Tuesday, October 6, 2009

Murdoch money

The emerging online Times and Sunday Times business model from News International is a tad old-fashioned. £50 a year looks like the price to sustain access to premium content, through adapted membership of "reader clubs" like "Travel+" or "Culture+", the odd clusters of discounts-you'll-probably-never-use (cabin upgrades with our cruise partners Swan Hellenic). Travel+ and Culture+ come free with print subscription at around £26 a month, so it may be that web access comes free with the hard copy deal.

These "clubs" make more money for News International by getting direct debit payments, setting minimum periods for subscription, and making a profit out of deals with "discount" suppliers of holidays, meals, cinema tickets, theatre tickets etc. And more out of customer inertia, failure to cancel etc. And, for print deals, you generally have to take a voucher to the newsagent.

So there's no sign of micropayments, or anything fresh and revolutionary.

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