Monday, March 02, 2009

The problem in the online model is that advertising is given away

Paul Robinson takes a look at the perennial question of paid sites over at his innovation in software blog.

The problem, it seems, is a colossal error made by most newspapers in offering you all their content without asking for some money from you. Their reasoning is that this forced them into the route of monetising their websites through advertising. This has never been profitable from the day they first did it. Now, they argue, the time has come to change all this and you must pay.


The main revenue for the media is advertising he argues and for the online model,advertising is free

Phone any regional newspaper title in the country and speak to their ad sales team. The conversation will result in them offering you a rate card for the print edition. Sound sceptical about the costs and benefits. They will offer space online for free. Every time. I know, because I’ve spoken to quite a few ad sales teams in the last year.


It is the old argument about shutting the stable door after the horse has bolted.But again the problem comes back to the time when news organisations started putting their content online and didn't understand the web


Ht-Martin Stabe

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