andrew-akers

I'm a product marketing manager who loves learning about technology, information security, and identity. My goal is to turn that knowledge into positive outcomes for our customers. Before Auth0, I was a product marketing manager at Cisco in the network security division. In my spare time, you can find me spending time with my family, reading, writing, and working on endless home improvement projects.

Product Marketing Manager

Andrew Akers

Find out how step-up authentication can make media paywalls more user-friendly while discouraging churn.



## Think Paywalls Always Mean Unhappy Customers? Think Again.

CTO's in the media world are constantly juggling multiple, sometimes conflicting, priorities with how they manage access to their content. They have to combat user churn, drive revenue through a mix of ads and subscriptions, and maintain healthy traffic and SEO rankings.

In recent years, the paywall has evolved into an effective tool for balancing these needs, boosting subscriptions by restricting what content non-registered users can access.

The [_New York Times_](https://www.forbes.com/sites/greatspeculations/2017/05/04/new-york-times-digital-subscriptions-continue-to-drive-growth/#2a20a548295c), for example, increased its revenue through digital subscriptions under its paywall, even as ad revenue declined. However, using a paywall often comes at a cost to user experience (UX), and companies are wary of driving away users by forcing them to enter in their credentials.

[Step-up authentication](https://auth0.com/docs/multifactor-authentication/step-up-authentication) offers a way for media companies to balance security and UX, by only demanding that users enter their credentials under certain circumstances.

## How Step-Up Authentication Applies to Media

As we explained in our [introduction to the topic](https://auth0.com/blog/what-is-step-up-authentication-when-to-use-it/#Step-Up-Authentication-vs--Multi-Factor-Authentication-vs--Adaptive-Authentication), step-up authentication allows you to make some content easily accessible to users, but request authentication when users want to access more secure content.

One of the primary use cases for step-up authentication is a membership model that only grants full access to a site to paying, registered users, i.e., a paywall.

So how do you define more secure content? If you have a [metered paywall](https://auth0.com/blog/the-role-of-ciam-in-implementing-a-sound-paywall-strategy/), a registration box appears once a customer has visited their allotted number of pages per month. For a hard paywall, users might have to register to see the vast majority of a site’s content. And in a freemium model, certain pieces of content are reserved for paying users.

Step-up authentication becomes important for users who are already logged in but engaging in riskier behaviors than just browsing through content. For example, if a customer attempts to change their payment information, that would trigger a request for [multi-factor authentication (MFA)](https://auth0.com/docs/multifactor-authentication). MFA requires an additional form of credential, such as a one-time code or a fingerprint scan, to confirm that the person accessing this restricted area of your site is who they claim to be.

![Media companies can use Identity Management to solve challenges](https://images.ctfassets.net/23aumh6u8s0i/20LwKMDP0CXFzTiYeMRwXI/4d2cb9bdd4161bde760e2f1ee0f23c8c/media-industry-dismantle-01)

Having an extra layer of security that “steps up” to protect payments is crucial since [phishing and credential-stuffing attacks](https://auth0.com/blog/11-of-the-worst-data-breaches-in-media/) are on the rise. Generally, friends sharing the same set of credentials for a subscription is a low-level worry in media, but hackers using stolen credentials poses a much more serious threat. But even in the face of this threat, a good step-up authentication solution won’t represent an unpleasant disruption for users. Auth0’s [Guardian MFA](https://auth0.com/multifactor-authentication) makes the authentication process as easy and unobtrusive as possible. With Guardian, media companies can let users authenticate with a push notification on their smartphone, rather than forcing them to log in to their email or remember the answer to a years-old security question.

## How Step-Up Authentication Makes Paywalls User-friendly

[User churn](https://amplitude.com/blog/2016/01/27/understanding-user-retention) is the great enemy of media companies. A [Lenfest Institute study](https://centerforcooperativemedia.org/wp-content/uploads/sites/5/2018/04/Skibinski-Lenfest-MSU-Presentation.pdf) found that publishers’ online products have a median churn rate of 50% over a year, and while some customer turnover is inevitable, holding on to existing subscribers is still hugely important to maintaining a healthy media company.

Naturally, media companies are reluctant to make engagement more difficult by introducing friction around authentication. Forcing your readers to log in every time they want to access content is bad business, which is why step-up authentication only imposes that requirement under special circumstances.

