Now, that figure is one in 400. The economic downturn, a massive saturation of free adult content on the Web and new, stricter rules on credit-card fraud have combined to cause tectonic changes in the industry. Traditionally, the business has depended on small, free sex sites to feed traffic to the larger pay sites. That model made many Webmasters at small adult-oriented sites very rich. But tighter wallets are changing the dynamic.
Surfers are also now cognizant of the huge availability of free pictures and video clips.
People don't buy like they used to. Anybody who wants to get into the business now will probably fail. The saturation problem, she admitted, isn't helping matters. As a result, the traffic that does flow through free sites doesn't tend to buy memberships from the pay-side operators. Pay sites are feeling the pinch, and the thousands of smaller feeder sites aren't making the referral money they used to.