Enders: Newspaper paywalls don’t stack up

The News International paywall’s financial model will be insufficient to compensate for declining revenue from print editions, according to research by Enders Analysis – reported here by the Press Gazette.

Claire Enders basic premise is that digital subscribers pay less for the product and generate less ad revenue that print-edition customers.  It is a view consistent with Enders’ long-time pessimism about the future of newspapers (which has always been something of an oddity given that she is married to DC Thomson heir, Christopher Thomson).  It is an outlook that has not endeared her to some.

This analysis rests on a fairly simple sense of the financial equation to she believes NI is working.  No account is taken of the company’s stated aim of creating a richer, more complex relationship with its customers, nor that while print advertising retains ‘lustre’, it is being steadily eroded by click-through’s measurability.

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