Adult Business

Adult Business

Growth and Challenges in the Adult Industry

Once confined to specialty stores in back alleys, the internet has brought adult products and services to every home. Increased access to sex-related content and growing awareness about sexual wellness are contributing to the growth of the adult industry. Today, the American adult entertainment industry generates an estimated $15 billion a year.

An expert adult payment processor, Safe Merchant Solutions offers a range of adult payment processing and merchant services to help you grow without limits. Discover our high-risk payment products to find the best solution for your adult business today.

How Does Safe Merchant Solutions Help Adult-Oriented Businesses?

Although this is a very lucrative market, it’s difficult to run a successful business in the adult industry. Because companies in the adult industry are usually regarded as high-risk businesses, most banks and payment processors refuse to provide merchant accounts. Without a merchant account, you can’t process debit and credit card payments, for example, which severely restricts your sales opportunities.

Unfortunately, finding an accommodating adult payment processor is only half the battle. Avoiding merchant account termination is also a constant struggle. Luckily, we’re here to help. To protect your merchant account and minimize financial losses, Safe Merchant Solutions provides the most advanced fraud-mitigation tools and chargeback reduction technologies in the industry.

With more than a decade of experience serving adult merchants, Safe Merchant Solutions understands the unique needs of different types of sexually oriented businesses. We leverage our 25+ banking relationships to underwrite your business and help you set up an adult merchant account within days, whether you run an online adult novelty store or a pornographic website.

Why Choose Our Adult Merchant Account Services?

No set-up costs
24/7 customer support
Quick signup and approval
Payment processing solutions for a diverse selection of adult businesses
Easy integration with your website and shopping cart
Low monthly costs and processing fees
The ability to accept credit card, ACH, eCheck, and mobile payments
Access to a secure, PCI-compliant payment platform

Why Are Adult Merchants Considered High-Risk?

Despite growing acceptance of sex-related products and services in mainstream culture, there’s still some stigma attached to the adult industry. An unfavorable reputation is not the only reason banks deny adult merchant accounts, though. In fact, a combination of factors ranging from legal restrictions to consumer behavior contributes to the labeling of the adult industry as “high-risk.”

Common Reasons Merchants Struggle to Find Adult Payment Processors

Reputational Issues: Some people still perceive adult content as taboo and immoral. Traditional banks and financial companies may decline to offer adult payment processing services to protect their public image.
Strict Regulations: From minimum age requirements to anti-obscenity laws, adult businesses operate in a heavily regulated industry. As such, many acquiring institutions avoid providing adult merchant accounts so they can stay out of potential legal trouble.
Payment Fraud: Card-not-present (CNP) transactions are the main method of payment for adult entertainment and eCommerce businesses. Unfortunately, CNP transactions have higher rates of identity fraud than in-person card payments.
High Chargeback Rates: It’s common for people to consume adult content, then feel ashamed when the transaction appears on their credit card statement. Many of these customers often file chargebacks to dispute the purchase and get their money back.