Abstract
Digital innovations have revolutionized the business model of news organizations, which previously relied heavily on advertising. Digital media companies have adopted various revenue streams such as branded or sponsored content, subscriptions or memberships, direct public subsidies or private grants, and electronic commerce to ensure the sustainability of digital outlets. However, these different types of funding have also impacted the boundaries of journalism. A more market-driven approach to news may undermine the crucial social role that journalism plays in modern democracies, as market dynamics may displace journalistic criteria. Additionally, the paywall model, which charges for exclusive and high-quality content, may exacerbate the gap between those who can afford it and the majority who cannot access it.
Access this chapter
Tax calculation will be finalised at checkout
Purchases are for personal use only
References
American Press Institute (2018) Paths to subscriptions: why recent subscribers chose to pay for news. https://www.americanpressinstitute.org/publications/reports/survey-research/paths-to-subscription/. Accessed 19 Feb 2023
Arrese A (2015) From gratis to paywalls. Journal Stud 17(8):1051–1067. https://doi.org/10.1080/1461670X.2015.1027788
Beam RA, Brownlee BJ, Weaver DH et al (2009) Journalism and public service in troubled times. Journal Stud 10(6):734–753. https://doi.org/10.1080/14616700903274084
Bekh A (2020) Advertising-based revenue model in digital media market. Rev Contemp Bus Entrep Econ Issues 33(2):547–559. https://orcid.org/0000-0002-4561-9363
Benson R (2019) Paywalls and public knowledge: how can journalism provide quality news for everyone? Journalism 20(1):146–149. https://doi.org/10.1177/1464884918806733
Berger B (2018) Commerce-oriented revenue models for content providers: an experimental study of commerciality’s effect on credibility. Electron Mark 28:93–109. https://doi.org/10.1007/s12525-017-0268-z
Chan-Olmsted SM, Shay R (2015) Media branding 3.0: from media brands to branded entertainment and information. In: Siegert G et al (eds) Handbook of media branding. Springer, Cham, pp 11–32. https://doi.org/10.1007/978-3-319-18236-0_2
Chen R, Thorson E, Lacy S (2005) The impact of newsroom investment on newspaper revenues and profits: small and medium newspapers, 1998–2002. Journal Mass Commun Q 82(3):516–532. https://doi.org/10.1177/107769900508200303
Chen W, Thorson E (2021) Perceived individual and societal values of news and paying for subscriptions. Journalism 22(6):1296–1316. https://doi.org/10.1177/1464884919847792
Cho S, Thorson E, Lacy S (2004) Increased circulation follows investments in newsroom. Newsp Res J 25(4):26–39. https://doi.org/10.1177/073953290402500404
Coddington M (2015) The wall becomes a curtain: revisiting journalism’s news–business boundary. In: Carlson M, Lewis SC (eds) Boundaries of journalism. Routledge, New York, pp 67–82
Cook JE, Attari SZ (2012) Paying for what was free: lessons from the New York Times paywall. Cyberpsychol Behav Soc Netw 15(12):682–687. https://doi.org/10.1089/cyber.2012.0251
Costera Meijer I (2022) What is valuable journalism? Three key experiences and their challenges for journalism scholars and practitioners. Digit Journal 10(2):230–252. https://doi.org/10.1080/21670811.2021.1919537
Dens N, Poels K (2023) The rise, growth, and future of branded content in the digital media landscape. Int J Advert 42(1):141–150. https://doi.org/10.1080/02650487.2022.2157162
Duffy D (2005) Affiliate marketing and its impact on e-commerce. J Consum Mark 22(3):161–163. https://doi.org/10.1108/07363760510595986
Eisend EA, van Reijmersdal SC, Tarrahi F (2020) A meta-analysis of the effects of disclosing sponsored content. J Advert 49(3):344–366. https://doi.org/10.1080/00913367.2020.1765909
Elvestad E, Phillips A, Feuerstein M (2018) Can trust in traditional news media explain cross-national differences in news exposure of young people online? A comparative study of Israel, Norway and the United Kingdom. Digit Journal 6(2):216–235. https://doi.org/10.1080/21670811.2017.1332484
Ferrer-Conill R, Knudsen E, Lauerer C et al (2021) The visual boundaries of journalism: native advertising and the convergence of editorial and commercial content. Digit Journal 9(7):929–951. https://doi.org/10.1080/21670811.2020.1836980
