The problem of content monetization
Online Newspapers are struggling to monetize their content, Advertising revenues continue to fall and are not high enough to afford content production and fixed costs, thus premium content has definitely not the value it should have. Moreover, advertisers have so many places to advertise, on social media for instance, that News Publishers have lost their leading position as an advertising media. Online News Publishers also face another problem : there are fewer loyal subscribers and more and more occasional readers. The reasons? Readers are less engaged towards the Media as a brand than 10 years ago. Online readers who land on a Press article are very often coming from social media, they are there for the content, not for the News Publisher’s name and they often give up when they should pay. Although the demand for in-depth journalism remains the same, there are less and less loyal subscribers and more and more occasional readers who pop out when they should pay for the content. What are the reasons?
A matter of time, not price
One of the main problems is that Online Newspapers often ask readers to subscribe through unfriendly « PayWalls » whereas everyone knows that subscription process is a hassle. Users are there to read a story, not to spend up to five minutes filling out long forms, giving their credit card numbers and other personal information, even for a marvelous offer at 1$ for a 3 month trial. Price doesn’t matter so much, web consumption has completely changed over the last 10 years, Web & Mobile users no longer pirate music, they pay for it. They are used to pay for music, games, books, mobiles Apps, but they seldom subscribe to newspapers. They want to pay for the content they actually consume and they want to pay as fast as possible, without any friction.
A unique and unmatched solution: The Smart Wall
Seamlessly integrated in the News Publishers websites, the Smart Wall gives the readers the power to choose. Once X % of an article has been read, the user must choose between playing a video Ad or paying a small fee to continue his reading. The expression « Time is Money » has never been so true. SwissPay actually proposes a trade-off between the time users are willing to give to Advertising and the payment they are ready to make. But if they proceed to the payment, they want it as quick as possible and frictionless.
If the reader chooses to watch the video Ad, he will be rewarded with free access to the content. Because he has chosen to watch the video, he will therefore be willfully engaged towards the brand which is much less boring than filling out a long subscription form. For all these reasons, the advertising proposition is valuable and provides News Publishers with revenues that are finally worth the premium content.
If the reader chooses to pay, he can do it in 1 click, or 2 clicks on Desktop. SwissPay relies on Carrier Billing technology and the company is connected to more than 60 mobile operators worldwide, including Swisscom in Switzerland. The advantages of this means of payment are quite clear: the only thing users need is a mobile phone number. They don’t need to sign up anywhere, they don’t need to download a mobile App, they don’t need a credit card and they don’t even need a bank account.
Additional revenues for News Publishers
SwissPay provides News Publishers with additional new premium advertising inventory as well as additional revenues from occasional readers who might not be willing to pay a full subscription. It's likely to convert some of the single article readers into subscribers.