The good news is that customers will tolerate authentication requests, provided they are employed thoughtfully. In a [2018 Experian study](https://www.experian.com/assets/decision-analytics/reports/global-fraud-report-2018.pdf), 66% of surveyed consumers reported that they like online security protocols because they make them feel safer.

When you employ step-up authentication with Auth0, you can still keep friction at a minimum with long-lived sessions, which can keep a user logged in to your site for up to a year. Auth0 would only require them to enter their credentials if they attempt to access more sensitive areas of your site.

Another major UX advantage for [multi-brand media companies](https://auth0.com/blog/how-enterprise-architects-can-cut-manteinance-costs-in-multi-brand-media/) is Single Sign-On (SSO). When you enable SSO across all your properties, users with bundled subscriptions can navigate freely between them. But even with SSO, you can use different paywall models across different brands. This way, one brand could have a metered paywall, while another could offer freemium content. Step-up authentication will act as a gatekeeper to ensure users only see what they’re paying for, but since they’re still logged in, you never lose sight of their [identity](https://auth0.com/blog/the-role-of-ciam-in-implementing-a-sound-paywall-strategy/) and behavior, which are crucial to refining your understanding of your users.

<include src="TweetQuote" quoteText="The media companies having the most success with paywalls are the ones that don’t treat them as rigid barriers. Find out more about Auth0 step-up authentication."/>

## Experimentation and Customization are Key

The media companies having the most success with paywalls are the ones that don’t treat them as rigid barriers. Instead, they experiment with how much content to put behind a paywall, and when to request authentication.

_The Economist_ spent [six months tinkering](https://digiday.com/media/economist-tightens-paywall/) with its number of free articles per month before landing on five as the magic number, while simultaneously publishing a significant amount of content in front of the paywall. Its circulation profits have [doubled](https://www.economistgroup.com/pdfs/2018_Annual_report.pdf) in the past five years. The Washington Post traditionally removes its paywall for [hurricane-related coverage](https://twitter.com/washingtonpost/status/1168138800121438211), which attracts readers and acts as good PR.

The most effective paywall strategy is unique to every media company, but to discover what the right mix is for you, your authentication solution has to be flexible and allow for easy alterations. Auth0’s platform, with its easily customizable [Rules](https://auth0.com/docs/rules), lets you quickly change what content falls in and outside the paywall.

![Users can access content using multiple devices](https://images.ctfassets.net/23aumh6u8s0i/5thwMutvBKJsFi5CoBpJkG/4982337f9d017cafd180b8568cd36933/media-industry-dismantle-02)

You can customize further with adaptive or contextual authorization, which are interrelated concepts with step-up authentication. Adaptive authentication is triggered by user behavior, rather than the content they are trying to access. This type of behavior could be a user signing on to a new device, multiple devices at once, or from a suspicious location. For example, if a user logs on in Australia and then logs on fifteen minutes later in Delaware, this will trigger an authentication request.

Whether or not to implement adaptive authentication depends on your business model. HBO, for instance, is quite liberal in allowing shared credentials logged in at the same time, whereas other media companies are more restrictive. Whatever your needs, Auth0 has highly customizable MFA capabilities around adaptive authentication.

## Step Up to Security That Won’t Drive Users Away

As media companies seek to limit their reliance on ads, and customers become more comfortable with subscribing to their preferred media, paywalls will increase in prevalence and importance. A [2019 Imperial College/Brave Software study](https://arxiv.org/abs/1903.01406) showed that the trend is already taking hold, with 33% of sites on the top-1000 news index using some form of paywall.

<include src="TweetQuote" quoteText="Step-up authentication offers a way for media companies to balance security and UX, by only demanding that users enter their credentials under certain circumstances."/>

But all paywalls are not created equally, and the media companies who use them effectively will be those with an approach to authentication that doesn’t increase churn. According to the Imperial study, a quarter of news sites outsource paywall functionality to a third-party, but of course, those aren’t created equally either. Given how high the stakes are, it’s essential to outsource this crucial function to an authentication partner like Auth0, with the customizability to implement step-up authentication under just the right circumstances.

<include src="asides/AboutAuth0" />


Step-Up Authentication is Key to Making Paywalls Work in Media

diegopoza

System Engineer, geek, foodie, technology lover, speaker.

Sr Manager, Developer Advocacy

Diego Poza

Customer identity and management technology plays an important role with media and publishing companies as they optimize their paywalls to convert more subscribers.



