Five years ago, I would have jumped at the chance to be able to read November’s edition of Elle on my still very shiny new iPad. Since the launch in 2009 media and publishing dynamics have developed more than ever and those choosing not to adapt their business models are going to be left behind as magazine economics are constantly evolving. Hamish Mckenzie explains that magazine publishers are misidentifying their problems, striving to find new ways to distribute their packages without acknowledging that those very packages are fast becoming relics, a testament to a time past, when publishers had the power of platform and could demand that readers come to them. (2012).
With so many options in which content can be displayed a debate is sparked; which way is best though when it comes to free vs. paid content?
One key advantage of offering free content is that as a publisher you are not restricting yourself. I mean this in two different ways, firstly; there are ‘no barriers to your target audience finding out what you do. This provides your advertisers with the maximum reach’ (Morgan, 2011). But also it means it is far easier for individuals to sample content that they may not have if they had to pay a price. Ultimately diversifying your readership. This leads onto the question how do the publishers make a profit if they are offering content for £0? Well other than online advertising there are still many other ways in which they can benefit financially… A slightly different example to consider here is how digital magazines are making a profit. Pitchfork are creating magazines to supplement their online website. They are creating their magazine with lower circulations and content aimed at more niche audiences. (Bilton, 2014). They only produced 10,000 copies of the winter edition yet charged a higher price meaning they do not even need a massive readership t0 break even. “Having a subscription-based magazine made for a specific audience is a sensible, almost predictably boring business,” said Paul Carr (Bilton, 2014).
Carolyn Morgan disagrees when it comes to free content: You have to keep feeding the content monster, as recent content is essential to search and social media visibility; so free online publishing can turn into a high cost, low revenue project. Many of your visitors will just view one article and then go, so you need very high traffic to build your long-term customers (2011). This is one of the main arguments against offering free content; retaining those customers that do decide to use the digital platform provided. Of course it can be argued a paid strategy is more worthwhile; targeting those who are willing to pay for a service, allows a database to be created and a relationship to develop. The paid services enable the publisher to create a community, and offer a wider package of (priced) benefits. This approach also works for advertisers, who can reach the entire market through the free channel, target specific groups via the registered database, and establish deeper relationships with the paying customers. (Morgan, 2011).
In conclusion there are many ways in which magazine publishers can monetize their content online, it is simply a case of them adapting an innovative approach that works uniquely for them and consequently profits will be generated either way.
Word count ~ 550.
Bibliography:
Bilton, R. (2014). Why so many digital publishers are flocking back to print - Digiday. [online] Digiday. Available at: http://digiday.com/publishers/digital-publishers-reviving-print-corpse/ [Accessed 25 Nov. 2014].
Hazelwood, B. (2011). Time Inc. to Launch Digital Tablet Editions for All 21 U.S. Titles - Publishing Perspectives. [online] Publishing Perspectives. Available at: http://publishingperspectives.com/2011/08/time-inc-to-launch-digital-tablet-editions-for-all-21-u-s-titles/ [Accessed 25 Nov. 2014].
Johnson, H. (2011). Is There a Print Future for Literary Magazines? - Publishing Perspectives. [online] Publishing Perspectives. Available at: http://publishingperspectives.com/2011/05/print-future-for-literary-magazines/ [Accessed 25 Nov. 2014].
McKenzie, H. (2012). Magazines Don't Have a Digital Problem, They Have a Bundling Problem. [online] PandoDaily. Available at: http://pando.com/2012/08/13/magazines-dont-have-a-digital-problem-they-have-a-bundling-problem/ [Accessed 25 Nov. 2014].
Morgan, C. (2011). Free to Paid – How publishers can get the balance right. [online] Inpublishing.co.uk. Available at: http://www.inpublishing.co.uk/kb/articles/free_to_paid__how_publishers_can_get_the_balance_right.aspx [Accessed 25 Nov. 2014].
Osborne, H. (2012). Do you own your digital content?. [online] the Guardian. Available at: http://www.theguardian.com/money/2012/sep/03/do-you-own-your-digital-content [Accessed 25 Nov. 2014].
With so many options in which content can be displayed a debate is sparked; which way is best though when it comes to free vs. paid content?
One key advantage of offering free content is that as a publisher you are not restricting yourself. I mean this in two different ways, firstly; there are ‘no barriers to your target audience finding out what you do. This provides your advertisers with the maximum reach’ (Morgan, 2011). But also it means it is far easier for individuals to sample content that they may not have if they had to pay a price. Ultimately diversifying your readership. This leads onto the question how do the publishers make a profit if they are offering content for £0? Well other than online advertising there are still many other ways in which they can benefit financially… A slightly different example to consider here is how digital magazines are making a profit. Pitchfork are creating magazines to supplement their online website. They are creating their magazine with lower circulations and content aimed at more niche audiences. (Bilton, 2014). They only produced 10,000 copies of the winter edition yet charged a higher price meaning they do not even need a massive readership t0 break even. “Having a subscription-based magazine made for a specific audience is a sensible, almost predictably boring business,” said Paul Carr (Bilton, 2014).
Carolyn Morgan disagrees when it comes to free content: You have to keep feeding the content monster, as recent content is essential to search and social media visibility; so free online publishing can turn into a high cost, low revenue project. Many of your visitors will just view one article and then go, so you need very high traffic to build your long-term customers (2011). This is one of the main arguments against offering free content; retaining those customers that do decide to use the digital platform provided. Of course it can be argued a paid strategy is more worthwhile; targeting those who are willing to pay for a service, allows a database to be created and a relationship to develop. The paid services enable the publisher to create a community, and offer a wider package of (priced) benefits. This approach also works for advertisers, who can reach the entire market through the free channel, target specific groups via the registered database, and establish deeper relationships with the paying customers. (Morgan, 2011).
In conclusion there are many ways in which magazine publishers can monetize their content online, it is simply a case of them adapting an innovative approach that works uniquely for them and consequently profits will be generated either way.
Word count ~ 550.
Bibliography:
Bilton, R. (2014). Why so many digital publishers are flocking back to print - Digiday. [online] Digiday. Available at: http://digiday.com/publishers/digital-publishers-reviving-print-corpse/ [Accessed 25 Nov. 2014].
Hazelwood, B. (2011). Time Inc. to Launch Digital Tablet Editions for All 21 U.S. Titles - Publishing Perspectives. [online] Publishing Perspectives. Available at: http://publishingperspectives.com/2011/08/time-inc-to-launch-digital-tablet-editions-for-all-21-u-s-titles/ [Accessed 25 Nov. 2014].
Johnson, H. (2011). Is There a Print Future for Literary Magazines? - Publishing Perspectives. [online] Publishing Perspectives. Available at: http://publishingperspectives.com/2011/05/print-future-for-literary-magazines/ [Accessed 25 Nov. 2014].
McKenzie, H. (2012). Magazines Don't Have a Digital Problem, They Have a Bundling Problem. [online] PandoDaily. Available at: http://pando.com/2012/08/13/magazines-dont-have-a-digital-problem-they-have-a-bundling-problem/ [Accessed 25 Nov. 2014].
Morgan, C. (2011). Free to Paid – How publishers can get the balance right. [online] Inpublishing.co.uk. Available at: http://www.inpublishing.co.uk/kb/articles/free_to_paid__how_publishers_can_get_the_balance_right.aspx [Accessed 25 Nov. 2014].
Osborne, H. (2012). Do you own your digital content?. [online] the Guardian. Available at: http://www.theguardian.com/money/2012/sep/03/do-you-own-your-digital-content [Accessed 25 Nov. 2014].