Newspapers battered by the collapse of the traditional business model might turn to this type of text-based SMS service as a new source of revenue. (La versión original en español se encuentra aquí.)
El Periódico of Guatemala has launched a headline service for cellphones that is producing $60,000 a month. After only four months, the service had 40,000 subscribers, said José Rubén Zamora, founder and president of the newspaper. (Photo from International Center for Journalists)
The subscribers for these headlines outnumber the 30,000 who buy the daily paper.
Zamora is not aware of other media offering this type of service, but he is bracing himself for competition in the niche from his biggest competitor.
Six messages a day
Subscribers pay the equivalent of 36 cents a day to receive three text messages with news in categories they choose, such as traffic, sports and business. The next three messages are free. The charges are added to the subscriber´s cellphone account, and the newspaper receives 30 percent.
Zamora said the goal is to send no more than six messages a day so as not to overwhelm the subscribers.