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Self-Distribution / Support Forums / Neoflix / Questions and asnwers about Neoflix from a possible client
Posted:  29 Nov 2008 22:40
This was a response I provided to a customer today--thought it may be helpful for existing clients as well as others who are considering Neoflix.

> - From what I understand, you have a fulfillment centre in Europe and one in the US. 
[JC: Correct]

> - What would be the shipping costs and time for receiving the dvds in Europe and North America?
[JC: If we have your products in each warehouse: 2-5 days in North America; Europe 2-10 days--depending on which EU country.] 

> - And to Africa, South America, Australia, Asia?
[JC: 7-14 days]

> - Is it possible to block out certain territories?
[JC: Yes.  We have destination restriction feature on the shopping cart.]

> - Is it possible that for some territories (such as India & South Asia), the buyer be directed to us and we sell the dvds to them directly.
[JC: You can indicate this policy on your website and your Neoflix store. Implement the destination restriction so orders will not be processed.  There is no "link" from the checkout process to your website; however, you can add a customized link from the store to your website.]

> - In that case since we will be doing the fulfilment, shipping etc what is the policy? 
[JC:  You will need to process the credit cards and do the fulfillment.  If we process the credit cards (i.e. charge the credit card), then we must also control the fulfillment.)

> - Could you run me through the money trail. When someone buys the dvd through my website, do I get an email at that point informing me about the sale?
[JC: While we do not send you an email for each order, an order is logged in real time into our system which you can see at any time. You can log into your account to see recent or all sales activity.]

> - Are we sent the money every week?
[JC: we close each period on the 15th and last day of the month, and perform a reconciliation report and issue checks about 2-3 weeks after the close of each period.]

> - Is there a system of verification for us to know how many dvds have been sold and how many are in stock on any given point of time?
[JC: Yes, there is real time online sales/transaction module and inventory module.  A note about inventory--if you request us to ship out products on your behalf--not from online sales--these offline orders are updated every two weeks, so the inventory will be "off" by those quantities until they're updated.]

> - If I need to have free dvds sent to someone for reviewing or for joint ventures or affilates, how does it work?
[JC: You would request it by email.  Note, we do charge for processing fulfillment for manual orders.  For a DVD domestic shipment it's typically $5 + postage.  For a carton of DVDs domestic, it's $14 + postage.  For international the handling fees increases +$2 for DVD, and +$5 for a carton.]

> - What kind of low cost marketing services you can propose or that you advise me to do on my own?
[JC: We have developed a few tools and services that help sales: Affiliate marketing called Indie Clix-- see www.indieclix.com; Amazon: we can get your products on Amazon's marektplace for no extra charge (note: the percentages are changed since Amazon takes about 20%); Customer base acquisition and outreach application called Box Office Widgets -- see www.boxofficewidgets.com.  For 2009 we plan to release another application to help mobilize fanbase marketing.  It's in alpha testing now so we're not releasing any additional information.]

> - Is it possible to "bundle" 5 or 10 films together (and give 10% off). 
[JC: yes.  See examples: www.neoflix.com/store/plo08; www.neoflix.com/store/tri60]

> - Could you send me the breakdown of the "Shipping cost"
[JC:  Keep in mind that the buying customer pay for shipping based on their shipping preference, so it's not coming from your cut.  Neoflix takes 10%, you keep 90% of the product listed price.  The shipping is separate--paid by the customer.  The shipping charges are determined by the service type: domestic regular, domestic express, international regular, international express (which uses the USPS international priority mail service).  The shipping cost is also determined by weight and in some cases, the country, so it's a very large matrix and not possible to provide you a breakdown.  You can, however, go to the Neoflix stores referenced above and change the country tab to see the prices.  Just add more products to change the weight.  That provide you with some insight.]

> - Can one add other products such as posters, teeshirts or books and bundle them with the films?
[JC: Yes. See www.neoflix.com/store/sha66]

> - Do these add to my costs (storage or shipping?)
[JC: Shippping is always paid by the buyer, so it does not come from you.  Storage is $10/shelf, so depending on how much product you give us, it will increase the storage in proportion.  Keep in mind that we do not keep more than 2 products on the same shelf.  We do save our client money by building "combo" items at the time of fulfillment.  What this means is that if you have combination of DVD and poster, the storage is only for the DVD and Poster.  This isn't an additional storage fee for the DVD+Poster combo.]

> - For some of my architectural films, I am not sure I would even sell 1000 of them, so I was wondering if I could send you say 100 copes each just to test the market.  Is that acceptable?
[JC: Even better--send us just 25 to save on your shipping cost.  If the DVD sells faster than anticipated, then send us another 100 or more.]

> - If so whould the monthly cost be 25$ per 1000 copies in all?
[JC: The $30 montly fee includes your account fee and storage of up to 1000 DVDs of the same title (or the equivalent of 1 shelf).  If you have 1, 25, 100 or 1000 DVDs, the monthly service fee stays at $30.  If you have 2000 DVDs, of the same title then your monthly fees will be $30 + $10.]

> - Would there be other costs?
[JC: No.  We don't charge for receiving or stocking.  We only charge for manual requested orders to ship DVDs that you may place with us.]
[JC: Also keep in mind we're non-exclusive and there is no contract, so you can stop selling any time and the monthly fees will stop as soon as your products are shipped back to you.]

> - These films are possibly more appropriate for the educational market.  They are on architecture. Can we set up the shopping cart with different
pricing for educational institutions and for social groups also?
[JC: There are a few ways to deal with educational.  Most clients put educational licensed products in the same store, others separate them.  There is also a way to customize your store so only certain products are visible.  Some clients pay separately to have a completely different store and different accounting, but we don't recommend that unless there is a lot of educational volume.]
Posted:  20 Dec 2008 17:31
This kind of Q & F format is very useful! Thanks
- Mitch Teplitsky (http://www.soyandina.com)