'Dutch market too small for iPad newspaper'

Earlier we published articles on this site about the new business opportunities that come along with the emergence of tablet computers like the iPad. Several book publishers and printed media companies are currently investigating ways to run profitable smartphone and tablet applications. For example, Playboy and several other magazines developed iPad apps. The forerunners in iPad publication note however that, initially, it is difficult to keep this industry profitable. For this, economies of scale are needed.

Dutch media experts Piet Bakker, professor of cross media studies at the Hogeschool Utrecht and Jacob Groshek, media and communications lecturer at Erasmus University in Rotterdam, think that the Dutch market as yet is too small for successful digital newspapers that focus specifically on The Netherlands.

An important factor is the limited scope of the Dutch language. A paid daily newspaper that appears only digitally for tablet computers is now only viable in an English language context, the experts think.

Digital newspapers specifically aimed at tablets, including The Daily that is currently being launched by media tycoon Rupert Murdoch and Apple CEO Steve Jobs, need to attract large amounts of followers, especially in the early stages. ''It's an American initiative, but The Daily newspaper is obviously not bound by national borders and beyond will find customers. The Daily only needs to conquer a few per cent of the English speaking world to be profitable." says Bakker

The business case of a paper like The Daily will, according to Baker and Groshek, mainly be based on subscribtion sales as revenues from advertising are under pressure in a struggling American economy. According to Groshek, it is unlikely that many Dutch people will subscribe to a digital newspaper. Most people simply do not own an iPad (yet) and for those who do, digital versions of familiar newspapers an popular magazines are available on the Dutch market.  

It seems that, after the recent transformation of Dutch newspapers from broadsheet to tabloid paper formats, we need some more patience before we witness the next evolution towards tablet newspapers.  'At least for now,” says Groshek, “Possibly, the Netherlands is ready for its own paperless newspaper in about five years'' says Groshek.