Tag: newbiznews

  • Two dinosaurs fighting over a dodo bird

    David Carr has a characteristically wry-on-rye view of the Wall Street Journal’s launch of a New York edition today and the newspaper war that supposedly ensues.

    We’re supposed to celebrate newspaper wars. Good ol’ days, remember? But I think this one could be deadly.

    These two former giants are fighting over a shrinking pie with no filling. The Times is third in the New York area — much of that in the tri-state suburbs — with 406k daily circulation. The Journal has 294k in the same region. The New York Daily News leads with 570k and the Post with 530k — and they each get most of that in New York City.

    The Times has a large reporting staff devoted to New York — it’s big and expensive and hard to cover — and limited local advertising (especially, of course, in classified). Two years ago, I suggested that The Times drop or spin off metro and make itself a truly national newspaper. Maybe if they’d done that — not there was a chance in hell they would have — Murdoch wouldn’t have chosen New York as his battleground with them. But now he has and so now they have to fight. And they’ll carry that fight, they say, to more metro areas (though in Chicago, The Times is working with a not-for-profit partner, reducing costs).

    This is not a fair fight since Murdoch doesn’t so much care about making a sustainable business as he does about

    Murdoch: The Dirty Dumper

    Rupert Murdoch, known as the Dirty Digger, is more like the Dirty Dumper as he drops ad prices in New York (and he’s known for dropping cover prices in London) — because he apparently doesn’t really give a damn about making money with his newspapers, he cares about influence and killing his ideological enemies. The New York Times vows not to drop to his level — and rates — as Murdoch starts his New York would-be Times killer. We’ll see. Keep that in mind when you hear about Murdoch pushing business models charging for content. Profitability in news isn’t his model. His agenda is. Just saying.

  • News(paper) in the cloud

    I think it’s possible today to run a news organization — up to the point of publishing — from the cloud, changing not only the production process of news but also its culture. John Paton, CEO of Journal Register, is about to prove it with his Ben Franklin Project.

    John and I were sitting in my CUNY office as he told me about the technology he’s saddled with at this orphaned newspaper company where he just took the helm. He used a term I swear I hadn’t heard in well more than a decade: “VDT.” That stand for “video display terminal,” the old, dumb box that was wired into newspaper mainframes. I was talking with a bunch of young journalists shortly afterwards and they’d never heard of VDTs (though they thought it could be cured with a shot). Well, Paton still has VDTs.

    And so, as he was talking about having to buy new computers, I took to the whiteboard and drew out how I think a news(paper) can be produced from WordPress, Google Docs, and Flickr (or their equivalents). We’ll get to the other functions shortly.

    This up-in-the-air production is made possible by Paton’s edict at JRC (as he dictated at ImpreMedia before) that digital comes first, print last. If print comes first, newspaper people will worry about H&J (hyphenation & justification — that is, fitting text to finite holes in print designs). That dictated their process.

    But not JRC. By putting print at the end of the line, production for paper won’t dictate the rest of the line. So now a reporter can start blogging at the beginning of a story. And that makes a profound shift in the culture of news: it opens up the process to the public. “Here’s what I think I’ll work on,” the reporter says to the community she covers. “Good idea? Is there something else you think I should do instead? What’s the best use of my time? What do you want me to find out for you? If I do this story, what questions do you have? What do you know? Whom should I call?” As the process continues, the reporter can share what she learns — and doesn’t learn — and the community can help fill in blanks and make the reporting better.

    At some point in this process, the reporter likely will write what we’d still recognize as an article. Indeed, writing it before publication opens the possibility of the community still helping by correcting and enhancing.

    Then a print editor can grab the story and fit it for print. No longer a big deal.

    At the same time, the reporter and editor can ask the community for photos to illustrate the story. They can be shared via Flickr. When it’s time to print, an editor can copy the high-resolution version of an image. If the photographer chooses, he can make the photo available under Creative Commons. If the paper chooses to (as Bild does in Germany), it can pay. That’s up to them. The taking of photos can become competitive: a reader says “I can beat that.”

    There are still bureaucratic details that must be handled: schedules of stories, who’s working on what, and so on. Google Docs is perfect for that. My CUNY colleague Jeremy Caplan showed our faculty how much more Docs can do: enabling reporters to, for example, graph data and create their own illustrations. Docs can be used to publish documents to the web.

    From these three streams, content can come to a print editor — who is now, remember, at the end of the line — to fill the paper (which my friend and fellow JRC advisor Jay Rosen points out, is the most expensive space). The readers can even help the editor decide what deserves ink.

    Note the profound cultural shift this new process brings to a news organization. Rather than doing everything we do and then sharing it with the public — and allowing them to comment on (or snark at) our work — we become transparent, we view news as a process instead of a product, and we open up our process to constructive collaboration with the community we serve. Hallelujah.

