Project X Part II

Purpose To get an idea of the income potential of owning and operating an Adult Chat Site.

• Sample Adult Chat Sites
• Chathostess.com
  • Very high traffic typically 300 to 400 performers online.
  • Simple and straightforward, few bells and whistles.
  • Uses Firecracker software (expensive).
  • Very little advertising that I know of.
  • Sister sites have the same performers arranged differently on screen.
    • Asiababescam.com
  • 50% payout to the Studio or performers.
• Wellcams.com
  • Low traffic
  • High percentage of European customers
  • Owned and operated by Russians
  • Some bells and whistles.
    • Two way video chats
    • Tips for the performers.
  • 40% payout to the Studio or performers.
• JadeCool
  • An old site that once was very popular, just came back online January or February 2007.
  • Once very popular but a little to brazen for their own good.
  • New site is flaky and not well thought out. Still bugs in the web pages.
  • Difficult to register.
  • Payout's unknown, site has not responded to email.
• SexyAsianCams.com
  • Don't know much except popular with the girls here.
  • The site has very good blocking. I can not view the site by spoofing
    my IP
• IMLive
  • Also very high traffic site, typically 600 to 1200 performers online.
  • Many different Promotions and gimmicks.
    • Two way Video Chat
    • Recorded Live Sessions
    • Recorded Private Sessions
    • Discount Codes for the Customers.
    • Fan Clubs
    • Happy Hours
    • Hall of Fame
    • Free Text Chat
    • Sinulator
      • The Sinulator is a device that enables the customer to control the performers Sinulator sex toy remotely.
      • Hell of a Demo, probably requires you to log on as Agent (Studio owner)
    • Large photo and video gallery
  • 35% payout to the Studio or Performers (varies).
• Profitability
  • I have used Chathostess.com as the model for profitability because;
  • The site is successful, they make money.
  • The site is simple.
  • The site is well run.
  • Income Example:

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• Chathostess.com typically has 250 to 500 performers Online at any given time, 24 hours a day.
• In a 24 hour period Chathostess.com has from 600 to over 1200 performers Online.
• The performers charge anywhere from $1.49 a minute to $4.99 per minute for a private show.
  • The vast majority of performers charge $1.99 per minute of private show.
• The "average" performer will have 15 to 30 minutes of privates during her time online.
  • Very difficult to estimate the "average" performers credits per shift.
    • Popular performers can get 80 to 120 minutes per shift.
    • Not so popular performers so home empty handed some days.
      • The not so popular performer will normally work until they at least have 15 minutes in credits for their shift. Got to get baby milk, pay the rent, get food, ect.
    • The average number of private minutes of all the performers is close to 20 minutes per shift probably more..
• Using the minimum figures from the example above.
  • 600              (Average number of performers per day)
  • $39.82         (Average 20 minutes of private shows per performer at $1.99 a minute)
  • $23,880.00  (Gross per day)
  • Less 50%     (payout to Performers or Studio's)
  • $11,940.00.00  (Gross income Per Day) Weekends, Payday Weekends and Holidays are more.
  • Less $477.60 payment gateway charges at 2%
  • Total Daily gross: $11462.40
  • Eleven K a Day ain't bad!!! and this is using conservative numbers.
  • Estimated monthly gross income $343,872.00 (conservative)

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• Expenses example:
  • Employees 6
    • 1 Boss, Steve $2500 per month. (Site appears to be owned by a Hong Kong company).
      • He is also the systems administrator and part time programmer.
    • 1 Support Person, Debra $1800 a month.
      • Also works in Compliance and Payroll.
    • 2 Moderators. Terry, Mariposa, part time Debra $1600 x 2 $3200 per month
      • Mariposa also works part time Compliance.
    • Secretary. $1600 per month
    • Cleanup lady. $1600 per month
    • Monthly Employee salaries Estimate: $10,700 to $25, 000 per month
  • Rent
    • $2500 a month. Estimate for 1200 sq ft of office space.
  • Utilities $500 a month
  • ISP bandwidth charges per month $1000 (estimate)
  • Software lease $2000 per month.
  • Payment gateway charges factored in above.
  • Accounting charges $1000 per month.
  • Insurance charges?? $500 per month.
  • Compliance charges (it appears that some payment gateways take care of this.
  • Miscellaneous Expenses. $2000.00
• Total Monthly Expenses $34,500.00
• Monthly Profit
  • Monthly Gross Income $343,872.00
  • Monthly Expenses        $34,500.00
  • Monthly Profit ......... $309,372.00