2. Agenda

3. March 17, 2011 launched in
2 weeks later
March 28, 2011 launched in
$ubscribe to continue
reading

4. March 17, 2011 launched in
2 weeks later
March 28, 2011 launched in

5. By December 2011 390,000
subscribers

6. Key issues of the case
How the
public
will
react?

7. unded
Herald Tribune, The Boston Globe and About.com
on
1851
Include
$2.3 billion
$57 million
TOP 3
$143 million

8. - 50%

12. 32 MM Unique Visitors
CPM Social U$ 0,56 X News U$ 6,99
“…visitors who are exposed to display ads
on news sites are more likely than average
to visit the advertiser website, are heavier
online buyers and tend to have higher
household income.”
Jeff Hackett, comScore senior vice
president

13. 20 free articles per month
Digit package costs $195 a year
380,000 paid digital subscribers

14. Attempt 1 (1996)
Website Launch
$35 per month overseas
Attempt 2 (2005)
TimesSelect
$45.95 per year

15. 4 options came to the fore

16. NYTimes.com + Smartphones $3.75
NYTimes.com + Tablet $5.00
All digital access $8.75
7 days $15.40
Friday-Sunday $10.80
Sunday $7.80
Monday-Friday $7.70
Digital Editions Print Home Delivery
Subscriptions PriceSubscriptions Price

17. Early Results
• 390,000 paid subscribers (Exhibit 12)
• Almost 70% of the print subscribers registered for digital access for free
• Key concern – the potential drop in website traffic and online advertising revenue
• In Q4 2011 the digital ad revenue for the Group increased by 5.3% (Table C)
• But print one declined by 7.8%
• For 2011 digital ads revenue = 28% of total ad revenue

19. Pest analysis
• No governmental regulations
• Freedom of expression
• No licensing requirements
• Revenues and subscriptions
had steadily declined
• The audience is not willing to
pay for online subscriptions
• the model of mass communication
had changed
• The internet is substituting the prints
• Various blogs, social media, web sites
• people’s perception of news
has dramatically changed
• prefer to simply browse
through the internet
Political
Technologica
l
Sociocultural
Economical

20. Five Forces Analysis
Bargaining Power of
Suppliers
Very Low
Bargaining Power of
Consumers
High
Threat of New Entrants
• printed newspaper –
Low
• online newspaper - High
Threat of Substitutes
High
Threat of Substitutes
High

21. B. Paywall
C. Pay as you go D. Sell the company and
go to Bahamas
A. Ad based model with
free content
What should
New York Times
do?

22. B. Paywall
C. Pay as you go D. Sell the company and
go to Bahamas
A. Ad based model with
free content
What should
New York Times
do?

23. Suggestions

25. The Future of Newspapers
Paywall
Some
experts
considered
it a success
Temporary
measure
for
declining
industry

26. The Future of Newspapers
Paywall
Is it
working?
Will
subscriber
s grow?
Digital will
cannibalize
print?
Will it
sustain in
the future?

27. Paywall
$3,75 / week
$6,25 / week
$8,75 / week
in 2017

28. in 2017
Vital moment in the life of
The New York Times:
A need for change

29. New York Times in 2017
Report Staff Way of Working
Vision for the Future:
What needs to be changed

30. Key Learnings