News outlets in the Global South announce global ambitions

At the risk of falling into the trap that two data points make a trend, I have noticed something interesting out of WAN-IFRA’s recent Global Congress: Media outlets in the Global South are now expanding their ambitions globally. First there was the story about Clarín in Argentina looking to the US as a new market and now we have Nation Media in Kenya. Nation Media admits that most of its revenue, some 80%, comes from legacy products, and it wants to accelerate what it calls digital integration. It wants to be a go-to news source in Africa and beyond. They have set an ambitioius goal of re-balancing their revenue so that 50% comes from digital by 2027. Digital integration means that they are looking to streamline their existing five newsrooms across titles and broadcast outlets. At the moment, those newsrooms are all competing for resources. They first needed to integrate their workflow, and then they will tackle content stragegy. With a broadcast wing, I would say that they are uniquely placed to take advantage of the shift to video-based content.

Wirecutter used its Odes - “a short love letter to Wirecutter picks that have been beloved over time” - to create content on Instagram that drove affiliate revenue. The review site, which is owned by the New York Times, also used the reach of its parent company to drive double-digit revenue growth on Prime Day.

While social helped Wirecutter, it is not doing any favour’s to Reach in the UK. Some of their sites were heavily dependent on Facebook traffic, especially from instant articles it would seem. The hit to their revenue was grim, grim, grim. I consulted with Reach from 2016 to 2018. I love their teams, but it’s time for a new strategy. The one they have isn’t working.

This is a great example of how AI can help speed up processes. This is bread-and-butter application of the technology that does speed-to-text transcription and NLP to help speed the addition of metadata. It helps Reuters’ video customers find the video that they need.

See the story above. I would expect Meta to start de-emphasising news content quickly on their new Twitter-killer. I hear more and more journalists are feeling exhausted by the churn and burn on social platforms. There is much more emphasis by publishers on using social to build direct relationships with their audiences via newsletters, podcasts and apps.

While podcasts might have come off the boil that they experienced during the pandemic, they still have a role in audience development and engagement. And Spotify’s CEO says that this role is that they engage younger audiences - something that publishers are always looking to do.

The breakneck pace of AI announcements continues with the major tech companies all scrambling to take advantage of the buzz (and the market pop). While AI experts have decried ‘doomerism’, but it isn’t jus consumers who have concerns about AI. A growing number of IT specialists are also worried about the ethics of AI as well.

In the category of flash-in-the-pan social applications, those audio chatroom apps - Clubhouse, Twitter Spaces and Amazon’s Amp - seem to have failed to really grow beyond a small user base.

And for the former tech reporter in me, I am going to throw in a little less recent tech history. For those of us who have been around for a while, it often does feel like history repeating itself.

Publishers begin the battle over AI with platforms

First off, thank you to The Fix for positively mentioning my humble newsletter. Welcome to new readers. I publish a couple of times a week as the content merits and time allows. And if you like this newsletter, you might also like the newsletter that I write for my day job at Pugpig. Here is the last installment I wrote before going on my recent two-week holiday. Now, back to today’s newsletter.

It seems that there are only a few days since last November that AI hasn’t been in the headlines, and publishers have quickly taken stock of how their content has been and should be used to train LLMs. Big players like Bloomberg and plucky innovators like Skift are creating their own LLM products, but many other publishers want to be compensated for the value that LLM-based AI companies have already derived from their content. Players like Barry Diller and his IAC want big sums. This is the next battleground, and with regulators already feeling antagonistic toward platforms, publishers might have more success than in the past.

This is a classic Ansoff Matrix expansion strategy with both diversification and product development. Clarin has already grown their subscriber base in their home country of Argentina to become one of the top 20 publishers in the world based on its number of digital subscribers. Now, it is looking to build on its existing audience in the US and also launch new products including a football manager game.

This acquisition shows the value of community and focus. I have long used DPReview, and I’m glad that it was saved.

It’s a rebuilding year, but with new leadership, it looks like Jeff Bezos isn’t looking to sell but to make a new start.

Eight rounds of fundraising since 2017 as the company tried to raise enough money to replace the cash that they were haemorrhaging.

Josh Bentons is encouraging journalists to engage with AI more constructively. AI is like any tool, and journalists need to stay rooted in their values and their mission to ensure that they use AI constructively. He addresses a lot of the thorny issues that surround AI.

And the important thing is that editorial organisations need to engage with these issues before the pressures of deadlines. Max Tani shows how Insider is grappling with the issues now.

