Digital magazine store Magzter has launched a new monthly subscription model. It is trying to replicate the successful monthly subscription model adopted by Netflix for movies and TV shows. The firm is opening access to a library of about 2000 magazines, for Rs. 499 a month under the Magzter Gold plan. In another plan Magzter Gold Lite the firm allows users to read 5 magazines of their choice at Rs. 249 a month. Both the plans are priced at $10 and $5 a month respectively for global markets.
Magzter has more than 2000 magazines under this plan launched two weeks back and has added 500 more magzines in the Gold plan.
“We currently have 2.4 crore global users and based on our user behavior data, we have seen that readers see previews of many magazines without buying them - so there is a need to read but not necessarily to buy them,” Girish Ramdas, Magzter’s CEO and Co-Founder, said. “The plan addresses all these in one go .”
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Under the Magzter gold plan, the firm calculates the revenue share based on a user engagement algorithm which takes the Rs. 499 paid by the customer every month and then divides it by the number of magazines, the number of pages they read of each magazine, the price of the magazine.
Because of the plan, more than 100 new publishers signed up to Magzter across the globe , Mr. Ramdas said.
Magzter is not the first one to try the monthly subscription firms. Globally firms like Readly and NextIssue have also adopted the monthly subscription model.
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Magzter has a larger library than its rivals, said Mr. Ramdas.