last quarter, YTB was losing a net of 149 RTAs per day which showed some improvement over their full year attrition of 178 RTAs per day.
It seems that the 3rd quarter is continuing the trend of losing less RTAs per day than the previous quarter, but the attrition is still very alarming.
At the end of the 3rd quarter, YTB has only 52,000 RTAs. This represents a net loss of 95 RTAs per day. Moreover, any decline has a direct impact on the income since most of the income is derived from the RTAs paying their monthly fees.
To illustrate, at their peak of 138,000, at $49.95 per month, this scheme was generating $6.8 million dollars per month. Now at 52,000 that income has been reduced to $2.5 million dollars per month.
Of course the latest push has been to Shop YTB and not travel. YTB is making a decided push to other retail outlets to make up the money that they are not earning selling the travel websites.
It is only a matter of time until travel will leave the portfolio entirely. This will get the travel professionals off their backs, it will get the attorneys general off their backs, and quite possibly may give YTB as a corporation a chance at survival.
I have said many times that MLM and travel do not mix and one of the main reasons is the narrow margins in travel. You can only split a penny so many ways.
More info on the upcoming 10Q as it becomes available.