If stock market crashes, will it effect an Adult industry?

[Shanon]

If stock market crashes, will it effect an Adult industry?

[cheekycherry]

Yes, it will affect all industries...

The shitty dollar is already affecting me!

I live in the UK so I save up a few checks (cheques) before I cash them because they charge you to cash the cheques, so you save a bit of money by doing them all at once rather than every time you get one (plus, I try to wait till the dollar is worth more).

I had $4,000 worth in cheques sat in my room and when I received it, it was worth about £2760...

When I cashed them they came in at just £2600...

I lost about $300 by just waiting a couple of weeks!!!

God bless America!!! Get that dollar worth something again - Start buying some shares, be confident in your businesses!

[EscortBiz]

it already crashed

[Mr.Fiction]

Yes. Assuming that the market crash is a result of the a lot of companies being fucked, we will see more newbies trying to get into the biz as they continue to lose their jobs. Those people losing their jobs (and their life savings or retirement money in the market) will have less disposable income to spend on porn. More competition and less money coming into the industry. That's not good. If you are smart, though, you should be able to weather it. In fact, there are always opportunities for smart people to build their businesses during hard times.

[EscortBiz]

cheeky open an american bank account

[cheekycherry]

I'm not sure how an American bank account works over here...

I already have third party processors that are American but they snail mail the cheques over here to the UK then I pay them in to my bank. How would I pay them into an American bank account? Or would it have to be wired?

[eroswebmaster]

Well in most cases the entertainment business sectors have been able to weather these financial storms.

You need to remember people need something to turn to during the rough times...and the simple fact is most of our customers probably suffer from some sort of compulsion which will be triggered by stressors.

I think the porn business for those who have a customer oriented business model will fare better than those who slap a cookie cutter tour on 80 different domains and shoot the poor suckers to the same back end.

I'm not going to name any parties but I will look in their direction and whistle.....

Now where the fuck did Marc De go?

[Squishy]

Originally posted by cheekycherry
I'm not sure how an American bank account works over here...

I already have third party processors that are American but they snail mail the cheques over here to the UK then I pay them in to my bank. How would I pay them into an American bank account? Or would it have to be wired?

Direct deposit, then use a debit card...just a guess, but it would probably work.

[Tipsy]

If you can find a US bank that'll let you have one you can simply mail the cheques to the bank or for bigger cheques use wire. I mail mine usually as I'm too tight to pay wire charges that most charge.

Weak dollar is a pain in the ass isn't it? I was just that little bit wealthier at 1.4 or lower to the pound.

As for the stockmarket - it will affect the industry but in such a small way that it matters little. Newbies coming in will soon go away again in most cases, and besides will be such a small % of the people doing this it will matter little. Cash in peoples pockets will change little for the most part.

[Mr.Fiction]

Originally posted by Tipsy
Cash in peoples pockets will change little for the most part.

If unemployment continues to go up, then how will people not have less money in pocket? Usually you need a job to help put that money in that pocket.

[The Other Steve]

Cheeky

Have a look at

www.thebancorp.com

My partner and I are looking at setting up with them and another guy down here who's opinion on banking I respect set up with them today.

They offer a free debit card so that you can withdraw your money at any atm in most countries.

[tradermcduck]

Tipsy,

sorry I respect every opinion but what you say is just total bullshit. The stockmarket crash affects EVERY industry. The adult internet scene will be effected, too...

[cheekycherry]

Thanks to all the guyz (and girlz?) who suggested the US bank account thing, I'll look into it... Mind you, paying cheques into the bank in town is pretty much one of the few occasions I get to go outside nowadays (apart from to the gym and my ho)... I'll miss the real world even more...

Why did I quit University for this shit?

Oh yeah, for the fact I now have more money than my mum and dad have ever had in their lives and at only 22 years of God damn age! Yeeehaaaaa! God Bless America... erm... and England.

[funkmaster]

"it already crashed"

... I kinda doubt that, the worst is yet to come. maybe it´s time to rethink the whole system. thank god, the funkmaster sold out middle of jan this year ... my condolences to all that haven´t ...

[Tipsy]

Originally posted by Mr.Fiction


If unemployment continues to go up, then how will people not have less money in pocket? Usually you need a job to help put that money in that pocket.

And how big a % of people who spend on line will suddenly become unemployed? For fucks sake get realistic. Yes it may give you a few % at most less sales, but that will have little impact on most people incomes who sell porn. You're acting as if the whole country will be out of work. Wake up and actually think about it.

[Tipsy]

Originally posted by tradermcduck
Tipsy,

sorry I respect every opinion but what you say is just total bullshit. The stockmarket crash affects EVERY industry. The adult internet scene will be effected, too...

Another fucking idiot who understands little about economics and even less about peoples needs. I never said it will have no impact I said it will only have a small impact. If a few % less sales a month will put you on the poverty line then you're in the wrong game. Go flip burgers or something where a regular cheque will let you eat.

