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8/8/2019 Nestle - Zaka (42)

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INQ7 Interactive Inc.

Money and online media:Money and online media:

The INQ7 experienceThe INQ7 experience

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P

rofileP

rofile

� Joint venture between top newspaper (Inquirer) and top television network

(GMA-7)� 35-41 million pageviews per month; 21

million unique visitors per month; 90,000SMS alert subscribers

�70% of audience is overseas, mostly fromthe US

� Top sections are homepage,entertainment, breaking news, and

national headlines--in that order usually

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INQ7 news deskINQ7 news desk

� 7 reporters

� 5 full-time editors

�

12 technical personnel� Full number of employees: 43

� Wire agency style operation

� Daily volume: Around 150 stories, 12 video clips

�

Breaking news frequency is generally twice per hour. Near real-time during coups and other emergencies when running account is used.

� Wire feeds: AP, AFP, XFN-Asia, Reuters, Inquirer,GMA-7

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What pays for all this?What pays for all this?

� 50% RP-based advertisers

� 35% US-based advertisers

� 15% Syndication, SMS, and other revenue� Advertising revenue has grown an

average of 100% each year for the pastthree years. Main driver for revenue

growth

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Implications on editorialImplications on editorial

� Pressure to run press releases of advertisers

� Pressure to create content that ³sells´

� Homepage and inner pages become battleground between

sales and editorial in terms of ad space� Newness of medium means less awareness of church-state

division

� Projects without a clear upside for advertisers receive lesspriority

�

The short of it: The more things change, the more they staythe same.

� No threat of an ad boycott«so far

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ResponsesResponses

� Salespeople told that they cannot promise pressreleases as part of ad packages and that thesite¶s editorial credibility is the key to highreadership

� Express and mobile editions of site that havefewer ads. These are the editions used in high-traffic situations.

�

Exploring paid subscription model as option for readers who want no ads at all

� Editorial OK required for certain types of richmedia ad campaigns

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SummarySummary

� Advertising appears to be the most promisingbusiness model online to date for news sites.

�

Such a business model results in online mediaoutfits facing the same problems as traditionalmedia counterparts that also depend heavily onadvertising.

� Editorial¶s best defense is to educate sales on

good editorial practices and explain to them thatkeeping to these practices will result in long-termviability.

nestle - zaka (42)

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