The backbone of today’s live cam industry, cam networks, service providers, and sites, are actively shaping the future of webcamming, driven by shifts in consumer demand and the latest technologies.
It is a fast-evolving and highly competitive marketplace that offers many challenges and opportunities — and many changes for affiliates, models, studios, as well as the networks, service providers, and sites to stay abreast of.
Models continue to develop their identities online and through social platforms, all resulting in expanded growth and popularity. -Liz Rekevics, Streamate
For an insider’s look at camming’s current trends, XBIZ turned to the industry’s top experts, biggest sites and most notable players.
Streamate/Streamate Models Director of Marketing, Liz Rekevics believes that a current trend for many models is self-branding, and developing brand recognition among their fans.
“Models continue to develop their identities online and through social platforms,” Rekevics told XBIZ. “All resulting in expanded growth and popularity.”
ImLive Models’ representative Chloe told XBIZ that cam modeling is definitely moving towards becoming a much more interactive experience, opening new opportunities.
“Advances in technology are allowing the industry to push into new areas, allowing members and models to interact in ways that were previously not possible,” Chloe explains. “Integration of mobile streaming to create exciting shows from any location, not just the bedroom, and interactive toys that allow a physical interaction between member and host are now possible, and only the beginning.”
The interactive experience between models and users is ramping up further at ImLive.
ImLive’s Shay Efron told XBIZ that the live cam company has launched technology to broadcast shows on mobile devices.
“This obviously gives our models the ability to expand their online hours and make more money and build better relationships with their regular members while out of bed,” Efron said.
Chaturbate’s Shirley Lara told XBIZ that one huge milestone for the webcam industry is its growing mainstream acceptance.
“Recently my husband and I went to see the Mila Kunis movie ‘Bad Moms.’ Spoiler Alert: The opening scene was Mila walking in on her husband in a private show with a cam girl,” Lara reveals. “It’s great to see Hollywood take notice of live cams, and add this scene to a movie without negative connotations.”
Stripchat’s Head of Business Development, Jim Austin, told XBIZ that while several current trends are very interesting, including VR and interactive sex toys, he thinks that the biggest game changer right now is social media.
“The trend now is for models to become their own brand via Facebook, Twitter, Snapchat and all available social media outlets,” Austin explains. “This is going to have a huge effect on how users will consume the cam product.”
Flirt4Free Director of Product Jamie Rodriguez told XBIZ that the company continues to see models expanding the “fun” element in their rooms — offering more games and interactive toys to get the customers as engaged as possible.
“Models from all over the world are also focusing more on their own branding and persona beyond just being sexy and enjoying private shows,” Rodriguez reveals. “Both of these trends are great for Flirt4Free given that our customers are always looking for models who are able to really connect intimately and be themselves online.”
My Fetish Live’s Dr. Clockwork told XBIZ that he has definitely seen models diversifying their revenue streams, both through social media as well as more traditional platforms.
“They sell subscriptions to their KIK or Snapchat and they sell content through their own clip stores in a variety of locations,” Dr. Clockwork says. “Cam models need to continually cross promote themselves through multiple avenues in order to maintain their competitive edge.”
“Some sites have adapted to these changes by increasing their functionality by integrating interactive or tip-activated toys,” Dr. Clockwork says, noting “Interactive toys have tested very well on My Fetish Live, and we definitely see an increase in their popularity.”
FreeWebCams.com Managing Partner Eric Wexel told XBIZ that he really loves diversity, and strives to get different independent models signing up on the site from around the globe.
“In the past, the quality of an independent model’s computer, webcam and internet connection was a big factor in how she looked on our site,” Wexel explains. “In the recent year we have seen all of these factors increase substantially, which has resulted in better quality video, and increased earnings for the average independent model on FreeWebCams.com.”
Studios Support Performer Growth, Technology
Another noticeable trend is the growth of professional cam studios and other resources for performers.
Rekevics says that studios and agencies offer benefits to models, especially those new to camming.
