Revenue models implemented by encyclopedia britannica

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Reference no: EM131055116

Encyclopedia Britannica is a company that has transferred its existing reputation for high quality to the World Wide Web. Encyclopedia Britannica started in 1768 and it developed its respected brand over its years of publishing. It started as a type of pre computer-age frequently asked questions (FAQ) list, a list from notes taken by a group of academics. Those notes were then published into several articles. Encyclopedia Britannica began its online business with two Web sites. The Britannica Internet Guide, a free Web navigation aid that classified and rated information loaded sites, and Encyclopedia Britannica Online, available for a subscription fee. Britannica used the free site to attract people to the subscription site. In 1999 Britannica switch to advertiser-supported sites because of low subscriptions sales. The day of the new free site’s opening over 15 million people log in, and forced to close for two weeks to upgrade their system. Britannica.com besides all its content they offer Merriam-Webster’ Collegiate Dictionary and the Britannica Book of the year. And after two years of using advertising-supported model Britannica faced a decline advertising revenue so they switch to the mixed model where they would charge $5.00 a month or $50.00 a year. For now, Britannica has decided that the best way to capitalize on that reputation and expertise is through a mixed revenue model of subscriptions and advertising support, with the bulk of its revenue coming from subscriptions.

Case Questions

Q1. What are the two revenue models implemented by Encyclopedia Britannica

Q2. Encyclopedia Britannica company has gone through transitions in their revenue models Explain why?

Reference no: EM131055116

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