The New York Times announced last week it would start charging for web usage over an undisclosed level. You won't hear this from many quarters but this is a smart move. Monetizing content via standard web advertising models just doesn't work for publications. 

Full story here.

Excerpt:

Media Decoder: Dialing in a Plan: The Times Installs a Meter on Its Future

Starting in January 2011, a visitor to NYTimes.com will be allowed to view a certain number of articles free each month; to read more, the reader must pay a flat fee for unlimited access. Subscribers to the print newspaper, even those who subscribe only to the Sunday paper, will receive full access to the site without any additional charge.

Executives of The New York Times Company said they wanted to create a system that would have little effect on the millions of occasional visitors to the site, while trying to cash in on the loyalty of more devoted readers. But fundamental features of the plan have not yet been decided, including how much the paper will charge for online subscriptions or how many articles a reader will be allowed to see without paying.

From adoperationsonline.com. Full story here

 Two out of Three Americans Prefer Print Media In Spite of the Benefits of the Digital Revolution

NEW YORK – According to new research, digital media is no substitute for traditional printed media. A recent survey conducted by Harris Interactive® on behalf of Earthtone suggests that most people choose how they consume media based on personal preferences.

Research shows that the majority of U.S. adults think that printed media is easier to read than the digital equivalent. Interestingly, most adults reported that they feel more comfortable when they have something on paper than when it’s on screen, suggesting that we make an instinctive association between things we can touch and feel and things that are ‘real’.

This study from Affinity shows that print ads, specifically magazine ads, can have a big impact on driving consumer traffic to an advertiser's website.

Full story here.

"Advertisers seek to drive consumers to their websites as the Internet becomes a more important element in their marketing plans. As a result, web traffic and search results are increasingly regarded as measures of marketing success.

New research from Affinity confirms that magazine ads with URLs are more likely to drive readers to advertiser websites overall, as well as across a range of genres. Even if "drive to web" is not the goal of the advertising campaign, including a URL to boost web visits is a benefit most advertisers will appreciate, says the report."

The New York Times says it will decide this summer whether to offer online content through a subscription model, metered model or a pay as you go micro-payment model. Full story here.

One thing is clear, it is going to start costing money to read the New York Times online. Hopefully, more publications will follow and begin charging for the content that is so expensive to produce. As we have said before, the model, so pervasive among newspapers and magazines that traffic generates revenue, isn't working.

From paidcontent.org. Full story here.

As Gannett (NYSE: GCI) continues to be roiled with huge debt problems, an absent CEO, and hundreds more layoffs across its community newspapers, its digital division appears to be a sea of calm. In fact, to hear Josh Resnik (pictured), Gannett Digital’s VP and GM of the Gannett Digital Media Network, PointRoll CEO Jason Tafler and Ripple6 CEO Sang Kim, tell it, things are going just fine on their respective ends. As Gannett prepares for its Q2 earnings report next Wednesday morning, the digital unit faces a question left over from the previous quarter: do they represent a meaningful strength amid the company’s general weakness?

—The digital mirage: None of the executives would offer specifics on Q2 numbers, claiming only that digital ad sales are holding up. Certainly, as Gannett’s Q1 revenues fell 21.4 percent and net income dropped 60 percent, the McLean, VA.-based publisher’s interactive businesses saw $143.2 million in Q1 compared with just $13.9 million.

But Gannett’s digital oasis is also something of a mirage. The Q1 results were skewed by the addition of its increased stakes in both CareerBuilder (to 50.8 percent from 40.8 percent) and ShopLocal (100 percent from 42.5 percent). On a pro forma basis, digital’s operating revenues were 13.1 percent lower in Q1. That’s not to say that Gannett’s digital revenues are significantly under performing—and the incremental revenue from the online side keeps an ugly picture from looking even worse. Most importantly, as Gannett is expected to resemble a very different company by next year because of its debt woes, the digital business will ultimately take on greater prominence.