Lower prices will sure get more customers.

I take that back. After seeing your sites that post was completely understandable and to be expected. My apologies.

You can surf www.porn.com inside and out before joining. They can see the raw amount of content they will be getting.

Fixed. :winkwink:

All good Shap, we've been doing this along time :thumbsup

Great move for them, not so great for everyone else. It was mentioned in a post above but was ignored. They aren't doing this for short term. They are doing this to put their smaller competition out of business which in turn means more available customers for them.

The question you should ask yourself is how are you going to counter a massive competitor when they drop their prices to $10 and you can't afford that and have affiliates? There are multiple solutions to this just good luck picking the right one. And I'd recommend not discussing this on these forums... far too many thieves here. But this is just my $0.02

this is what i believe happened to Adult.com's versions of $9.95 sites.

not sure if they are even still running them though.

micropayments with upsells to reduced-price memberships - it's been discussed and discounted here recently. But it does work.

Another example is get them in on a trial, then track them - if they watch >3 movies, auto-email them with a "one-time" offer, valid for 1 hr only - auto convert to full membership now for $X/mo, where X$ is 50% of the regular price (or 25% or anything).

The perceived "bargain" is a better retainer if your main site continues to advertise $20/mo and they are on say a $10 recurring...

It's all about marketing.

Setting single price points then forgetting all about it is bullshit. Track your members and find out how they interact on your site and market accordingly, one on one if needs be.

I know Brazzers tested 9.95 a lot. They seem to be the type of company that makes very educated and calculated moves. They haven't gone back to the $9.95 price point and definitely haven't done it full time. Which indicates to me that they didn't see it as the right long term decision. I believe high quality exclusive content still can charge a higher price as long as you are truly meeting your customer's needs and requests.

We test a variety of sale points and our affiliates have the flexibility to set their own pricing. The only companies that can and will succeed with the low price points are those with the ability to retain customers, obviously. Testing is the only way to determine what is best because intuition or anything else will be proven insufficient.

Years ago we tested a low price and found that it created a value perception problem. People apparently wanted to pay more since it seemed like better quality if it was at a higher price, which ran counter to our assumptions. However, nowadays is another story of course when it comes to content. I think the consumer wants "safe" content, would prefer something like Netflix over illegally downloading for free, etc... but only at a price that works.

The other consideration in this equation is how to attract affiliates with payouts based on low fee memberships. We overcome this by allowing the affiliate to set the price and type of trial. If they want a PPS style payout up front, they can do that. If they want recurring and a payment percentage based on a higher or lower price to earn an average of (x), (y), or (z) per sign up/recurring transaction then we give them that ability to test what works best for their traffic. Seemed to us the only way to make it work for everyone.

How does that include micro payments? The problem with micro payments is the cost of charging $0.99 to a customer. If you have a customer that buys for $0.99 every day for 30 days vs one that joins for $19.95 the 19.95 guy makes you way more money.

And I don't know about you guys but micro payments imo is $1.99 or less.

Exactly, they tested and found it was not more profitable. The problem isn't the price point, the problem is actually busting out your wallet. The only thing Porn.com can hope to accomplish is tanking (or at least destabilizing) this industry even faster IF they cause all (or a significant amount of) sponsors to have to lower their prices in order to stay competitive.

I shouldn't need to tell anyone here what happens when everyone's margins shrink that much that fast... and everyone else's (who didn't lower prices) sales hit rock bottom.

Porn.com would do better NOT to drop their pricing like this... and especially not do Adult industry Press Releases. If the majority decides to hop on board, we're going to see the end of the adult industry as we know it brought on in a rather violent and abrupt manner.

Where did the hentai content come from? Just curious. :2 cents:

I have done a lot of testing over the years on price points and found the the discount rates work great but not for extended periods. A one week discount point marketed well can create some urgency to purchase and sales just, however in weeks three and over the benefits drop away and the ROI dropped below the level of the more traditional price points.

Same here

As for the flurry of requests, we will fast track the discount pricing for affiliates to promote.

Dave did you see my post about existing members. Did you change their recurring price to the new lower price?

Netflixs has a much greater pool to grab from so cant compare really.

hentai content is on the move :)

we will be releasing a hentai/anime section very soon as well

Sweet :thumbsup Who did you get it from?

So we have to offer up more porn for less? Wonderful.

Props to Pimproll :thumbsup:thumbsup Legit hentai... Nice work guys.

We Supply the Hentai
 

Pimp Roll is our client. We are happy to work with anyone needing Hentai and in addition to our fantastic studio content. We are the only legal source. PimpRoll uses SexEntertain's Direct Feed! Check it out!

Rebills gained? I thought there are going to use 14.95 non-recurring.

know of a few other 'clients' that would love micro payments... maybe you guys can work with ccbill to sort it all out?

No. They have 9.95 recurring and 14.95 non recurring options

Might make sense for more popular niches but microniches can still command higher rates... unless they get ripped by tubes

CCBill is a joke... man I must be making all kinds of friends today :1orglaugh

But seriously... their product offering is absolute crap that looks like it's from 1992 and their reporting doesn't even work in most browsers. Their only attempted update was a complete failure.

The only reason they're still around is because they're just about the ONLY ones around...

Pricing is an art. You have to understand your consumer and be very close to what their perceived value is. Look at what happened to Blockbuster; at one point they were making a killing with their $30/month membership that allowed you to rent 2 movies at a time in their brick and mortar store. Then came along Netflix and then Redbox. We all know the rest.

Piracy is also an issue with pricing for virtual goods. How easy is it to obtain pirate content. Netflix seems to have found his pricing point for streaming content at $7.99, the problem I see with it is that it lacks most latest releases and does not offer the extra features of a DVD like subtitles and bonus content. From what I heard, Netflix is working with large studios to remedy this, and I think their new price point will probably be a couple of dollars more.

Now, with porn; we all know how easy it is to get free porn, so I think that the days of charging $30/$40 for content are coming to an end, except maybe for some very specific hard to find niche. I think that a program who offers quality sites with quality content at the sub $10 mark will do very well. If someone has to spend less than $10 a month, then they will be more likely to pay for it rather than hunt for free porn.

Education is also key. True or somewhat true; a lot of people get their computer infected while looking for pirated content, lately I have seen a lot of people who are seriously considering stopping to look for free stuff. Now the hardcore content pirate will probably not care and will continue, but we are about to see a shift in online habits for the mainstream user when it comes to looking for free stuff. And those who can offer the content at a price that the mainstream guys think is acceptable will be the leader of the new wave...

please explain the extra costs associated with micro payments.

Processing fees per transaction would need to be greatly discounted to make it work.

PPS or Revshare?

Lowering the pricing structure on a domain as Porn.com will be a win-win situation, for sure very attractive for the consumers.

Those "9bucksomething" sites that are on spacash were never heard of again.
Porn.com is competing directly with the tube sites, because they show the same boring generic content. No wonder that they have to lower their price point.

As long as the consumer doesn't feel ripped off, this might be a good move. Most tube fare = blurry shit.

That seems crazy

The cost of processing are not a percentage but rather fixed costs. So if your fixed costs per transaction are let's say $0.45 per transaction. On $20 transactions that's nothing. If every transaction is $0.99 then it's a big difference and a big problem.

To be fair every <$10 site i've ever seen has been absolute crap and not worth paying for. That's why they failed.

Hulu Plus is also $7.99/mo

As a director, I dont think there content is good. Nothing personal. So yea, I'd sell it at 8 bucks or less too. I dont have a problem selling mine at 30.
And thats the bottom line.
DS

P.S. It's a waste of an awesome domain name IMO