Study: Tablets may benefit media revenue streams
Adjusting business strategies to cater to tablet computers may prove advantageous for media companies, as a study from FTI Consulting shows that consumers are more willing to pay for digital content they access on tablets than that which is obtained through more traditional media.
Everything from videos and music to newspapers and magazines has felt the impact of digital technology. For the most part, this impact has not been beneficial to the publishers.
But according to FTI Consulting, tablets may change that. Tablet users -- compared to PC and smartphone users -- are more inclined to pay for digital media. In a survey of 1,500 consumers, 53 percent of tablet users say they might be willing to pay for some online news content. Only 35 percent of non-tablet users say the same.
An earlier study from the Association of Online Publishers shows that publishers are catching onto this trend. According to that study, 42 percent of surveyed publishers see the tablet as a primary platform for paid content.
However, this strategy is not necessarily a straightforward one, as many consumers may not be willing to pay for content they could otherwise get for free. According to FTI Consulting, companies may want to complement their free media with exclusive, paid-only content.