entertainment

Would you pay for online content?

Obviously, your answer is that you would pay untold millions to
access Mamamia. That goes without saying. But the issue of paying for
online content just refuses to go away and while it’s something that’s
often debated by me off-line, we’ve never actually discussed it here.

As the BBC reported online (for free) last year:

Mr
Murdoch said he was “satisfied” that the company could produce
“significant revenues from the sale of digital delivery of newspaper
content”.”The digital revolution has opened many new and
inexpensive methods of distribution,” he added. “But it has not made
content free. Accordingly, we intend to charge for all our news
websites. I believe that if we are successful, we will be followed by
other media. Quality journalism is not cheap, and an industry that
gives away its content is simply cannibalising its ability to produce
good reporting,” he said.

In order to stop readers from moving
to the huge number of free news websites, Mr Murdoch said News Corp
would simply make its content “better and differentiate it from other
people”.

And as Margaret Simons from Crikey reported yesterday ($150 for an annual subscription):

“It’s
going to be the media issue of the new decade: whether or not Rupert
Murdoch can succeed in his plans to persuade newspaper readers to pay
for content online.It’s a grand experiment, with success or failure likely to determine a great deal of the future of journalism.

Australian
researchers working with the international World Internet Project have
conducted their first survey on whether and how much Australians will
pay for content online. The results have been released to Crikey, and
they are depressing for Rupert.

Seven out of 10 Australians
would not consider paying anything at all. Young people were
particularly against the idea, with three quarters saying they would
not pay.

It gets worse.

News junkies — those who
turn to the web for local or national news several times a day — are
actually the people least prepared to pay for online news, according to
what they told the researchers. Yet those who turn to the web for news
once a day are the most likely to pay. Go figure. It should be said
that the numbers or respondents involved are small, so the results for
this question should be treated with caution.

The survey also
looked at willingness of readers to consume large amounts of text
online, and found that those who were prepared to read long articles
and essays were slightly more likely to consider paying for them — but
still under half were prepared to pay.

This suggests that ease
of reading could be important, and is relevant to the reports that
Rupert’s plans include a “cool new toy” or exclusive deal with one of
the e-readers shortly to hit the market.

In late 2009, 800
Australian internet users were asked how much they would be prepared to
pay to read an online newspaper, given that a daily print newspaper
cost about $1.50.

The detailed results, with cross tabulations for age, locality and degree of news-junkiness, will be on my blog later today.

Now,
surveys only tell part of the story. It is one thing to ask readers in
the abstract whether they would pay for news, when at the moment they
are used to getting it for free. How they would actually behave if much
of their favoured material became otherwise unobtainable is another
issue.

The “cool new toy” is also likely to have an impact. We
know that people are willing to pay small amounts for data that is
available elsewhere for free, if it is delivered to them on a mobile.

[you can read the full article on the Crikey site here]

All too often this issue is made out to be about Rupert Murdoch and
News Ltd, media behemouths who do not really inspire a huge amount of
empathy or goodwill among the general population who feel that Rupert
is rich e-bloody-nuff.

But it’s not just about Rupert. It’s about all the independents
(hi!) who don’t have the revenues and infrastructure from old media
assets to fund new media ones the way Rupert and News Ltd can.

This is not a sob story from me so don’t think I’m coming cap in
hand. You can see some ads on this website and yes, we have begun to
earn some revenue around here. For more than two years I didn’t earn a
cent from Mamamia and we are still not in profit but that has been my
decision to launch and maintain my own site. So Don’t Cry For Me
Argentina.

I wanted to start a website. I wanted to connect with others. I
wanted an outlet for my writing. I wanted to create a community of
smart, interesting and supportive people. Becoming Bill Gates was not
my main motivation.

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My advice to anyone who wants to start a blog is always “Don’t do it for the money because you will be disappointed. And poor.”

However. Having said all that, I do feel that what I do here and
what I write is worth something. I wouldn’t write my newspaper column
for free. I wouldn’t do my public speaking for free. You wouldn’t do
YOUR job for free either I’m guessing.

But the truth is that the advertising model (particuarly for big
news organisations) is not sustainable. Providing content – decent
content – costs money. It’s an investment of time and resources on the
part of the content provider. There are a bunch of other reasons why
the free model isn’t sustainable for most people, most of which are of
no interest to you because you have more content – FOR FREE – than you
can possibly read in a lifetime.

Why would you pay for it? Good question. I don’t have the answer. I
certainly wouldn’t pay for everything I read online although some of it
I would. If I had to. Maybe it would be a relief. A time saver. Maybe
it would make me more selective about what I chose to pay for instead
of drowning in a sea of free crap (which is what going online sometimes
feels like). Quality not quantity.

I will say though, imagine if someone had told you 10 years ago that
you’d be paying up to $4 for a bottle of WATER. The same stuff that you
can currently get free from a tap.

You would have laughed. Now look around you and tell me if there’s a
plastic bottle of water nearby. Same with music. A few years ago when
we were all merrily downloading songs for free from Napster etc, the
thought of PAYING for music was a joke. Not laughing anymore.
Particularly when I look at my itunes bill.

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Even now, I know I could download TV shows for free via bit torrent
but I don’t. I do it the legit way via itunes. Does that make me a
nerd? A good citizen? Eligible for some copyright karma?

Currently, the internet relies on a huge amount of goodwill. I do
not pay for content that appears here that’s written by others. Like
me, they have their reasons for wanting to access the Mamamia audience.
Similarly, I have written for other sites which largely exist on free
editorial content. One of which – The Punch –  is owned by Rupert Murdoch.

We’re all working for our own motivations….whether we write to
increase our profile, our Twitter followers, traffic to our own
websites via hyperlinks or to build a CV of published work on reputable
sites.

But ultimately is it sustainable? Why have we become so accustomed to paying nothing for something we supposedly value?

What do you think? Is there anything you’d pay for online? News? Editorial? Nude pictures of the cast of Mad Men?

And if you had to pay for what you read online, how would it change the way you use the internet?