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Banner based ads for adult content access sites can convert very well, assuming that the traffic supplier can target campaigns using various criteria through their ad server for maximum potential:
Geo targeting - plenty of people talking about this in the past couple of years. In short, make sure the seller can filter traffic away from your banner ad on the basis of country. Example - if you run a pay site and make most of your sales on US, Canadian, Australian and UK users, you are better off paying more per click or CPM for the extra targeting than paying for traffic that may not be able to convert to sales due to billing and language issues.
The other big banner targeting item - keywords! Many webmasters and companies buy PayPerClick text ad traffic and like the conversions. There is a steady flow of surfers who, if getting to an adult search results page that has banners which are targeted as the text ads are, will respond very well.
Donovan - hope you are doing well. Been a while since we have seen ya. On the conversion ratios question, we have seen legit 1:1 and 1:2 conversions before (not very often) in multiple niches for different pay site advertisers and on more than one adult portal.
Overall, when you buy a banner spot in the present from any source, make sure that the seller can target your ads by at least these two factors. You will pay more per ad unit, but reduce your risk substantially! Better ad targeting will also mean better business for the sellers.
Cheers and Happy New Year!
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