The booming state of subscription websites
No, it's not your eyes deceiving you. The number of subscription websites being launched each month is increasing. Why? Well, all it took was a little economic downturn (or not so little...) to remind people that giving away your products and services for free isn't always the answer. In fact, it's rarely the answer. Sure, sites like Facebook can make it work, but they have millions of dollars in venture capital to burn through.
Just as Jason Fried of 37signals (a multi-million dollar software business) has repeated for years, businesses need revenue to survive. For web content sites, advertising can only do much. The online advertising market shrunk this year for the first time since the bubble burst of 2001.
So far, I've only stated the obvious: online businesses need revenue just like everyone else. But, how do you get people to start subscribing to your website when other sites are free? And, how do you compete with other subscription websites?
The answer is simple: make access to your website worth paying for. Provide a service, perspective, or niche that is unique. Offer some benefit to the user. People will subscribe. The growing number of subscription websites on the internet shouldn't deter you from getting into the market - it should give you the hope that the market is there to be tapped. Build your subscription website, and they will come! Oh, and we can help make tapping that market a whole lot easier.
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Brock Ferguson is the lead developer of Caribou CMS. He lives in Vancouver, British Columbia, Canada.
