Statement by Journalism Online Co-Founders in Response to American Press Institute Findings
Institute Report Comes as Journalism Online Passes 1,000 Affiliate Milestone
New York, September 14, 2009—Journalism Online, LLC, co-founder Steven Brill said that the results of a study released today by the American Press Institute (API) reporting that nearly 60% of American newspapers are "actively considering" initiating some form of paid access for their online content "is absolutely consistent with what we are finding in the United States and around the world." Brill added, "In fact, we think the proportion is already higher and that it's growing literally every day."
"In August, we announced that more than 500 newspapers, magazines and online-based news sites in the United States and around the world had signed Letters of Intent with us," said co-founder Gordon Crovitz. "Just one month later, we have passed 1,000, reaching more than 100 million online users, and the pace is accelerating." A key factor, Crovitz added, is that publishers have concluded that this is not an either/or choice between advertising revenue and circulation revenue. He said, "Publishers are focused on the revenue potential of a mix of free and paid access to their sites, with the 'freemium' approach increasingly popular."
The API's findings indicated publishers were "seriously considering 11 of 15 different options of which pay models to implement," Brill added. "That flexibility and diversity is also consistent with our view, which is why our Reader Revenue Platform™ has 16 different options for publishers."
"Publishers are crafting their strategies, from charging based on usage, to identifying content just for subscribers, to launching entirely new products," Crovitz said. "Affiliates will adjust our platform's 16 dials as they learn what works best for each site."
Journalism Online also recently announced that it will serve non-profit publishers by allowing readers to use their Journalism Online accounts to donate to their favorite organizations.
About Journalism Online, LLC
Founded in April 2009 by experienced media executives Steven Brill, Gordon Crovitz, and Leo Hindery, Jr., Journalism Online, which has more than 1,000 affiliate newspapers, magazines and news sites, will enable news publishers to generate new revenues from readers and distributors for their digital content and to restore the optimal mix of circulation and advertising revenue necessary to finance original reporting and editing. Journalism Online, whose services launch this fall, is pioneering the effort to make the transition to a paid online model successful for publishers while giving readers easy access to the news they want, when they want it, on the web and through other forms of digital distribution. For more information: www.journalismonline.com.