It seems like the tablet market it giving newspapers something to cheer about.
Dame Marjorie Scardino, chief executive at the Financial Times, is now looking to tablet to stand out as the new market for newspapers to reach. This is stated after the “digital subscription” format, which brings the newspaper subscription to the digital format, jumped up to a total of 230,000. This is a move up by a full third, and if also marks that the number of registered users went up by half its numbers to 3.7 million. This is meant to be drawn back to tablets like the iPad, which have become central to the digital incarnations of the newspaper because of their size and mobility. This may be even more of an important market for Financial Times as its other companies, such as educational lines and Penguin Books, can also jump into the e-reader capabilities of tablets. Their e-books along jumped a 130% in the same swoop, and when tied into the soaring e-reader market there seems to be a future here.
In general, this is going to change the basic financial structure of the paper. Marjorie Scardino pointed out that , “The advertising market is less and less of interest. It is now more about content revenues, such as subscriptions.” This is why you can expect serious pocket cash to begin going out to newspaper subscription costs, yet they may even help subsidize tablets in certain cases. Right now we can see that Scandino is reacting to an apparent 6% increase in sales across the board, and a 20% increase in profits. This does not seem to indicate a bubble, but instead a real change in the market that will sustain itself past the perceived fall of the newspaper. Now it’s just up to the readers. If the tablet market, in conjunction with the boom e-reader community, can shift to subscription based models at the same speed that major newspaper and book retailers are jumping ship then the digital market may help the transition take place.