Agency Based Discussion => iStockPhoto.com => Topic started by: imageegami on July 17, 2013, 08:17

Title: Lesson on Sustainable Stock
Post by: imageegami on July 17, 2013, 08:17
Today's class is about how to create a solid stock photo business:

1) Instead of paying contributors a fair return, drastically reduce everyones royalties and tell them its because the business is Unsustainable. This will motivate contributors to offer their images elsewhere and you can then pay them even less royalties.
2) Reduce the price of half your collection by over 50%. Price reductions of this magnitude are Sustainable and will attract buyers from other sites.

The fact that it would have cost less to pay exclusive contributors a fair return (say 50%) thereby creating more exclusives and less competition in the first place will not be discussed in this class.