Home > Features > Maximize Content Investment • Bookmark   • Newsletters   • Register Search Options

FEATURE

Maximize Content Investment

Maximize Content Investment

July 13, 2005
Text size: 
Get XBIZ News
XBIZ Research
Will virtual reality boost the paysite market?
Yes, it will soon
  39.88%
Yes, but in a few years
  36.90%
No
  23.21%
Out of 168 votes. Results based on votes submitted by members of XBIZ.net social network.

" if you take care of the pennies, the dollars will take care of themselves "

So you bought some really cool content for your website. Traditional Internet wisdom suggests that you buy exclusive or limited-circulation content, slap it on your website, advertise the heck out of it and make your profits. That's fine and good if you are content to stop there, but with careful planning, you can realize a much greater return on your investment.

Think of this in terms of the marketing evident in the motion picture industry. A major picture release doesn't see its full profit potential for a number of years. The box office takings we see glorified on the Internet news spots are only a portion of the picture. Yes, it's true that the first run is the biggest chunk of profits, but behind the scenes, it is really just a piece of a puzzle as the title winds through a large array of marketing levels. You see this every time you select a video on demand on cable, run to the local video store for a tape or DVD rental, or catch a Sunday afternoon matinee on your local broadcast network. These tiered releases are designed to do one thing: extend profits all the way down through the residual sales levels.

The same concept applies to adult content. OK, we're not talking about millions of dollars in the first run, but the concept is the same. Depending on your primary business, you could consider your website as the first-run medium for a title, and after a period of exposure, it is time for it to move onto other profit areas. A second tier might be the lease or license market, a third tier perhaps a pay per view, a fourth may be bulk distribution or "blast from the past" style of content filler. The important point to keep in mind is that every day, there are new potential customers logging onto the Internet for the first time. To them, your content is first run because they have never seen it before.

Even in the individual tiers, there is a gradual depreciation. Take the pay-per-view model -- a new title has a better click-through rate as a premium release before its exposure dictates that it drops in value to "matinee" status with reduced sales value. A smart webmaster that has developed a plan to work his leverage in an investment of a title is going to have far more to show for it than the webmaster who pursues only "golden releases."

This writer has personal experience with galleries that are 10 years old that continue to turn a profit via residual sales, whether the medium of distribution is bulk, filler, or PPV grab-bag status. The point is, it's your investment – are you satisfied with only first-run results? If not, it's time to develop a plan to gracefully manage a title's potential long-term value. This concept lends creditability to the old saying that if you take care of the pennies, the dollars will take care of themselves.


PROFILES & BIOS

Q&A: Holiday Products Founder Moe Levy Reflects on Decades of Career Accomplishments

Born and raised in the Bronx, N.Y., as an only child, Moe Levy learned to become business savvy at an early age from his parents. Even more importantly, Levy says his parents instilled in him their people-oriented... More »

AWSummit’s Alexandru Gheorghe Has Eyes Set on Growth

The AWSummit has quickly made its mark and has become a top draw for chat hosts, studios and cam sites from all over the world. Founded by CEO Alexandru Gheorghe just two years ago, the cam-centric AW... More »

WIA Profile: Elle Sonson

Each month, industry news media organization XBIZ spotlights the career accomplishments and outstanding contributions of Women in Adult. WIA profiles offer an intimate look at the professional lives of... More »
XBIZ NEWSLETTERS
Stay informed of the latest industry developments. Get XBIZ newsletters delivered to your inbox. Subscribe today!
Enter email address:

* To manage existing subscriptions click here.






POPULAR PRODUCTS & SERVICES
Submit your press release to
multiple news outlets with 1 click.
Subscribe to RSS news feeds or
add free content to your website.
Access XBIZ news and articles
with your mobile device.
Subscribe to XBIZ Premiere magazine, the industry's leading adult retail trade publications, delivering the most timely and comprehensive business news and information to producers and retailers of adult products.

UPCOMING EVENTS

XBIZ 2017

Jan 09 - Jan 13
Hollywood, CA

XBIZ Awards 2017

Jan 12 - Jan 12
Los Angeles, CA

ANME Founders Show

Jan 14 - Jan 15
Los Angeles Marriott Burbank Airport

Everything To Do With Sex Show

Jan 20 - Jan 22
Montréal, Québec
Everyday thousands of business professionals browse XBIZ's industry directory for quality products and services. Not listed yet? Your company could be losing potential new business. Submit your company today!
Use XBIZ RSS feeds to stay informed of the latest industry developments or as a content syndication tool for your website!