A new study from the Pew Research Center shows consumers are reluctant to pay for their online news content, a serious issue for the media industry. The study, released March 15, found that only 7% of Americans would pay for online news content content, and 81% of those who reported having a favorite news site said they would look elsewhere if forced to pay for online access to that channel.
Amy Mitchell, deputy director at PRC's Project for Excellence in Journalism, told PRWeek: “This is going to be a big challenge this year. We're seeing a huge resistance from consumers against paying for online content, and without site loyalty it's going to be difficult for these news channels to charge for Internet subscriptions.”
She added: “That being said, news outlets are going to have to figure out some way to bring in revenue from this online content, and it will be interesting to watch how they tackle this problem.”
The study also showed some key findings on how consumers view online advertising. While 81% said they don't mind ads on Internet news channels, 77% say they largely ignore the ads. Forty-two percent said they “never” click on them, and only 21% say they “sometimes” do.
Any thoughts on how long these sites can survive with this type of pressure?