Dr. Z -
No offense, but that is a really bad pricing scheme....
...you seem to be (imagining) bouncing between price extremes of too low and too high, when the simplest and best approach is to introduce a new vid at a reasonable price (figuring on .50 - 1.00 max per minute of video time)...this should get you the most sales over time...then, as the sales curve decreases, you can (after waiting a bit) reduce the price for those who thought it was a bit too much the first time, or newbies)...if you follow with new material (having established at least one good video, reasonably popular, say at 20 - 40 DLs [minimum] per month for the first 2 - 3 months), this new one can be either introduced at the same pricing rate, or, slightly more (if the first video was really popular)...then decrease the price every other month after the sales curve peaks...
but I would never offer a video for less than 2.00, and i would say never less than 3.00...credit car fee, web host fee (figured in), and any percentage split...and what you're left with is pennies (and not enough to produce another video, if that''s how you finance them).
this approach (assuming that one is interested in making more than one video) is probably the best way to go about selling a (decent ) video and will likely maximize your return....other producers may vary.
NOTE: If you were simply mocking new producers' pricing schemes, then please disregard the above.
carry on
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