[tradermcduck]

tipsy,

why are so rude???

I don't think the effect will be just some % - if the stock market goes up again I agree with you. But from my point of view the Dow will be at about 5000 for quite a long time. However I could be totally wrong concerning the stock market...

By the way I am getting my Master in economics this year :-)

[eru]

Sales have been a lot weaker than normal this last week for myself..........

[Tipsy]

Originally posted by tradermcduck
tipsy,

why are so rude???

I don't think the effect will be just some % - if the stock market goes up again I agree with you. But from my point of view the Dow will be at about 5000 for quite a long time. However I could be totally wrong concerning the stock market...

By the way I am getting my Master in economics this year :-)

You're gonna fail the masters if you can't grasp the basics. And you can bet I'll be rude to an ignorant asshole when he tells me I'm talking bullshit. The dow may be at 5000 or less but that has little to do with adult sales. The fact that you're only just getting the masters means you haven't been around long enough to experience and understand the real impact of stockmarket collapses and downturns in the economy especially in this business. It's very clear that you've put little time into studying the real impact in various market sectors of stockmarket crashes.

I've been fortunate/unfortunate enough to have been in business for the past 15+ years in various sectors incuding non-internet adult and have lived through this crap before. I'll say it again - it will make a difference but only a small one to this particualr industry. There are many things that have a far bigger influence than people losing a few bucks on shares and the odd company going under.

[Tipsy]

Originally posted by eru
Sales have been a lot weaker than normal this last week for myself..........

Which of course has nothing to do with schools breaking up and a large chunk of the world being on holiday.

[lawpal]

despite the fact that a down market results in less disposable cash, I tend to think that depressed people make good porn customers because they want some sort of distraction from the misery of their lives.... and I am sure we will be glad to provide it

[Wizzo]

"If"????

[cyberpunk]

Originally posted by Shanon
If stock market crashes, will it effect an Adult industry?

\


If,

It has been the last 18 mts

[<IMX>]

I agree with you on several points Tipsy, we know there will be some net economic affect, but it is unclear about the online entertainment sector and how it will directly affected... Congrats Tradermcduck on your MA in econ work.

>>>>>>>>
The primary reason the market is going through a process of devaluation is tons of younger analysists and economists were caught up in irrational exhuberance... People simply do not want to listen to negative and positive evaluation based on LONG TERM investment strategy. The market price is the net present value of a companies future prospects, not how people ?feel? about how the stock price will go up or down next week, or even a year.

With that in mind, please analysize the current situation market. Now is precisely the time to evaluate and invest LONG term market investments. Sell real estate to the lemmings, and invest in fundamentally sound publicly traded companies.

For instance, you have Warren Buffet placing money into Level 3. That is Mr. Long Term investing in a telecom. Telecom is not going away like most gadet web sites or gadet technology. Psychologically, people are depressing the fundamentally sound telecom companies far more than necessary.
>>>>>>>>>>>>

Ok...when it comes to our industry...
I'm not sure the NET effect on spending on online entertainment will be negative...

Consider this
1.) Gambling particpation INCREASES in economic slumps.
Several studies on this. I wish I could site them, but hopefully the common sense argument is sufficient==> In precieved poor economic times, more people need "dreams."

To quote Sam Rothstein in casino (played by deniro) "[the gambling industry] is like selling dreams for cash."

If you must find some study do a search on google.

2. Consumers are still spending money
Wal-mart, Kohl's and Target all exceeded June's expectations
(NY times 7-21-02)

3. What type of ?good? is porn?
For example, it has been a long time since I have picked up an econ book, but here is the basics. There are types of goods ?inferior? and ?regular." All of them have different demand curves, that is income rises and falls people buy more or less of these goods.

Inferior good is exactly as it sounds. As income rises consumption increases to a point and then bends backward and Decreases. Regular has a demand curve depending on how necessary it is.

An example is food. You eat bologna when you are poor, you eat it, you get more money you eat more, but you get a certain point you are going to eat something tastier like pizza (regular good) and stop eating the inferior good, then you get rich and you eat pate.

I'm not sure what kind of "good" porn is.
Consider the "summer slump" itself... Is it because people have other things to do perhaps? What entertainment activity do to they substitute for consumption of porn?

Interesting evidence to use on our model for lowered income...

What effect will lowered income have on entertainment options? If they decrease spending on vacations and precieved luxury goods, etc... where will that entertainment money/discretionary income go?
Will consumers be forced to work more and consume less luxuries?

No more big vactions?
Videos, small vacations and perhaps porn?

I look at porn as sort of an inferior good.

You look at porn when you have NOTHING else to do. After all, why would you choose to look at porn if you could go fuck some hottie or even go out on a date?

Given the choice would you masterbate or get some ass?

anyway...sorry for the long post