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Media, Communications & Trends

Becoming Media Literate

During the past few years, the crisis in journalism has reached the best proportions to have a good business model. In a near future, newspapers, magazines and network-news sites will employ no more than a dozen of reporters.

But however, there is an odd fact in this crisis : newspapers have more readers than ever. Their content is more popular than ever, even among young people ! But people doesn’t buy more newspapers and doesn’t pay it. In fact,  more people got their news online for free than paid for it by buying newspapers and magazines. And can we blame them ? Of course, not !

In this situation, the actual business model is unbearable ! Of course, it appears that web advertising is booming but it is not enough to support the system. Besides, web advertising don’t work very well in fact.

It is important to know that newspapers and magazines traditionally have had three revenue sources: newsstand sales, advertising and subscriptions. All of theses revenues sources don’t work very well, so it may be interested if we arrive to equilibrate all of them at the same level. If people doesn’t buy newspapers in stands and if they prefer read news on the newspapers’ websites, we can incite them to pay the content online directly. And in this way, subscription and newsstands sales can be replaced by subscriptions online and micro payments.

Finally, with advertising online and micro payments, this new business model can work.

Lot of newspapers like Times are decided to change their business model in developing micro payments. For example,  if people want news on the website of Times they have to pay a little sum (less than 1$) to have access to it.

So, e-commerce and micro payments may be the new recipe (if it woks !) for newspapers to survive !

It’s worth keeping an eye on !

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