Wednesday, May 2nd, 2012
News start-ups can’t survive on ads alone
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Reuters Institute fellow Rasmus Kleis Nielsen has a great post on the blogs at Reuters warning European journalism start-ups to avoid surviving on advertising alone. He backs up his warning with some stark examples of start-ups who have failed due to meagre revenue they were able to earn on ads:
Advertising-supported online news production did not work for Netzeitung in Germany (which in 2009 shut down its newsroom after nine years of consecutive losses), did not work for Rue89 in France (impressive and innovative as it was, the site never broke even and was bought by the weekly newsmagazine Le Nouvel Observateur in 2011), and is
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