VITAMEDIAS
Will Web users ever pay for content? KeepMedia is a subscription-based outpost for magazines such as Business Week, U.S. News and World Report and Esquire. Though it's an idea that's already been tried and failed, Borders believes KeepMedia is different and will prove to be a superior online brand, because, he says, it offers quality publications and convenience. [...]
- Why do you think Internet surfers will be willing to pay for KeepMedia?
- If each individual magazine looked at how much it spends on building a site for its content and getting traffic, they'd find that the amount they spend is just not justified. But putting 140 publications on the same platform is totally justified. With the current rate of spending, our business model works very well, and if it continues to grow as we expect it to--100 percent annually--that's just going to be great. But we don't need a change in today's spending behavior to be successful.