Social Media Update: Threads use declines and Twitter starts rollout of the super app with a branding update

Threads jumped out to 110m registered users within days, but data shows that activity has already dropped by 70%. But that doesn’t mean that we should start writing the obituary for it. Facebook iterates products quickly, and the first draft of this product will improve. The question now is whether Facebook can outpace Musk’s changes at X…

And then today, we have the latest installment of the rolling drama that is Twitter these days. Elon Musk demonstrates that his forté is not branding and that he ran out of ideas by wanting to rebrand Twitter as X and eliminate all of the bird-related branding. Musk has not been shy about his desire to remake Twitter as a Chinese-style Weibo über app. Musk needs more services attached to the product because advertising is down by half.

And we have CNN product manager Upasna Gautum taking a poke at Twitter’s CEO in explaining the product vision behind X.

Thoughts on the major shift in search and social traffic

Hello. I’m sending out a brief newsletter as I start two weeks of vacation. I’m unplugging to spend some much-needed time recharging with family and friends in the US.

As I take time off, the stories dominating my reading right now just underscore the fundamental shift that we’re seeing with major things that have underpinned media online for much of the last 15 years: The search and social landscape is undergoing profound shifts right now. Search accounts for about a third of referrals to publishing websites, and AI is threatening to upend what has been a very stable source of traffic for the industry over the last few years.

Traffic from social sites has been much, much more volatile, and as I have written about, this has meant the end of major digital publishers who road the social wave and generated a lot of traffic but found that generating a sustainable business from that traffic was much more elusive - think Mashable, Mic, Vice and Buzzfeed. These brands were once expected to dominate the 21st Century media landscape, and now, I expect most will be a soon to be forgotten footnote to the middle early phase of digital publishing.

And we see that publishers, especially news publishers, are trying to claw back some of the advertising revenue that they have lost to the Big Tech platforms through regulation. However, as we’re seeing in Canada, the platforms are not taking this lie down.

We’re in a period of major change and uncertainty. Publishers will need to redouble their efforts to build direct and deep connections with their audiences. First-party data, newsletters, apps and other tools and techniques of audience development will become more important as ways to drive loyalty and habit. Right, my out of office is on. I’ll see you the last week of July!

Apple is about to make it much harder to track user behaviour

Apple has found that privacy is a good selling point as consumers seek some protections from being targeted and tracked by advertisers. As Josh Benton at Harvard’s Nieman Lab points out, this means that for the third time in recent years, Apple is rolling out a feature that will reduce advertisers, marketers and publishers’ ability to track user behaviour. Link Tracking Protection is set to be rolled out in iOS 17, iPadOS17 and macOS Sonoma. It will be on by default in Apple Mail and Messages as well as Safari’s private browsing. It will also be an option in Safari’s default browsing. It will target the tracking parameters that are part of UTM codes, those long strings appended to URLs that allow tracking by source and campaigns. It’s not all doom and gloom. You will still be able to track users by campaign and medium. What this move really targets is personally identifiable tracking codes that link activity to an individual user. Apple actually seems to be targeting IDs from other platforms such as Google, Microsoft, Facebook, Hubspot and MailChimp. Read on and make sure to click the links for additional detail.

Jeff Jarvis is back with another book tying looking at the changes brought about by digital media. I have to agree with Jeff when he says, “This is the last gasp of old media, traffic for traffic’s sake, scale for scale’s sake. All that came out of the advertising business model and I think that changes now.” Those publishers that are still chasing scale are mostly failing. He is talking about how publishers need to rethink value that they are providing foraudiences. I think the message is especially important as publishers consider using AI to generate more commodity content more cheaply.

Google is facing a lot of pushback from publishers and regulators around the world so it is interesting to see Richard Gingras at WAN-IFRA’s recent Global Congress. I will agree that those of us who have been around digital media for a long time have seen ‘quieter times’. But we’re in a period in which Google is at conflict with publishers unlike at any time in its history.

This year’s Reuters Institute Digital News Report highlighted the rising percentages of people actively avoiding news. It is something that they have been covering in greater detail as the practice increases. This year, they delved into the reasons why people avoided news and found that their reasons for avoiding news were varied and that even the most ardent news avoiders still engaged with the news at times, usually around big stories. Others sought out more positive news, not necessarily just feel good stories but solutions journalism as well. Now publishers are actively trying to engage these groups with non-news verticals - think of the New York Times cooking or ‘things to do’ coverage as we used to call it when I was a regional executive editor with Gannett.

As a former Gannett editor, this interested me. One thing that really stood out for me is the EBITDA multiple that Gannett had in 2013. I joined them in 2014, and wow, Gannett was still raking in the cash - an EBITDA multiple of 22.3! The piece puts this in context that Politico and Dennis Publishing both sold for EBITDA of 15x. What is cleat that the New York Times decision to focus on digital subscriptions years before Gannett have delivered. But digital subs for local journalism have proven challenging for big chains like Gannett. We can debate why that is, but many folks would say that the product that they deliver doesn’t justify the price of a subscription - especialliy as they have cut their local news gathering capacity.

