Australians are engaging with news in multiple ways like websites, apps, and social media instead of just print. Readers want portable formats for consuming news on the go during the work week. There is competition from both local and international sources for digital readers. Some newspapers have had success with digital subscriptions, like The New York Times which signed up over 100,000 subscribers in its first month and now makes more money from readers than advertising. Australian newspapers are experimenting with different subscription models like metered paywalls or only charging for mobile access while leaving the website free.
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Digital Subscription Trends Around the World Report
1. news+ launch
digital subscription trends around the world
week 5, 13 June 2013
Increases
in Australian
digital readerships
are not replacing
print declines
News readers engage
with ‘their’ masthead
in multiple ways:
web sites, Facebook,
apps, blogs
Readers are looking for
portable and travel-friendly
formats
during the
working week
the competition is local AND international
DID YOU KNOW?
A digital subscription
follows the person not the
device.
If you register with a social-media
ID, you get more free
news+ content.
Newspaper subscribers get
a full digital subscription free.
More newspapers on one
subscription.
Much cheaper than if you
bought a printed newspaper
every day.
Source: Magna’fy, June 2013, Magna Global Research
United Kingdom
$
United States
There are a number of
successes, despite a belief
readers won’t be prepared to
pay for news.
The New York Times signed
up 100,000 digital subscribers in
its first month.
Today, its 44.8 million unique
monthly readers contribute
more revenue than display
advertising.
$ $ $ i
676,000 digital
subscribers
731,000 print
subscribers
Source: ‘The Writings on the Paywalls’, D. Write, Australian Financial Review, 20 June 2012
WHAT MOTIVATES SUBSCRIBERS? PERCEPTIONS OF ITS VALUE-FOR-MONEY
51%
per week
full access
1%
8%
2.4 million
weekly readers
77,173 app
subscribers
32%
8%
per week
full access
what subscribers say
2%
$6
7%
14%
49%
Australia
3.2 million
weekly readers
120,963 app
subscribers
23%
5%
Digital
launch
2 July
2013
Digital
launch
2 July
2013
$6
Digital
launch
2010
Digital
launch
2011
I read it for my work/profession Greatly above expectations
It was free Above expectations
It is my preferred news source As expected
To understand Digital Pass and to see how it works Below expectations
To see what all the fuss was about Greatly below expectations
Other
Source: Digital Subscriber Research Wave, 1 February 2012, Jigsaw Strategic Research (n=1160)
a tale of two approaches
Content
rules
Premium and of high-perceived
value.
Business, sports
analysis, politics,
local news
(premium content).
£2 pw
first month web only;
£4 pw all formats
99¢ pw first
4 weeks;
$8.75 thereafter
IT’S ACCESSIBLE, IMMEDIATE & PORTABLE
Faster access to the latest news no matter
where you are
THE STORIES INTEREST ME
Engaging articles delivered consistently as
the trusted news source. Data visualisations,
personal digital archives and customised
content are strategies that can achieve this.
THE USER EXPERIENCE IS AWESOME
Simpler applications that improve the
content navigation, making it fun
COMPETITIONS AND INDUCEMENTS
Content and offers can be to ‘freed up’ to
drive traffic and grow subscriptions to the
newspaper (not just for new subscribers).
Source: ‘Fairfax unveils digital subscription plans’, P. Hannam, The Age, 6 June 2013
Admired and trusted.
A ‘required read’.
Different to the rest.
Readers more intently
involved.
45.3 million
unique readers
per month
19,000 digital-only
subscribers after
three months
WHAT MOTIVATES PEOPLE TO
SUBSCRIBE?
High engagement.
More time spent
on site by readers.
Bite-sized
clicks
High-turnover,
ubiquitous
Fame news, gossip,
sports results.
Keyword-focussed
Easy to find with
Google
High-volume traffic
Less time spent by
reader on page
Low engagement
Attractive to readers
who are information
‘snacking’.
Australians buy
over 18 million
printed or digital
newspapers
every week
Subscription
models
Metered
content
Free access to a fixed number of
stories and then charging for extra
content.
Preserves a higher proportion of
traffic (~80%) .
Larger subscription uptake than
subscription-only sites.
Free for
the web,
pay for mobile
devices
Readers are charged for the
portability of the content.
Usually the web site is free, and
readers made to subscribe for iPad
versions and smartphone apps.
Advertising
supported
All content is freely accessible.
Supported by various forms of
display advertising.
The Guardian, The UK Telegraph,
Independent and Daily Mail.
Free intro offers,
full subscription
Free introductory offers followed
by subscription-only. For example,
first month free, then $10 every
month thereafter.
Crikey.com.au
Parts
are free,
the rest
is paid
mium
Some sections remain free while
others will be accessible only to
those who pay.
Typically the free-web, paid-app
model is considered freemium.
A Hybrid
approach
A blend of any of the other
strategies
Source: ‘Fairfax unveils
digital subscription plans’,
P. Hannam,
The Age,
6 June 2013
Prepared by Reprise Media Australia, 100 Chalmers Street, Surry Hills NSW 2010 Australia. Telephone: +61 2 8373 2200. RepriseAUS @repriseaus reprisemedia.com.au