I have recently been concentrating on research for my Personal Research Product within which I am focusing on the News Media Publishing industry and how it has been effected by the Internet and the challenges brought with it.
After some brief research into online business models for news organisations, I soon came accross Rupert Murdoch's strong views on the availability of online news content. His ideal web involves news platforms that are viewable on a subscription only basis; his main obstacle being the BBC who are obliged to deliver free online content.
However, determined to change the outlook for online news content, Rupert Murdoch's News Corp made a very brave decision in July of this year by making their website for The Times newspaper viewable to users on a subscription only basis.
I thought this was very interesting and helpful to my research into a news media publishing industry that is constantly being re-shaped. It has made me think; is this the mainstream birth of a widely adopted business model for online news? Or will it simply fail to hold water in an age where there are endless free alternatives?
Early signs are inconclusive. Four months after the 'paywall' went up, 100,000 people have paid to use their website in addition to a further 100,000 who are given free access as they subscribe to the printed version. However, website visits have decreased by 87% from 21 million unique users per month to just 2.7 million. Having said that, The Times themselves actually admitted that they "fully expected at least 90% of the audience to depart". So having lost 87%, can the move be deemed a success?
I suppose time will tell!
