Tag Archives: newspapers

3am and everyones asleep

On from the launch of the relatively impressive if not entirely unique Mirror Football website earlier this month, recently launched is the digital version of the “famous3am Girls - Trinity Mirror’s latest attempt at a vertical for which they possibly hope to charge in the foreseeable future in order to help stave off the UK’s largest newspaper publisher’s plummeting share price avoid laying off more journalists and closing down more newspapers: http://www.3am.co.uk/.


What can we say about the SEO of this site by looking at it for 2 minutes? The URL structure looks ok, they seem to have a hierarchical system that uses hyphen to separate words. But I can’t say the actual words they want Google to spider are too impressive. I am not sure what they will make of “Ooh”, “Gasp!” and “Phwaor!” as the links on the main navigation. All the page titles are the same as well and there is no RSS feed, but I don’t want to be too picky. Does it have any meta data then? What are those CTRs going to be like?


Let’s Google [3am] … here they are down at number 6. Well, I don’t know about you but to me the snippet’s not exactly an incentive to learn more. But we all know newspaper companies hate Google so maybe they’re not interested in traffic from search engines, which might start 80% of internet journeys but let’s not let facts get in the way of the truth.


Oh but hold on. Trinity are paying for PPC rankings for both [3am] and [celebrity gossip] so they are at least acknowledging that search exists in some form. Oh dear.


To be fair, it is early days for this site. With a decent amount of marketing more people will come and visit what is an established brand in the celebrity world and as a result the site will attract some high quality links that will push it up the rankings to a point, despite Trinity making it as hard as possible for Google to understand what the site is about. But if they want to rank for [celebrity] (450,000 exact match searches on average per month) or [celebrity gossip] (368,000 exact match searches on average per month), which I am pretty sure they do as they are bidding on PPC for both, and compete with Heat, Perez Hilton, Spike and *whisper it* The Sun then they had better smarten up their act. Because currently they are, sensibly, not charging for content so all cash will come from ad revenue which is reliant on traffic and impressions and as far as Google, the biggest traffic driver of them all, is concerned they are merely a blip on the horizon.

It is as if the whole of Birmingham suddenly stopped reading newspapers

 

Paidcontent summarises the latest ABC newspaper circulation figures from the UK (US and Australian comparisons follow below) in a single paragraph.   All
you need to know, says Paidcontent’s Patrick Smith, is that 465,895
less national newspaper copies were being sold – and given away – in
July 2009 compared to July 2008.

 

If we work on the principle of 2-3 readers per paper that would mean at least a million people – the equivalent to the population of Birmignham – have stopped reading a national newspaper over the past year.   If you added in regionals, the figure would almost certainly be much higher with Enders Analysis telling
the House of Commons culture, media and sports committee that 50% of
regional papers are at risk of closure in the next five years.

In the US, the equivalent of Wisconsin has stopped reading papers

The last US figures I could find were the ABC ones that came out at the end of April
(I believe new ones are out soon). Daily average circulation for 395 US
newspapers dropped from 37.1 million in March 2008 to 34.4 million this
year, so a total loss of 2.7 million sales.    Again, if we apply the parallel above, that means 5.5+ million plus US readers have deserted the industry – call it the equivalent of a medium sized (in population) US State like Wisconsin.

Better news from Australia

The latest ABC figures
from Australia imply that the country is bucking the trend. Sales of
all daily newspapers in Australia stand at 20.9 million, down only
0.7%. However, national newspapers fared worse showing a drop of 3.4%
on weekdays.Commenting in The Australian, Steve Allen of Fusion Strategy said that “the trend line for newspapers in Australia (is) really probably the best in the world.”

 

Is the news getting less bad?

At
the same time, it’s worth paying attention to some media commentators
who are predicting that the slump in the newspaper market may be
bottoming out – at least in the US.  Borrell Associates predicts a
rebound in newspaper advertising next year, however to put that into
context, even in 2014 predicted newspaper advertising ($30 billion)
will still be far below the $55 billion the industry managed earlier
this decade.

 

Like a number of other pundits in this
space, Borrell Associates doesn’t feel that newspapers are dead, just
that their future is to be leaner and “more interesting, more relative to their audiences”a view I share.

