media update’s Aisling McCarthy looks at what paywalls are, why media organisations are implementing them, as well as their pros and cons.
A paywall is a feature of a website that asks consumers to pay to access the content of the website. They are increasingly being used by media houses as a way to fund their writing. In previous years, paywalls were only used by big publications like the New York Times, and saw them seated as a premier source of news.
However, nowadays, paywalls are cropping up all over the place.
This rise in paywalls represents a significant shift in content available on the Internet, which has traditionally been available free, and paid for by advertising. As more and more print publications have ventured online, the paywall has risen in popularity, providing news sites with a revenue flow.
It is important to understand what it is that has caused this shift in media – the rise of ad blockers. This increase in ad blockers has directly hit the revenue of publishers, who rely on adverts as a major source of income. As a result, publishers need to identify new sources of income going forward.
Paywalls are being used by numerous publications, both in South Africa and worldwide. The
New York Times,
The Washington Post,
Business Day,
Financial Mail, and
Rand Daily Mail are among the likes of those investing in paywalls.
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Now that you know about paywalls, want to know more about the future of South African media? Read more in our article, Four predictions for South African media in 2018.