Sex
is free at Big Sister, which calls itself the world's biggest Internet
brothel, but that is not cheap enough for some men. Customers get the cut
rate in return for signing a form that allows the brothel to film their
trysts.
Even with this financial incentive, Big Sister's marketing manager, Carl
Borowitz, lamented that the global financial crisis had diminished the
number of sex tourists in Prague.
Sex is a steady demand, because everyone needs it, and it used to be
taboo, which made a service like ours all the more attractive, said
Borowitz. But the problem today is that there is too much competition,
too many free pornography sites, and people are thinking twice before
making impulse purchases, including paying for sex.
Big Sister is not the only brothel suffering the effects of a battered
global economy, brothel owners in Europe and the United States say
belt-tightening caused by the global financial crisis is undermining a
once-lucrative industry.
Egbert Krumeich, manager of Artemis, the largest brothel in Berlin, said
the recession had helped dent revenue by 20% in November, usually peak
season for the sex trade. In Reno, Nevada, the multi-million-dollar
Mustang Ranch recently laid off 30% of its staff.
Big Sister is not struggling as much as some; its revenue is largely
derived from the $48 monthly fee each of the company's 10,000 clients pay
for access to its website. But Borowitz said Big Sister hoped to offset a
15 per cent drop in revenue over the past quarter by expanding into the
United States. Big Sister also produces cable TV shows that air in Italy
and Britain, as well as DVDs.
In the Czech Republic, where prostitution operates in a grey zone, the sex
industry is big business, generating nearly $650 million in annual
revenues, 60% of which is derived from foreign visitors, according to Mag
Consulting, a tourism research company in Prague.
Dozens of cheap flights to Prague have also ensured a steady flow of
bachelor parties. In 2005, an average of 30 flights arrived in Prague
every day from Britain alone, a figure analysts said has dropped by a
third.
The strength of the Czech crown against the euro, lower spending power and
competition from even lower-cost sex capitals like Riga, Latvia, and
Krakow, Poland, were threatening one of the country's thriving sectors,
said Jaromir Beranek, director of Mag.
Many Czechs are more than happy to see Prague shrug off its reputation as
one of the world's top-20 sex destinations, but some in the hotel industry
are so alarmed by the drop in tourists that they are lobbying the
government to legalize the trade.
Jiri Gajdosik, manager of Le Palais, one of Prague's top hotels, argues
that regulating prostitution would help attract business by making
prostitution safer: We must ensure that the city loses its bad
reputation of a city where foreigners are afraid that they will be robbed.
The Czech government is considering passing legislation by the end of this
year that would require the Czech Republic's estimated 10,000 prostitutes
to register with local authorities. Not everyone is enthusiastic,
including the prostitutes themselves, who warn that being issued
prostitution identification cards would further stigmatize them.
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