At The Guardian, Signs That Free Online News Can Pay - Bloomberg: "As rival U.K. newspapers start charging for content -- in effect giving up on a big chunk of readers in exchange for money from a smaller number of devoted fans -- The Guardian's latest financials provide some hope that a free online news model can be good for business as well as consumers.
It's far from clear whether charging for content offers more sustainable profits than giving it away and earning more from ad sales. If The Guardian, whose first front page featured an ad for a lost dog, can sustain its digital growth, it will offer a strong argument in favor of free news.
One advantage the paper has is its strong ties to the public sector. For years, the print version earned much of its profit from classified job listings by government agencies, according to investment bank Panmure Gordon. Following years of government spending cuts since the Conservative/Liberal Democrat coalition came to power in 2010, there are signs of a revival."
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It's far from clear whether charging for content offers more sustainable profits than giving it away and earning more from ad sales. If The Guardian, whose first front page featured an ad for a lost dog, can sustain its digital growth, it will offer a strong argument in favor of free news.
One advantage the paper has is its strong ties to the public sector. For years, the print version earned much of its profit from classified job listings by government agencies, according to investment bank Panmure Gordon. Following years of government spending cuts since the Conservative/Liberal Democrat coalition came to power in 2010, there are signs of a revival."
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