The media and publishing industry has been through the wringer in the last decade losing a whopping [$31 billion](http://www.pewresearch.org/fact-tank/2017/06/01/circulation-and-revenue-fall-for-newspaper-industry/) of their total advertising revenue, and the forecast for the future is more of the same.

But before you give up hope for the future of digital media, there may be a reason for optimism: people don't prefer ads and are willing to pay for ad-free content. Ad-blocking software is on the rise with [25% of internet](https://www.emarketer.com/Article/US-Ad-Blocking-Jump-by-Double-Digits-This-Year/1014111) users currently blocking ads. In fact, publishers are turning to CIAM (Customer Identity and Access Management) technology to help them deliver [personalized ads](https://auth0.com/learn/media/) to enhance the experience.

According to a recent study by [Media Insight Project](http://fortune.com/2017/05/02/paying-for-the-news/), over 50% of adults already pay for some form of news or magazine content. Since the Wall Street Journal took a stand in the 1990's and implemented a [hard paywall](https://en.wikipedia.org/wiki/Paywall), consumers have shown that they can be willing to pay for written content.

![Protecting content with a paywall](https://images.ctfassets.net/23aumh6u8s0i/7hueNFqSY22hrY2RHPi6ms/7f081a88c720fe6b07bef57f2c131310/paywall)

This willingness to pay has shifted the revenue model where acquiring new paying subscribers is more lucrative than relying on advertising revenues. But with so much free content just a click away, media and publishing companies must deliver a compelling [customer experience](https://www.zendesk.com/resources/why-companies-should-invest-in-the-customer-experience/) to compete and attract new customers.

**A key driver in converting new subscribers is your [paywall](https://en.wikipedia.org/wiki/Paywall) strategy.**

Paywalls, which were once used to keep non-paying users out, are evolving to entice new customers to pay. In this post, we’ll share how these paywall strategies work with CIAM technologies to help publishers attract new customers and drive revenue through three standard approaches: metered, freemium and hybrid.

## **1. Soft Paywalls: Hook them with a sample of your content**

Metered paywalls give users access to a fixed amount of articles before they are forced to subscribe. This is the popular approach for brands with a larger, more established readership, such as NY Times and Financial Times. Metered access allows publishers to show their value and then upsell their readers to access more.

![Metered paywalls give users access to a fixed amount of articles before they are forced to subscribe](https://images.ctfassets.net/23aumh6u8s0i/4YJRZaOYZ5MxWrXzJcxPSV/e671abd47f9bbdc58962b8f414a64616/metered-content)

If your company consistently delivers high-quality content, the metered paywall can be very effective. Over the past year, the NY Times has increased first quarter [circulation revenues](https://www.forbes.com/sites/greatspeculations/2017/05/04/new-york-times-digital-subscriptions-continue-to-drive-growth/#714b6047295c) by 11% with digital-only subscription revenue growing at 40% year-over-year to $76 million.

<include src="TweetQuote" quoteText="Soft paywalls can hook potential customers."/>

### How CIAM Helps Convert Your Anonymous Users

Metered paywalls are most effective when you can accurately track users to ensure they don't go beyond their article limit, while also [leveraging their behavioral data](https://amplitude.com/blog/2016/09/21/interpret-emotion-intent-through-behavioral-analytics/) to recommend additional articles that they would like to read in order to improve a conversion.

CIAM technology gets the most out of your metered paywall by giving every visitor, even if they don't sign up,  a unique ID that follows their activities and gathers relevant behavioral data.

The [anonymous data](https://github.com/auth0-samples/auth0-anonymous-tracker) informs your marketing efforts to attract like-minded users, but, more importantly, you can personalize your paywall pages with relevant content based on the behavior of your anonymous user. When you customize your paywall messaging to speak directly to a user based on their interests, your conversion rates will skyrocket.

## **2. Freemium Paywall: Give away your core product with compelling add-ons**

The freemium model divides content into free and premium sections where users are able to access most of the site indefinitely, but there are special areas that are walled off and require paid access.

Freemium gives publishers control over the content and services that are set aside for paying customers, which allows them to test prices, subscription offerings, and features to acquire new customers. ESPN has developed several premium products to upsell their free readership, including their Insider content series.

![Insider content series from ESPN](https://images.ctfassets.net/23aumh6u8s0i/4SgN6iT7JSSYIw1eixs8xr/faa9a8ddc4bc9623392659c150b02fff/insider-content)

As the trend towards paid subscriptions continues to grow, the freemium model has become a popular strategy for lesser-known content providers who need exposure before they can prove themselves as a subscription business. But for larger companies, like ESPN, there is still a benefit in collecting user data from their free users to develop more relevant products.

