1. Paywalls: an update Peter Kirwan

2. Six paid content models Total lockdown Metered Freemium Time-limited Site licensing Pay-per-view

3. News International The most aggressive paywall experiment: Times/Sunday Times: July 2010 NoTW: October 2010 Marketing costs? Traffic reduction? Social interaction? Unique ad sales challenge The “newsletter” challenge: deep & focused Eight months on, there is (still) no Plan B.

4. News International: Metrics News statement: November 2010 After four months. . . 100,000 print subs activate web access 105,000 “paid-for customer sales” c.50,000 “monthly subscribers” Web subs, iPad & Kindle “Many of the rest” “Single digital copy” or PAYG web subscribers

5. Times/Sunday Times: “Unofficial” Metrics Online: 54% w/ household income over £50K iPad: 60% with household income over £100K Multichannel sub reach: up by 40% (July-Nov) App frequency: 74% of subs daily or more Web frequency (per user): x6 Times Online: One visit per fortnight New sites: 3 visits per week

6. News International: Metrics GNM’s leaked analysis (for September 2010) 54,000 users/month behind the wall 28,000 = print subscribers 26,000 = “specifically paying for digital content” Many digital-only subscribers ex-UK (13,000) UK audience demo bias: Male, 45+, south-east News junkies (more likely to visit other news sites than non-subscribers) Data from Experian Hitwise

7. The end of Times Online: reactions Source: O&O, November 2012 (2,737 respondents)

8. News International: Metrics Times/Sunday Times: Home page traffic UK uniques, December 2010: 1.22m UK uniques, January 2011: 1.61m For comparison: Telegraph =4.3m (Jan 2011) Conversion rate (January data): At 0.6% = 9,660 new web subscribers per month Source: UKOM/Nielsen, January 2011

9. Social marketing

10. Social marketing Caitlin Moran on Twitter: 66,000 followers Times/Sunday Times: 250,000* digital subscribers (all platforms) * = estimate (mine)

11. Ad agencies: “My overall experience of dealing with this publisher is good” Source: IPA Digital Media Owners Image Survey, 2009-2010

12. News International: Known unknowns Those “disappointing” sign-up figures Opaque: over-interpreted? What’s your yardstick? Millions? Thousands? Home page traffic: strong & rising @0.6% conversion rate = 116K web subs/year If all purely digital = £12m/year Minus churn, plus renewals Sky-News bundling to come? Ad revenue: the great unknown

13. News from elsewhere Telegraph.co.uk Paid content site launch, September 2011 Metered, with “very generous” allowances Big print subscription base = 325K (52% of circ) Huge store of demographic information Well-regarded online sales team Competition double-edged for News: Reinforce idea of paying for content Competition for similar eyeballs

14. Free-to-air: Mail Online Mail Online: 54m uniques per month (ABCe) Two-thirds ex-UK Clear editorial strategy Los Angeles bureau World’s 2nd largest English-speaking “news” site India? BRICS? Reliance on ad networks in US

15. Free-to-air: Mail Online DMGT: B2B = growth Executive enthusiasm but. . . Board-level commitment? Question: how will DMGT handle investment? Risk of spreading resources too thinly Shareholder response to new capital allocation

16. Free-to-air: The Guardian GNM: £40m digital revenues budgeted 2011 ?£5m = non-advertising Strong online display recovery Paid content at Kings Place? Mr Marx’s cash cushion: vs. cyclical online display mkt International ambitions (US, Latin America. . .) Online display: 5-10 years of 10%+ YOY growth So: take the paywall money? Or intensify free-to-air investment?

17. Not your dad’s idea of paid content In the wake of dot.com crash, UK nationals experimented with online paid content. Crosswords, archives, bingo. . . but rarely the core product. This is different.

18. + contextual differences 48% of 82 European national papers offering paid online content (2007) B2B: fall of classified & rise of data/workflow approaches In consumer, some investment in value-added (Telegraph+?) Online display can underwrite digital future for some, but not all. . .

19. Peter Kirwan @petekirwan peter.kirwan@fullrun.com www.fullrunner.com