"When photographers do fashion shoots that aren't porn, they don't insist the model remove their genitals first, just in case they get in the way."

Those fashion shoots can get pretty hairy (NPI) apparently one of the job assignments for the assistants is trimming the protruding evidence of feminine hygene products products of models who prefer not to wear bloomers. Sorry, can't find the original article that listed that and equally odd revelations. Credit to Chrissy Teigen.

"If you can buy a gun and kill someone …"

Simple. In the US at least, the NRA owns the souls of enough pols to make it that way - 3D content creators don't. Add in the fact that there must be only two or three people buying all those nekkid videos 'cause that's all you'll see actually willing to defend it in public. Throw in the word "children" in any way, no matter how ridiculous and even that tiny cadre gets real quiet. So, children slaughtered by guns, so sda - children exposed to nekkidness has to be avoided at all costs. That's just the way we roll. Caution is always in order in a litigious society but, but there's a difference between at best paranoia and at worst, a straw man argument. There are plenty of things someone can do (and many have done) with a neutered figure that some ham sandwich indicting prosecutor could in theory go after. If we discover that Ariel Castro rendered nude Vickies tied up in a basement before doing it for real, do we charge DAZ for incitement? Anyone who's going to be deterred by those possibilities is probably better off modeling teapots and hoping none of their customers gets steam burns on their penis IRL, cause they just may sue. On the plus side, maybe he'll be too badly burned to pass on his addled genes.

As to the question, I don't think many people would refuse to buy an otherwise quality figure just because it was AC. Personally, I don't even see the need for a way to hide the goods, since presumably they won't be any more obvious than some of the current figures unless you twirl the morph dials. Maybe people feel a need to be protected from themselves, who knows. It is not a subject known for promoting rational thought. Some people who sound like MDs discussing this or that muscle group are reduced ti childish babble words when a vagina appears. A certain amount of sensitivity is fine and I enjoy a bit of Beavis & Butthead adolescent fun (ehhh, he said cooter), but seriously. And Lord knows why people can't say renderotica (oooh, the 'other place') - heads up, it ain't against the TOS if you don't link to it. 

For me, cost would be the only factor. Since I haven't done anything requiring said features in some tim, and may not often in the future, I might be reluctant to pay a signifivant premium just to have it - again depends on how much I liked the figure otherwise. In the past, the bane of add on props has always been texturing and posing, plus it just makes sense the have the genetalia be organic to the figure IMO. I think some already mentioned the marketing thing. Tailor your marketing to the venue. Here, just mention the detailed AC features. You're not going to be able to show them here anyway. At renderotica, you can emphasize those elements. If possible, you might make the genital morphs a free add on that could be obtained on request. That might minimize the 'taint' - and yes, clever readers of the Southern persuasion, that could be a hilarious pun.

Sorry to say that actually the more you discuss it, the greater the chance that the figure will be perceived as a 'porn figure,' and that might actually decrease the number of potential customers. Luckily, the vast majority probably don't haunt the Poser forum here and many don't go to renderotica - might want to produce it under another name anyway. Needless to say if she's only available at 'the other place' you're limited. Oh, and come up with a name that in no way suggests anything, you know … no Bits, no V-Jay, no Uvula (might confuse the dyslexic), etc.  Best wishes, carry on and good luck.

HAMLET: Lady, shall I lie in your lap? [Lying down at OPHELIA's feet]
OPHELIA: No, my lord.
HAMLET: I mean, my head upon your lap?
OPHELIA: Ay, my lord.
HAMLET: Do you think I meant country matters?

Hamlet (Act III, Scene 2)

"Democracy is a pathetic belief in the collective wisdom of individual ignorance." - H. L. Mencken