<include src="TweetQuote" quoteText="Freemium content is a great way to get known before trying to upsell."/>

### How CIAM Removes The Friction To Sign Up For Free Content

The freemium model gives publishers a few avenues to upsell premium products, but there is also an opportunity to generate user sign-ups. By asking users to sign up for limited access to premium content, to allow commenting on articles or to receive a newsletter, you can collect their registration data. But it needs to be super easy and painless.

When you implement a CIAM [social login](https://auth0.com/learn/social-login/), sign-up is quick with a 1-click registration. Once they log-in to your service, the social login gives you access to their social media data, which will help you personalize your marketing and content efforts in the future.

![CIAM social login helps you personalize your marketing and content efforts](https://images.ctfassets.net/23aumh6u8s0i/7F1OTYw4GrdDZc55wdLgFk/f11de0fad442752b70bcb9772dfff5e6/social-login)

You get permission-based access to the user's data including their interests, preferences, locations as well as accurate demographic data. These customer attributes are key in developing customized offers for upsell, informing content and new product decisions and developing customer relationships that drive future referrals.

With a CIAM tool like [Auth0](https://auth0.com/learn/social-login/), you can choose from over 30 social networks for your social login including Facebook, Twitter and PayPal.

## **3. Hybrid Paywalls: Deliver unique offers based on the customer**

Digital marketing success relies on giving your [customers a personalized experience](https://www.fullstory.com/resources/marketers-customer-experience-guide/measuring-customer-experience/), where the right message is delivered to the right person and the right time. A hybrid paywall approach mixes offers to reach a broader audience.

The Wall Street Journal, known as one of the first to implement the strict hard paywall, has been experimenting with a 24-hour guest passes for non-subscribers who click on a story shared by a current subscriber or a WSJ writer.

![Hybrid Paywalls](https://images.ctfassets.net/23aumh6u8s0i/6yi41aRvNkZRpQ85YLlRUp/572912ec16b2792b61bfdbdbc2a11eb1/hybrid-paywall)

While the social strategy is sound to entice users based on articles they like, we should point out that the WSJ is not using a social sign-in, which is a huge missed opportunity. Especially when their traffic for this promotion is coming from a socially-driven effort.

That said, leveraging social sharing in this way creates an organic way for people to join the WSJ based on an article that was shared within their social network with a topic that uniquely interests them. [More than 50%](http://www.niemanlab.org/2016/12/the-wall-street-journal-is-confident-a-loosened-paywall-will-draw-the-paying-readers-it-needs-to-survive/) of the Journal’s subscription sales now come from individual articles.

The hybrid paywall is a broad approach that opens the door for experimentation. If you approach your paywall as a conversion tool, the best strategy is always to test, measure and iterate until you find your sweet spot.

### How CIAM generates Customer Insights To Customize your Paywall

If the WSJ used a social login, they would instantly gain a single view of their customer across all their marketing initiatives. Social profiles on sites like Facebook represent the true identity of a user, so once you connect with that social network via social login, you have the actual identity of your subscriber.

You can then integrate this data with your CRM and marketing automation technologies to create highly-targeted marketing campaigns that deliver relevant and compelling offers to those customers. This type of personalized messaging ends with a custom paywall that delivers the right offer to the right user.

[Acquiring customers in the digital age](https://www.interana.com/blog/how-leading-companies-are-tackling-the-challenges-of-digital-transformation/) hinges on giving your users an experience that is relevant and adds value to the individual. CIAM technology can give you the [customer insights](https://auth0.com/blog/customer-data-is-king-four-ways-to-know-your-customers-better/) you need to execute this type of personalized marketing campaign.

## Optimized paywalls just might be the future of media and publishing

The media and publishing industry will experience a revenue renaissance, as long as they are able to attract and retain new subscribers.

Paywalls will play an important role within the sales funnel as the point of conversion. Although there are different paywall methods, the end goal is to drive revenue. In each approach, CIAM has an important role in increasing conversions and generating new customer insights that lead to more relevant marketing.

The next decade is up for grabs for the digital media industry, and the companies that embrace customer access and identity technologies will have a data-driven edge in attracting new customers with paywalls that entice rather than deter.  


"paywalls"