Author Archives: Kevin Anderson

02.06.14
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Digital disruption: Bigger audiences but lower revenues

This is the paradox of journalism in the digital age: Journalism organisations reach more people than was ever possible in the analogue age, but those larger audiences have not translated into higher revenues. Some of this has been almost constant pressure of digital ad revenues since the beginning of the financial crisis, driven by an oversupply of ad space. Digital media offer a dizzying array of choices for consumers and advertisers.

From the standpoint of journalism, like all industries facing the Innovator’s Dilemma, we scoffed at scrappy upstarts but not only editorial ones but more importantly commercial competitors for ad revenue that we didn’t even see as being in our business.

For an interesting view of this, take a look at this piece from The Conversation in Australia, a site that publishes comment on current issues by academics in Oz and the UK. Franco Papandrea writes:

The industry clearly underestimated the threat posed by the development of online competition. Although several newspapers moved early to establish an online presence, the initiatives were largely pursued to complement traditional activities rather than strategic actions to reposition their operations and bolster their competitiveness in the rapidly changing environment.

More recently, once the magnitude of the threat became evident, newspapers have scrambled to restructure in an effort to contain its impact. Their efforts so far have been concentrated in two broad areas: restructuring of publishing operations to re-align production costs with lower revenues; and seeking to convert their online readerships to earnings.

The increasing range of news and advertising services accessible on the internet is changing the relative comparative advantages of established media. The adjustment process is having a significant impact on established structures. The impact on newspapers has had both positive and negative implications.

He says we shouldn’t write off the incumbents, and he’s right. But in an age of disruption, incumbents strengths can quickly become their Achille’s heel as the market shifts.

01.27.14
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Big news stories: A threat or opportunity for paid content strategies?

January was a very stormy month here in the UK. We live just outside of London, and it has been quite soggy with our local park being flooded to some extent for much of the past month. People were swept out to sea as they tried to snap photos of the fierce waves. Photos and videos flooded news websites and the social web. People love weather stories, but as we saw during the storms, they rely less on traditional media to tell and share those stories.

David Higgerson, the digital publishing director for the regional websites within Trinity Mirror, is right when he catalogues the hyper-competitive environment that local journalism, especially, but journalism in general faces in a world where cameras are everywhere and distribution via social media is lightning fast and engaging.

But imagine, just for a moment, if we’d had paywalls around our sites – be they full, pay-or-sod-off paywalls or pay-as-you-go model. What do you think would have happened? Would people, up to their ankles in water and without power be digging out their debit cards to log on via their mobiles? Would worried relatives elsewhere in the country link your website to their Paypal account to keep up to speed with your live blog?

No, of course they wouldn’t. They’d have gone to Twitter, where police forces share information by the minutes. Followed new pages on Facebook, where the Environment Agency was actively driving users when appearing on broadcast media. They could have searched Google and found any one of the traditional national newspaper brands now hoovering up any agency copy they can find. Or checked out the BBC, which is superb at cross promotion. Or discovered hyperlocal sites run for passion or for money … and never again thought twice about us.

David is right, and paywalls are not the easy solutions that most journalists dream of as much as we might wish it were so. David closes by saying, “We have the potential to create great content, we just need to find the revenue model.” That is it in a nutshell. To quote advice given to a friend about his journalism start-up: “You know you can create value. But can you capture it?”

While local newspapers have much greater competition for attention and audiences, their real challenge has been competition for revenue. At the moment, we have two business models that have had some success: High volume predominantly ad supported, and a mix of ad and reader revenue. National or formerly national newspapers with international strategies, (think The Daily Mail and The Guardian), are pursuing an advertising-based business model based on scaling their audiences aggressively. But the pure scale model really isn’t an option for local journalism. Digital advertising operates and delivers meaningful returns with millions, probably tens or hundreds of millions of uniques. Most local sites on their own don’t operate at that scale. Some groups are looking at network plays amongst their sites, like Advance’s MLive network in Michigan in the US (disclaimer, I worked for MLive in another lifetime between 1997 and 1998). However, that isn’t an option for all local groups.

That means either reader revenue or alternate revenue streams, and the latter are showing some promised. Some local news groups are trialling digital services businesses, and it was one bright area for local media in the US last year. The Dallas Morning News has bought a number of digital ad and marketing companies to help it build meaningful digital revenue. (Notable as well is that they dropped their paywall recently.) A Newspaper Association of America report showed last year showed a 91 percent increase in marketing service revenue. It’s good to see that kind of growth somewhere in the business.

