Removing the Taboo from Porn for Major Arbitrage

December 2, 2013 7:49 am Published by

daniel-buckuk-presentation2Our Head of Brand & Strategy, Daniel Buchuk, gave an inspiring lecture at the Stream Conference that was held in Anatalia, Turkey on last October.

By using a toy horn instead of actually saying the word ‘Porn’, Daniel managed to give an incredibly humorous presentation that both captured the current perception about this field, and gave a comprehensive understanding about why exactly the presentation’s title – Content is King. Porn is King Kong, makes sense. By the end of the presentation, it was obvious that Daniel uncovered a new and surprising online advertising niche with a nice slice of arbitrage.

According to recent data extracted from SimilarWeb PRO, a market research and traffic analysis tool, at the moment these specific niche sites offer low budget campaign options with an exposure to a massive number of users.

Daniel had come up with the idea for this presentation when he bumped into an amazing case study ran by a private food delivery service named Eat 24. The case study researched the potential of advertising on porn sites. The research showed that:

  • 99% of the ads are porn related
  • The advertising rates are the lowest compared to all other major online advertising networks -including Adwords, Facebook and Twitter.
  • As far as creative level is concerned, there actually isn’t any real competition

All this, together with the basic understanding that people who watch online porn are actually regular potential consumers, motivated Eat 24 to run a test campaign on such sites. The results for this campaign, as they so ‘eloquently’ put it, KICKED ASS! This goes for: impressions, clicks and conversion rates.

Another interesting fact is that contrary to the common perception, the audience on porn sites is not composed solely of men. According to a survey ran by the ‘Sun’ in 2009, 66% of women watch porn. With that number in mind, just think about the market share opportunity here.

The fact that advertising on porn sites is somewhat of a taboo among most advertisers in any industry that is not porn related, is actually understandable. Daniel himself, as a branding expert, is aware of the aspects of responsible brand management. However Daniel also explains that some products and services, which are not primarily sexual, can advertise on Porn sites without the risk of losing their good name. Moreover, by making use of this niche, they can enjoy amazing results for a relatively low budget campaign.

Here are some great examples of such products and services, most of which are also presented in Daniel’s presentation:

  • Food delivery – which you can already see results for in the eat24’s case study:

eat24-porn-sites-banners

  • Alcohol brands or Energetic drinks brands such as Redbull, since they often push the boundaries to creatively reach audiences in new spaces.
  • The government – for instance running a campaign about safe sex or prostate cancer prevention.

 

Dove-real-beauty

As you go over the numbers you come to the realization that advertising on porn sites is not only an interesting option, but should also become an essential part of any responsible online marketer which doesn’t want to get left behind.

Watch the complete video of Mr. Buchuk’s presentation here:

Natalie Halimi

Natalie Halimi is the Online Marketing Manager at SimilarWeb.com. Her fields of expertise include: SEO, media buying, SMO, mobile marketing, content marketing and affiliate management.
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