garion hall adult_industry_lift_feb_2013_v1.2

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2013: Themes in the adult industry Garion Hall, abbywinters.com CEO

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2013: Themes in the adult industry

Garion Hall, abbywinters.com CEO

abbywinters.com

• Typical office (sorry!)• Product Owner in Agile Scrum team• Wholesome and natural approach• Focus on social responsibility• Staff and models• Customers, industry, society

• Enormously profitable 2004 – 2009.

Platform Content

Traffic Billing

Adult industry

Definition: Platform

• Case study, traditional pay-site• Packaging• Subscription-based• SKU-based.

Platform Content

Traffic Billing

Adult

Definition: Traffic

• Traffic is eyeballs• Basic SEO matters• Own the traffic, make the money• Build networks of pay sites• Social networks are ineffective.

Platform Content

Traffic Billing

Adult

Definition: Content

• Traditional content still sells• “User generated content” concept• Conversions are the key measure• Conversion matters, but retention is key• Strong reliance on Affiliates – up to 70% of sales, 50% cut• Mini case study: life-selector.com• Traffic becomes the real content (conversion, not retention).

Platform Content

Traffic Billing

Adult

Definition: Billing

• Credit-card is still king• Who here does not have a credit card?

• “alternate payment methods”: EU, BRIC• Jury out: increase the pie, or just adding more slices?

• Mobile network billing• Micropayments is the killer-app.

Platform Content

Traffic Billing

Adult

Bringing it together: Three case studies• Cams and dating• “Tube Sites”• Mobile

Platform Content

Traffic Billing

Adult

Cams• Women with webcams• Customers pay-per-minute• More for 1:1, less for spying, free for group chat

Dating

• Women paid to participate and flirt (or, free access)• Some are “bots”; some real women• Extremely nichified (eg, disabled, Hindi, Jewish, etc) • Pay to join, and make contact attempts• Main focus of users is sex.

Case study: Cams and dating

Platform• Heavy web dev investment• 100’s of devs• White-labelled

Content• User generated!

Traffic• Extensive buying

Billing• Primarily credit card• Attractive usage patterns• Retention increases if more women on site.

Cams and dating

Case study: “tube” sites

• Emulate YouTube design pattern• Initially accepted stolen content• Now, Affiliates for pay sites (50%) submit

Platform• One company bought up majors• Using mish-mash of platforms

Content• “User” generated• Free to visitors

Traffic• Word-of-mouth• Compelling value proposition

Billing• Ad revenue• Sticky audience• Free to consumers

Tube sites

Platform• Websites for smart phones• (Not tablets)• Limited adult apps allowed

Content• Bland• Low quality• 3rd party

Traffic• Bought from sites’ type-ins on

mobile devices• Redirected

Billing• Mobile provider• Up to 70% goes to carrier

Mobile

Applying these concepts elsewhere

• Not unique to adult industry• Business models are driven hard and fast• Quickly discarded if unsuccessful• Low quality code, lack of completeness

• “Marketplace model” rising in popularity: airbnb.com.

The future?

• More personal interactions• Less-piratable content• Less fragmentation• Boutique sites will flourish• Micropayments.

The future?

• Increase in free content• Reduction in creative quality• Increase in technical quality• Less money for performers and producers.

Thanks!

• Preso and links available on slideshare.com• [email protected]