Posts tagged The Times
How advertisers can benefit from pay-walls: insights
Oct 15th
Tabloid News International title News of the World is the latest rag to come under Rupert Murdoch’s pay-wall. But will it survive?
When Murdoch launched pay-walls around The Times websites, the paper lost a half its readership in just the first two weeks. The London paper was forced to change its advertising strategy and even brought the Gorillaz on board to entice readers to the site.
The News of the World website, www.notw.co.uk, was relaunched today will access costing £1 for 24 hours or £1.99 for a four-week subscription.
The redesigned website will include exclusive news, showbiz and sport, plus unique videos and pictures and will also feature a number of new features including a new Quick Flick reader.
Murdoch has done the smart thing and added valuable content. But will it be enough to sway advertisers too?
Steve Elsham, head of media, SAS UK, reckons the paper has a tough job ahead of it in convincing readers to stay with it, let alone advertisers.
He says, “There is no doubt that the prevalence of online news and rapid rise of social networking sites is changing the way the public consumes and interacts with media outlets. As the News of the World follows its News International stable mates behind a pay-wall, we are reminded that traditional revenue models are being severely threatened.
“It’s true that media companies need to innovate if they want to keep audiences engaged and continue to attract advertising. But simply counting the number of unique visitors to a site and newspapers sales is not enough to persuade and give confidence to advertisers that their messages are reaching the right people.”
But it’s not all bad news. Elsham adds that media companies can use pay-walls to dig deeper by leveraging the information they hold on subscribers and use it to shape investment models to determine the best way to adapt in a rapidly evolving market.
He explains, “Only through accurate customer insight can broadcasters and publishers make the right decisions about what to focus their efforts on, be it online, print or video, or working with content creators and providers, to reach customers in a relevant way.
“It will be interesting to see if News of the World can leverage the extra customer data they could gain from online subscriptions into advertising revenue.”
Colin Myler, editor of the News of the World, isn’t worried at all. He said, “The News of the World is an unrivalled destination for scoops. The new website makes the most of this, giving digital customers the chance to read the week’s biggest stories first, along with exclusive video footage and pictures that won’t be available anywhere else. This is the News of the World and more, all at a great price.”
What do you think?
Will advertisers benefit from The Times’ pay-walls?
Mar 30th
News that Rupert Murdoch’s News Corp will be erecting pay-walls around two of its flagship UK papers – The Times and The Sunday Times – should be well received by advertisers. After all, they’ll finally have some definite demographics to work with.
The pay-walls will also coincide with the launch of the Apple iPad, which goes on sale next month. It is predicted to revolunitonise media and marketing by allowing advertisers to serve up interactive and engaging campaigns meaning that now, more than ever, it is most important to be delivering the right ads to the right audiences.
With subscription based content comes details. Those details mean more targeted, more effective advertising. And with that comes better, more traceable ROI.
And advertisers are looking to spend money this year.
According to Aegis-owned media agency Carat, global ad spend will increase by 2.9% this year and by 4% in 2011.
The agency’s global ad spend forecast for 2010/2011 reveals that the advertising market, which has suffered the worst decline since the 80s over the past year, is recovering, albeit modestly.
But there are a number of global events taking place this year that should help boost ad spend including the FIFA World Cup in South Africa, the World Expo in Shanghai and the Commonwealth Games in Delhi.
After losing a combined £88 million last year, The Times and The Sunday Times are desperate for a recovery in revenues.
If the News Corp papers can get advertisers on board by selling their position as having absolute data on their readership, then the mastheads have a good chance of recovery.
A good example of well-targeted advertising is the Financial Times. The paper has a very specific readership and thus allows advertisers to reach their intended audience. Its advertisers include those expensive watch brands, investment banks and first class airline seating. The likes of The Times, however, includes advertising ranging from supermarket brands, holidays, cars, TV programs and economy class.
When the pay-walls go up, The Times will be able to tell exactly who is reading, where they live, their age, their professions, their marital status, and the list goes on. There’s no limit to the amount of information the papers, and subsequently the advertisers, will have access to.
The Times is just the first of many that will implement pay-walls. It’s now up to advertisers to figure out how they can benefit.
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