Business Models of Local and Hyperlocal Media During Local Mass Media Reforms in Ukraine

Abstract

The research relies on the world trends in the development of local and hyperlocal media and their business models to analyse the experience of Ukrainian local mass media in their search for sustainable funding. The financial sustainability of local and hyperlocal media projects is the key to expanding citizens’ access to high-quality news and information. The choice of a business model determines the media’s financial sustainability and efficiency, its philosophy, content and ways of content delivery. Crowdfunding and its types (membership model, club model, gift-crowdfunding) is considered one of the most effective business models for hyperlocal media. These models presuppose engaging audiences (communities) in media financing. The research into the key services, resources, information processes and flows, expenditure structure and revenue sources reveal that an effective business model for Ukrainian media aims to combine business values with consumers’ values and needs. The combination of these factors ensures sustainable development and independence of the editorial policy.