Lorraine Heggessey, Talkback Thames’s chief executive has expressed that the BBC should charge viewers “micro payments” to view content on their iPlayer. Meanwhile Tony Cohen, Fremantle Media’s chief executive and parent company of Talkback Thames, also said that the micro payment model would work well with the iPlayer market.
Research carried out by Fremantle has suggested that individuals wishing to see specific content would pay up to £2 per show. With most broadcasters now offering a catch-up or on-demand service, combined with falling advertising revenue within the sector, the micro payment model could lead the way for the future of broadcast funding.
However, a spokesperson for the BBC discounted the idea saying “The cost of the BBC iPlayer is covered by the licence fee, so UK users have already paid for this service.”
Meanwhile Steve Hewlett, an expert within the media industry expressed that the model makes sense. “The BBC never thought it was appropriate to give away DVDs, so why should catch-up be free? Traditionally, licence fee payers have paid for access on a TV set – and only for the first transmission. The technology now exists that can make payment straightforward. Once you have your account you tell it to buy, it’s easy – in essence it’s quite attractive. At iTunes prices, I would pay.” He added that whilst the BBC continues to offer the service for free, it makes the future in micro payments very difficult to implement for any other broadcaster.