View Single Post
Old 10-30-2008, 02:53 PM  
SomeCreep
:glugglug
 
SomeCreep's Avatar
 
Join Date: Mar 2003
Location: Where the Wild Things Are
Posts: 26,118
A Rare Business Thread (Tube Sites)!

Online porn has always been a business of "who can give away the most free porn and still make a profit." Surfers always flock to sites that give away the most easily accessible, high quality free porn.

In the beginning, webmasters gave away a few pictures on pages with loads of banners (pic posts) and made profit. Profit margins were huge.

Then TGPs came along and destroyed pic posts. TGPs consumed more bandwidth, hence profit margins were squeezed slightly, but were still huge.

Then MGPs came along and started offering the surfer even more free porn in the form of videos. Again, margins were squeezed, but profits were still good.

The adult industry has now taken a monumental leap forward with giving away free porn. I guess someone out there had an idea to build a site which gives away so much free porn, it could never possibly be out done. Hence, your first porn tube site was born. Profit margins are now as thin as they've ever been, but at least there is still profit being made, which is why tube sites continue to proliferate.

Tube sites are still relatively new, so most webmasters do not yet understand what kind of long term effect tube sites will have on our industry. Basically, the net amount of joins in our industry will decrease year over year. That means everyone's ratios will worsen, to what climactic effect, no one knows.

Personally, I think paysite owners will still continue to do well, even in the long run because their profit margins are so huge. Individual webmasters however are a different story. I think the number of new webmasters in our industry will either stagnate or decline as time progresses. Mainly, because the barrier to entry is the highest it's ever been and margins continue to get squeezed.

Some proponents of tube sites state that webmasters should evolve with the times and use tube sites to their advantage. That's fine in the short term. However, unlike pic posts, TGPs, and MGPs, tube sites pose a serious long term threat to our industry. The biggest tube sites out there, which get millions of visitors per day, are not only free, they're better than most paysites.

In conclusion, I believe our industry is experiencing a long downward spiral, which will accelerate with the proliferation of tube sites.

What does everyone else think? Agree? Disagree?
__________________

Webair Hosting

I use and recommend Webair for hosting.
SomeCreep is offline   Share thread on Digg Share thread on Twitter Share thread on Reddit Share thread on Facebook Reply With Quote