Currently content creators are sitting with a bit of a dillemma – the internet is not a place that necessarily likes paying for content, or at least thats the opinion of users. Any business case looking into news media will confirm this – people do not want to not want to pay for something that they can get free. Just ask Rupert Murdoch who recently decided to start asking people subscription charges to access the Times website. Early indicators show that its not neccesarily a big success. But this not because people do not want to pay for content, they hate the fragmented paywall system.
Solutions like iTunes for multimedia proves that people are willing to pay for content, provided its easy to do, and universal in terms of scope. And this is where Cred comes in, created by South Africans Saul Kropman, Jason Kramer and Toby Kurien. Instead of having to register at every content site (for example like The Times), users will use the Cred micropayment system to purchase credits to buy access to the relevant article. Cred is not only applicable to text based content like news, but multimedia sources as well.
At present, one Cred is worth one South African Rand, and publishers can charge up to a maximum of 20 Creds. At present different denominations are available, starting from around R50 up to R150. In future users will be able to define their own amount. At present the system uses your credit card to pay for these, but Paypal support is coming in future.
For more info, here is the official press release:
As the developed world moves towards spending more online than on traditional media such as television and print, you‘d assume that monetization of the Internet would come from advertising. With advertising revenue come massive expenses as journalists, technology and marketing come into play. Internationally, media mogul Rupert Murdoch runs around calling everyone on the Internet a kleptomaniac for stealing his content and is aiming to lock down his online portals and go so far as to remove them from Google.
The fact remains that even with a full advertising complement, revenue simply cannot outweigh costs.
This is essentially where Cred comes in, we allow content providers to monetize their websites by charging users for content with individual micropayments or subscriptions. We at Cred love content; we personally create and consume content on a constant basis and it was this passion for excellent quality that led to the idea for Cred. With online text, audio and video being free there is little ascribed value and if there‘s no value, what pressure is there for excellent content to be produced? Cred aims to preserve quality content by putting a value; we believe that the cream of content will then rise to the top.
Currently in the final stages of testing, we‘re accepting sign ups from content providers looking to prove their content is worth charging for. Initially we‘re available for the WordPress platform and eventually will expand to other platforms such as Drupal, Joomla as well as provide documentation that will allow developers to hook into their own niche content management systems.
The revenue model affords content providers 80% of all revenue without having to worry about fraud, payment gateways and are linked to a ubiquitous payment system thus allowing for easier access to your content by users with a Cred account. Cred scales perfectly for larger organisations as they can white label the Cred offering if desired.
Whether a small, niche publisher, band, photographer, author or massive media conglomerate anyone can start charging for their content with Cred.
Go to www.yourcred.com to sign up and follow us on twitter: @yourcred