Paid content models used to be a binary choice, hence the name paywall. However, paid content strategies have evolved, and I don’t simply mean moving to the metered model as opposed to the hard paywall strategies. Modern paid content strategies have grown more nimble, more flexible. During big stories like storms, news groups like the New York Times and the Wall Street Journal have opened up their sites. This can be a great marketing opportunity to highlight the richness of your content, even in this new media environment. Paid content strategies also should provide publishers with a richer stream of data so that they can deliver better experiences and better products both for audiences and for advertisers.

David is spot on about being clear-headed about the competitive challenges, and he is also right that the real test now is finding the revenue model for local journalism. For the revenue to come, the products will have to change as well. If we’re not competitive with social media or more to the point working with social media to provide audiences with the best verified content, then we need to step up our game. Ever the optimist, I’d like to think that there is an opportunity for local news organisations to curate and verify this local information. To me, this is about smartly staying at the centre of a new local information and conversation eco-system. The bottom line is that whether it is storms or other breaking news, we have to compete for audiences. If we can do that, I think we’ll remain relevant to audiences and advertisers.

01.15.14
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News organisations must engage with RTB advertising

Journalists tend to focus on the shifts in media consumption as they try to make sense of the disruption in their industry, but they have often overlook the shifts in adverting beyond the precipitous drop in newspaper advertising since 2005. That collapse, more than 60 percent since 2005 in the US, has been driven not just by the decades-long decline in circulation but also that there are simply cheaper and more efficient ways for advertisers to reach audiences than passive banner or print advertising. The collapse in newspaper ads has driven some news groups into bankruptcy, driven many small dailies to become weekly publications and has driven news groups to shift the balance in revenue from advertising to reader revenue.

Frédéric Filloux has a great look forward to 2014 with his normally insightful advice on how digital media will survive to see 2015. I completely agree with him that the glut of online advertising is driving prices downward. I part company with him about RTB – real-time bidding. RTB, aka programmatic or algorithmic buying, can seem dauntingly complicated on its face, but after you cut through the acronym-intense eco-system, it is really quite straightforward. RTB is simply an automated way that advertisers can place ads on sites based on the audience they want to reach and the price they are willing to pay. RTB platforms mine the rich data-stream being collected about you.

It is a natural evolution of the data-driven targeted advertising system that we’ve seen develop since the late 1990s. To quote Alan Mutter, this is why media economics have shifted from reach to each. It’s not about advertisers casting their message as far and wide as possible but by precisely targeting their message to audiences they think are most open to their message. RTB can target age, income, geography and other demographic factors.

Again, for journalists who aren’t on the business side, it’s important to understand that RTB is mostly used for selling remnant advertising. What’s remnant? Your sales team sells as much of their ad space as possible – direct sales – but they may not be able to sell all of your pages. Unsold pages are remnant, and these unsold pages have traditionally been sold on ad networks. RTB is really just an evolution of the ad network model. News groups have become wary of ad networks because the returns are so abysmally low compared to advertising they sell on their own, and news groups and Filloux are worried that RTB, with its auction model, will simply put even more downward pressure on ad prices. Filloux says:

Thanks to Real-Time Bidding (RTB), publishers actually fuel the price deflation by auctioning their leftover inventory on various marketplaces. In doing so, they generate some revenue – at the expense of the format’s per unit value (in such auctions, expect no more than 5-10% of nominal prices). In addition this process mechanically applies negative pressure to premium placements because the advertisers will opportunistically purchase a guaranteed and targeted audience wherever available.

He is right to a point, but we’re already seeing smart engagement around RTB. RTB, and indeed all digital advertising, is about data, and just as news groups like the Financial Times realised that owning their customer data is key to their business, news groups are realising that if they power their own RTB exchanges with their own data, it can be a competitive advantage. Condé Nast launched a premium RTB exchange two years ago, and last year, they appointed an RTB senior director, Alanna Gombert. She said that that their RTB rates are similar to their direct sales rate card. She talks about premium RTB, and that is consistent with the magazine group’s premium content.

