So this is how I reached my figures.
Members Could be 10,000 or 1,000
Members Rev Staying 1 month or 10 months. I was based on a number of members generating this revenue with joins and retains.
Traffic Cost 50% 33% paid out to affiliates and 17% in support. A small Ma & Pa or 1/2 man band operation running from home. It's a bit less. Rent an office, take on staff, start adding lots of galleries, tools, hosting, going to shows, banners on GFY, if gets tight.
Billing 10% Yes with a merchant account could be less, cascading to CCBILL, Epoch or Verotel could be more.
Admin The day to day costs of running a site. Again 1/2 man band a bit less. Employ a support rep and it's woefully inadequate.
Set upDesign, CMS and just getting the site online.
Product $500 for solo girl (A scene with just one girl in) Or BG $2,000
Cost The total costs of
Traffic, Billing, Admin, Set up and product
Profit What's left.
Content Sale Selling the content outside the small world of online.I underestimated this.
Total Profit The total profit. However with a members area full of better content I think everyone would expect the retention/conversion figures to improve.
Now some sites did more and some did less. As I said you have to look at each case individually. Undeniably, if a site had found a good shooter, employed him to look after the content side of the business, the cost of content for the site would decrease a lot. Most instances it would be a profit side of the business with sales to DVD, cable and magazines.
So why not?
To limited in business acumen or couldn't afford to?
Shap says in the last 5 years hes given some of them work. I doubt if hes kept many afloat. Probably the top shooters have lowered their product to fit his prices. Looking at what's in the gallery Jimmy put up of Twistys and the tour of Holly's. It's obvious of the difference in class.
He has refused to answer the question, unless I missed. Does he think he could of done a lot better with a full time shooter of Holly's level in 2000 to 2008?