Why the largest newspaper group in Brazil uses Facebook as a subscription funnel

Brazilian publisher Grupo RBS will not be distributing any content from its titles on third-party platforms, as that would affect the conversion part of its business, Andiara Petterle, vice president of newspapers and digital media at Grupo RBS, explained at the World News Media Congress in Colombia yesterday (June 13).

"It makes sense for publishers with a national or global presence to use these platforms to increase their global footprint, but because we are local and don't have that scale, digital and online advertising will never, ever pay the bills," said Petterle.

Grupo RBS, the owner of eight regional newspapers, is instead working on how to use distribution platforms such as Facebook to create a subscription funnel for digital users, believing that digital subscriptions are the only way to have a sustainable business over the next decade.

The publisher uses Facebook in two ways to drive people to its content and sees the platform as an important marketing tool for converting them into subscribers.

Firstly, Grupo RBS creates segmented timelines, targeting users based on age and interests to produce a more customised reading experience for each person.

"We don't have free content, so the segmented timelines generate traffic to our metered paywall.

"Readers get five free articles before reaching a sign-in page that has a social login, then they get access to 10 more free articles before they reach the paywall."

There is no right answer. Each publisher has a different strategy that's right for them - Andiara Petterle #WNC16 pic.twitter.com/Pfmtdd0RHb

— Journalism.co.uk (@journalismnews) June 13, 2016

The publisher finds that the quality of its subcribers is therefore better, because readers specifically know what they are getting, and know the content is personalised to their interests.

Approximately 50,000 new customers have signed up for free every month since December 2015 and Grupo RBS has seen a conversion rate of about 3.5 per cent from free sign ups to subscriptions.

The publisher is able to produce targeted adverts for non-subscribers, in the hope that they will convert later on.

"Twenty-four per cent of our total conversions come from Facebook.

We are local and don't have that scale – digital and online advertising will never, ever pay the billsAndiara Petterle, vice president of newspapers and digital media, Groupo RBS

"We don't produce exclusive content for social media, but we always provide a link to our site – Facebook says you shouldn't post links, that you should use Instant Articles because the experience is much better, which it is, but it is impossible to have a sustainable business with that.

"We use the platform to generate promotion about a variety of things, such as a new columnist, product or digital subscription offer."

Petterle said the publisher has also tried other social platforms, but they are no good if they can't be used to convert readers into subscribers.

"We tried Snapchat but we don't have a product for that – our audience is over 50 years old.

"There is no right answer. Each publisher has a different strategy that's right for them, and we should not copy the tactics of others, because each organisation is different."

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