Entrecard pricing changes?: Either a smart or dumb move

by multippt on April 11, 2008

 Entrecard

For long, Entre­card’s been plague by a whole lot of prob­lems relat­ing to over-inflated ad prices. It’s good to know they responded, but revis­ing the ad sys­tem to go by the num­ber of ads in the queue? That has to be one of the most absurd, or great­est moves made by Entrecard.

What’s good about the ad pric­ing changes

As the cost of an ad is now 2^(how many ads you have), ads on Entre­card can have the fol­low­ing ad prices: 2, 4, 8, 16, 32, 64, 128, 256, 512, 1024. The good news — you can buy an ad out of a pop­u­lar spot, pro­vided if you are quick enough.

In addi­tion, this change now rightly tells whose ad is more valu­able, since pop­u­lar sites tend to have ads that are highly-priced.

What’s hor­ridly wrong

Entrecard’s move is going to mess with the entire Entre­cred­its econ­omy. First off, peo­ple don’t feel the need to keep drop­ping cards, since they could eas­ily snag off hun­dreds of ads in a day’s work. So, lesser drops means less activ­ity on Entre­card. Sure, there will be more peo­ple buy­ing ads, but this action severely deval­ues the Entre­card cur­rency. In addi­tion, peo­ple are now going to wait for everyone’s ad prices to fall to extremely low lev­els before buying.

The ad prices are also sub­jected to con­stant fluc­tu­a­tions. Since the ad price is directly influ­enced by how many ad spots that were taken, your ad price will decrease by half its orig­i­nal value the next day. What this means: Your Entre­card rank will plum­met to the ground. If you are lucky, you’ll have some­one buy­ing your ad, and your site should stay at the top. In the past, while the Entre­card credit sys­tem has its flaws, it is a pretty good indi­ca­tor of how active the owner is, and how pop­u­lar a site is. Take that out and you are left with a sim­ple sys­tem that is prone to being gamed — all it takes is for you to get 1024 Entre­card cred­its and you’ll be able to pro­mote your site to the top of the lad­der. Why bother pay­ing 1024 for an ad, when instead you push your site to the top on Entre­card (a more heav­ily traf­ficked site) with the help of a friend?

Due to the changes in the pric­ing struc­ture, Entre­card had to remove sev­eral items from the cam­paign page, such as “new”. This means that new Entre­carders will have trou­ble get­ting afloat in Entre­card at all, since there will be no one who would be will­ing to buy more than 4 ads on the site.

The pric­ing change has greatly affected the lad­der. Your rank­ing in the lad­der is influ­enced by:
1) Your ad price (only 10 pos­si­ble prices)
2) A ran­dom factor

Due to the price change, the Entre­card com­mu­nity can be said to be divided fur­ther into the fol­low­ing groups:
–The insanely priced ones (512‑1024 EC)
–Mod­er­ate (64–256 EC)
–The extremely lowly priced (2–32 EC)

Ear­lier any Entre­card that was priced over 400 Entre­card cred­its is called insane. Now, thanks to the new system, a nor­mal user can never have an ad queue that is full.

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