The Design Towards a News Aggregator Subscription Service

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openAccess
Journal Title
Journal ISSN
Volume Title
Conference article in proceedings
Date
2021-01-05
Major/Subject
Mcode
Degree programme
Language
en
Pages
5439-5448
Series
Proceedings of the 54th Hawaii International Conference on System Sciences
Abstract
The newspaper industry is on a quest to discover sustainable business models. Digital subscriptions are stable revenue generators for most publishers. That being said, smaller publishers face challenges. By not having the same resource base to offset costs compared to larger ones, small publishers are in a constant state of financial unpredictability. Another persistent problem among them is the high churn rate of subscriptions (i.e., the cancelation rate), which suggests a value misalignment between readers and service. New services like news aggregators may promise publishers a large pool of paying readers, as readers have access to diverse content by different publishers and are willing to pay for pooled news content. But platform fees and the disintermediation of direct customer relationships enact barriers for many publishers. To address these shortcomings, this study conducts an online experiment based on design science research to test the performance of different payment plans for a collaborative newsaggregator service. We identify preliminary design principles for value creation and capture, which can be utilized for designing a commercial and collaborative news aggregator service.
Description
Keywords
Advances in Design Science Research, business model, design science, newspaper industry, strategic alliance, subscription
Other note
Citation
Kazan , E , Tuunanen , T , Ghanbari , H & Li , M 2021 , The Design Towards a News Aggregator Subscription Service : Results from An Online Experiment . in Proceedings of the 54th Hawaii International Conference on System Sciences . Proceedings of the Annual Hawaii International Conference on System Sciences , Hawaii International Conference on System Sciences , pp. 5439-5448 , Annual Hawaii International Conference on System Sciences , Maui , Hawaii , United States , 05/01/2021 . < http://hdl.handle.net/10125/71281 >