And I add this one fast on the heals of the previous story because the New York Times is an outlier for so many reasons so it is important to not focus solely on it when looking for a path to the future. As the Reuters Institute report has pointed out, in digital news, every country now has a winner takes most market, in which a few national titles win the vast majoity of the digital news market.

I type this as my phone flashes every few minutes with a new follower, well, someone who follows me on Twitter now following me on Threads. To be honest, this is the biggest threat to Twitter of all of the services that have been released since Musk turned the platform into a soap opera (that sadly had real life consequences for many people I knew).

Twitter’s new CEO proves that she is a team player or at least a good spokesperson for Musk on why he makes the decisions that he does. I can understand this from the standpoint of not wanting Twitter to be scraped by LLMs without some kind of compensation. This is the second best tweet from the new CEO. The one that takes the biscuit talks about how Twitter’s imitators (see above item) can’t duplicate its community. Um, well, if they have the social graph of Facebook, it just might be possible.

This is a bit if history that I know that digital journalists of a certain age will appreciate. I use Feedly to provide me with the links that I use for this newsletter, but I still mourn the loss of Google Reader, the search giant’s RSS reader. I am still not ready to forgive Google for killing this product, but at least I have some context. When you operate at Google scale, products that don’t reach that scale don’t have a chance.

And I am sure that we’ll be seeing a lot of stories like this. AI will kill a lot of commodity content jobs from journalism to marketing copy writers. The school of cost efficiency finds AI just far too tempting.

Which subscription calls-to-action work best in converting readers to subscriptions

I am traveling in the US so the normal schedule will be a bit abnormal through next week before I take a couple of weeks off. This week, there was a lot of movement both in terms of paid content and also the newsletter scene.

We start off with a bit of research in the UK about the types of calls to action that work in convincing people to pay for a subscription. The research carried out by Dr Neil Thurman of City University in London and Dr Bartosz Wilczek and Ina Schulte-Uentrop of Ludwig-Maximilians-Universität München surveyed 815 people in the UK.

The research tested four messages about why a person would subscribe to a newspaper that they liked:

  • a ‘normative’ message that leaned into the idea of supporting independent journalis.

  • a ‘price transparency’ message about the precarious finances of journalism

  • a value proposition message about the exclusive content that people could get from buying a digital subscription

  • a social message about being a part of a community.

No individual message would produce a ‘significant amount’ of subscribers, but a combination of two messages - the normative and price transparency appeals and a combination of price transprency, value proposition and social messages did produce a significant result.

This is important work considering the low rate of subscription adoption in the UK. According to the most recent Reuters Institute Digital News report. Only 9% of people in the UK had paid for news online in the past year, as opposed to 21% in the US or 39% of people in Norway.


Major UK national-regional publisher Reach has tried a number of subscription strategies in the past few years, with none of them really delivering the results that the group wanted. But now they are testing a metered paywall for the MEN app. We - being Pugpig - will be watching closely because we have built a lot of Reach’s apps.

The tech majors have moved away from third-party cookies as user privacy has become a selling point, and publishers and broadcasters have moved to first-party data solutions because it means it is much more valuable than third-party data so there has been a push and a pull. The question hasn’t been about the why but about the how.

Like so many strategic efforts, you have to get executive-level buyin. After that, it’s really all about execution including making sure to ask the right questions from providers and still understanding that third-party data has a place as part of your audience funnel.

The Online News Association in the US is having a newsletter how-to session packed with smart folks from the Wall Street Journal. It will include how to measure success and grow your newsletters.

In another piece of research out of the UK, the News Futures 2035 project has released a report into its findings. The more than 300 experts have been looking at ways to build a more sustainable future for public increase news (rather than simply news that the public is interested in). Reading between the lines, the political orientations of the publishers in the UK make it difficult if not impossible to find a way forward on policy an regulation.

Google has joined Meta have now adopted a common front in the face of regulation in Canada that would require them to pay publishers for linking to their content. With passage of the Online News Act C-18 in Canada, it will mean that Canadian news content will disappear from Google Search, News and Discovery. If figures in Canada are the same as elsewhere, this could put about a third of their referral traffic that news organisations get from search in peril.

For professional and business content, LinkedIn can be a valuable platform for publishers, and they have just tweaked their algorithms. During the pandemic, users said that their feeds were flooded with “Facebook-styel” personal content. As they de-prioritise this content, they will also emphasise content from first-degree connections.

The podcast market definitely seems to be cooling, and the latest example is US satellite radio service Sirius XM deciding to shut down the Stitcher podcast app. I’m personally sad because I was a heavy user in the eight years that we lived in the States. It’s app was integrated into my Mazda’s car entertainment system, and it had a really good discovery service. However, I can see why it ran counter to Sirius XM’s business model, and the company will move podcasting content into its main satellite radio app. And that makes a lot of sense because most people only use a handful of apps frequently. Having two apps simply didn’t make any sense.