So
the overall trend is still very much in one direction as newspapers
battle for a future in a digital world, but it is a process of
evolution rather than a today / tomorrow thing. After all, 88% of newspaper reading time is still in print and not online.

 

Image – Birmingham, UK, by Paul Tomlins

Would you pay to read news online?

Rupert Murdoch seems to think that you will.


After the huge financial losses just announced by News Corp, Murdoch has decreed that, possibly from as soon as next year, he will charge for all his newspaper websites including The Times and The Sun. It isn’t clear whether this will extend to broadcast news websites such as Sky News.


It has been obvious for some time that the newspaper industry is at a crossroads. The old-new-model of drawing in as much traffic as possible to gain revenue from display advertising has been found to be unsustainable – I say old-new because, well, we’ve been here before haven’t we: back when paid for content was deemed to be a broken model and the pay-walls tumbled down the first time. In addition to News Corp, the Telegraph, Guardian and Mirror Groups have all mooted charging for content but as Michael Beecroft, head of digital trading at Mediaedge:cia Global, concedes: “In many ways the horse has already bolted, and trying to close the door on it now will be very tricky indeed.”


This model may work for some specialist content, such as the FT or the Media section of The Guardian, but in general why would anyone pay for content they can get for free elsewhere?


Murdoch, Sly Bailey and others speak about how quality journalism is not cheap but what exacly denotes “quality” and who is the judge of that other than the audience? In a world where the media landscape is increasingly fragmenting, why would you pay for frontline heavyweight news items when the BBC continue to provide that for (what is perceived to be) free? And when it comes to the so called celebrity ‘news’ that the tabloids pedal so well, why would you pay for The Sun when you can go to Perez Hilton? Why go to newspapers for sport news when you can go to Cricinfo, Football 365 or Planet Rugby?


Even most of the content from the Guardian’s Media section can also be found with a subscription to the NMA or Media Week.


Just last week, Chris Anderson, the editor of Wired said in an interview to German news website Spiegel:



“In the past, the media was a full-time job. But maybe the media is going to be a part time job. Maybe media won’t be a job at all, but will instead be a hobby. There is no law that says that industries have to remain at any given size. Once there were blacksmiths and there were steel workers, but things change. The question is not should journalists have jobs. The question is can people get the information they want, the way they want it? The marketplace will sort this out. If we continue to add value to the Internet we’ll find a way to make money. But not everything we do has to make money.”


The UK has always had more national newspapers than any other country, and the arrival of digital has just exacerbated the situation to the point where the market is unbearably crowded.


The Independent, with the lowest readership of any national, has been under threat for some time following huge losses, with the Daily Mail & General Trust rumoured to be interested in rescuing it. The failure for such a move to materialize to date probably says more about The Independent that anything else.


Moreover, The Observer, the oldest Sunday newspaper in the UK, published since 1791, is facing the threat of either closure by the Guardian Media Group or being re formatted into a weekly magazine following the same heavy losses suffered by the other papers (The Observor actually being one of the papers that is holding its weight better than others). I would find this extremely sad, no other Sunday paper quite caters for the same readership (though this may yet be its saving grace- Guardian Media Group is owned by a not-quite-for-profit organisation for a reason) but we all should come to the realization that in the next ten years a lot of household newspaper names will either change beyond recognition or disappear completely.


Ultimately we have been here before. People may be questioning the business model for free content but it is worth remembering that the model for paid content turned out to be just as unprofitable back at the turn of the decade.  The fundamental problem is that there is no longer a scarcity of content and without scarcity economics doesn’t really work. One thing is for sure though – in the words of Dylan, These Times They Are A-Changin’.

The Empire strikes back or the old order’s attempt to bring an end to the age of free

 They’ve had enough. Enough of all you freeloaders stopping by their sites and not paying. Enough of you ignoring the ads they’ve served up for you. And enough of you reading and sharing their stuff elsewhere.

 

‘They’ is traditional newspaper and media publishers who are now online. And their point of view can best be summed up by (New Zealand) National Business Review boss Barry Colman who told subscribers he was drawing a line under “the
crazy model adopted by newspapers in most parts of the free world in
which they pay the enormous costs of running professional newsrooms
only to give away their content away free.”

