Wednesday 19 March 2014

NDM 17: Daily Mail and Guardian digital 'minnows', says News UK chief

http://www.theguardian.com/media/2014/mar/05/daily-mail-guardian-digital-minnows-news-uk-mike-darcey4

This article talks about the issue of whether advertising or paywalls are better in generating revenues. Mike Darcey believes that the Daily Mail and the Guardian as "digital minnows" Because, they focus on advertising to generate revenue which could lead to problems in the future and is a dangerous strategy. As a result, Darcey favours paywalls as free online "undermines the incentive for people to pay for print editions". Relying on adverting revenue is putting themselves in competition with global conglomerates such as Google and Facebook which may put them at a disadvantage. Significantly, he states: "If this is your only revenue source, then you need to think about the fact that you are head-to-head with the global internet titans". 

To conclude, I disagree with the Darcey's view that the Guardian and Daily Mail are digital minnow, because if companies included paywalls this could decrease their readership. Although there would be problems if the companies reply on online advertising as their revenue streaming, this may not effect their readership if they do not include paywalls.

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