Few people would pay to use social networking sites

Over 70% of social networking users would stop using a site

Few U.S. consumers are willing to pay a monthly fee to use social networking sites, according to Digital Media Habits II, a new survey from market research firm Parks Associates. This online survey of Internet users found 72% of social networking users would stop using a site if required to pay a $2 monthly fee. Likewise, nearly 40% would stop if a site contains too many advertisements.

These findings present a challenge to the companies competing in the social networking space. Parks Associates found 80% of broadband users ages 18-25 use these sites on a monthly basis; however, monetizing these users is proving to be difficult, with even category leaders such as MySpace struggling to turn big profits.

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