Surge in Paid Content

Guangming Daily December 5

China’s online cultural industry maintained rapid growth in 2018, which was exemplified by the rapid rise of online paid content consumption. The revenue structure of the Internet cultural industry has evolved from one relying on advertisements to one based on paid content plus ads.

More and more users are willing to pay for Web music, videos and literature. Video streaming site Iqiyi.com’s membership fees reached 2.9 billion yuan ($421 million) in the third quarter of 2018, exceeding revenue from ads, 2.4 billion yuan ($348 million), for the first time.

The practice of charging fees for online content brings tangible rewards for creators and encourages them to produce more valuable work.

But how to ensure the vitality of such a model? Some online contents are paid for not because they are of high quality but because of promotions. Sometimes, users are required to pay a whole year’s fee to read a single item and cannot get their money back even if they are unsatisfied with the content.

Paid online content is not a commercial product but a cultural product and should have high standards to inculcate positive values in society.

A sound system should be established to enable inspirational work to circulate while low-quality and substandard information should be driven out of competition.