While news groups operate in a different space than a magazine publisher like Condé Nast, they still have the opportunity to create private RTB exchanges to leverage their data. This is especially true for large newspaper groups with rich user data that they have gained with their paid content strategies. Paid content is as much about user data as it is about shifting the revenue mix. Filloux doesn’t say that news groups shouldn’t engage with RTB, but I think they must engage with it. Data driven advertising is not only a reality that cannot be ignored, it can also be an opportunity. Fortunately, news groups got the memo. As Digiday wrote yesterday, the New York Times and the Washington Post have already appointed RTB chiefs. Own your future; don’t fear it.

01.10.14
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Too much ‘I’, too little team thinking at legacy media for innovation?

It’s not news that digital technology is driving rapidly changing consumer behaviour, and while it took some time for that shift to affect the economics of the media, the disruption is now in full swing. While the metered paywall has given a number of legacy media companies breathing room, to use the bump in reader revenue as a base to build on rather than a temporary reprieve from the dust heap of history will take focused, innovative thinking.

I’ve been involved in journalism innovation since 1996, when I took my first job as an internet news editor. I’ve held pioneering positions at major news organisations such as the BBC and The Guardian. Both of those organisations can be innovative in ways that have proven difficult for other media organisations because they aren’t purely commercial. How do other news organisations keep pace with their audience and just as importantly create new revenue opportunities?

Charles Warner, part of the Forbes network teaches Media Management Program at The New School, was recently asked how to drive innovation at an “old-line media company, and he thinks it is down to the individualistic culture at legacy media organisations.

Finally, success in legacy media companies (newspapers, magazines, TV, and radio) is driven by individual success – stardom – not by collaborative team success. The internecine, hand-to-hand combat inside legacy media companies is about who gets the credit for a hit or success, not about innovation or team success.

I’ve seen this first hand, and I used to say to colleagues, “Our real competition isn’t down the hall but across town” at one of the other newspapers, broadcasters or now one of the digital news and media startups.

This isn’t unique to media companies. Office politics is pretty universal. One of the benefits of having done consulting both inside and outside the media industry is that I have realised that positive corporate culture is rare and needs a lot of work. In media, you’ve got a lot of creative people, and journalism is populated with professional sceptics who question everything, including management’s latest change strategy.

However, that doesn’t excuse just how frankly, effed up the culture is at a lot of news and media companies. In the past, when owning a media company was a licence to mint money, we could afford these poisonous, dysfunctional cultures. We can’t anymore, and besides, it’s a lot more satisfying to succeed as a team than fight amongst ourselves on the decks of sinking ships.

12.21.13
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Walt Mossberg’s advice for journalists

Walt Mossberg and Kara Swisher are taking the digital media franchise, AllThingsD, from its relationship with the Wall Street Journal to a new independent phase. Walt and Kara have built up a great brand through great journalism, and he’s given an ‘exit interview’ to Mashable. He’s pretty tight lipped about what AllThingsD will morph into as it ends its relationship with the WSJ, but what I found really interesting was his own personal history.

While he has been known for more than 20 years for her personal technology column for the Journal, before that he covered national security. He has some excellent advice for ‘young journalists entering the industry’:

I would tell them quality over quantity, which is one of the biggest sins on the web, particularly today. I would tell them that it is enormously important to earn the readers’ trust by being ethical, another problem that some websites are guilty of. I would tell them to keep in mind who your reader is. Never talk down to that reader.

Know your audience and show them a little respect. It’s a winning formula no matter what stage your at in your journalism career.

Note, I first read this on Zeit and shared it on Pocket. I’m using Pocket and IFTTT to grab snippets I want to blog about. You can read the full interview at Mashable.

By Lance Ulanoff, Mashable
At an age when some may consider spending more time practicing their golf swing or perfecting their poker face, tech journalist Walt Mossberg is about to embark on what may be his biggest adventure yet.

from Pocket via IFTTT

12.09.13
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Newspapers: Community, priorities and platforms

I’ve been having a cracking conversation via blogs, Facebook and Twitter about how newspapers can rethink what they cover and, in doing so, cover more of the lived experience in their communities. When I said ‘cover more’, some journalists felt as if I was adding another bale of straw to their already breaking backs.

Andrea Gillhoolley, the community engagement team leader and reporter for the Lebanon (Pennsylvania) Daily News said this to me on Twitter:

https://twitter.com/AGillhoolley/status/403537976786817025

After years of declining readership and revenues that have led to savage cuts, to say that local journalists are stretched thin is an understatement. They are stretched to breaking point. I understand that. I was with the BBC for eight years, and half of the time I was there, there were cuts. I was with The Guardian three and a half years, and half of the time I was there, there were cuts, and deep ones.

