickers, but of course only of we take upon ourselves to build
the network further.
MLM experts hold that the
basis of a good MLM system is a product or service of excellent quality,
whose main characteristic is uniqueness to prevent easy imitation. AllAdvantage's
system failed this criterion, since its initial apparent success promted
newer and newer copycat enterprises built on the same concept, similarly
recruiting members by MLM, and at the same time multiplying the ads circulating
on the net. The so-called surfmoney programs: Spedia, ValuePay, GoToWorld,
Utopiad, DotAD, ePipo, SharkHunt, DeskTopDollars, Surfing2Cash came to
notoriety in Hungary too, but also appeared firms, such as AmazingSolution,
that pay after email containing ads (is there ANYONE not getting enough
email ads without this?), also building by MLM.
Soon, in the summer of 1999,
the Hungarian adaptation of AllAdvantage started under the name of Forinter.net.
The owner of the website, Bognar Attila admits to follow the American model
with the Hungarian version, whose slogan is: "Surf for the Forints of Hungarian
Advertisers". However, it is yet to be seen whether he can find advertisers
to put forints into the system. The fact is that, despite the promises,
the "Forintbar" was not available for members to download even at the end
of the year,and the webpage, just like its copycat Sokpenz.net ("sok penz"
means a "lot of money" in Hungarian), is still merely recruiting members.
To the question regarding
the spam flood washing over the Internet, Forinter.net owner Attila Bognar
answered such: "We strictly forbid spamming. Our Anti Spam Principle, found
on our webpage, is called to the attention of all members. We emphasize
that Forintern.net is firmly refraining from the use of any method considered
spam. Sending unsolicited email to unknown people is prohibited. Also prohibited
is the distribution of the Forinter.net system on email lists and other
public forums not dealing with business issues. In any event, private email
is much more effective than big mailing lists. Violators of our Anti Spam
Principle are dropped from the system without prior notice. Unfortunately,
we had to cancel several memberships due to this."
All this sounds well, but
one can justly ask where is the person whocould follow all the maillists,
forums and boards of the net, not to mention the personal emails of promotional
intent with thin disguise. The "Anti-Spam Policy" decorates the homepage
of AllAdvantage and other systems imitated; it has been shown well enough
what moderating power the rational written word means (NOT) to the MLM-builders
chasing the dream of riches from the hordes of members recruited. This
is much more of a human-ethical question than an internet-specific one,
thus cannot be regulated by any policy.
Thus the spam keeps gushing,
the MLM-builders animate their magic wand, the worl-wide net that makes
easy to reach scores of potential members.
One contributor to the HIX
mailing lists on interesting Internet pages fulminated upon the ever-more
irritating flood of letters, expressing the opinion of many of us:
| "Get paid to surf the web"
- yes, the news is true! Not only regarding spedia.net, but also regarding
the sixteen-thousand similar service too. And every time such report appears
on this list [Kukker], to carrier of the news rushes to inform us of the
signup address http://www.spedia.net/cgi-bin/ddir/tz-cgi?/run=xxx-refid=101389.
No, by no means simply "www.spedia.net".
If you recruit someone, you get paid after him - therefore the individual
code must be included in the address. Its my, _my_, MY code, otherwise
I won't be able to recruit anyone and won't get an extra ten cents per
hour. But I'm not telling the public this. They might accuse me of money-chasing,
even though it doesn't cost anything to them, it makes no difference to
them whether registering with my, _my_, MY code, but to me, _me_, ME matters,
I only _get money, _money_, MONEY if my code is there. No, I don't have
to reveal _this_. People are so _bad_, they use the information obtained
from others and don't pay anything.
This list has several thousand
readers, I think. If only one in ten joins a pyramid-builder like
that, that means a few hundred reference IDs, a few hundred brief message
about the excellent internet money-making opportunity, which isn't any
different from the messages preceding and following, maybe even the homepage
is the same, but there will be one difference after all, the most important,
the beautiful "reference ID", the key to riches, Eldorado itself. |
Homepages written in the
"here is the big opportunity" style carry sentences like this: "If you
get say 10 persons and thru four level each passes the opportunity to 10
persons, then you make $50,000/month. The opportunity is completely free,
there is no obligation of any kind, and you can register in ca. 3 minutes!".
To normally thinking people, guarded against "too good to be true" offers,
the falseness of the statement is obvious. The error slips into the naive
advertisers' calculations when they assume that every member of their group
can get that many more others below themselves - while in reality the number
of members available for lower levels is always only a fraction that of
the higher ones. Thus the actually achiavable commission is far less than
calculated, even in the lucky case of a legitimate firm that is willing
and able to pay its members and doesn't collapse prematurely.
