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The Blog Of David Marks

More on revenue sources and news content

Posted on | January 26, 2010 | No Comments

This is a follow up on this post about Newsday’s 35 paid subscribers 3 months after launching a pay-wall over their news content:

http://www.observer.com/2010/media/after-three-months-only-35-subscriptions-newsdays-web-site

It’s critical for publishers to match their revenue sources to their audience and product (content, or content aggregation). It’s very possible to sell high quality business content for this kind of subscription price, but consumers don’t value generic news content, or even local content, highly enough to pay directly for it.

Display advertising is one model that has worked, at least a little, for this kind of content. But in order for news to demand premium prices online, a lot more value beyond even good content is necessary. And there remain untapped opportunities for local advertising products to expand news company advertising revenue sources using their existing sales teams. Can they grasp the extent of transformation really needed to survive before time runs out?

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