How do platforms make a profit?

[ice123]

How can OnlyFans, ManyVids and other platforms payout 80% and still make a profit? If you look at most adult payment processors they seem to charge around 15% fees and on top of that, they have a rolling reserve of 5% to 10%. Where's the profit for the platform? are they getting much lower rates than advertised or am I mssing something? I can understand maybe huge platforms getting better rates but even new ones seem to be able to payout at least 80%.

Also, how can platforms make payouts without applying banking fees? International payments are expensive, wires can cost $20 or $30, even other payment methods have fees. So, what's the secret to covering all these costs?

[baodb]

Rates go down with volume and once you're established. International payouts are cheap with specialised services and can be even cheaper with volume.

Many new platforms do 80% by either being from established people who have access to better rates or by subsidising the payouts in the beginning to gain market share.

[fuzebox]

If you really think OnlyFans and ManyVids are paying 15% with a 10% roller, you have a lot to learn

[gfisch]

Is this true? If you would set up your own site with billing via CCBill, you would not only have to pay the higher fees (compared to onlyfans and others) but also $500 risk fee for mastercard AND visa each annually? If yes - doesn't make this all those fan sites so much more attractive for erotic content providers than doing it on your own servers nowadays? Assuming you are starting up and not making huge sales yet (ever).

[baodb]

Originally Posted by gfisch

Is this true? If you would set up your own site with billing via CCBill, you would not only have to pay the higher fees (compared to onlyfans and others) but also $500 risk fee for mastercard AND visa each annually? If yes - doesn't make this all those fan sites so much more attractive for erotic content providers than doing it on your own servers nowadays? Assuming you are starting up and not making huge sales yet (ever).

Correct.

[NatalieMojoHost]

Originally Posted by gfisch

Is this true? If you would set up your own site with billing via CCBill, you would not only have to pay the higher fees (compared to onlyfans and others) but also $500 risk fee for mastercard AND visa each annually? If yes - doesn't make this all those fan sites so much more attractive for erotic content providers than doing it on your own servers nowadays? Assuming you are starting up and not making huge sales yet (ever).

I did a general expense calculation for starting a site vs. using a platform (this was maybe 2 years ago, so numbers may be skewed now), but the rough number per month seemed to be $3000. If you're over $3000/month in revenue, it is more economical to have your own hosting/bill directly, if you're below that number, you're better off on a platform that takes the costs away by charging you a percentage.

[lock]

Credit card companies have killed off age verification systems and certain processing companies this just reminds me of it.

[NatalieK]

even if let´s say "Onlyfans" only make 1% from each model profit, 1000 models maybe making 10 k a week and 10,000 making 100 a week, 100k a week profit is still available, it´s numbers!

100,000 models, and 1% of each making 100 a week is still 100k a week profit!

[Rochard]

Originally Posted by NatalieK

even if let´s say "Onlyfans" only make 1% from each model profit, 1000 models maybe making 10 k a week and 10,000 making 100 a week, 100k a week profit is still available, it´s numbers!

100,000 models, and 1% of each making 100 a week is still 100k a week profit!

I was going to say the same. I read an article a few day ago where one women claimed she was making $1.2 million a month on Only Fans, plus a "fuckton" of money on other sites. Even if they are only making 1% of everything that is still a FUCKTON of money.

[VanniBT]

Charging for Listings.
Letting Businesses Claim Their Own Listings.
Selling Advertising Space.
Making Some Listings Private.
Create Memberships.
Have A Platform for Selling Services and Products.
Focusing on Marketing.
Building a Content Marketing Strategy.

[TACNet]

Originally Posted by ice123

How can OnlyFans, ManyVids and other platforms payout 80% and still make a profit? If you look at most adult payment processors they seem to charge around 15% fees and on top of that, they have a rolling reserve of 5% to 10%. Where's the profit for the platform? are they getting much lower rates than advertised or am I mssing something? I can understand maybe huge platforms getting better rates but even new ones seem to be able to payout at least 80%.

Also, how can platforms make payouts without applying banking fees? International payments are expensive, wires can cost $20 or $30, even other payment methods have fees. So, what's the secret to covering all these costs?

These guys will have their own merchant account, same as we do so you dont need to use 3rd party billers like ccbill etc. and your rates are more like 5% rather than 15%

So long as your turnover is a minimum of around $10k a month then theres plenty of aquiring banks that will deal with you direct