After receiving the pay-outs I have earned from January 1-January 14 in SponsoredReviews.com, I have received a notification in my SR Dashboard regarding the increase in transaction Rates. Below is the message:
In order to continue expanding our marketing, sales, customer service and programming efforts and to recoup other expenses related to increased costs we have decided that it is time to increase our transaction rate by 15% from 35% to 50% (your share will now be 50% versus 65%). This increase will allow us to continue expanding our software functionality as well as grow our marketing and sales efforts in order to increase the number of opportunities available to bloggers. As it stands we currently incentize advertisers to make bulk purchases by giving them up to 20% discounts. At the end of the day these incentives account for a large portion of the opportunities that are created in the system. Unfortunately those incentives also reduce our profit margin and make it tough to expand functionality and keep up with sales and marketing initiatives. We will continue to provide large incentives to bulk buying advertisers in order to encourage volume.
The increase will take effect on January 13th, 2010. This increase will not affect previously made bids, your previous bids will continue to pay 65%.
If necessary, please make any required adjustments to your blog prices and new bids in order to compensate for the increased transaction fees. We thank you for your continued participation in our system and assure you that this increase will, over time, have a large effect on the number of paying opportunities available to all bloggers.
I do not know how to react!