Fincham K (2021) Business as usual: how journalism’s professional logics continue to shape news organization policies around social media audiences. Journal Pract. https://doi.org/10.1080/17512786.2021.1991437
Fletcher R, Park S (2017) The impact of trust in the news media on online news consumption and participation. Digit Journal 5(10):1281–1299. https://doi.org/10.1080/21670811.2017.1279979
Fletcher R, Nielsen RK (2017) Paying for online news: a comparative analysis of six countries. Digit Journal 5(9):1173–1191. https://doi.org/10.1080/21670811.2016.1246373
Forrester Consulting (2012) Using ecommerce to monetize digital content in the media industry. A Forrester consulting thought leadership paper commissioned by Group commerce. Forrester Research, Cambridge
Gentzkow M, Glaeser EL, Goldin C (2006) The rise of the fourth estate. How newspapers became informative and why it mattered. In: Glaeser EL, Goldin C (eds) Corruption and reform: lessons from America's economic history. University of Chicago Press, Chicago, pp 187–230. https://doi.org/10.7208/chicago/9780226299594.003.0007
Goyanes M, Demeter M, de Grado L (2022) The culture of free: construct explication and democratic ramifications for readers’ willingness to pay for public affairs news. Journalism 23(1):207–223. https://doi.org/10.1177/1464884920913436
Goyanes M, Vara-Miguel A (2017) Probabilidad de pagar por noticias digitales en España. El Profesional de la Información 26:488–496
Grigoreva G (2021) How to use affiliate marketing to level up your ecommerce strategy. Entrepreneur. https://www.entrepreneur.com/growing-a-business/how-to-use-affiliate-marketing-to-level-up-your-ecommerce/397356. Accessed 19 Feb 2023
Groot Kormelink T (2022) Why people don't pay for news: a qualitative study. Journalism. https://doi.org/10.1177/14648849221099325
Hallin DC, Mancini P (2004) Comparing media systems: three models of media and politics. Cambridge University Press, Cambridge. https://doi.org/10.1017/CBO9780511790867
Hardy J (2021a) Branded content: the fateful merging of media and marketing. Routledge, London. https://doi.org/10.4324/9781315641065
Hardy J (2021b) Sponsored editorial content in digital journalism: mapping the merging of media and marketing. Digit Journal 9(7):865–886. https://doi.org/10.1080/21670811.2021.1957970
Harms B, Bijmolt TH, Hoekstra JC (2017) Digital native advertising: practitioner perspectives and a research agenda. J Interact Advert 17(2):80–91. https://doi.org/10.1080/15252019.2017.1357513
Henke J, Leissner L, Möhring W (2020) How can journalists promote news credibility? Effects of evidences on trust and credibility. Journal Pract 14(3):299–318. https://doi.org/10.1080/17512786.2019.1605839
Himma-Kadakas M, Kõuts R (2015) Who is willing to pay for online journalistic content? Media Commun 3:106–115. https://doi.org/10.17645/mac.v3i4.345
Homburg C, Koschate N, Hoyer WD (2005) Do satisfied customers really pay more? A study of the relationship between customer satisfaction and willingness to pay. J Mark 69(2):84–96. https://doi.org/10.1509/jmkg.69.2.84.60760
IAB (Interactive Advertising Bureau) (2019) Native advertising playbook 2.0, May. IAB, New York. http://www.iab.com/guidelines/native-advertising/. Accessed 22 Feb 2023
International News Media Association (2020) Content-to-commerce brings revenue in post-advertising world. https://www.inma.org/report/content-to-commerce-brings-revenue-in-post-advertising-world. Accessed 3 Feb 2023
Jackob N (2012) The tendency to trust as individual predisposition-exploring the associations between interpersonal trust, trust in the media and trust in institutions. Communications 37(1):99–120. https://doi.org/10.1515/commun-2012-0005
Kalogeropoulos A, Suiter J, Udris L et al (2019) News media trust and news consumption: factors related to trust in news in 35 countries. Int J Commun 13:3672–3693. https://ijoc.org/index.php/ijoc/article/view/10141/2745
Kammer A, Boeck M, Hansen JV et al (2015) The free-to-fee transition: audiences’ attitudes toward paying for online news. J Media Bus Stud 12(2):107–120. https://doi.org/10.1080/16522354.2015.1053345
Lacy S, Thorson E, Russial J (2004) Special issue editors’ comments. Newsp Res J 25(1):1–5. https://doi.org/10.1177/073953290402500101
Lee AM, Chyi HI (2014) When newsworthy is not noteworthy: examining the value of news from the audience’s perspective. Journal Stud 15(6):807–820. https://doi.org/10.1080/1461670X.2013.841369
