As I mentioned in my Building Trust at The3dStudio.com – Introduction post, I plan to start posting more about how things works here and what our future plans are for The3dStudio.com so you can see how they impact you as a member.
One of the hottest topics for any member who sells 2D/3D resources is on the subject of royalty rates. When we first started The3dStudio.com we had a rate that was a little bit higher than the 60% rate we offer now. We were new at this and wanted to give our sellers as much of the money from every sale that we could.
We didn’t just pick any old random number, but calculated what our costs where and based it on what we thought we need to keep the company going. It turned out to be the classic mistake that most new companies make and we didn’t truly understand the cost of doing business. Because of that, we had to change the rate down to 60% and that, of course, didn’t go over well with some of our sellers.
Surprisingly, many were okay with it as we explained why we were doing it and listed out the costs involved in running a business like this. These were the people who likely knew us for a while and had some trust that we really were making a change for the better. For others, they just saw a loss of 5-10% of their royalties and didn’t see the bigger picture.
Changing royalties is something no company wants to do and I am pleased to say that we won’t be lowering anyone’s royalties ever again on The3dStudio.com. That’s right; whatever standard royalty rate you are currently at is one that I promise will never be lowered. We might raise it (nobody would argue with a raise after all!) but we will NEVER EVER lower your standard royalty rates for as long as you are a selling member here.
Wait, what did I just say? Is it possible that somebody running a company just put their money where their mouth was and gave some sort of personal guarantee? Yes, that’s what just happened. No dates on that, no strings attached, no fine print. That's my personal guarantee to you.
Pretty sad that something like that is so shocking in our world today, whatever happened to personal relationships and handshakes that sealed a deal? Whatever happened to somebody telling you something that you could trust? Well, that’s how we work here and I want to make sure those of you who don’t know me as well understand that. So, what better way than right in here a blog post…something that will remain here forever, a historical document of sorts.