Quote:
Originally Posted by mikesouth
(Post 20020876)
Manwin/MindGeek IS struggling financially, almost all of those businesses they bought up are in the red.
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I tend not to take Mike South's posts as a reliable source, but it is many who agree the adult prerecorded content pay sites lost conversion ratio after 2005, 2008, 2010 and supposedly in the past 3 years too.
Specific reasons of decline are told by many to be, except obvious financial crisis which hits every business not just this: 1) piracy (dvd and HD rips, mainly torrents and filelockers) and 2) tubes (low quality, but enough for most of the people who just fap 5-10 mins).
If it is correct to say that tubes do cannibalize the (prerecorded content) pay sites, then I do not understand why a leading tube company as Mansef->Manwin should have invested money into buying the main (prerecorded content) pay sites. In fact other tube companies (xhamster, xvideos, ...) did not spent money in purchasing (prerecorded content) pay sites, that I know of - more probable they re-invested in real estate or bitcoin, all except pay sites.
A tube buying pay sites (if really tubes cannibalize pay sites as most people imply), it is like if the first digital audio/photo/video makers ( = tubes, the future) invested into purchasing the dieing (cannibalized) analogic kodak film, slide projectors and magnetic cassette makers ( = pay site) to continue produce the old stuff no matter what. If a flat LCD monitor maker purchased a dieing CRT monitor company to keep it up producing CRT monitors. An USB flash drive maker purchasing a floppy disk maker and so on. If an online digital media company purchased a printed (paper!) magazine, such as... Playboy.
If Mansef->Manwin had to invest money to buy something "because had to spend investor/advertising cash flow money anyway", it made more sense to buy in a growing or at least stable sales market, for example, cam sites: streamate, myfreecams, imlive, nothing smaller than that - and only that, no any twistys, digital playground etc., and even sell out brazzers ASAP, divesting completely from pay sites, leaving only tubes + ad network + cams, nothing else. Was it South who said Manwin wanted to buy Streamate? Perhaps could do it if had not purchased anything else first, I assume you can't buy both big cam and big pay sites (funds limit), choice was made it was pay sites, now what?
PS: Was it the christian teachers pension fund who invested in Manwin via new york banks?