DH false advertising of referral scheme



Since last October DH have been advertising on www.dreamhost.com

Start referring new customers to Dreamhost and you’ll earn $97 in cash -
/every/ /time/!

yet on http://www.dreamhost.com/promo-888.html they say

Customers using the 888 promo code will NOT count towards anyone’s referral credit.

So, is the advert false, or the promo exception in error?



If you use one of DH’s own promo codes, they assume they just wandered in and saw it. If I’m not mistaken, promo codes override referral by anyone else. So, of course, anyone using a DH promo code won’t be able to credit someone else for referral. So let’s say someone used my promo code but they clicked on someone else’s referral link, that discount they got takes away from how much I’m supposed to get back for the referral. It wouldn’t be very fair if they used my promo code but someone else got credit for the referral just because they clicked some link XD.

The Insane Cabbit
My Blog http://www.sounanda.com
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Send me a pm if you want cms or forum software installed (for a fee)


[quote]of course, anyone using a DH promo code won’t be able to credit someone else for referral


So, “of course” the advert is false?


Which is why I think promo codes should not be allowed on the forum. If I’ve referred someone to DreamHost from my website, and they find a promo code in here before signing up (I would think most people looking for web hosting will do a forum lurk if they can), I lose $97 of referral money to someone who doesn’t deserve it.

Since promo codes were introduced, the revenue I get from referrals is less than 10% of what it was. There simply must be a direct relationship, and that is why I’m dead set against the use of promo codes here.

Simon Jessey
Keystone Websites | si-blog


Well, that’s why you should not just give someone your referral link, you should give them a promo code too. People tend to sign up a lot more often if there is some sort of discount to be had. I personally think DH is a great service so I don’t care to get anything back. I tell people my promo code but I won’t be offended if they use someone else’s promo code instead, especially if they got a better deal.

To say the person who’s promo code was used doesn’t deserve the referral is a bit much. The whole point in users creating promo codes is to give someone else a discount and that takes out of what they are supposed to get. Just because you advertise, that doesn’t mean someone is going to take the bait. You see different advertisements in the paper all the time that are for the same type of service or product. If you can get the exact same thing for less, why wouldn’t you? Does that mean the first company to sell it was robbed? Of course not.

The Insane Cabbit
My Blog http://www.sounanda.com
My web store:
Send me a pm if you want cms or forum software installed (for a fee)


[quote]Maybe the problem is the variable promo codes themselves, not the open and honest discussions about them, or the links here. Would you like search engines to censor DH promo codes too?

People will also do some reading about the rewards system, probably some more reading about rewards, possibly a wiki search, and even a web search. Would you like all that to be censored too, to prevent a decrease in your revenue?[/quote]
I don’t have a problem with the promo code system, or the referral system for that matter. For me, the problem is a matter of fairness. Let me give you an example:

Sometimes, I will write a complimentary entry about DreamHost in my weblog. I often do this when DreamHost has enhanced its service in some way, so I like to promote it. Naturally, I link to DreamHost with my referral ID. If one of readers clicks through to DreamHost and then eventually signs up for the service, I get a reward for my efforts. Sometimes, however, the potential customer will spend a bit of time lurking or participating in this forum. I believe that to be a Good Thing, because I think that it is important to do a bit of research before committing oneself to spending money. Unfortunately, the proliferation of promo codes in the forum has meant that nine times out of ten I am losing my referral revenue. This hardly seems fair.

I think referral IDs and promo codes should be restricted to non-DreamHost sites only. I imagine such a policy would be difficult to enforce, but it would be much fairer than the current system.

Simon Jessey
Keystone Websites | si-blog


I agree with scjessey on the subject. Though I also cite the massive drop in service reliability as one reasons I haven’t signed as many referrals in the past year.

On the original topic, there are A LOT of contradictions coming from DH. There are a lot of things they’ve dropped without renegotiating with the customer.

Some things go away without even a mention of it. Razor for example. It stopped working for a bit, so I contacted DH to find out what was up and they said it had been removed from the system. As others have noticed, VPN access was yanked. SMB was removed some time ago, though there was a notice about that. I don’t see mention of the 24hr support response time guarantee anymore, nor any sort of uptime guarantee. The lowering of the emailing limits…

And when they pull this stuff, there’s often still pages on the site which reference this.