Quote:
Originally Posted by Paul Markham
Today you are right. The Internet gives us greater access to customers.
I had access to a market of 55 million. Online I have access to billions. OK, most are in the Third world, but the population of Europe and America is around a billion.
He is right about no porn site can afford his traffic. Because at $10 a 1,000 and it required 3,000 to make a sale they are left with little profit. 3,000 converting a 1-200 is something they can afford. He's right at the prices most traffic is sold the products are a hard sell. Porn never was it 3,000 used to convert 60 at $30 + rebills.
There is nothing left but crumbs in porn.
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where do you get this number from ???
do you know the livetimevalue of a cam user ?
do you know the lifetime value of an enhancemand buyer?
do you know the lifetime value of a gambler ?
do you know the lifetime value of a dating user?
do you know the lifetime value of someone who buys vitamin pills on a regular base?
IF you would know it and IF you would know the average livetimevalue of a user of a memebershiip site you would know how wrong you are.
i have advertisers the are abbe to spend per new paying customer 400 or 500 dollars for the advertising. how much can a porn site spend ? 40 ? 50 ? 60 ?
and yes there are sometimes products who are converting 1:1000 but there are also products converting 1:10.
why should i focus on anything? if tomorrow users want to buy bicycles i will let them do.
and when an advertisers know how to do he can and if not HE will lose money (what is not in my interest and this is why I send already a lot of them to spend their money on a good dinner).
the calculation here must be ok for each one involved - no matter if it is the publisher, the advertisers and me also - and this can only work with success and professionalism is the key to success.
why you want to count my business what i do every day with growing success?
why you want to tell me that this biz is dead when i see in my own numbers and clickprices that we are growing every year 100-200% ?
why donīt you see HOW MANY NEW companies are around and making money with customers on porn sites? HUGE companies what do not care to sell porn or mainstream on porn.
why donīt you ASK this people with what they make the most revenue even when they look like a mainstream company I saw a huge number of them here in the board.
alone in the last 5 years there where THOUSANDS of new CPA networks growing til the moon. with who do you think they work mainly? they work with mediabuyers !!!!
and from where do you think those mediabuyers (who have a plan how to sell products but not a plan how to generate traffic) get their traffic from?
you do not have the smallest clue from what numbers we are talking here because they are FAR over the number you know from your best times
I give you some maths - maybe you are able to get to a result:
between 1995 and 2000 the number of internet users increased from 16 million to 361 million - this is a growth of ~ 2500%
in that time internet was expensive - what leads to the fact that only people with a good income could afford it.
between 2000 and 2005 the number was rising to around 900 million internetusers what was caused by the decrease of costs. so here we have now a growth of 249% but the users what came additional have been poorer.
between 2005 and 2010 the number rised again because internet went cheaper and the number of internetusers went to 1,9 billion - a growth of +~ 110%
between 2010 and 2015 this number increased to 3,2 Billion (with again cheaper prices fror internet and also a huge number of mobile users in the third world) the increase was
68%
in the last years between 20015 and 2017 the number reached 4,15 Billion users what is
an increase of 29%
so what you see here is that the percentual grow of the market went less and less with the time. addiltinally the new users came because the internet was cheap enough that they can afford it.
in the same time the number of people who want to make money in internet increased each year around 50% (and donīt tell me now that you just se people going - because you do not even assume how many people in asia and the third world a competing on the same level in the same market and live from that)
so lets assume that in 1995 we had a number of maybe 2000 people who took care about the money of 16 million rich - we have now worldwide 5 million internet marketers who are sharing the budgets from 4,15 billion users were the majority is poor.
with other words - in 1995 there have been for each internet marketer 8000 RICH users
and now there are 830 poors for each competing marketer.
and now you will tell me that each marketer should try to sell his 830 poor users a product what the most of them can not afford to buy.
do the maths paul before you open your mouth and talk pure amateur bullshit.
you showed me already in your worldeconomy speeches here that you got your skills in a beer pub.