Free Digital Content Strategy Boosts DMGT Revenue Results

Owner of the Daily Mail and Metro DMGT has said it is trading above expectations, with underlying revenues up by 4%. Analysts are attributing their decision not to introduce a paywall for online content as largely the cause of this.

Unlike The Times and Sunday Times who have seen a significant drop in users since their recent introduction of paid content on their websites, DMGT's strategy to keep their digital content free has maintained a large online audience, who are in turn creating increased appeal to advertising investors.

Head of Media at analyst BDO, Andy Viner, said, "DMGT's digital strategy is a success story for the group. It's well thought through and its current business model appears to be more sophisticated than that of its rivals. Taking a decision not to introduce a paywall, like many of its competitors, seems to have reaped dividends. The digital ad revenues are fast following."

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