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Tuesday, November 03, 2009

EMAP bets the shop on pay walls

As Paid Content points out, Emap has flip flopped on strategy for some time. Now all content on their web sites is to drop behind a pay wall. Unless there is an investment in new high value content there is little or no chance that many web users will chose to pay for news they once got for free.

A strategy that says we can't make money out of ads, so the users must pay, misses the point. If Emap can sell news to drapers I'll eat my hat.

Just last week the Sunday Times reported that Emap has asked its bankers for some discretion on its covenants. Trading is tough with revenues continuing to fall and cost cuts propping up profits. Unless Emap management has the resources and the nouse to invest in marketing and new content this pay wall approach will fail. Some in Emap have doubts too I have heard.

10/10 for bravery. Judgement reserved on implementation.

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At 1:05 pm, Anonymous Anonymous said...

Is good news for their rivals though, we can get all of their traffic. Lovely.

At 3:50 pm, Anonymous Anonymous said...

Traffic isn't worth anything though is it. Not unless you are talking about huge volumes to justify ads and business titles are generally not volume businesses. Once you figure out that its pretty obvious the only way forward for more niche titles is paid for. Whether it works is another thing but it has to be about the value you give them.

At 5:36 am, Anonymous Anonymous said...

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