Quote:
Originally Posted by Paul Markham
And here in a nutshell is the real problem. So glad you see it Alex.
We are selling a product for $30 to meet a need others can give away for free. OK assume they buy the content, please assume it for a minute, the price would be 25 to 50 cents a scene. We need the surfer to pay $30 to keep Alex in business, while others supply the product at a price the buyer needs and cuts the ground from underneath us. Is this the loyalty you need Alex?
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Paul, one of the weird things about any business that is dependant on advertising to make it's business model go is that advertising costs money. The cost of a magazine ad, an advert in the local paper, on TV, or on radio is a key component for any business that depends on getting the word out and getting people to their doors in that manner. From hollywood movies to the local bar with a good band playing this weekend, everyone pays money to promote their product.
Smart business people make sure that their business model includes enough money to pay for advertising. If they don't nobody will know they exist, and all the great prices and great entertainment would fail. They know there are hundreds or thousands of similar choices out there, and they can get ahead with widespread public exposure.
Porn on the internet is exactly the same thing. Without marketing, most people don't know where to find what they are looking for. The spread of tube and torrent sites is because of word of mouth advertising, and now for the torrents some pretty amazing SERPs in Google which is sucking off a ton of traffic from normal sites.
Cut the price of porn down to $1 per viewing, and you won't have the budget to get enough people in the front door to make it worth doing. Just go have a look at Google ad words and figure out how much porn keywords are worth. Then figure your conversions and let me know how profitable your business would be.
I don't care if I am paid $25 a sale for 100 sales or $10 for 250 sales from a given sponsor, because as long as it requires the same amount of traffic to do it. Cut my payout per sale in half but make conversions twice as good, and I don't care. It is a bottom line business.
If the programs can't pay, then perhaps all my sites will become havens for pay per click stuff...
