Press+ Up for Sale, Looking to Expand Into International and Video Streaming Markets

Digital paywall platform Press+ is looking to break away from parent company RR Donnelly, according to an internal memo obtained by Folio:. While co-founders Steven

Digital paywall platform Press+ is looking to break away from parent company RR Donnelly, according to an internal memo obtained by Folio:.While co-founders Steven Brill and Gordon Crovitz refute paidContent’s Nov. 6th report that the company is shopping for a buyer, Brill and Crovitz did explain to their clients (including Folio:) that they have been talking with RR Donnelly about the possibility of “finding a home” with another company that can help Press+ expand into the international and video streaming markets.RR Donnellly bought Press+ in March of 2011 for $35 million, but with a deal structure that allowed Brill and Crovitz additional payouts. Currently, Press+ has about 450 clients; 95% of those are in the US and the majority of them are newspapers.As we reported in our 2013 Online Subscription Benchmark Report (and Special Focus Report on International Markets), there is a plethora of growth opportunities for subscription content sites in other countries, especially since consumers in other regions seem more willing to pay for content. In addition, domestic revenues from content licenses for streaming video on-demand may be flatlining.This bodes well for Press+, especially since their creation of a video paywall, but not if they stay with RR Donnelly, which has no major inroads to these markets. As I wrote in my original analysis, a video paywall is much better suited for the B2B space, as video-based professional development sites take off.However, if Press+ wants to make it with B2B companies, they’re going to have to alter their paywall design, which is far from optimized with its two-column forms and unnoticeable buttons that match their green brand color. In fact, the Press+ paywall is not ideal for most subscription sites because it promotes Press+ heavily, which will likely decrease conversions as consumers think they are being taken away from the site they want to access. In my experience, B2B subscription marketers are far more savvy to this fact than most newspaper publishers, and so Press+ is going to have an uphill battle getting B2B clients unless they consider some design changes soon.

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