Paying for Media

Paying for media is both unavoidable and, at the same time, pretty unusual. All media content is paid for by someone, but for the end user that “cost” is not always visible. It used to be very obvious every time you bought a book or a movie ticket or a CD (remember those?). But most folks don’t buy books, movie tickets or CDs anymore. And a lot of our media content appears to be free. It’s not, but the cost is hidden from view and only apparent in the form of annoyingly-hard-to-avoid advertising.

According to an article in Politico, some of this is changing. Partly because of the gradual acceptance of online services that have a small monthly fee (e.g. Netflix and ad-free streaming music services) Millennials are starting to consider paying for other forms of media.

The other contributing factor that the article identifies is the election of President Trump. It appears that online journalism is getting a boost from those opposed to Trump, and that has been good news for online news providers…especially those that have taken an aggressive stance  to the current administration. The ideological factor is substantial according the following excerpt from the article.

Newman said that 29 percent of Americans responded to the survey that their reason for paying for news was, “wanting to help support or fund journalism,” which was twice the average for all countries included in the study. Americans on the political left were four times more likely than those on the right to cite supporting journalism as their reason for paying, Newman said.

But there are still concerns. Again, according to Politico…

For all the good news, the truth remains that those willing to pay for journalism still represent a relatively small group—according to the Reuters Institute study, 84 percent of Americans do not pay for online news. Subscriptions are not cheap, and Newman pointed out that there is danger in quality journalism becoming an increasingly elite product. “The danger is that you get a two-tiered system,” he said.

This notion of two classes–information “haves” and information “have nots”–is disconcerting for those who see income inequality as a barrier to political engagement.

Still, for an industry that has been pummeled for more than a decade by terrible financial news and, for the last 10 months, by the President of the United States, the growing willingness of millennials to open their wallets is welcome news.

 

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