educational

IVR Billing and Beyond

In theory, the dialer is the ideal billing mechanism to convert international surfers into paying customers. End-users simply download some software onto their PCs which then connect the user to a protected members area via a premium-rate telephone number. Website owners are paid on a per-minute basis for the user's access.

In practice, however, the dialer-era was short-lived for a variety of reasons.

When dialers first emerged, surfers worldwide (most of whom do not have a credit card) finally had a way to pay for the forbidden fruits that the web had to offer. Not surprisingly, webmasters that implemented them were delighted also – a brand-new revenue stream emerged overnight from surfers who were visiting their websites anyway.

Unfortunately, several crooks were also drawn to the moneymaking potential afforded by dialers and started creating variants with malicious code that would either make it difficult for the user to disconnect, or worse still, would then reconnect to a premium rate number every time the user would try to connect to the web via his or her modem – leading to horrendous (and unauthorized) phone bills.

To compound the problem, a range of viruses were making regular, unwelcome appearances throughout the web, leading to surfers becoming suspicious before downloading any software onto their PCs from third parties they did not know or trust.

Furthermore, increasing broadband penetration had rendered the old-style dialer obsolete anyway. For broadband customers, LAN billing now exists whereby access to a website is granted as long as the customer stays connected to a premium rate line by telephone. However, this solution is wholly inadequate for the majority of the world's surfers who do not have the luxury of a spare phone line.

All is not lost, however: solutions now exist on the market which utilize the same underlying billing mechanism as the dialer, but that do not require the end-user to download software or have a second phone line. IVR billing is best described as 1-900 for the global village. With IVR billing, surfers are invited to call a premium rate telephone number to receive the password necessary in order to unlock a protected member's area for a limited period of time.

If such billing is combined with geo-targeted calls-to-action, the result is a powerful global billing tool. Surfers will be pleasantly surprised to be sold to in their own native tongue, and by definition, everyone who has access to the web has access to a phone line.

So whilst the dialer may have died, the underlying billing principal on which it was based is still alive and well - thus allowing webmasters to still make money on a global scale...

Copyright © 2026 Adnet Media. All Rights Reserved. XBIZ is a trademark of Adnet Media.
Reproduction in whole or in part in any form or medium without express written permission is prohibited.

More Articles

opinion

How Adult Businesses Can Navigate Global Compliance Demands

The internet has made the world feel small. Case in point: Adult websites based in the U.S. are now getting letters from regulators demanding compliance with foreign laws, even if they don’t operate in those countries. Meanwhile, some U.S. website operators dealing with the patchwork of state-level age verification laws have considered incorporating offshore in the hopes of avoiding these new obligations — but even operators with no physical presence in the U.S. have been sued or threatened with claims for not following state AV laws.

Larry Walters ·
opinion

Top Tips for Bulletproof Creator Management Contracts

The creator management business is booming. Every week, it seems, a new agency emerges, promising to turn creators into stars, automate their fan interactions or triple their revenue through “secret” social strategies. The reality? Many of these agencies are operating with contracts that wouldn’t survive a single serious dispute — if they even have contracts at all.

Corey D. Silverstein ·
opinion

Building Sustainable Revenue Without Opt-Out Cross-Sales

Over the past year, we’ve seen growing pushback from acquirers on merchants using opt-out cross-sales — also known as negative option offers. This has been especially noticeable in the U.S. In fact, one of our acquirers now declines new merchants during onboarding if an opt-out flow is detected. Existing merchants submitting new URLs with opt-out cross-sales are being asked to remove them.

Cathy Beardsley ·
trends

How to Handle Payment Disputes Without Sacrificing Trust

You can run the best-managed and most compliant website out there, but that still doesn’t completely shield you from the risks tied to payment disputes. Buyer’s remorse, an unclear billing description or even a simple misunderstanding can lead a customer to dispute a transaction. Accumulate enough disputes, and both your reputation and revenue could be at risk.

Jonathan Corona ·
trends

WIA Profile: Taylor Moore

With a 70-person team and a growing slate of tools for content creators, the Teasy Agency has developed a reputation for putting talent first. That commitment owes a lot to co-founder Taylor Moore’s own experiences as a cam model.

Jackie Backman ·
profile

WIA Profile: Cathy Turns Creator Platform Experience Into a Model-First Playbook

As both a model and industry executive, Cathy lives in two worlds at once. “Since I do both things, I can act as the liaison between the model community and the rest of the SextPanther team,” she tells XBIZ.

Jackie Backman ·
opinion

From Compliance to Confidence: The Future of Safety in Adult Platforms

In numerous countries and U.S. states, laws now require platforms to prevent minors from accessing age-inappropriate material. But the need for safeguarding doesn’t end with age verification. Today’s online landscape also places adult companies at uniquely high risk for inadvertently facilitating exploitation, abuse or reputational harm, or of being accused of doing so.

Andy Lulham ·
opinion

What Adult Businesses Need to Know About Florida's Age Verification Law

The rise and proliferation of age verification laws has changed the landscape for the online adult industry. A recent and compelling example is the state of Florida, where Attorney General James Uthmeier has filed multiple complaints against major platforms as well as affiliates accused of violating the state’s AV law.

Corey D. Silverstein ·
opinion

Maintaining Brand Trust in the Face of Negative Press

Over the last year, several of our merchants have found themselves caught up in litigation over compliance with state age verification laws. Recently, Segpay itself was pulled into the spotlight, facing scrutiny over Florida’s AV statute, HB 3. These stories inevitably get picked up by both industry and mainstream news outlets.

Cathy Beardsley ·
opinion

How to Switch Payment Processors Without Disrupting Business

For many merchants, the idea of switching payment processors can feel pretty overwhelming. That’s understandable. After all, downtime can stall sales, recurring subscriptions can suddenly fail, or compliance gaps can put accounts at risk. Operating in a high-risk sector like the adult industry can further amplify the stress of transition.

Jonathan Corona ·
Show More