I don’t need to tell anyone about the steady decline of journalism’s business model. News outlets have been on the skids for a decade. Each quarter sees the closing of local, regional, and even previously successful national digital outlets.
Advertising and subscriptions aren’t bringing in anywhere near the revenue they once did, but still it’s hard to let go of the idea that news organizations have to sell their audiences something. The scramble to reinvent the business model with metered paywalls, programmatic ad servers, and sponsored content is focused on squeezing every possible drop of profit from consumers while cheapening the value of our relationship with them.
What if in 2018, instead of trying to sell our audiences something they may not want, or threatening to shut off access to news they actually need, we simply admit we need their trust, understanding, and investment to provide great journalism? What if instead of being obsessed with transactions, we focus on relationship building? What if we peel back the layers of our hardened journalists’ shells and reveal a little vulnerability? Because journalism is incredibly vulnerable right now, and there’s no shame in that.
Dozens of news organizations, most of them nonprofit, already are taking this tack successfully. Honolulu Civil Beat is a case in point. The Pierre Omidyar-founded regional news organization started as a for-profit shop with a metered paywall. After six years of steadily reducing the price and mediocre growth, they decided to drop the paywall and build a broader community of engaged readers. They became a nonprofit in June 2016 and rolled out a grassroots membership program. Instead of asking readers to pay a set subscription fee, Civil Beat’s editors, reporters and development team introduced themselves in a series of emails and asked their audience to contribute what they thought the content was worth. A year later, revenue from individuals had increased by 78 percent, with the average “transaction” increasing from $60 to $140.
By closing the paywall and being transparent about their revenue needs — even with a billionaire benefactor — Civil Beat convinced readers to help the news outlet diversify its funding and strengthen its ability to provide strong, independent reporting.
This isn’t limited to nonprofit news organizations that can offer a tax deduction in exchange for a donation (which data shows isn’t why most people support a cause). PolitiFact, the popular fact-checking arm of the for-profit Tampa Bay Times launched a membership program a year ago and saw a similar response from their audience. Instead of shying away from being part of a major for-profit metropolitan newspaper, they used that as the point of their plea, asking their passionate audience to help them cover their own costs and remain financially independent. In the past year, they’ve recruited 1,560 members and secured $190,000 in contributions with another $104,000 scheduled to come in over the next year.
At the News Revenue Hub, we’re fortunate to work with 16 brave news organizations who are pulling back the veil on their business operations and letting readers know that their support is critical if they want newsrooms to survive and thrive. Based on the initial audience data we collect with each new client, most news consumers don’t fully understand how news operations are funded. It’s our duty to explain the changing business model to our audiences so they can understand what role they must play in sustaining quality journalism.
With understanding comes trust, and from trust comes a much more valuable bond than any paywall or display ad can generate. That’s my hope for 2018.
Mary Walter-Brown is founder and CEO of the News Revenue Hub.
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Elizabeth Jensen Show your work
David Skok Finding an information-life balance
Rachel Schallom Better design helps differentiate opinion and news
Rodney Benson Better, less read, and less trusted
Pia Frey Address users as individuals
Dheerja Kaur Fun with subscription products
Julia B. Chan Looking for loyalty in all the right places
Jarrod Dicker Honesty in advertising
Nik Usher The year of The Washington Post
Juleyka Lantigua Women of color will reclaim and monetize our time
Mandy Velez texting is lit rn, fam
Corey Johnson The pro-fact resistance
Juliette De Maeyer A responsible press criticism
Craig Newmark Working together toward sustainable solutions
Bill Keller A growing turn to philanthropy
Carrie Brown Transparency finally takes off
Jared Newman Venture funding and digital news don’t mix
Joyce Barnathan It will be harder to bury the news
Frédéric Filloux External forces
Jim Brady With the people, not just of the people
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Alan Soon The rise of start of psychographic, micro-targeted media
Sydette Harry Listen to your corner and watch for the hook
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Ruth Palmer Risks will grow for news subjects — especially minorities
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José Zamora Revenue-first journalism
Alfred Hermida Going beyond mobile-first
Julia Beizer A longer view on the pivot
Edward Roussel Eyes, ears, and brains
Rodney Gibbs Tech workers turn to journalism
Charo Henríquez Training is an investment, not an expense
Adam Thomas Sharing is caring: The year of the mentor
Lam Thuy Vo Breaking free from the tyranny of the loudest
Umbreen Bhatti The trust problem isn’t new
Mario García Storytelling finally adapts to mobile
Rick Berke Value is the watchword
Kim Fox Audience teams diversify their approach
