These are all part of the New York Times’ digital strategy, which starts with its paywall. The Times allows readers free access to 10 articles a month. Beyond that, readers must pay for a digital subscription. The Times 2nd attempt at a paywall was instituted 2 years ago. Earlier this month, multiple sources reported that digital subscription revenue had overtaken digital ad revenue. The Times took in over $70 million in digital revenue (subscriptions and advertising) in the 3rd quarter of this year, roughly double what it did (digitally) in Q3 2010.
The problem is that, while digital subscription revenue is going up, digital ad revenue is stagnating. That brings us full circle back to the New York Times Minute. The Times is hoping that the higher CPMs for video ads, as found at the beginning of the Minute, will jumpstart their ad revenue in the New Year.
– Pat Welsh