“There are many reputable and knowledgeable studios and agencies out there that provide training, technical support, promotion, advertising and general encouragement to help models succeed,” says Rekevics. “In many cases there are fees involved, and it really is up to the model to determine a balance between cost and benefit.”
“I always encourage models to do their research and strongly consider their needs and goals,” Rekevics adds. “I see many great fits when it comes to models and studios, but there are also the bad apples, too, so it’s important for models to be informed and aware.”
ImLive Studio manager Adrian told XBIZ that there are very successful performers working from both home as well as from a professional cam studio.
“The advantage of the studio system is based on what the studio is able to offer the performer over and above what they could normally have or achieve by themselves,” Adrian explains. “For example, a studio may be able to offer training for the performer both in regard to their performance and to their chosen web platform.”
“A studio may be able to provide better marketing and traffic, with designers and affiliate deals, and they may also be able to offer the model something in the physical sense such as equipment, luxurious rooms and outfits, or makeup,” Adrian adds. “For many performers, the assistance and structure of a studio is very confidence-building.”
“In certain instances, studios allow broadcasters to be able to webcam when they would not be able to do so on their own for a multitude of reasons,” Chaturbate’s Lara says, “such as a lack of internet access, computers, or a suitable broadcast environment.”
Austin says that from a cam company’s point of view Stripchat really enjoys working with studio models.
“I know many models, especially in developing countries, that have access to crucial tools because of studios — tools that they normally would not be able to afford,” Austin explains. “For example, studios are investing in language lessons for their models, self development courses, high-tech equipment, new VR cameras, and lots more.”
Rodriguez says that depending on the resource or studio, performers can definitely increase their earnings as well as the quality of their broadcasts by getting outside assistance.
“We have some studios on our network who provide resources such as photographers and makeup artists, so a model’s profile looks professional and [her] appearance is at its best on cam,” Rodriguez explains. “There are also studios that spend weeks training their models on how to be successful on our site so they can get ahead without the beginner’s curve that models working from home often have.”
“Other studios we know also manage the model’s Twitter account and promote them more than the model themselves might have time to or be able to do,” Rodriguez adds. “Our Training Center in Prague has also become a great resource for European broadcasters to learn the ins and outs of our network and what it takes to be successful with Flirt4Free.”
Dr. Clockwork says that studios provide a consistent location from which a model can cam, because not every model has a spare bedroom that they can turn into a studio, or afford professional grade lighting.
“There is also a certain amount of benefit to leaving the house to go to work. Working from home can cause stagnation, feelings of isolation, and the line between a model’s ‘work’ and ‘home’ lives can blur,” Dr. Clockwork says. “In this industry, it’s important for models to maintain that compartmentalization between the two.”
“Studios also provide up-to-date hardware, industrial level bandwidth, and technical support for models who aren’t as tech savvy,” Dr. Clockwork adds. “A good studio also does a lot of promotion for models via social media and other formats as well— and some also offer daily payout options.”
Dr. Clockwork warns, however, that not all studios actually benefit their performers.
“It is increasingly important for new models to do their due diligence in researching the studio that they are planning to work for,” Dr. Clockwork explains. “Unfortunately, I’ve found that much of the behind the scenes information regarding sites and studios is kept very close to the chest, and many new models don’t even know that they should be doing research about the studio they’re joining ahead of time.”
“This puts models at a considerable disadvantage when picking a studio to work for,” Dr. Clockwork adds. “I’ve seen studios use aggressive tactics and even threaten models who eventually realize that the studio isn’t providing enough of a benefit for the percentage that they are taking.”
Wexel told XBIZ that he learned early in his adult career to base decisions on statistics and not personal opinions or taste.
“That being said, generally speaking, studio models are averaging more money per pay period than independent models. Whether it’s the room décor, superior webcams, internet connections, lighting or training, they flat out make more money,” Wexel says, adding that “As a site owner, I like dealing with heads of studios that monitor hundreds of models, rather than policing models ourselves.”
