Aussie Reverse Auctions

DubLi uses a traditional network marketing distribution model to launch its initial customer base in new markets, both because DubLi’s founder has had successful experience in network marketing, and because a network model can create large, loyal, initial customer bases faster and cheaper than advertising-based models.
Commissions are paid to Associates whenever their registered customers buy credits to participate in dubli.com auctions or whenever their customers generate click-through or revenue-share fees by clicking through to DubLi’s search engine partner.

In order to create a new customer base, Business Associates buy DubLi credits in bulk (called “Product Packages”), and then give away the credits to prospective customers to get them to visit the site and try out the auctions.

When a new Business Associate buys a Product Package, commissions are paid to the recruiting Business Associate, just as if a customer had bought the credits (and that is how Business Associates earn commissions from recruiting new Business Associates).

DubLi’s strategic focus is on expanding its customer base, because the value of any shopping portal business is directly related to the size of its customer base.

What DubLi gets with its network marketing model is initial customers fast and cheap (without having to raise millions of dollars for each new market launch); what DubLi gives up is a cut of its revenue stream, paid out in commissions to its Business Associates for the life of their customers.

DubLi’s Business Associates are paid commissions to create new customer bases and to sponsor new Business Associates (who, in turn, create more new customer bases).

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