Date: Thursday, August 2, 2007
Companies boot out subscription websites in favour of advertising revenue
Following a recent move by CNN, increasing numbers of media websites are abandoning subscription in preference of free content for users paid-for by advertising.
Companies are always trying to come up with the latest way to earn themselves more money, and it seems that publishers such The Economist, The Wall Street Journal and Emap have decided that the best way to do this from their websites is to offer free articles alongside adverts and additional charged content. In the past media companies charged visitors for using their cyber-based versions in the form of subscriptions. Now they are rejecting this form of revenue in favour of other money-making schemes such as online diet plans and discussions forums.
The Wall Street Journal (WSJ) was already enjoying large scale success with its members-only website with 931 000 subscribers, of which 33% of whom also received the paper version of the magazine, however they too have now changed over to a advertising-based model. However, they are still keen to encourage subscription to their print edition of the journal, which they promote online. The Economist are using similar tactics, as well as promoting their extra chargeable services. Emap, who own over seventy magazines such as FHM, Closer, Grazia and Today’s Golfer also offer free content in tandem with advertisements for products and services such as tee-time bookings. With this they say they wish to promote a website that is not just a copy of the print version, but a product that goes beyond media and into the realms of a service provider. It seems that many companies are set to follow suit, as with the latest launch of CNN.com which replaces the now defunct paid-for service of CNN Pipeline, which never proved that popular. Media moguls seem to have their finger on the pulse in reacting to current trends and responding to what the public want from their media websites.
Source:
Guardian
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