New York Times: Paid model pays off
For the first time, The New York Times is earning more from readers than from advertising. This is due to the subscription model adopted by the publication, which relies heavily on online readers.
For the first time in its history, revenues from newspaper sales and online subscriptions were higher than those from the advertising business last year, the New York Times Company media group announced on Thursday, according to SDA. The group earned 954 million dollars from print and online readers and 898 million dollars from advertising sales. According to SDA, the group posted a profit of 133 million dollars last year. This contrasts with a loss of 39.7 million dollars in 2011.
"The numbers show the willingness of our users here and around the world to pay for the highest quality journalism that The New York Times and other company titles represent," said CEO Mark Thompson, according to SDA. In the fourth quarter, the number of online subscribers to The Times and International Herald Tribune rose by 13 percent to 640,000, while the Boston Globe increased by eight percent to 28,000.
For unrestricted use of the portal Nytimes.com online readers have had to pay since March 2011 (Werbewoche.ch reported).