As a
result, the age of free, the ability to read almost anything, anywhere
online and not have to cough up for it, is something they now want to
bring to a close. And there’s a concerted effort going on from some of
the biggest guns in the industry, to try and make this happen. Consider
that:

1 – The Newspaper Licensing Authority, which represents Britain’s national newspaper groups, wants to dole out licenses before you can share links.

The
idea is that if you professionally monitor the websites of newspapers
(which most agencies and in house marketing departments do), you will
need an annual license from the NLA for the simple act of forwarding a
URL of a newspaper website by email….which obviously brings traffic
back to said site.

While focusing on the relatively soft
target of people like myself who need to monitor the media as part of
their jobs, the NLA doesn’t actually have the cojones to go after
Google News, under the rationale that Google doesn’t make money from it
(news to Google I’m sure). But the Associated Press in the US does.

2 – Last year the Associated Press got in hot water
when it announced it was charging bloggers for using as little as five
words of its content in posts. The AP kind of backed down, but now this
proposal rears its head again in a different form. However it’s not
small time bloggers that are in the AP’s sights but global search
engines like Google, (Microsoft) Bing and Yahoo!.

According to the New York Times, AP President Tom Curley said “if
someone can build multibillion-dollar businesses out of keywords, we
can build multihundred million businesses out of headlines and we’re
going to do that.”
And that I think is the crux of it. It’s not so much copyright as a case of, “we want some of what they’re getting!”

Though
the AP gets money for its content to appear on Google News and the
Huffington Post, it doesn’t get anything from general search results.
This is what it wants to change via – just like Britain’s NLA – a
system where it doles out licenses before you can link back.

A
system that sounds to me much like 18th century trade protectionism.
Buy a license to import or export goods – or in this case, buy a
license before you can send links around.

“The current days of the Internet will soon be over”

3 – And then we have the giant of the English speaking media world Rupert Murdoch planning to charge
for his portfolio of newspapers in the US, the UK and Australia with a
News International team in Sydney looking into ways that this might
work. Murdoch has put so much behind this that Wired in its latest
issue wondered: “Can Rupert Murdoch save online news?”

According to Murdoch,
“We will control the prices for our content and we will control the
relationship with our customers…the current days of the internet will
soon be over.”
So that’s that then.

Well maybe not. I wonder whether ultimately the attempts of the old guard are ultimately doomed for three reasons:

1
- For this to work everyone really has to be aligned. So ALL major
newspaper groups need to be in step and start charging. Otherwise, news
is news and consumers will carry on going to where its free.

The Daily Telegraph in the UK for one has already decided
that free is ultimately more lucrative as it allows it to sell loads of
other stuff onto its user base. And what the New York Times has in mind doesn’t really sound like charging for content either.

The
biggest gap in the charging wall however will come from online TV news
services like BBC and CNN online. With their websites being much like
online newspapers with added video anyway, they stand to benefit from consumers who simply just want ‘the news’ (as opposed to the news from The Times etc).

2 – As the Wired piece admits,
it’s all very well to charge for the Wall Street Journal, but looking
at other titles in Murdoch’s stable how about the tabloid The Sun (or
the New York Post in the US)? Will a subscription model really work
there?

3 – The Web is the hotbed of invention. Perhaps
charging will provide an opportunity for other services to emerge,
Huffington Post style, to carry on providing free content. And really
there often is a work around to a lot of these ideas. For example, I
mentioned the newspaper licensing agency here in the UK. The NLA
intends to charge for sending links by email but not via
Twitter….well fine, guess we’ll Twitter direct message the links,
which get forwarded to, um, email.

Ultimately what
publishers are trying to do is to turn back the tide of history and how
often does that work? I don’t think it can, especially since free is
now the norm, encouraged by none other than the likes of Rupert Murdoch
in the first place. Interesting times in watching publishers trying to
make this stick over the coming year though.


Image – Myrrh.ahn

Online subscriptions the beginning of the end?

 

Over the last couple of months the newspaper industry has seemed increasingly desperate to generate new revenue streams in particular from the internet. If you take a look at the revenue figures for newspapers it is easy to see why.

