Users Pay for Niche Market Content

Niche markets are the only markets to succeed in generating revenue from content, according to Jupiter Communications. Users will not pay for content that appeals to a mass audience.

Niche markets are the only markets to succeed in generating revenue from content, according to Jupiter Communications. Users will not pay for content that appeals to a mass audience.

Jupiter expects that the market for investing information will grow from 15 percent in 1997 to 42 percent in 2002, when it is estimated more than seven million people will pay for content.

As a business model, pay-per-view Web sites and subscription access sites demand quality and targeted content. Trade magazines and business journals were identified as models that would succeed online. Users are prepared to pay for information that would affect purchasing decisions. The children’s’ market was also identified as a potential money-making niche.

Due to the specified content of a niche Web site, higher CPM rates can be charged.

Consistent with the Jupiter results, 44.5% of respondents to the 9th survey done by the GVU at Georgia Tech said they are not willing to pay for information they feel is available for free from other sources. Almost one-third (32.7%) of the GVU respondents said they did not like paying for access to a site because they are already paying to connect to the Internet.

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