OLD Media Moves

WSJ.com ad revenue will offset dropping subscriptions

January 3, 2008

Posted by Chris Roush

Mick Weinstein, editor of the Seeking Alpha web site, writes Thursday that The Wall Street Journal‘s web site will more than recoup its lost revenue by dropping paid subscribers with its advertising revenue.

Mick WeinsteinWeinstein wrote, “Applying these numbers — for a free WSJ.com to hit $78m (current WSJ.com revenue) in yearly ad sales, at $20 RPM:

“$20 RPM x 325m pages = $6.5m revenue/month = $78m revenue/year

“325 million pages is just 2.6x the current 122 million pages WSJ.com currently serves up (as per Wang and DJ statements). That’s without the Murdoch marketing machine and the huge traffic benefits of aggregators, viral linking and search results. That’s a far cry from Wang’s numbers, very doable from WSJ’s perspective – and with room for much more long-term growth than a subscription business.

“Online finance sites, prepare yourself for a free WSJ.com.”

Read more here.

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