It’s no secret that newspapers are in trouble. The massive shift from offline to online (of both consumers and advertisers), was compounded by the financial crisis, which seemed to speed up it’s demise. Many small publications have had to close shop, and many of the larger ones are having to seriously reconsider their business models. In fact, aside from the collapse of the US automotive industry, many speculate that traditional journalism has been the hardest hit, in recent years.

To tackle this there have been many attempts to tackle the problem, the majority have been all too panicky, targeting and demonising Google for providing such easy and free access to all the content. Earlier this year Rupert Murdoch announced that News Corp. would go back to charging for online content. Last week the Sydney Morning Herald broke news that News Corp. was satisfied with the research they had done and would move onto Phase 2 within Australia. According to News Corps Digital Chief Executive:

“News has conducted some audience research here in Australia and in the UK and US, which gives us confidence that, if we get the product and delivery system right, people will happily pay for news content online, on their computer, mobile, e-reader or other device,” Mr Freudenstein told staff. “Here in Sydney we are about to move into the second phase of the project.”

I’m not sure what research was conducted, and while I’m sure some people are prepared to pay for content… I just can’t see how
this is going to work?!? Almost everyone I know has vehemently denied their willingness to pay for News Corp. content. Will News be able to survive the coming years on a much smaller user base (even if they do pay)?

Wouldn’t it be better for News Corp. to package access to their online content with one of their other products that people are paying for,
like Sky or FoxTel?

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