Interestingly, despite the
predictions of those suspecting fraud, AllAdvantage survived and even paid
out the first checks to those surfers who entered earliest; they are not
for thousands of dollars, however, but for much less than preliminarily
calculated. In August 1999 there was on the average $47.77 sent out to
the members of the network, according to the official statement by AA (who
haven't mentioned that these checks sent out in August are for the three
preceding months - this info is only given out by members on affiliate
marketing forums, and no data has been made available since). For the minority
(like the creators of the idea, the owners of the firm) occupying the top
of the pyramid this is grand business regardless.
AllAdvantage is spreading
with unwavering ambition, grew into a company employing 300, opened offices
in 9 American cities and London, and the number of its registered members
approached 4 million by the end of 1999. This encompasses surfers from
240 countries, who are expecting with excitement when will they get the
green light for downloading the viewbar. The application necessary for
the paid ad- watching is presently only available in the US and Great Britain,
but for a long time international expansion has been projected, and the
firm promises to reach surfers of France, Germany, Australia and New Zealand
in the beginning of year 2000. (please note: this article was written
in January 2000 - you might check current status on the alladvantage.com
home page)
According to an article in
the Financial Times, the biggest danger is that, compared to the tremendous
number of applicants, there will not be enough paid advertisement. Certainly
the managers of AA know this as well, and presumably they have some idea
of exploiting the business opportunity, that is the buying power of the
4 million strong membership (which they call "community"). The alliance
of AllAdvantage with Prio.net indicates the prospect of forming a buyers'
club, which is getting close to utilizing the collected addresses for targeted
marketing or commercial purposes.
The contributor called Lord
on the mailing list "webreklam" is right in many respect when he says:
| "Why don't I believe in
surfmoney? Here are 5 reasons:
1. I have not yet seen a
person living in Hungary who has received a check from such a company.
2. Common sense says that
no firm is so dumb as to pay this much money for nothing. One can easily
get software to make unobtrusive the ads which are supposed to be "watched",
thus get around the thing - and the advertisers know this, too!
3. The price is too high:
with the established web ad market average of 0.10 cent commission per
clickthrough, assuming 1% clicking ratio, $0.50 would nuy 500 viewer to
an ad. No surfer would watch 500 ads per hour, for sure, so the the marketing
value is way below that of the
conventional pay-per-click
effectiveness.
4. No sane person would enter
in any pyramid scheme, given that the number of recruitable people is finite.
5. And, lastly, I would certainly
not install on my computer a program that may do who-knows-what online.
But kudos to the organizing
firms: it's a great idea to obtain, at laughingly small cost and effort,
millions of email addresses with personal data, statistics and such. |
It's a good indication for
the unpopularity of the new marketing form among advertisers that most
PTS (pay to surf) organizers are still at the stage of member recruitment
- that is, with neither advertiser nor cash on the horizon. They are pushing
the promises further back in time, while letting the registered members
to do the effective marketing of the enterprise, and up until locating
a paying advertiser to keep raising the visibility and popularity of the
homepage and the number of recruited members (registered email addresses).
They can do this easily,
thanks to the gullibility of surfers. Those whom I tried to dissuade from
being overly optimistic about the prospects of get-paid-to-surf all repeated
the same reasoning: "after all, I've got nothing to lose, no money to be
paid in advance, joining is for free, and if I happen to make a little
money still that'sure profit!".
This reasoning is only seemingly
true, since it does not consider the work used in promotion and the efforts
wasted. Web-marketing is an activity requiring time and labor, MLM recruitment
is not less so. To make matters worse, many use their high traffic homepage
to post the ad, thus occupying valuable ad-displaying area with PTS banners.
An owner of a website attracting hundreds of visitors daily is better off
placing on his pages banners of well operating associate programs, which
can generate if not thousands of dollars but respectable side income that
can be calculated in advance.
Besides the irritating flood
of spam, the other harmful effect of this phenomenon is that the slogan
"make money on the internet" has for many become synonymous with online
MLM systems; this diverts attention from honest e-business opportunities,
even though it was the year 1999 that produced development more spectacular
than ever in the area of traditional pay-per-click and pay-per-sale affiliate
programs, virtual agencies, and various online marketing opportunities
to sponsor website owners.
Since I myself from the start
have watched sceptically and only as an outsider the spread of programs
promising money for surfing, to give a full view let's hear from some who
admittedly invested no little time and effort into building these networks.
Those whom the letters below
don't discourage from chasing surfmoney deserve to see the loss of their
valuable time, internet knowledge and creativity into this black hole.
The above article was
published both offline and online 02/2000 in the Hungarian monthly Internet
Kalauz
Author and copyright:
Andrea Wesselényi
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articles by the same author
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