When people see a pay wall they run.

According to an article in the Media Daily News, Variety has seen its page views drop 40 percent ever since it put up a pay wall in December.  Also Newsday has seen a decline in its page views ever since it put up that infamous pay wall a few months ago.

This is not surprising, considering the fact that no one wants to pay for online content, especially when they can get it for free elsewhere.

More importantly this shows the business model of a subscription might not work as well as some think. In my mind the only way a pay wall will work is if the consumers options are exhausted. If Newsday becomes the only site to get local news about long island then they will have no choice but to pay up.

Because I don’t see newspapers becoming popular torrent downloads.

Also a subscription to a group of sites makes more sense. For example if NewsCorp charged a subscription to all of its news sites it would make more sense to pay because you’re getting more for your money.

But the model that I think will really work is the metered one. But we will not know how effective it will be until the New York Times tries it out next year.


Leave a Reply

Fill in your details below or click an icon to log in:

WordPress.com Logo

You are commenting using your WordPress.com account. Log Out /  Change )

Google+ photo

You are commenting using your Google+ account. Log Out /  Change )

Twitter picture

You are commenting using your Twitter account. Log Out /  Change )

Facebook photo

You are commenting using your Facebook account. Log Out /  Change )


Connecting to %s

%d bloggers like this: