Wall Street Journal Gives Mainstream Primer on Online Affiliate Marketing

NEW YORK — Wondering why there is so much porn on the Internet, the Wall Street Journal turned its attention to the engine that drives the online adult entertainment industry — affiliate marketing.

Calling affiliates the “lifeblood of the online porn industry,” Wall Street Journal writer David Kesmodel surveyed the commercial and legal concerns for the Internet business model popularized by the adult entertainment industry.

“You have 10,000 people trying to push your product for you," James Seibert of HotMovies.com told the Wall Street Journal. "It's the ultimate guerilla marketing.”

“The entire industry revolves around this relationship,” XBIZ Publisher Alec Helmy said.

While Kesmodel’s article highlighted the upside to affiliate marketing, including a section on how mainstream companies such as Payless Shoes are adopting the model, he also focused on the legal issues that grow out of an extremely competitive affiliate landscape.

“Affiliates are also responsible for some of the things that frustrate Internet users,” Kesmodel said. “Because competition is fierce and affiliates get paid only when they get a user to click through to a porn site, affiliates often use aggressive tactics. Some have been behind massive spam campaigns, while others design websites that ‘trap’ visitors with a never-ending stream of popup windows.”

According to Federal Trade Commission attorney Jon Kraden, who Kesmodel interviewed for the article, government prosecutions under the 2003 Can-Spam Act serve to put affiliates as well as paysite owners on notice that illegal tactics used to drive traffic will not be tolerated.

Setting aside the legal issues borne out of a competitive affiliate environment, Kesmodel also fixed his attention on the day-to-day business of marketing adult content online.

“Affiliates have been so successful at driving traffic to porn sites that purveyors spend a good deal of time and money keeping them happy,” Kesmodel said.

According to his interview with Vivid Entertainment Group affiliate manager Vivid Mike, 60 percent of the site’s 100,000 unique daily visitors come from affiliate-generated traffic.

“We spend a lot of money getting new ones and keeping existing ones as well," Mike said, adding that he had taken several affiliates to Nobu for dinner at the recent XBIZ Summer ’06 Forum in Las Vegas.

Clark Chambers, who manages affiliate programs for OlderWomen.com and AuntJudys.com, confirmed to Kesmodel that in addition to commissions ranging from $5,000 to $8,000 per month for top affiliates, expensive gifts were also a common practice to lure affiliates capable of driving the most traffic.

“Mr. Chambers, based in Los Angeles, said he recently sent a $3,000 TAG Heuer watch to an 18-year-old in Moscow who runs a handful of affiliate websites,” Kesmodel said.

Related:  

Copyright © 2025 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 News

Pre-Nominations Now Open for 2026 TEAs

The pre-nomination period for the 2026 Trans Erotica Awards (TEAs) is now open.

FSC Releases Updated Age-Verification Toolkit

The Free Speech Coalition (FSC) has announced the release of its updated age verification toolkit.

Duke Tax Joins Pineapple Support as Supporter-Level Sponsor

Duke Tax has joined the ranks of over 70 adult businesses and organizations committing funds and resources to Pineapple Support.

UK Moving Ahead with Plan to Outlaw 'Choking' Content

The U.K. government has announced its intent to follow through on criminalizing “choking” content, a plan that was announced earlier this year.

Italy to Require Age Verification for Adult Sites

Italian media regulator AGCOM has announced that all sites and platforms hosting adult content will be required to implement age verification systems starting Nov. 12 to prevent access by users under 18.

'MILFlicious' Launches Through YourPaysitePartner

MILFlicious.com has officially launched through YourPaysitePartner (YPP).

Op-Ed: The Guardian's XBIZ Amsterdam Podcast Dismisses Creators' Experiences

British newspaper The Guardian’s podcast coverage of XBIZ Amsterdam 2025 purports to investigate the power dynamics of today’s online adult industry. Instead, it ignores creators’ voices, airs tired and outdated preconceptions about the business, and rehashes the unsupported claims of anti-pornography crusaders.

Eva Maxim, BranditScan Launch 'Killer' Promo

Eva Maxim and BranditScan have partnered for the Killer Creator Giveaway promotion.

2026 XBIZ Exec Awards Nominees for Online Industry Announced

XBIZ is pleased to announce the nominees for the online industry edition of the 2026 XBIZ Exec Awards, set to be presented as part of the annual XBIZ Honors ceremony on Wednesday, Jan. 14 in conjunction with the XBIZ 2026 digital media conference.

AEBN Publishes Report on POV Trends

AEBN has published a report on POV and gonzo categories from its straight and gay theaters.

Show More