The vast majority of the websites we build for our clients include a membership element where visitors have to pay for access to premium content. These sites are thriving, with growing memberships and high renewal rates, proving that selling content, even when free alternatives exist online, is a highly effective strategy.
The Question: Why Pay for Online Content?
The idea of selling content in a free-content world may seem counter-intuitive. And the truth is that most people won't pay for information which they can easily find for free.
Nor will they pay for great content if they can easily find free content that is almost as good.
This is evident in professional journalism, where high-quality content from sources like The NY Times and The Guardian competes with a plethora of free news sources.
So what kind of content will people pay for?
Here are the most common reasons based on our experience with membership site owners:
1. Access to unique and exclusive information
People join paid membership websites primarily to access information they can't find elsewhere. This includes exclusive research, insider reports, and unique data sources. Curated reports and professional studies are highly valued and difficult to replicate. Other examples are free e-books, videos, short courses, and other 'freebies' provided as a lead magnet.
2. Time efficiency
Searching for information on the internet takes time. People will often prefer to pay someone else to do this work and compile the results in a comprehensive and easy to consume format. If you are doing the research, the user doesn't have to, and that is a reason to pay for content. There are many examples of this kind of website on the web, including SubHub membership websites.
3. Accuracy and reliability
You get what you pay for! A lot of the free content on the web is inaccurate. A lot of it is opinion, or content that is sponsored via affiliate links. Paid-for sites are perceived (usually correctly) as having more honest and accurate information.
4. Community engagement
People who are passionate about a subject like to mix and talk with other people who have the same level of passion. They will pay to be part of a community of peers or fellow enthusiasts, and may be willing to pay for it, especially if the community website is well-organized. If a community discussion group or forum resides on the main website, users don't have to go searching for Facebook groups that may or may not be directly related to the specialty subject they are passionate about.
5. Exclusivity
People pay for exclusivity! They get pleasure and value out of having access to information and people that other people don’t. It is a similar phenomenon to private member clubs in the offline world. The whole idea of a "club" atmosphere has always been and is still very appealing, especially if it is a unique niche.
6. Avoiding exclusion
On the opposite side of the same coin, people who are not within a community often feel excluded. They want to know what they are missing and are often prepared to pay to get rid of the ‘pain’ of exclusion.
7. Peer pressure and FOMO
Successful subscription websites often grow through word of mouth. People can recommend certain sites to their friends and colleagues, which results in a kind of peer pressure. FOMO (fear of missing out) then sets in, and potential members are motivated to at least check out the website.
8. Association with celebrities
People enjoy being associated with and having access to celebrities in their field of interest. Subscription websites often allow direct access and even live events with the site owner.
9. Expert Advice
People will pay for access to advice and resource libraries that are only available from recognized experts in the field. This can include financial experts, experts on education, religious instruction or specific health-related concerns.
The increasing willingness of people to pay for access to content is borne out by the growth in the market. If you're thinking you may have missed the boat and the membership market is saturated, think again. The membership management software market is expected to reach USD 8.26 billion by 2029.
Conclusion
People won't pay for content if they can easily find free alternatives of comparable quality. However, they will pay for content that is exclusive, offers added value, includes community engagement, and is perceived as the best in its niche.
Given the expected growth in the membership market, now is the perfect time to start your own membership website. Open a free trial today and begin your journey to creating valuable, premium content that people will pay for.