Li Y, Thorson E (2015) Increasing news content and diversity improves revenue. Newsp Res J 36(4):382–398. https://doi.org/10.1177/0739532915618408
Lischka JA (2014) Different revenue incentives, different content? Comparing economic news before and during the financial crisis in German public and commercial news outlets over time. Eur J Commun 29(5):549–566. https://doi.org/10.1177/0267323114538851
Maniou TA (2022) Managing sponsored content in hybrid media systems: a proposed alternative journalistic practice. J Media Ethics 37(1):18–37. https://doi.org/10.1080/23736992.2021.2014848
Mantrala MK, Naik PA, Sridhar S et al (2007) Uphill or downhill? Locating the firm on a profit function. J Mark 71(2):26–44. https://doi.org/10.1509/jmkg.71.2.026
Matteo S, Dal Zotto C (2015) Native advertising or how to stretch editorial to sponsored content within a transmedia branding era. In: Siegert G et al (eds) Handbook of media branding. Springer, Cham, pp 169–185. https://doi.org/10.1007/978-3-319-18236-0_12
McKinsey (2022) Commerce media: the new force transforming advertising. https://www.mckinsey.com/capabilities/growth-marketing-and-sales/our-insights/commerce-media-the-new-force-transforming-advertising. Accessed 10 Feb 2023
Medina-Laverón M, Breiner J, Sánchez-Tabernero A (2021) Some viable models for digital public-interest journalism. El Profesional de la Información 30(1):1–15. https://doi.org/10.3145/epi.2021.ene.18
Mellado C, Van Dalen A (2017) Changing times, changing journalism: a content analysis of journalistic role performances in a transitional democracy. Int J Press/polit 22(2):244–263. https://doi.org/10.1177/1940161217693395
Møller LA (2022) Between personal and public interest: how algorithmic news recommendation reconciles with journalism as an ideology. Digit Journal 10(10):1794–1812. https://doi.org/10.1080/21670811.2022.2032782
Nechushtai E, Zalmanson L (2019) ‘Stay informed’, ‘become an insider’ or ‘drive change’: repackaging newspaper subscriptions in the digital age. Journalism 22(8):2035–2052. https://doi.org/10.1177/1464884919847350
Nerone J (2013) The historical roots of the normative model of journalism. Journalism 14(4):446–458. https://doi.org/10.1177/1464884912464177
Newman N (2022) Journalism, media and technology trends and predictions 2023. Reuters Institute for the Study of Journalism. Oxford University, Oxford, UK
Newman N, Fletcher R, Craig TR et al (2022) Digital news report 2022. Reuters Institute for the Study of Journalism. Oxford University, Oxford, UK
Newman N, Fletcher R, Schulz A et al (2021) Digital news report 2021. Reuters Institute for the Study of Journalism. Oxford University, Oxford, UK
NiemanLab (2021) Cancel culture: why do people cancel news subscriptions? We asked, they answered. NiemanLab, Massachusetts, MA. https://www.niemanlab.org/2021/10/cancel-culture-why-do-people-cancel-news-subscriptions-we-asked-they-answered/. Accessed 20 Feb 2023
O’Brien D, Wellbrock CM, Kleer N (2020) Content for free? Drivers of past payment, paying intent and willingness to pay for digital journalism-a systematic literature review. Digit Journal 8(5):643–672. https://doi.org/10.1080/21670811.2020.1770112
Owen D (2019) State of technology in global newsrooms, international center for journalists (ICFJ). https://www.icfj.org/our-work/2019-state-technology-global-newsrooms-survey. Accessed 20 Jan 2023
Palau-Sampio D (2021) Sponsored content in Spanish media: strategies, transparency, and ethical concerns. Digit Journal 9(7):908–928. https://doi.org/10.1080/21670811.2021.1966314
Peters C, Broersma M (2017) Rethinking journalism again. Society role and public relevance in a digital age. Routledge, London. https://doi.org/10.4324/9781315716244
Picard R (2017) Funding digital journalism. In: Franklin B, Elridge SA (eds) The Routledge companion to digital journalism studies. Routledge, New York, pp 147–154. https://doi.org/10.4324/9781315713793-15
Picone I, Vandenplas R (2022) Windows to the world: imagining Flemish news audiences and their views on society through the lens of news repertoires. Digit Journal 10(1):87–108. https://doi.org/10.1080/21670811.2021.1972323
Prochazka F, Schweiger W (2019) How to measure generalized trust in news media? An adaptation and test of scales. Commun Methods Meas 13(1):26–42. https://doi.org/10.1080/19312458.2018.1506021
