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Old 11-20-2010, 05:48 AM  
stocktrader23
Let's do some business.
 
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Originally Posted by Nathan View Post
This will happen much sooner than in 5 years ;)

The main problem I see in your idea though is paying 50% to affiliates.

If this is actually done network style, then there are 3 people that need to make money: 1) the network, 2) the content owner, 3) the affiliate. And micropayments are expensive. At a $1 sale, even a good deal would cost you around 20 cents, that leaves just 30% for network and content owner once affiliate is paid. Not really interesting for either even if the network just takes 5%, which for the technology and such involved is very very little, likely a profit margin of only 2%.

There needs to be a fairer split or a pps solution in my opinion. 50% after costs MIGHT be ok...
It might fly at 40%. Hell, affiliates might not have a choice. However, the $1 sales should not be every single video but I wouldn't go over $2 in general.

Also, I said the gateway needs to be one company. There is no reason that the gateway couldn't be CCBill who would already have their profit built into the overall processing. It would be better if someone else stepped up but they could definitely handle it.

Also, for those producing content that is actually good they will get monthly joins from the upsells. I don't think $30 per month joins are the future for most programs but something around $10 is OK on a site that updates and has good content.

Just picture one of those hot ass solo girls that has shot enough content to start a site but not enough to justify a monthly $30. Even if she disappears the site could go online as a pure micropayment offering where surfers pay per video only.

Producers could fill up their days shooting scenes for themselves after all custom shoots are wrapped up and let the gateway site be the only ones to offer that content.

It could go a million ways but the point is to get the sale price down to a level that people don't even think about. $0 on a tube, $1 on the site I'm sitting on right NOW? Same fucking difference to me and millions of other people. I'm ready to jerk off to this sexy ass girl and would rather spend a buck than go check the tubes to see if she's there.

The details would iron themselves out but a system like this would increase porn purchases OVERALL. More money, more customers, less headaches.
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