Cam Networks Eye Future of Virtual Reality
As it is in every digital media enterprise today, the subject of virtual reality technology is a hot topic — with VR cams poised to take off — and their higher technical demands making studios more necessary, but focusing exclusively on the technology rather than the big picture may be an oversimplification; with Terpon’s Jean-Claude Artonne saying that rather than VR, “interaction” is the key to today’s cam trends.
“All connected toys that allow customers to interact with models are booming. It is the path for more intimacy and telepresence. VR is the ultimate extension of this trend, and thanks to haptic technologies, we will soon see a global experience that will not only cater to the user’s visual sense but all their other senses as well,” Artonne explains. “It will become a VE (Virtual Experience).”
Artonne notes that today’s technologies provide all of the base ingredients that enable convincing yet affordable broadcast-quality 3D telepresence systems.
“These systems comprise a content production part (the VR cameras), the distribution infrastructure, and the consumption on browsers and VR headsets,” Artonne explains. “For the VR cams themselves, Terpon provides different units — suitable for casual performers (with more modest requirements on computer hardware and investment in the camera), and for those seeking higher performance levels (and having the ability to afford them).”
“When it comes to content upload and distribution, VR is definitely more challenging than regular ‘flat’ cam content,” Artonne says, “but a vast majority of people already meet the technical requirements — and given the added value of the immersive 3D experience, we think it won’t be hard to convince the rest to upgrade.”
Artonne told XBIZ that for consumers, the big barrier to entry is mostly due to a lack of information, especially surrounding VR’s viewing options.
“The marriage of VR headsets and cell phones is mostly an economic boon, with VR driving screen resolutions up in cell phones. Cell phones provide a tremendously low barrier to entry to the purchase of VR headsets (thanks notably to Google Cardboard’s democratization),” Artonne explains. “Medium-range headsets such as the Gear VR are still using cell phones and provide a definite improvement in optical quality (resolution and field of view) and an overall experience that can be appreciated when consuming VR cam content.”
“High-end headsets (Vive, Rift) with dedicated displays and sensing hardware, provide the additional advantages of being connected to higher-performance computers, and produce less heat, providing the ultimate in comfort (although they are not wireless as of today),” Artonne says. “For VR cams, these are not strictly necessary… but with them, you can pick up your phone while in VR!”
While Artonne says that studios will be the most appropriate initial customers for its cameras, Terpon is committed to provide cameras to independent models as well, and hopes that the advent of VR will not drastically change the current landscape of independent vs. studio models.
“That said,” Artonne adds, “studio owners who understand the potential of VR will have a tremendous advantage as our solution gives them a competitive edge. The quality of our pro-version is astonishing compared to consumer-level cameras targeting independent models.”
For his part, Wexel says that VR is a novelty now, but that it will continue to gain acceptance.
“Having it means our site has all the bells and whistles, but it is a nicety, and not a huge money maker,” Wexel reveals. “When we look at the amount of revenue that continues to flow in from our mobile users I don’t feel that VR has nearly the potential as a superior mobile product does.”
Adrian told XBIZ that there is a market for the VR cam, and it is something ImLive Studio is looking into.
“The initial outlay may be easier with the funding of a studio, but I think that this technology is now available to all and certainly not exclusive to a studio environment,” Adrian explains. “As with all new technology, as more and more cams and headsets come on the market prices become accessible to everyone, so this is no longer an issue.”
Lara says she definitely believes that VR camming is on the horizon, but points to connectivity and cost as challenges for Chaturbate to overcome.
“We are still in the interactive stage, which is why live cams and teledildonics are flourishing,” Lara says, adding that “A barrier in VR is that most homes do not have enough bandwidth to sustain the movie — and to obtain a virtual reality headset can cost upwards of $600.”
Stripchat’s Austin agrees that VR camming is on everybody’s mind right now, but it will take time.
