by Mike Masnick
Mon, Aug 9th 2010 9:48pm
One of the claims we regularly hear from supporters of online newspaper paywalls is that even if it decreases page views, it can actually increase ad revenue, because the publisher has a lot more information about the audience and can sell that for more -- and, in theory, the audience is more loyal and engaged. We still haven't seen that in practice, of course. And it's worth pointing out that Cablevision, who put up a disastrously ill-conceived paywall for the newspaper Newsday, is now reporting that ad revenues continue to decline pretty substantially. To be fair, some will point out that Cablevision doesn't care that much, and is really just trying to use Newsday to stop people from dumping their cable TV/broadband offerings. That may be true -- and the same report does note that Cablevision added both TV and internet subscribers -- but it's worth pointing out for other news publications who make the claim about how paywalls can boost ad revenue.
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