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Ask HN: How does cardpool make money?
1 point by pdx on Dec 2, 2011 | hide | past | favorite | 3 comments
They claim they are getting 8 figure revenue, so let's call that $1M/month revenue to keep the math easy.

By their Alexa rank, we would assume they have on the order of 38K visitors a month at 152K pageviews.

So they're making an average of $26/visitor, and I don't see them actually charging for anything on the site. Obviously their actual users will be substantially less, which makes this even more perplexing.

Please help me understand how this is working.



When you sell a gift card you don't want on Cardpool you get up to 92% of the value. The difference is their margin on resale. That's probably the bulk of revenues.

Also they almost definitely make an affiliate commission on the sale of any new gift cards (maybe around 2% based on payouts from other gift card aff programs on commission junction)


The 8 figure revenue is from the title of their jobs ad.

    Cardpool (W10, 8-figure revenues and rapidly growing) looking for SW Engineer #3
Clickable link to their site: http://cardpool.com


> I don't see them actually charging for anything on the site.

I don't know what you mean. Its a straight up ecommerce site where you can buy cards. http://www.cardpool.com/buy-gift-cards




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