This is the latest installment in a series exploring attitudes to brand-funded content, brand journalism and brand publishing, based on a survey of 1,007 digital content consumers conducted by Toolkits and National Research Group.
- 86% of consumers say they’re open to paying for content produced by brands.
- 63% of respondents said they would be open to paying for TV, video, and film content produced by brands, while 53% said they would consider paying for live event content.
A growing number of brands are now exploring ways to directly monetize their content, and new research from Toolkits and National Research Group suggests that a large portion of consumers would consider paying to access it.
In a survey of 1,007 digital content consumers, 86% of respondents said they’re open to paying for at least one type of branded content.
Sixty-three percent of respondents said they would be open to paying for TV, video, and film content produced by brands, while 53% said they would consider paying for live event content.
Considering paying for content and actually doing so are two vastly different things, of course, but the data does imply that some consumers would pay for brand-produced content provided it’s compelling enough.
The content that consumers said they’d least consider paying for were email newsletters, opinion pieces, and memes or humor content.
Putting a price tag on content may also help engender trust: 27% of consumers said that paying to access branded content would encourage them to trust it more, compared to 21% who said it would make them trust the content less. Twenty-six percent of respondents also said third-party advertising within brand content would drive them to trust it more, while 18% said they would trust it less and 56% said it would have no impact.
Key implications
The path to monetization is challenging, but not impossible
Precarious economic conditions have forced marketers to look for ways to offset the cost of running publishing operations – and maybe even generate a profit.. But sponsorships, advertising, and reader revenue are all new for many of these companies, and putting these in place requires commitment and resources. And the big question, of course, is: Will people pay? The research implies that at least a few may. Saying they would consider paying and actually doing so are two different things, and willingness to pay is dependent on a variety of factors, including quality of content. But the data implies it’s not necessarily impossible. Brands may not be able to monetize large swathes of their audiences and may need to set realistic expectations if they attempt to do so, but every little helps.
Events are an opportunity for brand publishers in the post-pandemic era
Companies are beginning to realize the power of communities, and many are capitalizing on peoples’ desires to connect through events. Events can be virtual or physical, and can be live extensions of a brand’s on-site content – and can also provide inspiration and fodder for future content initiatives as well. However, events can be costly to put on. The data implies that events are at the top of the list for many consumers as a type of brand-funded content they are actually willing to pay for. As with any content, brands will need to consider how they can align events to their audiences’ needs and desires, and ensure that they are of high quality enough to actually be worth paying for.
Branded entertainment can be promising for brand publishers
A growing number of brands have made entertainment a cornerstone of their publishing strategies. This year’s Barbie movie is probably the most well-known example, but other companies, such as Fender and YSL, have produced short films, while sportsbooks like DraftKings have launched streaming channels. The data implies that perhaps more so than other types of content, TV shows, films and other video formats may be more possible to monetize.
Monetization may actually legitimize brand content in the eyes of consumers.
Prior research has indicated that audiences are now open and receptive to brand-funded content – as long as it’s of high quality. In some cases, they even trust it more than they do the content produced by traditional media. Monetizing content may actually make brand publishers seem more “legitimate” or “credible,” placing them alongside traditional media organizations in consumers’ minds.
People may assume paid content is of higher quality
Paying for access to content makes a portion of digital content consumers trust that content more – indicating an assumption among some people that paid content will be higher quality or have had more resources put into its production. When consumers are asked in general if they find 30% of consumers believe that paid content is higher quality, while 10% think that free content is higher quality. About 59% perceive them the same way. For brands, this means that if they choose to charge for access to content, they may find people trust that content more, but only if they ensure that the content is of high quality. Otherwise, there is the danger that they will not be able to meet consumers’ higher expectations.
