A better comparison would be something like online music services (Rhapsody, Yahoo Music, etc) which I believe charge about $14.95/mo for unlimited DRM downloads. Other good comparisons would be movie streaming services like Vongo (9.95) or unlimited licensed game downloads like GameTap (14.95). To be honest, I've seen very few pay-sites that can beat those values. Porn cost much less to produce as well. In fact, content should result in less than 20% of a pay-sites overhead.
One can argue both sides... but ultimately our industry has to be realistic on where it stands in value. Higher prices worked well in the past when users had little resources to help find quality sites at bargain prices (Videobox.com, 9.95). In the next few years, such resources (review sites, etc) in our industry will drive prices down (not up) as users get more informed and sites need to slash prices to compete.
In the end, it should result in better sites (at better values) and users signing up to more sites per month. TGP's will most likely suffer as they deal with lower and lower conversions, but that's not necessarily a bad thing since less free porn should increase the quantity of signups.
Just my 2 cents!
