What your paywall strategy is missing

With ad revenues continuing to decline, publishers are focusing on reader revenue to stay competitive. Paywalls are a crucial tool for acquiring new subscribers, but the traditional, one-size-fits-all model is no longer effective. 

In this article, we’ll explore why it’s time to rethink your paywall strategy and how you can improve it.  

Never underestimate the power of brand equity.
It makes your brand distinct and recognizable. Consistent branding gives you a competitive advantage.

Tom McCave

VP of Performance Marketing

Persuasive paywall messaging 

Hitting a paywall is a defining moment for readers. But here’s the question: does it inspire action—or a quick exit? 

A simple “Subscribe to gain access” might get the message across, but it’s far from compelling. Readers want more from their subscriptions. As a publisher, you should be able to articulate what they will gain beyond the article, such as:  

Persuasive paywall messaging in action

“Give the gift of insight” is a great way The Economist is positioning itself. This messaging resonates with those wanting to become more informed.

Poynter gives another example of messaging that explains the value of a subscription.

Persuasive paywall messaging starts with knowing your audience. Understand their challenges, aspirations, and what they hope to achieve. Ensure your paywall isn’t just a barrier but a gateway to value. In addition, consider where the paywall plays in your overall marketing strategy. As one product panelist put it at the 2024 Digital Growth Summit: “Brand reputation is what will separate us from AI in the future.” If you’re asking readers to pay for your content, the value must be crystal clear—not just in the articles themselves or in your paywall messaging, but in the overall brand positioning. 

Convert more readers with registration 

Before asking users to subscribe, there’s a smarter first step: adopt a registration wall. According to Piano’s 2022 report, “On average, approximately 3% of registered users convert to a paid subscription within a year of registration. But the best-performing sites can have over 12% conversion and the worst performers a little over 0.5%.” 

Yet despite these advantages, most publishers are underusing registration walls. In Q3 2024, only 8% of monthly users at the median news brand were registered. That leaves plenty of room to grow. 

By registering publishers can gain deeper insight to help convert casual readers into loyal subscribers. For instance, you can also build up a better understanding of their reading habits and registered users can be reached in more ways (e.g., email campaigns).  

Plus, although Google postponed the removal of cookies in 2024, first-party data is still the gold standard for audience engagement. It gives you direct access to your audience and ensures you can stay in touch, even as third-party tracking fades. 

Personalize your paywall  

Since 2020, the adoption of hybrid or dynamic paywalls has grown fourfold, with 22% of publishers now leveraging these advanced solutions. And it’s not stopping there—one-third of publishers plan to adopt one soon. 

The sophistication of AI and machine learning has helped improve dynamic paywalls. Take the Philadelphia Inquirer as an example. They integrated Sophi, a dynamic AI paywall system that determined whether a reader would see the paywall or be able to read articles for free depending on their prior behaviors. Over six months, they A/B tested the dynamic paywall and found a significant rise new subscriptions (see image).

Closing thoughts 

A well-designed paywall is more than a revenue tool—it’s an opportunity to showcase your value to readers. With ad revenue under pressure and audience expectations evolving, adopting a thoughtful approach to paywalls is essential. There is no hard and fast solution to defining your paywall approach, but by focusing on persuasive messaging, leveraging registration walls, and exploring personalization, you can create a strategy that resonates with readers and builds lasting relationships.