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In private chat rooms, viewers pay by the minute for a private show.

However in free chat rooms payment is voluntary and is in the form of tips, thus providing the model with an income at a minimal cost for the multiple viewers of her chat room's video stream.

The websites provide the transactional platform, and then collects and distributes a percentage of the tips to the models.

For public chat rooms, the model's portion of a tip is a little less than half.

However Amanda made an important early discovery that would influence the camming industry for decades to come – that a website's popularity could be greatly increased by enabling viewers to chat with a performer while online.Webcam performers are often highly entrepreneurial, and use mainstream social networking sites such as Twitter, Instagram, Snapchat, Skype, and Tumblr to build and maintain relationships with their customers.Some fans communicate multiple times a day with models through social media.However this is not the first time that conversational interaction had become a boon for the erotic entertainment industry.The Mitchell Brothers O'Farrell Theatre strip club is credited with the invention of the lap dance when during 1977 their new stage, New York Live, pioneered customer-contact shows with strippers that came off the stage and sat in the laps of customers for tips.

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Enabled with this new revenue stream for strippers, the strip club industry went through a period of extreme growth during the 1980s.

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