New Ad Model For Journalism?
Three months ago, Politico Network was launched and allowed subscribed members to run Politico content, print or online, while sharing online ads. Now, members can run both, and once again sharing in the revenue from online advertising that’s sold by Politico. Reuters will distribute Politico stories worldwide through its wire service.
“It is no secret newspapers and broadcasting companies are hungry for new and interesting content,” Executive Editor Jim VandeHei told Politico. “Our partnership with Reuters allows us to offer newspapers and television stations terrific coverage of politics and government, as well as international news, business and sports.”
Newspapers have the opportunity to run Politico content at no cost, while potentially profiting from the sale of online ads. According to the NY Times, the site is pitching it as an important new revenue stream. A paper can agree to use up to five Politico articles a week, and receive 50 percent of the ad revenue that Politico sells on those Web pages; or up to 10 articles a week, and receive 40 percent; or up to 15 articles, and receive 30 percent.
Maybe this is a new model for newspapers. But I’ve heard that before.
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