I am a Mount Holyoke College Graduate.
I am a Mount Holyoke College Graduate.
The issues of online ad revenue and audience reach has been an issue for journalism in the digital world since it’s birth. There is no way that online ad income can ever compare to print, so other options have been explored. Click through and sell through advertising models have proven largely a disappointment and so firewalls and paid content are now a more viable option.
A free, ad-based strategy may have made sense when online was a small, supplementary business for newspapers. Now that various digital platforms are becoming the medium of choice for so many readers, it makes sense to charge for what is expensive to report and edit professionally.
However, even the most promising streams of digital subscription revenue can’t compensate for the declining print revenues for advertising and circulation. But as news organizations begin assembling other collections of revenue to make up as much of that ground as possible, digital subscriptions will surely have a role.
The American Press Institute (API) has surveyed the many options currently being discussed for paid content and “fair use” fees from Google and other aggregators, and basically endorses them all as a remedy to what ails the newspaper business.
In a 31-page white paper prepared for last week’s newspaper executive’s summit in Chicago, API concludes, “newspapers can make the leap from an advertising-centered to an audience-centered enterprise” and should get on with it immediately.
The report, titled Newspaper Economic Action Plan, recommends that industry leaders follow five new “doctrines.”
True Value. Establish that news content online has value by charging for it. Begin “massive experimentation with several of the most promising options.”
Fair Use. Maintain the value of professionally produced and edited content by “aggressively enforcing copyright, fair use and the right to profit from original work.”
Fair Share. Negotiate a higher price for content produced by the news industry that is aggregated and redistributed by others.
Digital Deliverance. “Invest in technologies, platforms and systems that provide content-based e-commerce, data-sharing and other revenue generating solutions.”
Consumer Centric. Refocus on consumers and users. Shift revenue strategies from those focused on advertisers.
It can be argued that putting all content behind a firewall will result in substantial traffic loss and audience reach because people will refuse to pay. Financially, it is not an issue. Micropayment methods make more money with fewer viewers. Not to mention that more and more online content is found behind firewalls so viewers will most likely not travel to other sites for their content.
The reduced risk of losing viewers, along with modestly encouraging early subscription results, should be enough to provoke some serious thought among the late adopters. Given the long-term vulnerability of online advertising prospects, news organizations owe it to themselves to explore the possibilities for online subscriptions.
For example, take The New York Times; It has built the best trafficked Web site among American newspapers. The NYT, with fellow national titles The Wall Street Journal and USA Today, has maintained paid circulation much better online circulation at a subscription price more than double what anyone else charges. Because online ad growth has slowed to almost zero, this new model must be implemented.
Interestingly, most agree that paid content has improved digital attitudes in the newsroom. Said Jim Roberts of The New York Times: “There is more of an investment I feel in the newsroom among our journalists since the introduction of the paywall. They feel a greater stake in the product. People seem a little more willing to work on a piece of video, file early for the Web, etc.”
What is becoming an increasingly bigger problem on the Internet is the amount of information available. We live in a country which guarantees freedom of speech, so should the government step in when it can be harmful to its citizens.
Professor, software developer and author, Herbert H. Thompson decided to run his own experiment ‘to see how vulnerable people’s accounts are to mining the Web information.’ Thompson asked his friends permission to attempt to hack into their accounts. The results were staggering. Access to a few simple things such as a Google search, a public blog and online resume he was able to ascertain bank information by logging onto his friends’ email accounts. “To be clear” Thompson wrote in his article for American Scientific in August 2008 “this isn’t hacking or exploiting vulnerabilities, instead it’s mining the Internet for nuggets of personal data.”
Now, this was in 2008, almost four years ago. Imagine what people who are just ‘mining the Internet’ are capable of now.
I have always been a fan of regulation. I am an idealist at heart and want to believe that my government is going to work in my best interests, protecting me every step of the way. But not everyone feels this way.
When talking about government regulation we walk a fine line of freedom versus security. If we allow the government to begin to regulate the Internet we will be allowing what countries like China and Russia already do; they censor. In comparison, countries like Spain, Germany and France use their Internet regulation solely for the purpose of protecting its citizens. Websites that are seen as an invasion of privacy such as GoogleMaps are not permitted. As a whole, the European Union is always quick to prevent privacy invasion, where as the United States usually always leans towards “laissez faire.”
One of the biggest problems with this glut of personal information is that we put it out there. The internet gleans most of it’s information from consumers. We upload pictures on Flickr, use online banking, put our birthdays on FaceBook and we blog intimate details about our life. More than that, when we sign up for things online, anything, shopping, newsletters or a new email account, who really reads the ‘terms and conditions’ for all we know we could be selling our souls. But what can be so bad, everyone else does it, right?
As part of spending last fall abroad in Prague, Czech Republic, I obviously traveled a lot, and took a lot of pictures. This is my submission for Mt Holyoke’s Global Insights photo contest.
October 3rd 2011 was not only celebrated as the 20th anniversary of German unification, but it also marked the end of World War I as Germany paid it’s last debt reparations imposed by the Treaty of Versailles. On that day, as I watched the sun set over the Brandenburg Gate in the country’s capital, Berlin, I watched the sun set on that time in history. Germany today is completely different than it was 92 years ago. Now a world power Germany boasts a robust economy, military and political authority. Behind Germany there is an inspirational saga in where an entire country rebuilt itself from the ground up.