For some time I’ve been fascinated by the development of online media and what sustainable business model there is for them. I’ve watched Rupert Murdoch’s approach closely (it’s obviously killing him to give anything away for free!) and followed the debate on paywalls. I was one of the few who actually subscribed to the Times online after the free trial.
The debate has been raging over the paywall versus the monetisation of clicks approach. And then there’s the fundamental question of do many people really want to read newspapers online at all?
The latest KMPG survey seems to suggest there is little mass market appetite for reading newspapers online and even less for paying for them. The champions of the paywall claim that content is the Holy Grail. Their proposition is that if you can supply something that is richer, more interesting or even just quicker, people will be prepared to pay. There is, of course, much merit in that, but I don’t think it’s the whole story.
Reading a newspaper is a leisure activity for most people. It’s not just the content, but the pleasure of relaxing over an interesting article. That might be over a mid-morning cuppa, in a Starbucks, a lazy Sunday morning in bed or wherever. And that, I think, is the crucial factor in the growth of online media consumption – paid for or not – the device.
There hasn’t been anything to match a good book or newspaper for the sheer pleasure of reading. Until recently. The iPad/Tablet has changed all that. There was never much fun in reading on a phone, no matter how smart it was. And curling up with a good laptop just wasn’t quite the same. But the iPad is different. It’s the right size and weight to use effortlessly in the reading situations we enjoy.
I have always been an avid book reader. If you had told me 18 months ago that I would be sat next to the fire in an evening reading off a tablet I would’ve laughed. The reality is that since having my iPad I haven’t bought a single ‘real’ book and doubt I ever will again.
Currently, despite all the hype, the penetration of iPad/tablet use is tiny – only 2% of the UK population possessing one. But predictions are that this will explode, with some analysts predicting sales of up to 100 million units next year.
I believe that this will have a huge impact on the consumption of online media and the success of paywalls for outstanding content.