When the cuts started, the talk was about ‘doing more with less’. It was about finding efficiencies and cutting out the duplication of effort, but after years of cuts, newsrooms now find themselves able to do less with much less. Editors have had to become a lot more creative on how they work with the staff they have left, with other resources if they are in a group, and with their communities.

John Robinson started this conversation when he challenged newspapers to break out of their traditional paradigm. In that post, he asked:

Is the disconnect between how I live and what the news covers unusual?

And he added:

What would happen if the newspaper or TV station compared their typical content with the day-to-day interests and activities of their readers/viewers? And what if they took those results and changed the way they report the news? Would that make their products more relevant to the people they aim to serve?

John was talking changing the mix of coverage to increase relevance, not simply doing more, an idea which really resonated with me.

For years, I have been talking about how journalism competes in the attention economy. In an age when content, information and entertainment are not scarce, people’s time and attention is the scarce resource. Newspapers aren’t just competing against other newspapers, magazines or TV and radio outlets that produce news. Newspapers in particular, and journalism in general, are competing against every other thing that can capture people’s disposable time and attention. That’s the competitive challenge, and it is daunting when one considers that we join this fight with smaller staffs and fewer resources.

Creating a community platform

Journalism can win in this hyper-competitive fight for people’s attention, and we’re starting to see digitally-savvy media organisations succeed such as PolicyMic and Buzzfeed (my jetlagged brain originally wrote Buzzworthy – the merger of Buzzfeed and Upworthy). It’s a new mix of internet memes, content and commentary. Newspapers have always been a package of hard news, lifestyle and comment, something that is much clearer outside of the US (where I’m from) than inside, where a particular model of non-partisan media, an anodyne AP-style with little voice, has come to rule.

For local media, I don’t really see the option to become partisan like the British press or US cable news. Local media became non-partisan in the US because it was the only way economically to appeal to a wide enough cross-section of the community with a single publication. I also don’t see local newsmedia becoming regional versions of Buzzfeed. However, I do see the opportunity to become the voice for the community.

Steve Yelvington, a friend and someone I look up as a true journalism pioneer, has been speaking about a “new kind of people’s journalism” for more a decade. In a post last year, he expanded on what he meant, specifically saying that “people’s journalism isn’t ‘citizen journalism'”. He said:

We can apply traditional definitions of “newsworthy” and “journalism” if we like, but there’s really not much point. This new news will flow of its own accord, propelled by people’s interests. There are no gatekeepers in this environment. … Professional journalism has had years to think about how to adapt to this new reality, and on the whole, it’s failed. [This people’s journalism is] not a replacement. It’s a new, complex model that obsoletes some of what pro journalism did in the era of mass media but creates new opportunities for adding value.

The key is focusing on the “new opportunities for adding value”. I still believe that there is an opportunity for local newsmedia to become community platforms. This goes far beyond simply monitoring social media and using it as voxpops (man-on-the-street quotes) for stories.

Steve’s thinking led to Bluffton Today, “a blog-centered community website”, which is still going seven years after launch. In 2007, Steve was interviewed by IFRA about the project, and it is worth reading in full, and this is the thinking behind the project:

The important thing to recognize about Bluffton Today is that it’s a multimedia operation that endeavors to exploit the unique strengths of each medium.

The newspaper is free and home-delivered, taking advantage of print’s advantages in browsability and discovery. The website engages people in a conversation through blogs and photo-sharing, taking advantage of the Internet’s advantages in human interaction and immediacy. These two sides come together through a professional news staff that uses the Web as a listening post. We pick up some blogs and photos for the print product, but the real “secret sauce” is that the community conversation helps the professional journalist connect with the real interests and passions of regular people, and not just the agendas of the institutions and newsmakers that pro journalists usually cover. Our own research shows that the professional news staff of Bluffton Today is closely aligned with members of the community when asked about community issues and problems, while there is a big gap at most other newspapers. We think that tight alignment is one of the big factors contributing to the extraordinary readership success of the newspaper.

It is a community platform in which professional news staff play a slightly different role by amplifying the real interests and passions of the community, things that people “groove on”, as Dan Conover said in a comment on John’s original post.

How does a community platform scale?

