Posts Tagged ‘charging’

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A study of media paywalls

February 18, 2010

This is a great piece of work by Alastair Bruce, content manager for MSN UK, showing how 30 online providers are charging (or not) for their content.

In short, freemium is the most popular model, full subscription the least popular.  Micropayments are being used, but not much.

Prediction?  Watch the increased use of micropayments as part of a freemium service.  And also, watch as some providers stubbornly refuse to charge for content, seeking alternative ways to remain financially sustainable (for example, The Guardian, which is experimenting with all sorts of approaches at present, such as providing its content via an API).

Charging for content

View more presentations from Alastair Bruce.

(hat tip Journalism.co.uk)

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Murdoch: get off my land!

November 10, 2009
Rupert Murdoch

Picture courtesy of Michael Albov http://www.flickr.com/people/44653897@N00

So that’s how it’s going to be, then.  Rupert Murdoch today hinted that his decision to charge for online content will be enabled by building walls and closing access by legal action.  Not very new media.

The decision to charge for content on News Corporation’s media sites around the world (which include The Times and The Sun in the UK, Wall Street Journal via Dow Jones and The Australian) seemed like the first step in a sensible direction for online media.

Coming just a week after he admitted his online payment plans are behind schedule, Murdoch’s interview on Sky News Australia reveals he is prepared to take a very heavy-handed approach to ensuring he creates a watertight system for monetising his online media assets.

Is this worth it?  While there is rock-solid logic to the argument for charging for media content when there is a cost associated with its creation and distribution, it’s not clear that issuing threats to sue the BBC will genuinely help the media industry move towards a sensible settlement with its customers.

What’s holding back online media is a lack of micropayment standards to allow them to make money from their work.  The focus should be on the establishment of a standard that allows users to pay for what they use, without onerous barriers to entry (so a mix of prepay and post-billed options would make sense).

Even if this is merely the opening parry in what could turn out to be a prolonged negotiation through lawyers and the media, its disappointing that News Corporation’s reputation with anyone other than shareholders seems to have passed the old dog by on this occasion.

I’m not suggesting Murdoch should be operating on behalf of anyone other than his own shareholders… but could you imagine Google looking after its own interests in such a blunt and one-dimensional way?