What is going to be the winning monetization model of the online news industry?
The news publishers are the ones who gain the biggest profits on the introduction of… a paywall model.
- This is an effective strategy to increase revenue based on restricting access to content via a paid subscription.
- It is used by the most influential world newspapers, niche magazines, and WordPress publishers.
Newspapers subscriptions statistics show that paywall monetization strategy brings profit and increases the number of subscribers which become loyal readers.
Let’s look at this example.
- In 2011, the “New York Times” introduced a metered paywall model. At the beginning, the readers were granted up to 20 free articles, then that number was reduced to 10 in 2012.
- Making changes followed by the analysis of the paywall effects allowed them to generate more than one million subscribers in 2015 which made up more than 15% of the title overall revenues.
If you want to know more about paywall, read this article: Paywall, does it pay to use it? All you need to know about a paywall.