Firms like Edmund s are no doubt evaluating their Web edition with their eyes wide open. Personally, I see no reason to ever buy the printed Edmund s guide again with the data available online for free. However, there may be other ways that Edmund s can make money online, such as offering a convenient classified ads service to go along with the pricing information. Indeed, that s just what they re doing. The folks that sell those CD-ROMs make money on each sale to individuals or libraries.
Switchboard makes money by selling banner ads on each Web page.
By tracking users as they come into the site, and by measuring how many sales result, advertisers have a pretty good understanding as to which of their ads are the most effective, and which sites on the Web are the best places to advertise. Although some skeptics proclaim that banner ads aren t effective, a number of major advertisers are betting that they do lead directly to sales, and the industry trend seems to be upward. Assuming that group of readers doesn't overlap much with those who pay for print subscriptions, the Journal may conclude it's best to charge. Most other content providers will probably move much more cautiously, using banner ads and no up-front fees, and following more of a broadcast TV model. Copyright 2001 INT Media Group, Incorporated All Rights Reserved.