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Willingness to Pay for Online News: An Empirical Study on the Viability of the Subscription Model

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  • Hsiang Iris Chyi

Abstract

As no business models seem to generate reliable revenue streams for online news services, many publishers see the subscription model as a last resort for survival although little evidence suggests users are ready to pay for online news at this moment. A random-sample telephone survey of 853 Hong Kong residents found very few users actually responded to paid content and most had no intent to pay in the future. Hierarchical regression analysis showed that age and newspaper use are related to paying intent, whereas income is not. Online publishers may consider the economic implications before adopting the subscription model.

Suggested Citation

  • Hsiang Iris Chyi, 2005. "Willingness to Pay for Online News: An Empirical Study on the Viability of the Subscription Model," Journal of Media Economics, Taylor & Francis Journals, vol. 18(2), pages 131-142.
    • Handle: RePEc:taf:jmedec:v:18:y:2005:i:2:p:131-142
    DOI: 10.1207/s15327736me1802_4
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    Cited by:

    1. Johannes Putzke & Detlef Schoder & Kai Fischbach, 2010. "Adoption of Mass-Customized Newspapers: An Augmented Technology Acceptance Perspective," Journal of Media Economics, Taylor & Francis Journals, vol. 23(3), pages 143-164.
    2. Kim, Min Sung & Kim, Eun & Hwang, ShinYoung & Kim, Junghwan & Kim, Seongcheol, 2017. "Willingness to pay for over-the-top services in China and Korea," Telecommunications Policy, Elsevier, vol. 41(3), pages 197-207.
    3. Saavedra, José Luis & González, Ana Karina, 2015. "WTP consumer's key factors for local and regional newspaper print subscription plans," Journal of Retailing and Consumer Services, Elsevier, vol. 27(C), pages 164-169.
    4. Florio, Massimo & Sirtori, Emanuela, 2016. "Social benefits and costs of large scale research infrastructures," Technological Forecasting and Social Change, Elsevier, vol. 112(C), pages 65-78.
    5. George Tsourvakas & Kyriakos Riskos, 2018. "Emergent Success Factors for Entrepreneurial E-media Companies," Journal of Entrepreneurship and Innovation in Emerging Economies, Entrepreneurship Development Institute of India, vol. 4(2), pages 101-120, July.
    6. Alfonso Vara-Miguel, 2020. "Cross-National Similarities and Differences between Legacy and Digital-Born News Media Audiences," Media and Communication, Cogitatio Press, vol. 8(2), pages 16-27.
    7. Massimo FLORIO & Emanuela SIRTORI, 2014. "The Evaluation of Research Infrastructures: a Cost-Benefit Analysis Framework," Departmental Working Papers 2014-10, Department of Economics, Management and Quantitative Methods at Università degli Studi di Milano.
    8. Seung Hwan (Shawn) Lee, 2019. "An Exploration of Initial Purchase Price Dispersion and Service-Subscription Duration," Sustainability, MDPI, vol. 11(9), pages 1-14, April.
    9. Go, Geoffrey, 2021. "News Media, Digital Platforms and Content Sharing," Warwick-Monash Economics Student Papers 23, Warwick Monash Economics Student Papers.

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