“I have spoken on many panels about this subject and I truly believe that VR will gain a significant share of the cam market, but it will not be the replacement of traditional cams that many people predict,” Austin explains. “The technology is still a little clumsy and hard to use, so I believe many users will try it once or twice, but revert back to traditional viewing.”
“At the end of the day, cams will always be about the interaction between models and users,” Austin adds. “Technology can improve this interaction, but not replace it.”
Flirt4Free Executive Vice President Brad Estes told XBIZ that VR webcams will increase in popularity if and when the experience becomes better than a traditional cam show, “and not just an expensive, cumbersome and buggy gimmick.”
“Whether that happens in months or years is largely dependent on how consumers react to mainstream VR offerings and whether the proliferation of devices increases,” Estes explains.
“Webcam studios and performers are astute marketers and technologists — so if a consistent and lucrative market exists the technical demands will be quickly overcome.”
Dr. Clockwork says that he would very much like to see VR camming take off, but as time goes on, finds the prospect increasingly doubtful.
“There are a number of hurdles for VR camming to overcome in order to gain traction, some of which the industry is inadvertently placing on itself,” Dr. Clockwork explains.“From a technical standpoint, the hardware and bandwidth requirements are substantial to maintain. This gives a studio with the money to invest in the hardware a tactical advantage over the home-based cam model.”
“The average home ISP is just not equipped for handling that much [data] throughput, so you either lose quality or you lose frame rate,” Dr. Clockwork adds. “However, I think the biggest issue is that we are getting in the way of ourselves.
“Every site wants to be the first to market, in order to establish their market share early,” Dr. Clockwork told XBIZ. “However, in doing so, no one is sharing their technology with other companies. This leads to a handful of sites doing VR completely differently, and there’s no collaboration. Nothing is standardized and the entire industry suffers.”
“If we want VR camming to take off, we need to invest in each other — no site is an island,” he added. “By creating standards and best practices, more sites can start leveraging the technology, share it with others, and make improvements as we go along.”
Rekevics told XBIZ that she also personally believes that widespread VR camming is still a ways off.
“I see the benefits and the excitement, but I am not convinced the user experience is perfected, yet,” Rekevics says. “Studios with the technical infrastructure could help support or grow VR somewhat, but I believe it needs more fine-tuning on both ends (user and model).”
Beyond VR, other new technologies are holding promise for cam companies.
Artonne told XBIZ that the new Terpon cameras that are in development are state-of-the-art precision opto-electronic systems using the latest standards for hardware and software interfaces.
“On the camera level we are providing 4K resolution, but are not currently going over 4K because of compatibility limitations with the USB 3.0 bus,” Artonne explains. “There are some image processing algorithms that run either on the camera itself or the computer (depending on the model) prior to the audio/video encoding, and all of this is running with hardware acceleration when available.”
This is only one technological advancement, however, with Artonne telling XBIZ that Terpon provides a reference implementation of a cloud broadcast infrastructure, using the emerging WebRTC standard — with customers able to reuse most of their existing distribution platform if they want to.
“VR is intimately coupled with 3D,” Artonne says. “Our reference consumer implementations use pure-HTML5 technologies, with the rather solid WebGL and the bleeding-edge WebVR, and cross-platform applications using the Unity SDK.”
“Apart from the obvious goals of democratization, cost reduction and performance improvements, we are exploring integration of the latest audio/video compression technologies (h.265/AV1/Opus) as soon as they are available. This drives quality up and infrastructure costs down,” Artonne explains. “VR video stabilization and ambisonics will also be deployed to improve the immersive experience.”
Lara told XBIZ that Chaturbate has several technology developments on its radar that broadcasters and members will enjoy, “but you’ll need to stay tuned until we are ready to announce them.”
Austin believes that “non-sexy technologies” are poised to have the biggest impact on camming.
“As we are watching VR and interactive toys, quietly network infrastructure and the ability to send huge amounts of data quickly and reliably are making huge advances,” Austin reveals. “I believe that this will lead to new opportunities that no one has even thought of yet.”
