Price versus value

What is it about Craigslist that makes it so darn good at killing newspapers?
CL hardly charges for anything, yet it is a hugely valuable business. 

Wenda Harris Millard And Dave Morgan On The Coming Golden Age Of TV And Journalism |

—The CraigsList model: The classifieds site has is regularly cited as being one of the primary forces killing newspapers. But Morgan finds that model also offers a clue about where media business can look to, at least the ones who survive. Morgan: “That’s an amazing business model, but people look at a hobby. Jeff Zucker says he won’t trade analog dollars for digital pennies. Well, what choice do you have? CraigsList is worth a billion dollars or two. That’s a profitable business.”