Bloomberg Experiments With Subscriber-Only Content

The two words every publisher wants to hear? “Subscriber retention.” As publishers gradually shift their focus from attracting new subscribers to keeping current ones satisfied, Bloomberg Media has begun experimenting with offering subscriber-only content related to its free, talent-driven products, such as its newsletter and podcast Odd Lots. While claims about retention rates require time to validate, early engagement metrics from the trial suggest long-term success. Within two months of offering subscriber-only content, the Odd Lots newsletter has seen a 100% increase in its clickthrough rate and a 50% increase in its open rate, compared to the publisher's overall average, suggesting a heightened appetite for the exclusive material. Bloomberg Media declined to offer specific figures regarding the number of new subscribers it has generated. Using this tactic, Bloomberg Media treats its freely accessible newsletters and podcasts as its top-of-funnel offering, then uses exclusive content centered on its talent to drive subscriptions. Bloomberg Media already employs a dynamic paywall, allowing non-subscribers access between one and three free monthly articles, but this strategy adds a twist to the traditional gating mechanism, said Lindsay Horrigan, the global head consumer marketing and general manager of subscriptions at Bloomberg Media. “We’re trying to leverage those special moments to be something that only subscribers can get,” Horrigan said. “It’s not something you can read for free.” After launching its subscription program three years ago, Bloomberg Media has accrued more than 300,000 subscribers and is on pace to generate a nine-figure revenue from its subscription product alone. Why talent-centric content encourages subscriptions Fans can develop a deeper relationship with ongoing, personality-driven content, such as podcasts and newsletters, than they can with lone articles. Because of the intimacy the medium offers, podcast fans can grow more attached to the figures behind their favorite audio products, so much so that analysts have developed the theory of “parasocial relationships” to describe the dynamic. Likewise, newsletters, with their consistent cadence and more personalized tone, can encourage more robust attachments in their readers. Both are driven as much by “talent” as traditional reporting. Bloomberg Media exploits this connection by placing a specific kind of subscriber-only content in proximity to the free offerings. This content often offers more in-depth information about the podcast host, such as question-and-answer series. These offerings draw on listeners’ interest in the talent to convert them into subscribers. “Specialized content like podcasts really allow listeners to develop relationships with the talent, and, as humans, that’s the kind of stuff that keeps you around,” Horrigan said. The publisher has found that by presenting exclusive content to a mixed audience of subscribers and non-subscribers, the strategy also reinforces the “value” of a subscription by reminding subscribers of the perks it provides, thus increasing retention rates. The desire for further access can also drive listeners to subscribe, said Rob Ristagno, the founder and CEO of the revenue growth agency Sterling Woods Group, because the difference between a free reader and a subscriber is often less than most publishers think. “We call it the ‘two-millimeter’ rule: You don’t need to reinvent the wheel to motivate free readers to subscribe,” Ristagno said. “It's usually just one or two things on top of the free content that get people to join, and access to experts is a great one.” Bloomberg Media chose Odd Lots for strategic reasons In trying to boost subscriber retention, publishers have become more meticulous about the subscribers they court. Instead of casting a wide net, Bloomberg Media has focused its efforts on converting readers who have a high likelihood of remaining subscribers. To that end, it chose to lead their subscriber-only experiment with fans of Odd Lots, because it has developed an active fan base over the years, but a significant percentage of its listeners were not subscribers. Bloomberg Media sent Odd Lots fans a survey, asking what kind of additional content might encourage them to subscribe, and its young-skewing audience responded that they wanted more information from the hosts of the podcast, Joe Weisenthal and Tracy Alloway. The publisher now plans to offer more subscriber-only content in certain niche, highly requested areas, such as personal finance, Bloomberg Green and its opinion section. This Sunday, Bloomberg Media is unveiling a newsletter called Power On, led by journalist Mark Gurman, which it plans to surround with subscriber-only content. In the future, Bloomberg Media aims to continue experimenting with using its talent to encourage subscriber retention and acquisition, Horrigan said. Similar to the model it employs with Odd Lots, Bloomberg Media is considering experimenting with offering free access to stars like Chris Paul, Imran Khan, Professor Galloway and Emma Barnett through Bloomberg Quicktake, its global streaming and news network, but it will surround those gratis offerings with exclusive content. “The strategy taps into two motivational hooks when it comes to consumer buying theory,” Ristagno said. “The access to talent makes them feel special, and it makes them feel like they're part of a community.” Bloomberg Media’s Green Collective Attracts Sponsors to Climate-Change Journalism

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Bloomberg Media Experiments With Subscriber-Only Content to Boost Retention

Talent-centric exclusives have increased Odd Lots' open rates by 50%

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