An Example of A Subscription Based Website
To fully understand the business plans behind subscription based sites, it is best to take a look at some popular websites who have already established themselves in the online world. By looking at these types of sites, you will be able to see how far online subscription content can actually stretch.
Dating Sites (Match.com, eHarmony)
Online dating sites are a newer type of subscription based website. These sites make the majority of their money through monthly, multi-month, and yearly subscribers. Profit for sites like this depends solely on the number of subscribers that the site receives, and the subscribers' commitment to the site. How much do online dating websites actually make? Hard to say, without actual subscriber numbers. Match.com claims that "Every year, hundreds of thousands of people find love through their website". And, Match.com is said to have over 15 million clients in over 240 countries. If these numbers are at all accurate, Match.com is raking in at least $200,000,000 a year... at a price of $30 a month for a subscription.
The cons: Sites like eHarmony and Match spend a tremendous amount of money to advertise for their websites. You have probably seen the television commercials. These sites also spend money to advertise on other websites, which can get just as expensive as TV advertising in some cases. Sites like eHarmony and Match also have to beat out competitors like PlentyOfFish.com. PlentyOfFish is another dating site. However it is completely free to use. PlentyOfFish makes it's money through advertising.