Betsy O'Donovan and Melody Kramer Skepticism and narcissism
Kinsey Wilson Facebook and Google: Help out or pay up
Matt Carlson Attacks on the press will get worse
P. Kim Bui The reckoning is only beginning
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Yvonne Leow The rise of video messaging
Tanya Cordrey Finally, the seeds of radical reinvention
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Federica Cherubini The rise of bridge roles in news organizations
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Daniel Trielli The rich get richer, the poor scramble
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Sam Ford The year of investing in processes
Andrew Haeg The year journalists become relationship builders
Emma Carew Grovum Newsroom culture becomes a priority
Mi-Ai Parrish Blockchain and trust
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Kristen Muller The year of the voter
Marie Gilot No assholes allowed
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Doris Truong Computer vision vs. the Internet vigilantes
Jim Moroney Newspapers have to be good enough for readers to pay for
Jacqui Cheng Retailers move into content
Jennifer Coogan The future is female
Cristina Wilson The year of the Instagram Story
Trushar Barot The Jio-fication of India
Michelle Ferrier The year of the great reckoning
Sam Sanders Shine the light on ourselves
Mira Lowe The year of the local watchdog
Luke O'Neil The end is already here
Miguel Castro The arrival of the impact producer
Amy King Let’s amplify visual voice
Mike Caulfield Refactoring media literacy for the networked age
Carlos Martínez de la Serna The new journalism commons
Heather Bryant Building the ecosystems for collaboration
Millie Tran and Stine Bauer Dahlberg (Hint: It’s about your brand)
Niketa Patel Live journalism comes of age
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Michelle Garcia Navigating journalistic transparency
Matt DeRienzo A recession, then a collapse
Sara M. Watson Feeds will open up to new user-determined filters
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Eric Ulken The year local publishers get smart(er) about change
Jamie Mottram From pageviews to t-shirts
Amie Ferris-Rotman More female reporters abroad (please)
Mary Walter-Brown Show a little vulnerability
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Mary Meehan Real lives are at stake in rural areas
Steve Grove The midterms are an opportunity
Pablo Boczkowski The rise of skeptical reading
Molly de Aguiar Good journalism won’t be enough
Ståle Grut Reclaiming audience interaction from social networks
Alastair Coote The year of self-improvement
Nicholas Diakopoulos Fortifying social media from automated inauthenticity
Justin Kosslyn The year journalists become digital security experts
Laura E. Davis Writing answers before you know the question
Tanzina Vega It’s time for media companies to #PassTheMic
Tracie Powell The muting of underserved voices
Sally Lehrman Trust comes first
Dannagal G. Young Stop covering politics as a game
Matt Boggie The intellectual equivalent of the Dead Sea
Tim Carmody Watch out for Spotify
Eric Nuzum Beyond the narrative arc
Nushin Rashidian Publishers seek ad dollar alternatives
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Alexios Mantzarlis Moving fake news research out of the lab
Valérie Bélair-Gagnon Seeking trust in fragmented spaces
Lanre Akinola Making noise is not a strategy
Felix Salmon Covering bitcoin while owning bitcoin
Joanne McNeil Gatekeeping the gatekeepers
Hossein Derakhshan Television has won
Sarah Marshall Loyalty as the key performance indicator
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Borja Echevarría TV goes digital, digital goes TV
Renée Kaplan The year of quiet adjustments (shhh)
Vivian Schiller Pivot to tomorrow
Ernst-Jan Pfauth Publishing less to give readers more
Susie Banikarim R.I.P. Pivot to Video (2017–2017)
Matt Thompson Here come the attention managers
Mariano Blejman News games rule
Vanessa K. DeLuca Women’s voices take center stage
Rachel Davis Mersey AI, with real smarts
Andrew Ramsammy The year ownership mattered
Imaeyen Ibanga Longform video leads the way
Gordon Crovitz Serving readers over advertisers
Corey Ford The empire strikes back
Jennifer Choi Standing up for us and for each other
Errin Haines At the ballot, it’s time to count black women
Michael Kuntz The only pivot that might work
Monique Judge Letting black women tell their own stories
Aron Pilhofer We can’t leave the business to the business side any more
Ray Soto VR reaches the next level
Emily Goligoski Looking beyond news for inspiration
Amy Webb Listen to weak signals
C.W. Anderson The social media apocalypse
Feli Sánchez The year for guerrilla user research
Manoush Zomorodi Self-help as a publishing strategy
Cory Haik Suffering from realness, pivoting to impact
Brian Lam Sketchy ethics around product reviews
Mariana Moura Santos Think local, act global
Caitria O'Neill The new court of public opinion
Damon Krukowski Reviving the alt-weekly soul
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Pete Brown Push alerts, personalized
Christopher Meighan Passive partnership is in the rearview
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Rubina Madan Fillion Unlocking the potential of AI
Kyle Ellis Let’s build our way out of this
Jassim Ahmad Thriving on change
Richard Tofel The platforms’ power demands more reporters’ attention
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Joanne Lipman Journalists inventing revenue streams
Cindy Royal Your journalism curriculum is obsolete
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