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Home African

Price Tags Have Been Attached To News Content On Reuters

Emeka Eni by Emeka Eni
April 16, 2021
in African
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…Media houses online subscription for news content serves as the main source of generating revenue.

Reuters is added to the long list of media houses that demands a fee to view its contents. Paying for news content is a common phenomenon among big organizations, which also serves as a tactical means of generating revenue. Thus, several other media houses have required this payment overtime.

According to Reuters, their services have attracted millions of users from around the world — roughly 41 million visitors are recorded to view their content. Since the publication came into existence, their news contents have been offered for free, until now. While other big new organizations have benefited from this means of generating revenue.

It worth noting that Reuter’s new monthly fee costs $34.99 — the same amount Bloomberg, Wall Street Journal its close counterpart’s charges for news. Nonetheless, free users are also entitled to view not more than five pieces of news per month.

Critics claim Reuters and these other media houses subscription fee seems a little bit expensive compared to other media houses like The New York Time that charges not less than $18.42 per news piece. Meanwhile, The Wall Street Journal represents the pioneer to monetize news content for over two decades — its paywall was launched in 1996.

Before these recent developments, Reuters has depended on paid ads to display on its platform. Not forgetting its major investor, Refinitiv — the financial data firm that contributes a large number of funds to Reuter’s news organizations.

The media house has also redesigned its news website to soothe the taste of its professional audience. While Reuters also plans for further expansion, whereby streaming ive news stream events will be available.

Acknowledging the fact that media houses no longer depend on ads to generate funds, compared to the olden days where printed adverts on newspapers are regarded as an oil well for these news organizations. Over the years, Media houses have debated about thetucrativeviable means of generating revenue aside from advertisements.

Nonetheless, these publishers rely on social media such as Facebook, Twitter, and Google Search to push their news content to a broader audience. Towards the end of 2020, the Australian government released new laws that require social media platforms such Facebook and Google to pay media houses for news content.

The Australians realized Facebook and Google siphon more funds from these ads more than publishers which inspired the bill they introduced to Congress that demands an arbitration negotiation — these funds should split between social media and publishers.

Meanwhile, this social media already have an initiative that pays certain publishers for licensed content. Media houses online subscriptions for its content will replace ads as the main source of generating revenue.

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Emeka Eni

Emeka Eni

I am a tech enthusiast, creating contents, graphic designer and am Africa.

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