No Music in That News, Part 2
David Carr followed up his earlier NYT piece with a second (reg. required) on the same theme - young readers and their relationship with free online content.
Here's the money quote: "Now if I can just figure out how to render this column as an electronic tone poem, I can get in on the action."
In admitting publicly that under-20s are willing and happy to pay for ring tones, Carr has highlighted a stark reality: Young readers will not pay to read, at least online. They don't want the product Mr. Carr has on offer.
Like those good folks who built buggies, he might have to get used to seeing his craft suffer some serious blows - and potentially become uneconomical. (In fairness to buggy-makers, there are some bespoke builders out there getting big money for custom carriages.)
He doesn't seem to understand that, though: "But in giving away content to match the Web's unrecompensed goodies, traditional print media is eating its own lunch." They're not, really. They're trying - desperately - to get online readers to value their work at something more than zero.
But many readers aren't responding - just as customers didn't respond over time to horses and buggies, the longbow, PopRocks, or leeches (although leeches are enjoying a nice comeback).
Additionally, Mr. Carr's sense of economics might be a bit off, or at least point to the futility of his plaintive cry: In arguing for a 99-cent price point for a column (equating one with an iTunes song download), he could be vastly inflating the value of a columnist's work. At current CPMs of roughly $10 for general news sites, each view of a piece is worth roughly 1 cent - a hundred times less than what he proposes.
Now an argument can be made that a reader might want to read 10 things in a given daily paper, valuing each at 10 cents (1/10 of the Times' cover price), so that an online paper acts as a storehouse for a personalized paper - but that's still 10 times less expensive than his pricing model.
Lastly, the content is being paid for, at market rates, by advertisers. Most papers make the bulk of their money from advertising these days anyway; to send the cover price the way of the dinosaurs will mean a shock to them but not economic ruin. Writers hate this idea, but it's likely the reality.
Television networks rose to become multi-billion-dollar enterprises on the advertising model alone; with so many choices for readers, individual writers' work will struggle to be valued very highly, except in exceptional cases...or as niche products, like $100,000 buggies.
Here's the money quote: "Now if I can just figure out how to render this column as an electronic tone poem, I can get in on the action."
In admitting publicly that under-20s are willing and happy to pay for ring tones, Carr has highlighted a stark reality: Young readers will not pay to read, at least online. They don't want the product Mr. Carr has on offer.
Like those good folks who built buggies, he might have to get used to seeing his craft suffer some serious blows - and potentially become uneconomical. (In fairness to buggy-makers, there are some bespoke builders out there getting big money for custom carriages.)
He doesn't seem to understand that, though: "But in giving away content to match the Web's unrecompensed goodies, traditional print media is eating its own lunch." They're not, really. They're trying - desperately - to get online readers to value their work at something more than zero.
But many readers aren't responding - just as customers didn't respond over time to horses and buggies, the longbow, PopRocks, or leeches (although leeches are enjoying a nice comeback).
Additionally, Mr. Carr's sense of economics might be a bit off, or at least point to the futility of his plaintive cry: In arguing for a 99-cent price point for a column (equating one with an iTunes song download), he could be vastly inflating the value of a columnist's work. At current CPMs of roughly $10 for general news sites, each view of a piece is worth roughly 1 cent - a hundred times less than what he proposes.
Now an argument can be made that a reader might want to read 10 things in a given daily paper, valuing each at 10 cents (1/10 of the Times' cover price), so that an online paper acts as a storehouse for a personalized paper - but that's still 10 times less expensive than his pricing model.
Lastly, the content is being paid for, at market rates, by advertisers. Most papers make the bulk of their money from advertising these days anyway; to send the cover price the way of the dinosaurs will mean a shock to them but not economic ruin. Writers hate this idea, but it's likely the reality.
Television networks rose to become multi-billion-dollar enterprises on the advertising model alone; with so many choices for readers, individual writers' work will struggle to be valued very highly, except in exceptional cases...or as niche products, like $100,000 buggies.