The challenges for many larger media companies is how to use their scale effectively against an army of digital insurgents that don’t share incumbents’ cost base. I think that local media face a slightly different challenge, even if they are part of a larger group. Yes, they can draw on the group’s resources for regional coverage, but that regional coverage will most likely be done reasonably well by other media than a local newspaper. The real place to add value is local content and conversations that no one else is providing.

This gets us back to the original issue I touched on: How do you scale local content with greatly reduced staff?

This is where the community platform is key, and the concept of a local platform is different in 2013 than when Bluffton Today launched in 2007 in part because most local audiences are probably already interacting online on a social network. Here are just some ideas on how to create an economically viable, scalable community platform. 

• Sharing photos

Steve and his group, Morris, were smart. They created a local photo sharing service, Spotted, which you can see on Bluffton Today. In 2007, Steve told me that at some of the newspaper sites for Morris, up to 40 percent of traffic was to local photo galleries.

The best photos can be highlighted not only online but also in the newspaper. People still like to see their words and their pictures in print. 

What shocks me is that many newspapers developed the ability for their audiences to share photos only to abandon these efforts. My guess is that they feel the efforts cannot compete with Instagram, Facebook or Flickr, but I’ll wager that there was a ‘build it and they will come’ attitude. Communities take effort, and this is especially true these days with so many social media services competing for people’s online attention. 

• A true community forum

“A good newspaper, I suppose, is a nation talking to itself,” playwright Arthur Miller said in 1961. Journalism has always been about more than simply providing information, and for me, the greatest opportunities remain for newspapers both national and local in becoming a platform for real conversations. I mean much, much more than comments on the bottom of articles or staff produced columns. ‘Community’ on most news sites is an entirely passive, technology-focused effort that manages to suck the social out of social media. 

USAToday has long had head-to-head pieces on major issues. There should be much more of this on local issues. 

Josh Stearns, with the Freepress project, has also  contributed to this blog conversation. His concern is that as news media struggle for survival that they will only focus on affluent audiences that premium advertisers want to reach. He referred to a 2006 talk that “editor Tom Stites gave at UMass Amherst in 2006. ‘Why is it that less-than-affluent Americans are being zoned out of serious reporting?’” This is even more important today as inequality is on the rise in many countries across Europe and North America. 

However, it comes back to the same question as above about resourcing. How do weakened news organisations cover a wider range of society? Again, a community platform strategy can help with this, providing a place for groups and people to provide perspectives that might not be covered. This is not an effortless or resource-free strategy – a mistaken assumption made by many media organisations – but a platform strategy is about multiplying your resources through outreach. 

• Engage super-users

When I was on the launch team of the BBC’s World Have Your Say, one of my strategies was to engage our most passionate users. At conferences, I often give the example of a listener that I simply referred to as “Steve from Utah”. I asked him to test an audio commenting technology that we wanted to use. He not only tested it, but without me even asking, he recorded a promo for the new service. If you engage your most passionate members of your audience, you’ll be amazed at what they’ll do. 

Journalism.co.uk recently reported on how Swedish Radio has been engaging its super-users:

In addition to four people within a dedicated social media team, local super-users generate ideas and inspire teams at the various radio stations. The super-users are themselves organised by a Facebook group, and have annual masterclasses.

These active social media strategies go far beyond passive comments on articles, which don’t attract much engagement on many local newspapers anyway. These are active strategies that require active outreach, and if I were an editor of a newspaper, I would lead these efforts. 

To me, redirecting some of the scarce resources remaining to these strategies would be a much more strategic use of staff time and effort. I believe that it would deliver a newspaper and digital services more in touch and more engaged with the communities it serves, and that for me is a good place to start rebuilding local journalism. 

 

 

11.20.13
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Newspapers, changing paradigms and defining priorities

If you like this post and are looking for an editor or digital media leader, I’m still in the market for a full-time editorial management job, so get in touch. After a few years of working independently with news organisations including Al Jazeera, CNN International, B2B publisher RBI and India’s Web18, I’m looking to invest in a news organisation that will invest in me. 

Although John Robinson has stepped out of the editor’s chair at the News & Record in North Carolina, (a beautiful state if you haven’t been), he is still challenging his newspaper and his fellow journalists to think different. In his latest post, he looked at how he spent his time and how those priorities were reflected – or not – in his newspaper. He writes:

My newspaper isn’t alone in not reflecting how I live. It is typical of most people and their papers. And it’s not restricted to newspapers; TV news has the same news diet, and it’s not in touch with mine.

