Quote:
Originally Posted by Paul Markham
I don't see much of a future for most people in this business. They don't have the ability to adapt and that means extinction. Affiliates are in the main way too expensive for the future and unless they have masses of traffic they can earn a few bucks from they're not going to be able to support themselves with the payment plans left.
Commission on micropayments that convert at 1-1,000 or worse will simply not be a viable option for most. And the only way to get traffic will be to have Tubes like pornhub which won't convert anything like that over all.
Sponsors will also start to drop out of the game. Big ones will remain by changing their payment plans. Again the money they earn will be reduced.
Surfers will also increasingly learn that the odds of getting laid off a dating site is low to none. Penis pills don't work and web cams will move to a model that doesn't need to support massive affiliate payments. Take that out of the price and the cost per minute plummets.
It's all very well having all the traffic. BUT IF IT'S TRAFFIC THAT WON'T SPEND IT'S COSTING MONEY.
How this will effect Tubes and their ability to pay the hosting costs to serve the traffic with free videos is the unknown element. Will they be able to afford the hosting on paid ads that don't work?
You need people to spend money to support the free content. So who knows what's to come. Not talking 2011, more like 2015.
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Micropayments would work fine with the affiliate model but a couple of things have to happen.
1) They have to be true micropayments. I can watch a $20 DVD for $1 at Redbox, I'm not paying $8 for a clip of two lesbians fucking. Yes, I know you can get $8 for ultra niche shit but a tube can spend a pittance on content and get the same thing, or just steal it.
2) There needs to be ONE main gateway. Not 20, not even 2. This needs to be the gateway to paying for all vendors accepting micropayments on the web. Nobody wants to dump $20 in an account for every site out there so it has to be somewhere they can dump $20 but choose content from every site out there. All content needs to be on the site, well organized (not like most adult sites) and clean. No more black backgrounds and shitty banners everywhere.
Mark my words, the FIRST company to get micropayment billing done correctly will become extraordinarily wealthy.
3) The micropayment gateway needs to handle all affiliates for micropayment options, no signing up to 4000 sponsors to sell $1 videos. This would be like a CPA network in mainstream where once you sign up you can promote any video on the site. If you aren't familiar with CPA networks you need to look them up, it's how the affiliate model should be handled and is by industries that aren't so God damned worried about everyone stealing their affiliates.
4) Surfers need the option of purchasing one video at a time or loading funds. A discount could be given to those depositing blocks of money to their account but you can't make the single videos $5 each and $1 each if you preload $20. The minimum load needs to be reasonable as well, $10 is probably best, $20 would work. Bigger discounts could be given for bigger packages.
5) Affiliates needs to be paid on all referrals for LIFE. If you send someone to a single video and they purchase it for $1 you should also be paid when they come back and deposit $50 to their account. This commission should be 50%, no ifs ands or buts.
There are so many damn options with a system like this that it's ridiculous. You are taking the purchase down to the pure impulse buy level but still providing excellent value for those that come back for more.
Affiliates could promote a single video, whatever collection of videos they choose or the entire damn program.
An API could be made to easily allow affiliates to pull whatever content they want into their websites, blogs, etc.
People all over the world could afford to pay for porn. Mobile billing and other methods used to get money out of the poorer parts of the world would be accepted.
Every video provided by a paysite could be used to upsell that paysite at a REASONABLE monthly fee.
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Of course, affiliates should be paid for those sales as well.
THE QUESTION IS, WHICH SPONSORS WILL BE THE FIRST TO ALLOW THEIR ENTIRE CONTENT LIBRARY TO BE SOLD ONE VIDEO AT A TIME?
This is the future, bookmark it and call me in 5 years.
Peace.
