Promotions and offers designed to generate business
Important source of tax income for some cities.
Romanian prostitutes pose in the brothel "Pussy Club" in Schoenefeld. In Germany where prostitution is legal, and unusually transparent, the industry has responded with an economic stimulus package of its own. -- PHOTO: REUTERS
BERLIN - IT DID not take long for the world financial crisis to affect the world's oldest profession in Germany.
In one of the few countries where prostitution is legal, and unusually transparent, the industry has responded with an economic stimulus package of its own: modern marketing tools, rebates and gimmicks to boost falling demand.
'Creative solutions'
BERLIN'S 'Pussy Club' has attracted media attention with its headline-grabbing 'flat rate' - a 70-euro admission charge for unlimited food, drink and sex between 10 am and 4 pm.
'You've got to come up with creative solutions these days,' said club manager Stefan, who requested his surname not be published. 'We're feeling the economic crisis, too, even though business has fortunately been more or less okay for us so far.
ECJKI Krumeich, manager of upmarket Artemis Club in Berlin, said he resisted pressure to cut prices, although senior citizens and taxi drivers get a 50-per cent discount on the 80-euro admission fee on Sundays and Mondays.
'Naturally, we're keeping an eye on the overall economic situation and making contingency plans,' said Krumeich, who said his 'wellness club' is one of the largest in Europe with about 70 prostitutes.
Some brothels have cut prices or added free promotions while others have introduced all-inclusive flat-rate fees. Free shuttle buses, discounts for seniors and taxi drivers, as well as 'day passes' are among marketing strategies designed to keep business going.
'Times are tough for us too,' said Karin Ahrens, who manages the 'Yes, Sir' brothel in Hanover. She told Reuters revenue had dropped by 30 percent at her establishment while turnover had fallen by as much as 50 per cent at other clubs.
'We're definitely feeling the crisis. Clients are being tight with their money. They're afraid. You can't charge for the extras any more and there is pressure to cut prices. Everyone wants a deal. Special promotions are essential these days.'
Germany has about 400,000 professional prostitutes. Official figures do not distinguish between the sexes and the number of male prostitutes is not known, but they account for a small fraction of the total and are treated the same under the law.
In 2002, new legislation allowed prostitutes to advertise and to enter into formal labour contracts. It opened the way for them to obtain health insurance, previously refused if they listed their true profession.
Annual revenues are about 14 billion euros (S$27.1 billion), according to an estimate by the Verdi services union. Taxes on prostitution are an important source of income for some cities.
Prostitution is also legal and regulated in the Netherlands, Austria, Switzerland, Hungary, Greece, Turkey and in some parts of Australia, and the U.S. state of Nevada.
In other countries, such as Luxembourg, Latvia, Denmark, Belgium and Finland, it is legal but brothels and pimping are not.-- REUTERS