Is the disconnect between how I live and what the news covers unusual?

NewImage

This reminded me of a report from 2007, Frontiers in Innovation in Community Engagement, by Lisa Williams, Dan Gillmor and Jane Mackay, which challenged news sites to become better at “translating the lived experience of their community”. I blogged about the report at the time, and the quote that really jumped out at me then is still relevant now:

Broadly speaking, the most successful sites are most effective at translating the lived experience of their community onto the web. But only a tiny fraction of lived experience is news. One way of looking at the process of wrapping an online community around a news organization is that it’s an effort to dramatically broaden the range of lived experience represented by the news organization’s output – output that now includes content supplied by nonjournalists.

Recently, I interviewed for an executive editor’s position in the US and, during part of the interview, I did have a moment when I was possibly too honest and said the papers seemed to be “subsisting on the fumes cast off by official life”: Crime, council meetings and planned events. They did have features, in which I could tell the reporters were trying to stretch their wings a bit, and excellent coverage of school sports, but it still was a heavy diet of life as seen through the lens of cops and councillors. A bright spot was their blogs, which covered a range of lifestyle issues including local music and even video games. They promoted them in the paper (minus a link or QR code), but the blogs were hidden pretty effectively on the sites themselves.

Were I to get that job, I would love to revamp the blogs into a mixed community platform that opens up to outside contributors. For the live entertainment blog, I’d get free tickets for contributors. It would take effort and some editorial resources, but it is a formula that scales. I think a food and drink blog would be essential, and it is easy to monetise. And that is exactly what newspapers need right now, editorial projects that generate income to allow them to cover what the blogger won’t or can’t – cops and councils – while bringing in their community to cover that broad range of lived experience.

Dan Conover, left this great comment on how to choose the verticals for this type of community network:

For new media ventures to be successful, they need to fit a formula like this: It needs to assemble a coherent audience (a precise fit for a defined group of potential advertisers) with a sustainable audience-to-reporter ratio, around a topic with intense interest. Forget what people do. Forget what they tell you in focus groups or surveys. Find out what they groove on, and then see if you can do better than break-even on covering it.

To put it succinctly, Ken Sands, who set up a pioneering blog network in Spokane, told me a few years back that the sweet spot is the intersection of location and passion. Local isn’t enough, and hyperlocal plus hyper-niche simply doesn’t work. It’s too narrow to generate enough of an audience to justify the effort or to attract advertisers and sponsors.

Setting priorities

That brings me to another point. This post grew out of a post on Facebook in which John asked about rethinking beats. He quoted Matt DeRienzo of Digital First Media who left a comment on Facebook and said:

We recently established a full-time poverty beat. We are also going to be dedicating more resources to commodity breaking news, though, because competition with TV station web efforts is killing us.

I applaud Matt for establishing a poverty beat because when I’m back in the US I see green shoots of growth after the Great Recession, but I also see a lot of people struggling mightily. I also hear about the struggle to prioritise because of competition from local TV in real-time, breaking news. TV is brilliant at it, and the workflow is much better suited to it, which is something I realised during my years working for the BBC.

Newspapers are facing all kinds of challenges these days, and one of the biggest is how to set priorities in an era of scarce resources. As John says later in his post:

Mass is dead or dying. News orgs can’t do everything.

In digital, in fact, in journalism, there are so many things you can do that you have to decide what you must do. As Rob Curley at the Orange County Register says to new hires:

• Truly understand what our readers need from us
• Truly understand how our readers consume our stories
• Truly understand relevance

Relevance and needs go beyond hard news, and newsroom leaders need to figure out how to cover more of the lived experience of their communities in a way that scales and supports public service coverage. Understand relevance to set priorities and find out what people really groove on, and allow the community to help you cover those passionate niches.

UPDATE: Thanks to Francesco Magnocavallo who let me know in the comments that the original link to the Frontiers in Innovation of Community Engagement no longer worked. I’ve added the working link to the post.

11.13.13
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Highlight good discussions to encourage positive online debate

There has been a lot of handwringing about the broken-ness of comments online. Great comments take the right strategic editorial approach and a bit of effort. Did anyone really believe the only thing a media company needed to do was slap a comment box on the bottom of articles? Too often that seems like the case.