    The rest of the process of publishing a newspaper is more complicated — at least to me, as I don’t know the tools. I’m not sure all that can be done with free tools but I’ll bet it can all be done in the cloud. At a Salesforce.com event last week, I talked with an exec who said that his service can be used to handle ad order entry. Other systems can handle business tracking, payroll, H&R, and such. I don’t think JRC needs to be dogmatic about living in the cloud but I do think it can avoid huge expense of buying and integrating new systems and hardware.

    All this is why I’m delighting in advising JRC and Paton. They are going to try to do the things I’ve been wanting to see news(papers) do — I’ve been writing about this since at least 2005 — the things that tradition and fear prevented other papers from doing. They’re not alone. AnnArbor.com (which I also advised) is entirely on Movable Type. Online news organizations, of course, operate on blogs. But here’s the chance to jump a newspaper company from the past — from the age of VDTs and discs — to the future. I can’t wait to watch and help.

  • Mobile=local

    At the Brite conference, I talked about mobile coming to be synonymous with local. Here are a few paragraphs I wrote on the topic for an essay in a German book about the future of the net:

    The biggest battlefield is local and mobile (I combine them because soon, local will mean simply wherever you are now). That’s why Google is in the phone business and the mapping business and why it is working hard to let us search by speaking or even by taking pictures so we don’t have to type while walking or driving.

    The winner in local will be the one that knows more about what’s around me right now. Using my smartphone’s GPS and maps—or using Google Googles to simply take a picture of, say, a club on the corner—I can ask the web what it knows about that place. Are any of my friends there now? (Foursquare or Gowalla or soon Facebook and Twitter and Google Buzz could tell me.) Do my friends like the place? (Facebook and Yelp have the answer.) Show me pictures and video from inside (that’s just geo-tagged content from Flickr and YouTube). Show me government data on the place (any health violations or arrests? Everyblock has that). What band is playing there tonight? Let me hear them. Let me buy their music. What’s on the menu? What’s the most popular dish? Give me coupons and bargains. OK, now I’ll tell my friends (on Twitter and Facebook) that I’m there and they’ll follow. This scenario—more than a newspaper story—will define local.

    To do all this, Google—or the next Google—needs two things: First, it needs more data; it needs us to annotate the world with information (if Google can’t find this data elsewhere on the web, it will create the means for us to generate it). Second, Google needs to know more about us—it needs more signals such as location, usage history, and social networks—so it can make its services more relevant to us.

  • The money graph

    A new Pew study on the economics of news does not give comfort to news sites planning pay schemes. It also does not give me comfort that we’re wasting precious time futzing over walls when we should be paying attention to the big problems we have — one of which this Pew study points out: dreadful engagement and loyalty — and should be looking at other ways to give and gain value in our relationships with the public. The Pew data:

    Over all, the evidence suggests the outlook is difficult both for paywalls and for online display advertising. While most people have not been asked to pay for content, even among the most avid news consumers online, only about one in five at this point say they would be willing to pay, and this does not include less voracious news consumers. At the same time, the vast majority of those online, 8 out of 10, say they basically ignore online ads.

    In short, a good deal must change, the data suggests, before the digital age will begin to sustain itself.

    About 71% of internet users, or 53% of all American adults, get news online today, a number that has held relatively steady in recent years.

    Most of these online news consumers graze across multiple sites without having a primary one that they rely on. Only 35% of online news consumers have a favorite site.

    To put it another way, 65% of online news consumers do not have a site that is so important to them that it stands out in their minds above all other sites they visit.

    The users who do have a favorite site are pretty faithful. Some 65% of them check in with that favorite site at least once a day.

    Yet even among these most loyal news consumers, only a minority (19%) said they would be willing to pay for news online, including those who already do so and those who would be willing to if asked.

    Instead, a large majority – 82% – of those with a favorite site said they would find somewhere else to get the news.

    Because so few online news consumers even have a favorite site this translates to only 7% of all people who get news online having a favorite online news source that they say they would pay for.

    This is a sign of just how much initial difficulty the movement toward pay walls could have.

    In sum, there appears to be only a very small cohort of voracious news consumers who have to have their news from a particular site, even if they have to pay for it. The vast majority of online news consumers, though, seem willing to browse for news from many sites, do not have a favorite online news source, and even if they do, are not willing to pay for that site’s content.

    This is not to say that resistance might breakdown over time. . . .

    All these findings speak to the natural disadvantage of news content: Most news is covered by more than one organization and people do not place enough value on the difference between the various reports. In other words, if a user had to pay for a New York Times article on Haiti, evidence suggests that he or she would just look for another source that could provide the basic information. The nuances of depth or breadth in the pay story may not be valued enough to induce payment over a free alternative.

    Thus, if the news industry is going to make headway with pay-walls, they are going to have to break through what for now appears to be continuing reluctance, even among its most avid consumers.