When will it be lights out for the paysite model?

Hell Puppy · 12-15-2010

The economy designed around $30-40+ auto recurring memberships is definitely on life support at this point, but it's not necessarily the idea of a "membership site" that is the disease.

First problem is the affiliate model is broken due to what are now inviable pay out models. I daresay it's impossible to run a $40 PPS program selling $30-40 membership rates without either shaving or stuffing the hell out of any valid credit card number you get your hands on.

Second problem is exactly that...hidden cross sells and other shenanigans with cards have created a major trust issue with the customers. Many get bitten once, have to get a new credit card number, and are lost to the industry for future buys forever. Frankly, the adult industry is lucky to still be able to process a credit card at all, especially via iPSP.

Third problem is the price points. At $30-40 per month, you're asking more than what basic cable costs. You're asking for over twice what HBO gets. And you're coming in at 5 times the lowest Netflix tier. Sure, adult content carries a premium price even on things like spanktrovision, but in this economy this is a consideration price point where we should be going for an impulse price point.

And lastly, we're increasingly becoming very accustomed to on demand and ala carte delivery of our entertainment. Adult used to innovate, but it's sucking hind tit these days.

12-15-2010	#5
Hell Puppy Fat Fucking Nobody Want to see your own Advertising Here! Join Date: Oct 2002 Posts: 6,523	Re: When will it be lights out for the paysite model? The economy designed around $30-40+ auto recurring memberships is definitely on life support at this point, but it's not necessarily the idea of a "membership site" that is the disease. First problem is the affiliate model is broken due to what are now inviable pay out models. I daresay it's impossible to run a $40 PPS program selling $30-40 membership rates without either shaving or stuffing the hell out of any valid credit card number you get your hands on. Second problem is exactly that...hidden cross sells and other shenanigans with cards have created a major trust issue with the customers. Many get bitten once, have to get a new credit card number, and are lost to the industry for future buys forever. Frankly, the adult industry is lucky to still be able to process a credit card at all, especially via iPSP. Third problem is the price points. At $30-40 per month, you're asking more than what basic cable costs. You're asking for over twice what HBO gets. And you're coming in at 5 times the lowest Netflix tier. Sure, adult content carries a premium price even on things like spanktrovision, but in this economy this is a consideration price point where we should be going for an impulse price point. And lastly, we're increasingly becoming very accustomed to on demand and ala carte delivery of our entertainment. Adult used to innovate, but it's sucking hind tit these days.