whizkid3
Premium,MVM
join:2002-02-21
Queens, NY
 ·Earthlink Cable Mo..
|  Smart business plan...
CNN, smart business plan. Lets see how..
1. Costs increase, to pay for the billing system, employees who operate it, etc.
2. Declining revenue & loss of market share - Viewers who formerly watched this stuff on CNN will leave in droves, and go to other sites with free or less expensive content.
3. Declining revenue - CNN will be forced to lower advertising rates, as they will have less viewers. (One benefit, there will be no advertising on these 'pay-per-view' pages, as there will be very few viewers other than CNN executives that don't have to pay.
4. Loss of market share - Competitors will be able to raise advertising rates, due to their increase in viewers.
5. Declining revenue & loss of market share - There will be less people around to purchase other CNN services, and visit other free CNN pages, and their associated advertising. Of course, these people will be spending their money, and watching advertising on competitors web sites.
Brilliant strategy - Does CNN really think the five people paying for this service will offset their losses? Another one bites the dust. |