Estes says that the new technology roadmap at Flirt4Free “is full of many items related to delivering a consistently high-quality user experience at scale across all devices and connections.”
“The renaissance where webcam sites could pop up quickly is fading as the technology is shifting back to a core platform differentiator and not a common denominator,” Estes explains. “At Flirt4Free we choose to innovate on things related to an improved customer and performer experience.”
“Not every technology is worth more than a press release,” he adds.
Dr. Clockwork believes that the live cam industry will go through a major revamp in the near future.
“I’d even venture to say that it has already started,” Dr. Clockwork told XBIZ. “More and more indie cam sites are opening up, offering niche-specific content — and many models are moving away from big box sites to smaller sites where it’s easier to be a big fish in a smaller pond — and can really narrow down to a specific niche that they want to work within.”
Dr. Clockwork also notes that mobile traffic is consistently increasing, so sites with responsive layouts that leverage HTML 5 will be those that reap the most rewards from it.
“I also feel that in order to maintain competitiveness, sites are going to be dramatically increasing functionality, with third party integrations such as tip-activated toys. [For example] Lovense and other interactive toys such as Kiiroo.”
One technology that Dr. Clockwork doesn’t see taking off, however, are 4K webcams.
“A standard internet connection just can’t handle that amount of data coming through it,” Dr. Clockwork explains. “Moreover, most cam models won’t want to upgrade to a more expensive webcam when the Logitech c920 can do anything they need and then some.”
Alexandru of Live and OK Studios told XBIZ that while we won’t see the benefits of LI-FI anytime in the near future, the movement in the industry is centered on the distribution of the video feed.
“Any new technology offering better quality comes with a cost, and that cost is usually higher bandwidth consumption,” Alexandru says. “While there are still dial-up-like speed users in the world, we might find it difficult to add more quality, but with the development of new technologies in compression and audio / video broadcasting, we will definitely show our success.”
“As always we are building our projects aiming for the same standards television can offer,” Alexandru adds, “from HD to 4K — and why not even further, as every year brings up new devices.”
Wexel told XBIZ that his days are occupied trying to unlock the industry’s future and its technology.
“Apple is so frustrating to the webcam industry but we have always been able to change quickly with the various updates,” Wexel explains. “FreeWebCams.com has some of the greatest programmers in the world and we feel that we have the edge because our engine produces H.264 encoded video streams in HLS and Flash along with a .jpg-push version and AAC Audio, so we are ready for virtually anything that is thrown at us and can move in many different marketing directions.”
Hard Work, Innovation, Leads to Camming Success
Asked for their advice about what it takes to succeed in the cam market today, these top-tier operators offered significant insights covering a wide variety of factors, but with several common denominators.
Chloe from ImLive Models told XBIZ that camming success is entirely dependent on commitment and the ability to create an online-marketable persona or brand.
“If you take the job seriously and commit the time and effort, the rewards can be exceptional. The time spent creating a unique style and fan base by promotion and marketing using site-based tools and social media is essential, as it creates a strong brand that can be built on,” Chloe says. “This ultimately leads to retention of members, which is where you can achieve the secure and stable income that is the ultimate goal of most performers.”
“The best and most successful performers in the cam world,” Chloe concludes, “are those that have invested time in creating their own unique image and persona that they can sell to clients.”
Lara describes one way that Chaturbate has revolutionized the way money is earned in live cam shows.
“The standard way of sitting in chat hoping someone finds you attractive, has evolved into fun, lucrative games,” Lara says. “Broadcasters benefit by fans paying to participate in games such as Spin the Wheel, Hangman, and Token Keno, etc.”
“The winner (which is everyone) will then see the sexual aspect after the game has ended,” Lara reveals. “No other cam sites offer this type of interactivity.”
Austin told XBIZ that at Stripchat/xHamsterLive, there are three core principles that are at the heart of everything the company does.
