INDUSTRY NEWS

The first workshop at the Cybernet Expo initiated a lively conversation between both panelists and audience members about the current status and the future of the online adult industry.INDUSTRY NEWS

The first workshop at the Cybernet Expo initiated a lively conversation between both panelists and audience members about the current status and the future of the online adult industry. Colin Rowntree (Wasteland.com (http://www.Wasteland.com)) served as moderator, while industry leaders discussed a variety of topics. JohnIP (President, InsiteAdult (http://www.InsiteAdult.com)), Tony Morgan (President, National Net (http://www.national-net.com/)), Scott Schalin (President, I Gallery (http://www.IGallery.com)), and Shawn Tooley (V.P., ARS (http://www.adultrevenueservice.com)) served as panelists.

Scott Schalin opened the discussion with some very good points. He recommended an overall shift to focus more on the consumer, due to the fact the surfer is becoming smarter, chargebacks are increasing, and companies are continuing to have high pay outs to webmasters. According to Scott, a successful company will need to develop consumer relationships, track consumer habits, and treat consumers with respect. He added that smarter and more creative advertising would come about, as companies pay more attention to their return on investment.

JohnIP agreed overall with Scott’s sentiments saying, “The industry has abused everything.” Yet on a more positive note he mentioned that the online adult industry has been the only business on the Internet to apply technology successfully. He expressed excitement to be able to work within an industry where the high tech applications and products are amazing.

Shawn Tooley also cited the extensive abuse of the surfer by the industry. He used the high cost for online memberships to adult sites as a prime example of this abuse, and he expressed the need for companies to re-evaluate these price points. He mentioned the fact that a monthly prescription to the Playboy Channel was less expensive and better quality video then most online memberships. Shawn also touched upon the exhilarating environment of this industry and concluded his statement with, “Every six months the industry is seeing new and better things. It’s a very exciting business.”

Overall, Tony Morgan concurred with his fellow panelists and touched upon some other ideas, which he felt were necessary for the future of the industry. He suggested, “We need to work together as competitors and learn from each other.” He continued by saying that the people and companies within the industry need not to repeat the same mistakes.

After each panelists’ brief synopsis of the current and future state of the industry, Colin reviewed the overall views and advised people to tap into the resources and people in the industry whenever possible and especially at tradeshows. He then opened up questions to the audience.

A vivacious debate between audience members began when the topic of exit consoles was brought up. Are companies abusing surfers with too aggressive exit console strategies and should the traffic be given back to the webmasters? These were two questions that fostered a heated discussion. Some webmasters said that pop ups are becoming too aggressive and even at times freezing computers and causing consumer complaints. Some also expressed that the traffic being exited should be credited to the webmaster, similar to the system Python has set up.

One audience member, Snoops from Weboverdrive (http://www.Weboverdrive.com), responded to many of the exit console questions. She rationalized the use of an aggressive exit console strategy by stating the fact that for most companies, more consoles equals an increase in revenue. She also felt that if a surfer takes the time to complain about the console system, he or she probably was not going to make a purchase anyway. Another audience member also defended the use of pop ups saying that it provides the extra revenue needed for companies to offer high webmaster payouts, marketing tools, and webmaster support.

The last key debate involved affiliate programs vying for new webmasters versus the quest to satisfy the established successful webmasters. The debate centered on the fact that only 10% of webmasters send any measurable amount of traffic. Some audience members said companies should spend money on the established successful webmasters and reward them for their performance rather than search for more webmasters.

On the other hand, others felt that the aforementioned strategy would make it more difficult for a newbie to establish him or herself in the adult industry. Many, including Colin Rowntree, backed this argument up and agreed that companies should invest in producing more successful newbies. One person commented, “You never know where there is going to be a diamond in the rough.” The overall view
seemed to be a healthy compromise, where companies award superior webmasters and invest in creating better newbie webmasters simultaneously.

After the debates cooled off, Colin Rowntree stepped in to conclude the first workshop of the Cybernet Expo. In general, the workshop was a great success and not only fulfilled its purpose, but also served as a very well-rounded discussion. The panelists provided good information about the current status of the industry and also offered workable solutions to the industry’s problems. Furthermore, the workshop allowed for audience members to bring up and discuss important topics affecting them.