News Corp who own one of the worlds largest newspaper businesses saw Q1 operating profit drop 47% and they are not alone.

Since Murdoch initially mentioned the idea that newspapers should start charging subscriptions for their websites in May there has been a growing sense amongst the newspaper industry that a subscription model for online access to their content is the way forward.

So is subscription going to save the industry or is it yet another badly thought out attempt by an industry that doesn’t really understand what is going on around them to grab revenue where it can?

You can probably tell from my choice of words that I don’t believe this will save the industry.

Newspapers have done well up to now for two reasons, firstly the convenience of the format. Traditionally there where three primary platforms for absorbing news: TV, radio and newspapers and each of these had a very different format which where used at different times and in different ways.

Newspapers provided the ideal way to transport news. They where sized to be comfortable to read on a bus or a train, lightweight, cheap and easy to dispose of. You couldn’t take a TV to work with you; you couldn’t take a radio of a flight so the newspaper was perfect.

The second reason was the control and flow of information. In order to report news particularly news from a foreign country you had to get a reporter there, have researchers available to check facts and figures and a way to broadcast the information. This kind of operation cost a lot of money and required a large infrastructure. Newspapers where perfectly setup to take advantage of this structure and there where very few competitors.    

Internet technology and in particular Social internet technology have been eroding away the need for large-scale organization and at the same time increasing the number of devices, that news is accessible on.

Think laptops, netbooks, iPhones, your computer at home, your computer at work, in fact for a good deal of people, they are never more than a few clicks away from huge stores of information.  These stores of data are called websites and pretty much anybody can run one.

As soon as information is available on one website, it has the capability to be available on millions through technology such as RRS. Added to this platforms like twitter allow near instantaneous transmission of messages to potentially millions of people, meaning almost no information is unique.

The less unique information is the less valuable it is and information is newspapers currency. 

Much like the music industry of the late nineties and early two thousands, instead of finding ways to use this new technology to their advantage the newspaper industry is mostly trying to either ignore the problem or threatening to sue anyone they can find, usually Google.

Now that it is becoming increasingly obvious neither of these strategies is working, they are trying to fall back to the offline model of subscription.

Why not try something new, how about add-ons to their service?

An example of where they might want to start their thinking is already here have a look at Techdirt a professional online blogging network that has come up with a range of add-ons to help their newsgathering and analysis business. I am not suggesting that mainstream newspapers follow this exact model but to me at least its seems a lot better than anything they have come up with so far.

 If you want to read some more insight it is on my company website Yomego
 

Newspaper recycling ?

Interestingly I wrote this last week and the debate has now moved on however I felt quite strongly when I read of the recent lobbying by major media companies in the US to force Google to make them appear top of its natural search results for news stories and decided to post anyway.

It is supreme arrogance, ignorance and laziness from newspaper barons who are rightly scared that they are being increasingly marginalised by users finding their content where they want rather than where these old school ‘institutions’ would have them find it. If newspapers want their sites to be top of search engines, and surely they do with 80% of internet journeys starting with a search, then they should take the steps to make sure they get there via ethical SEO techniques; by improving and optimising their architecture and content and improving the quality of their inbound links via digital PR. Asking for special treatment is just, well, cheating. The Guardian for example, has always been one of the lowest selling national UK dailies but it has tapped into a worldwide liberal audience online and its site is now one of the most read newspaper websites in the world, and consistently the most visited in the UK (although traditionally populist Sun did overtake last week according to Nielsen).  Why is this? Mostly breadth of digital content, especially blogs, and, in the case of the Guardian, the identification of a target audience- something that most national newspapers, who have more or less the same centre right agenda, will not be able to differentiate against. Say what you like about it politically, but the Guardian understands digital arguably better than any other traditionally offline media owner, arguably in the English speaking world. If print media brands want to survive in the brave new world, they need to realise that they are no longer people’s first source for news.

The word ‘fragmented’ does not come near to describing the sources from where users get their content from these days. Why should we go to a newspaper website for it? Many print media owners seem to think that users will come to their site because in the pre-digital past if you wanted news you had no choice other than to use their brand. Moreover, many people only read news in the past because it was all that was available for your commute. Now all that content, and more, is on the web and the new generation of mobile phones such as the iPhone are only making it easier to read that content on the move, even if that portability is still embryonic in its development, not to mention other distractions like mp3 players and video games.