What still baffles me after all these years is the low-hanging fruit that most news organisations are missing with community. Digitally native media doesn’t miss these easy wins. For instance, Lifehacker has a Discussion of the Day. Walter Glenn sums up the idea:

Great discussions are par for the course here on Lifehacker. Each day, we highlight a discussion that is particularly helpful or insightful, along with other great discussions and reader questions you may have missed. Check out these discussions and add your own thoughts to make them even more wonderful!

It’s a simple and positive way to drive people to the editorial features focused on discussions. They even call their commenters participants. Simple touches that all communicate a positive sense about the conversations they want to create.

Why don’t newspapers do this more often and print the best responses in the paper as well? Highlighting the comments in print would be a way to reward the  best comments, and hey, it might also drive some print sales. It ain’t rocket science, just some simple strategic thinking about user engagement.

Lifehackerdiscussions

11.05.13
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Journalism: Paid content and determining the cost of free

Anyone who reads this blog regularly will know that I’m a huge fan of NPR’s Planet Money programme. The show guides you through the arcana of finance and economics in a witty and accessible way. Recently, they rebroadcast a programme on the cost of free. In this case they were talking about free doughnuts and rumours of a longstanding grudge that US veterans have against the Red Cross. Planet Money’s Chana Joffe-Walt investigated, and sure enough, American vets do grumble about the Red Cross charging for their doughnuts. The story is a bit more complicated, and I don’t want to spoil the reveal, but the story illustrates in Planet Money’s own wonderful fashion the cost of free, or more precisely, the cost to businesses of charging for something that used to be free. In the case of the Red Cross, they still have trouble shifting the opinion of vets who once got doughnuts for free and then found themselves paying for them.

If consumers are used to one price and it changes, the change will seem more dramatic, according to economist Uri Simonsohn, who is interviewed in the piece. When that reference price is zero, consumers will have one of two reactions. They will either adjust their reference price, the price that they are accustomed to paying, or Simonsohn says a price change can be seen as a categorical change, a change in the relationship between the consumer and the organisation. Simonsohn compared this categorical change to akin if your parents charged you for a holiday meal. The Red Cross charging servicemen for doughnuts was send as a categorical change, and Joffe-Walt said that the servicemen felt betrayed by the change in price and the change in the relationship brought about by that price change.

Simonsohn says businesses make these massively damaging categorical mistakes when they start charging for things that “people don’t think are part of business”. For example, Delta Airlines made the mistake of charging to speak to agents over the telephone in the 1990s, and Planet Money host Alex Blumberg says that customers “freaked out” and were so furious that Delta were forced to reverse the decision. As Blumberg said at the top of the programme, “Free can backfire. When you take something that was free and give it a price, that is a highly a risky move.” When people view a change in their relationship with a business as categorical, their imagination starts to run wild. If a business is going to charge me for this previously free product or service, they ask, where will it end?

Some price changes, however, are accepted. People won’t stand for being charged to speak to an agent, but now many Americans and most Europeans flying on low-cost carriers have accepted paying for bags. The idea that they have to pay to move not only themselves but their baggage from one place to another makes sense, but paying someone to have a conversation, that doesn’t make sense at all.

So how can businesses, including news organisations, avoid making the mistake of a categorical change in what they charge? As Joffe-Walt says, news organisations like the New York Times are wrestling with this. Blumberg said that people can either view the New York Times as a newspaper, which they know they pay for, or they can view it in the online ‘information wants to be free’ category. “Avoid for charging for things that people would not describe as ‘hey, I got this for free’ because that mistake could be very hard to fix,” Blumberg said.

We are seeing a lot of experiments by news organisations who are trying to generate revenue from readers to help pay for journalism, but it’s important that publishers not try to charge  for things that their readers don’t see as part of the journalism business. Making a category change error could have serious ramifications, and many news organisations do not have the resilience left to survive such mistakes. The big challenge of paid content has been, and continues to be, in understanding what things (or, more often, what bundle of things), readers will pay for. Fortunately, we’re starting to figure out what works and, just as importantly, what doesn’t.

11.04.13
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Building News Apps on a Shoestring – Learning – Source: An OpenNews project

See on Scoop.it – Interactive journalism design

Source – Journalism Code, Context & Community (RT @GerardBest: How to build data-driven web apps with a shoestring budget http://t.co/q7I5tXVjl4 #dataviz #journalism @bulletpoints_)…

Kevin Anderson‘s insight:

Practical advice on how to build news apps without a big budget and with limited staff. Any small newsrooms that wants to create apps should keep this great resource handy.

See on source.opennews.org