What Makes A Paysite Go Choke?

[MeatPounder]

Originally Posted by Emperor

A great way to choke is to have your affiliate site so fucked up that people can't join the program.

Here is an example:

http://www.realbigcash.com/

Now that is funny

[Righteous]

I think a lot of folks don't apply good business principles to it, which would have been fine 5 years ago. As the industry matures and becomes more competitive with shrinking ROI the gold-rushers will find it more and more difficult to make money.

Originally Posted by Righteous

I think a lot of folks don't apply good business principles to it, which would have been fine 5 years ago. As the industry matures and becomes more competitive with shrinking ROI the gold-rushers will find it more and more difficult to make money.

I think this is very true. As this part of the porn industry evolves the other parts of the business are taking it seriously.

Playboy just bought Lensman and his company and knowledge for $12m, sounds a lot but think of it. The traffic knowledge and facility he has now teamed with Playboys porn knowledge.

More of the established porn companies will be coming in the future and some will find this market tough.

[DJilla]

Originally Posted by Paul Markham2

Playboy just bought Lensman and his company and knowledge for $12m, sounds a lot but think of it. The traffic knowledge and facility he has now teamed with Playboys porn knowledge.

I thought that this was an exceedingly brillant move on the part of PB which has finally broken the tradition of a lot of dumb, slow, miss the boat, kind of moves for decades. For as big as they are, they should've been ten times bigger. Wonder if this is a trend?

[ronnie]

Originally Posted by DJilla

I thought that this was an exceedingly brillant move on the part of PB which has finally broken the tradition of a lot of dumb, slow, miss the boat, kind of moves for decades. For as big as they are, they should've been ten times bigger. Wonder if this is a trend?

Thats big Business for you, move slow. Look at the recording industry.

ronnie

[NastyBoy]

Originally Posted by LB

Contary to popular belief, running a program is actually quite expensive. In fact its not very hard to run up $5-10k monthly expenses trying to grow a program, and many people try to start one with spare change in their back pocket and end up going broke because they either lack the product, traffic or know-how

Great Point! I only wish our monthly expenses were 5-10k..right now we are averaging around 55k obviously not including affiliate payouts |shocking|

[GonZo]

Originally Posted by Paul Markham2

I think this is very true. As this part of the porn industry evolves the other parts of the business are taking it seriously.

Playboy just bought Lensman and his company and knowledge for $12m, sounds a lot but think of it. The traffic knowledge and facility he has now teamed with Playboys porn knowledge.

More of the established porn companies will be coming in the future and some will find this market tough.

This response is amusing on so many levels.

[xxxjay]

There is a lot of truth to that. One of the fundamental problems these days is that back a few years ago webmasters were mostly building galleries, opening linklists, or starting tgps. Now NATS has come along, and every webmaster that can afford $600 a month is starting their own program. I have personally told Albright that he should make NATS cost “a bazzilion dollars” so there wouldn’t be some lame program popping up every five seconds.

I would have never, I repeat never, would have gotten into the program business if it hadn’t been for the exclusive deal OCCash has with Evasive Angles. That is our competitive edge. The profit margins are MUCH higher when you are sending traffic to a program than trying to become one (I know because I am on both side of it). As an individual webmaster, you have your bandwidth costs (maybe an employee) and that’s about it. When you are running a program you have to think about REALLY BIG BANDWIDTH COSTS, a larger staff, advertising, content costs, software, and about a bazillion (there’s that word again) other things -- it takes a lot longer to become profitable, if you can become profitable at all.

You should really think carefully before starting a program. Most will fail – it’s like becoming a rockstar or an actor, just less fun.

[Chop Smith]

Jay do you still read this board? Before jumping on a bandwagon, you might consider searching the board for "NATS". Be sure to read the thread that you started about 10 months ago

[becky]

Originally Posted by Paul Markham2

Another reason is the business is changing. Traffic generation is important, but if the traffic lands on a page that has poorer content than it's competitors it's worth less than it could be.

What's better, generate 10% more traffic, convert 10% more or do both?

Those relying on number 1 will lose out. Those doing 2 will get the affilaites who send traffic slowly but surely. The guys doing both are the ones moving forward.

I couldn't agree more!