Yes, the lesbian niche is saturated, and has been for quite some time, along with the babe niche, the general hardcore niche, and to a somewhat lesser extent the teen niche.
There is a fair amount of traffic for those niches, but getting sales there is an advanced art. Many, many people have thrown money away trying to learn how to convert that traffic.
I don't touch it. It's so much easier to pull sales in other niches, I figure why bang my head against the wall.
I do make steady sales on lesbian domains to search engine traffic.
There's only so much you can learn by getting your galleries reviewed in public like this, eventually you have to start submitting and counting your own numbers, and see first-hand what is working and what isn't.
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