“First we do our best to keep our models happy and productive. I believe that how the models’ feel about the site that they are broadcasting on translates onto camera and of course onto the user,” Austin explains. “Secondly, we try to keep the site simple and user friendly. There is a fine line between trying to keep up with all the latest trends and making the site too complicated.”
“Thirdly we strive for good customer service,” Austin concludes. “Our users are the backbone of what we do here, and because of this they have to feel their voice and concerns are being taken seriously.”
Rodriguez told XBIZ that being true to your brand and knowing who you are as a company has been important for Flirt4Free to keep in mind — and something that it recommends to others as well.
“When there are so many cam sites popping up every day, we know our broadcasters, customers and affiliates all want to be able to understand why they would choose us over someone else,” Rodriguez explains. “As a result we’ve focused on being the best at what we do and not trying let others dictate our direction or goals. This focus on being the best version of Flirt4Free we can be, has led to great success as a result.”
Dr. Clockwork told XBIZ that owning a cam site can be extremely rewarding and very profitable, but success in the cam market is not without its challenges, and notes that “Most independently run cam sites fail within their first six months.”
“There’s a surprising amount of work that goes into running a cam site, and you’re fighting an uphill battle from day one,” Dr. Clockwork explains. “New sites have to compete with sites that have been around for 20 years and have thousands of models — and in most cases, there’s no grace period before the comparisons are made to older, well established sites.”
Dr. Clockwork says that there’s a “Catch 22” of needing models on the site in order to attract traffic — but you can’t keep those visitors on the site unless there are models consistently camming there.
“For older sites that already have a ton of traffic and a ton of models, this isn’t a problem, but it is a downward spiral that new sites must fight against every day,” Dr. Clockwork says. “New sites will usually begin with only a few models online at a time. Visitors come to the site and don’t see a large number of models online, and so don’t come back — and when the models do come online, they wonder where all the traffic is — and then they don’t cam on your site as much.”
“It’s a challenging cycle to break out of,” he adds, “but once you can establish yourself and have enough models working for you at any given time that you can start investing heavily in acquiring traffic that won’t go to waste, it all becomes very profitable, very quickly.”
On the topic of one popular option for prospective cam site owners, Dr. Clockwork says that white labels are a bit of an easier approach and a lot less work, but they don’t offer nearly the same level of benefits.
“White labels supply software and models and all you need to do is worry about traffic,” Dr. Clockwork says. “If you’re good at moving traffic and getting it to convert, this is a good option. However, you are ostensibly selling someone else’s product — there’s no feeling of direct ownership over the site. Those models don’t work for you, they work for the site. You just take a cut from the traffic you generate.”
Dr. Clockwork also notes that studio owners enjoy the added benefit of not necessarily being tied to one specific cam site.
“Many studios ‘split cam’ between multiple sites, and generate revenue from multiple streams. This is a lot more hands-on as you’re dealing directly with models and taking a cut from what they make,” says Dr. Clockwork. “This can be challenging when dealing with conflicting personalities if you are creating a physical location for your models to work out of; of having to justify the percentage you’re taking when they ‘could just go to the site themselves;’ the hard costs of the location, etc.”
“But this also gives freedom to generate revenue from multiple sites at the same time,” he adds, “and allows studio managers to cherry-pick the sites that convert the best, which can be very profitable.”
For his part, Wexel wishes prospective cam site owners good luck.
“If you want to start your own webcam site,” Wexel says, “all you really need are good programmers, smart marketing people, and over $10,000,000 that you are willing to risk on the world’s acceptance of your dream product.”
Rekevics says that for models, one of the best tips is to find a site that works for them and then really get to know that system.
“Enjoy what you’re doing, like the people you’re interacting with, and build a solid fan base,” Rekevics explains. “It is crucial to be happy with the platform you are on, as this reflects directly on your success as well as on your members.”
One thing is clear from all of these comments: there’s room for everyone in today’s live cam business — you simply need to find your place in it, and then as Wexel says, “Good luck!”