Shoemaker PJ, Reese SD (2013) Mediating the message in the 21st century: a media sociology perspective. Routledge, New York. https://doi.org/10.4324/9780203930434
Sonderman J, Tran M (2013) Understanding the rise of sponsored content. American Press Institute. https://www.americanpressinstitute.org/publications/reports/white-papers/understanding-rise-sponsored-content/. Accessed 22 Feb 2023
Swart J, Groot Kormelink T, Costera Meijer I et al (2022) Advancing a radical audience turn in journalism. Fundamental dilemmas for journalism studies. Digit Journal 10(1):8–22. https://doi.org/10.1080/21670811.2021.2024764
Tandoc EC Jr, Thomas RJ (2015) The ethics of web analytics: implications of using audience metrics in news construction. Digit Journal 3(2):243–258. https://doi.org/10.1080/21670811.2014.909122
Tóth T, Goyanes, M, Demeter M, Campos-Freire F (2022) Social implications of paywalls in a polarized society: representations, inequalities, and effects of citizens’ political knowledge. In: Vázquez-Herrero J et al (eds) Total journalism. Springer, Cham, pp 169–179. https://doi.org/10.1007/978-3-030-88028-6_13
Tsfati Y, Ariely G (2014) Individual and contextual correlates of trust in media across 44 countries. Commun Res 41(6):760–782. https://doi.org/10.1177/0093650213485972
Van Reijmersdal E, Neijens P, Smit EG (2009) A new branch of advertising: reviewing factors that influence reactions to product placement. J Advert Res 49(4):429–449. https://doi.org/10.2501/S0021849909091065
Vara-Miguel A, Sánchez-Blanco C, Sádaba C et al (2021) Funding sustainable online news: sources of revenue in digital-native and traditional media in Spain. Sustainability 13(20). https://doi.org/10.3390/su132011328
Vara-Miguel A, Sanjurjo-San Martín E, Díaz-Espina C (2014) Paid news vs. free news: evolution of the wsj.com business model from a content perspective (2010–2012). Commun Soc 27:147–167. https://doi.org/10.15581/003.27.35999
Vara-Miguel A, Sádaba C, Negredo S et al (2023) Revenue diversification strategies of online news organisations: subscriptions and memberships. El Profesional de la información 32(1). https://doi.org/10.3145/epi.2023.mar.05
Voltmer K (2008) Comparing media systems in new democracies: EAST meets South meets West. Cent Eur J Commun 1(1):23–40
Wadbring I, Bergström L (2021) Audiences behind the paywall: news navigation among established versus newly added subscribers. Digit Journal 9:319–335. https://doi.org/10.1080/21670811.2021.1878919
Weaver DH, Willnat L (eds) (2012) The global journalist in the 21st century. Routledge, New York. https://doi.org/10.4324/9780203148679
Wojdynski BW, Evans NJ (2016) Going native: effects of disclosure position and language on the recognition and evaluation of online native advertising. J Advert 45:157–168. https://doi.org/10.1080/00913367.2015.1115380
Wang Y, Li Y (2017) Understanding “native advertising” from the perspective of communication strategies. J Promot Manag 23(6):913–929. https://doi.org/10.1080/10496491.2017.1323264
Zomeño D, Blay-Arráez R (2021) Big data e inteligencia editorial en el branded content y en los nuevos modelos de negocio de los medios españoles. Profesional de la Información 30(1). https://doi.org/10.3145/epi.2021.ene.20
Acknowledgment
This chapter is part of the R&D project Digital-native media in Spain: Typologies, audiences, trust building and keys for the journalistic sustainability (PID2021-122534OB-C22), funded by MCIN/10.13039/501100011033/ and by “ERDF A way of making Europe”.
Author information
Authors and Affiliations
Corresponding author
Editor information
Editors and Affiliations
Rights and permissions
Copyright information
© 2023 The Author(s), under exclusive license to Springer Nature Switzerland AG
About this chapter
Cite this chapter
Vara-Miguel, A., Sánchez-Blanco, C. (2023). The Impact of Market-Driven Revenues on the Boundaries of Journalism. In: Negreira-Rey, MC., Vázquez-Herrero, J., Sixto-García, J., López-García, X. (eds) Blurring Boundaries of Journalism in Digital Media. Studies in Big Data, vol 140. Springer, Cham. https://doi.org/10.1007/978-3-031-43926-1_5
Download citation
DOI: https://doi.org/10.1007/978-3-031-43926-1_5
Published:
Publisher Name: Springer, Cham
Print ISBN: 978-3-031-43925-4
Online ISBN: 978-3-031-43926-1
eBook Packages: Intelligent Technologies and RoboticsIntelligent Technologies and Robotics (R0)