To bundle or not to bundle? How Western European newspapers package their online content

This paper tries to reveal why some newspaper websites rely on subscriptions while others (also) offer pay-per-view. To that end, we apply logit analysis to a unique dataset on 82 national newspapers from eight countries. We find that quality newspapers are more likely to offer site subscriptions and pay per view, whereas newspapers with a higher offline market share prefer PDF subscriptions. On the country level, a higher relative importance of advertising revenues is negatively related with the former two access options, and positively with the latter. We also find indications of mimicking or herd behaviour. Finally, our newspapers apparently see site and PDF subscriptions as substitutes, and site subscriptions and pay-per-view as complements.

Publication year:2010

Keywords:newspapers, online content, bundling, subscriptions, pay-per-view