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Why are paid porn sites so expensive?
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He said in the article that paid porn sites have been charging the same amount since the late 1990s. Not true. Before those tube sites started poping up in 2006, the cost of subscriptions to porn sites was much lower.
That would be because less folks pay for porn, thus driving up the operating costs because of a lower consumer base.
This is why theft can destroy industries, because it simultaneously devalues a product while driving up the cost to the consumer. If I have to make $10,000 bucks and have a consumer base of 10000 people, everyone only needs to pay $1 buck for me to break even. I could charge $2 and double my investment, and expand. But if 5000 steal the product instead of paying for it, charging $2 bucks is now necessary to break even. When 90% steal, I now have to charge $10 bucks to break even.
I mean, everything is more expensive in general due to inflation (IE: government debasement of currency) but it's worse for porn because of that, even more than other entertainment industries because folks still won't talk about it the way they will other forms of media.
This is why theft can destroy industries, because it simultaneously devalues a product while driving up the cost to the consumer. If I have to make $10,000 bucks and have a consumer base of 10000 people, everyone only needs to pay $1 buck for me to break even. I could charge $2 and double my investment, and expand. But if 5000 steal the product instead of paying for it, charging $2 bucks is now necessary to break even. When 90% steal, I now have to charge $10 bucks to break even.
I mean, everything is more expensive in general due to inflation (IE: government debasement of currency) but it's worse for porn because of that, even more than other entertainment industries because folks still won't talk about it the way they will other forms of media.
I also created a thread about that article on a porn users forum
http://www.pornusers.com/forum/forum_thread.html?threadid=4722
http://www.pornusers.com/forum/forum_thread.html?threadid=4722
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