Admittedly, when it comes to big international stories, it is the larger and more established media owners that have the resource to send journalists to the front line but then those media owners need to take steps to ensure that their content is then found by search engines spiders. To ask for special treatment flies in the face of the principle of an unregulated, democratic world wide web. It’s an old media solution in a digital world. We all have to face the reality that there are too many newspapers in the post digital world, certainly in the UK. The Trinity Mirror Group has closed 27 titles in the last year alone. The recent realisation that selling ad space alone does not provide enough revenue for newspaper sites to keep their content free only complicates the issue. Digital has been cutting into the sales of national newspapers for years forcing some, such as the near 150 year old US newspaper, the Seattle Post-Intelligencer, to go online only and reduce their journalist staff from 120 to just 20.  Is subscription for content the answer? That’s a whole different question.  As for the immediate future, newspaper barons can moan as much as they want but although some will have the vision to survive, some are ready for the recycling bin.

Flash report from the imedia brand summit

Intel, the BBC, Dell, Coca-Cola, Samsung and Cadbury’s et al presented experiences of interactive capacity and competency in their companies.
I was asked to moderate a panel of experts from the newspaper industry, the BBC, the online travel world and the global advertiser on the state of the nation of the impact digital technique has in the world of communication. A very high quality panel discussed a range of issues, including how businesses are organising themselves for effectiveness in the digital world, and what some of the challenges have been in getting them there.

Peter Ward from WAYN (the travel social network) spoke well about how his business has pushed the limits of technique from the beginning. As with many other social networking sites, WAYN enables its users to create a profile and upload photos. Users can then search for others, and link them to their profiles as friends. If you register it is possible to send and receive messages using email, discussion forums, eCards, SMS and instant messaging. Matt from the BBC spoke about how stakeholder management remains a skillset we need to excel at since the need to get so many interest groups focused on a single strategy around the consumer is as critical in the BBC’s world as it is in the world of brand communication.

Simon Shipley from Intel was firm in his belief that delivering digital work required a commitment to learning new skills. Intel has undertaken a serious programme of training internally to digital knowledge. And the ability to develop communities of interest amongst target audiences has been one area of growing effectiveness. Intel runs a programme aimed at IT Managers, a critical audience (in both meanings of the word) called the IT Manager Game. It’s proving to be more and more effective as time spent and quality of content consumed through the game play increases. It’s a completely ‘non-traditional’ activity, which makes it harder to measure in terms of media metrics, but easy to measure in terms of effectiveness of shifting perception and commitment to the Intel brand.

Anne Foster from the Newspaper Marketing Agency reflected on how the demands of advertisers had changed to reflect the audiences, and the mood in the media industry was definitely a focus on sales and ROI rather than brand. Also there were different levels of media need by category. We had talked offline about an increased interest in emotional factors influencing decision making, which, and how we are in danger of too much focus on the short term. It’s inevitable, though, in current forecast market conditions. Anne also presented a strong grip on the statistics of consumer behaviour, how they consume media and what this means.

Measurement remained a big issue for everyone. I put the question to the floor “is anyone happy with their measurement?” and the universal response (although in such an environment it’s natural for people not to give too much away) was “not really.”  There are new dynamics of measuring digital media, and dashboarding gives us a view, but there is a shortage of common currency, both in planning and measurement. For example, the current pressure on ROI and direct response means refocusing on click through, but as consumer behaviour online has adapted to the range of content and browsing behaviour, click through just isn’t enough.

So what’s the answer to that? Again, opinions varied, and the room was divided on what we’re trying to measure. My take is that if we accept the job of the marketer is to be gaining or defending ‘share’, or launching new products, services and variants, then we need to have people with the broad view as well as the detailed ability to pick targets off one by one. Share, of course, is only one aspect. Profitability is another, and sustaining profitable share is the job of everyone, not just the marketer. There is universal need to learn, however, how ‘being part of the conversation’ can be measured in these terms.