The print industry is battling a headwind of digital disruption. And like any industry amid turbulence, magazine publishers need to dig deep for the courage to transform — not just to ensure survival, but more importantly, to advance resilience.
This was the essence of the speech by our SPH editor-in-chief of English and Malay newspapers, Patrick Daniel, when he spoke about transforming the media business in the digital age last year. The words were not verbatim — this author admits to be seduced by Christensen’s idea of disruptive innovation — but the call for transformation was unmistakable in its urgency.
The publishing business needs to accurately identify its core strengths and relative advantages, to quickly formulate responses in this volatile media climate.
This is the story about one such journey of transformation. This is a narration of learning processes we undergo in SPH Magazines as we revolutionise our businesses by disrupting the traditional magazines business cycle and opening new opportunities in the process.
The death watch: How do we get to this point?
Contrary to how it may sound, there’s nothing cool about this. In fact, our journey began from an unenviable starting point: a death sentence. Such as this one. Or this one. And since third time’s the charm, this one.
Clearly the old publishing model no longer works. Magazines cannot survive ......[more]
22 September 2014 · By Gina Creegan
The story is familiar. Fairfax Media knew that retaining and attracting the best available staff, creating a culture of collaboration and innovation, and increasing online focus were the keys to success. The answer to how to do that in the face of significant change in the media industry was not so obvious.
In pursuit of answers, Fairfax realised that a key enabler to reaching its business objectives would be a new workplace strategy covering property, technology, and staff.
In August 2012, in a move that signalled a key change in its workplace strategy, the People and Culture sub-committee of the Fairfax Board approved what it called the “Real Time Working Project” (RTW).
The project focussed on our 2,400 staff in Melbourne and Sydney. It embraced upgraded and flexible building fit-outs, a technology upgrade that created an anytime, anywhere set-up to enable ......[more]
25 August 2014 · By Jim Chisholm
“There are no case studies about the future.”
I don’t know how often I have said this in reply to the question: “Jim, can you present a few case studies on what my company should be doing?”
It is many years since I lost the inclination to deliver an answer to the wrong question. So when Australia’s Newspaper Works asked me to write “a piece on what some publishers are doing to increase revenue or create new revenue streams,” much as I love them to bits, I simply ignored them.
What I’ve learned over 20 years advising publishers on growth strategies, including creating and directing the World Association of Newspapers’ “Shaping the Future of the Newspaper” project, is that if peer emulation is your only raison-d’etre, you will die.
If you really want to not only survive in an industry with a half-life, in mature markets, of around five years — but also create value for the future — you have to innovate from the heart, not the blog.
To be fair, our industry began to pass its point of inflection — where digital growth exceeds print decline — around the turn of the year, with the rates of decline slowing as finally, after 20 years living with digital, it finally ......[more]
04 August 2014 · By Siobhan Vinish
News media marketers have managed well, or at least well enough, for decades with limited budgets and limited objectives.
For a very long time, the main objective was “own the community” with few resources to achieve it or methodology to measure it.
With a limited budget, marketers have often found creative ways to execute creative campaigns — mostly using enthusiastic young people eager to schlep boxes, set up booths, and attend various business and community events waving the company flag.
Marketing took some creativity, a little bit of money, physical work, and a few great pairs of comfortable shoes.
And yes, we owned the community.
Our media companies were connected: We knew every ......[more]
30 June 2014 · By Michelle Krans
When you think about being customer-centric, it doesn’t sound revolutionary. In an age of tight resources, being customer focused is crucial for success. But what does being customer-centric mean to our clients?
We decided to ask them.
We initiated customer research with more than 1,000 decision makers across 11 markets to understand their pain points and expectations. We had them tell us, in their own words, what they needed and wanted from a media partner.
In essence, SMBs told us they wanted:
- Help managing the complexity of their media and marketing investments.
- Partners who truly understand their business.
- Proof that their investments are paying off.
Armed with that information and with a ......[more]
02 June 2014 · By Dawn McMullan
Editor’s note: Raju Narisetti was named senior vice president/deputy head of strategy at News Corp in February of 2013. Prior to this move, he was deputy managing editor of The Wall Street Journal and managing editor of The Wall Street Journal Digital Network, managing editor of Washington Post Co., and founding editor of Mint, the second-largest business newspaper in India.
Here’s why he believes in print, feels newspaper brands have a more long-term view than, say, the Huffington Post, wonders why we didn’t create the Facebook Paper app, and thinks the industry needs to be embrace the genius of a good story.
INMA: You say “brands have moved from marketers to publishers.” What does this mean and how does this bring opportunity to the media industry?
Narisetti: Lot of brands want to engage their customers, audiences, or consumers using stories. Brands really don’t want to get into the news business, but they want to get into the storytelling business around themes, topics, and occasionally around specific brand that matters to them.
GE, for example, cares about innovation, wants to be in the conversation about innovation, and wants to engage audiences with great relevant content — often in the form of storytelling.
As more and more brands realise they can target and reach their potential customers or audiences — and realise that they don’t have enough content beyond just advertising — they will figure out ways to create it themselves or partner with others who can. Many of these brands used to rely on advertising to do that and now, in some cases, they are shifting ad dollars into...[more]
05 May 2014 · By Padraic Woods
VG+ is VG’s premium subscription-based digital product and VG’s third editorial product, consisting of the best content from the printed VG newspaper with the best content from VG’s free news site.
Context-aware content — tailor made for each platform — ensures the ideal reading experience per device. Users can quickly and easily gain news insight on their mobile while enjoying a more immersive experience on the iPad.
The first version of VG+ was released in 2011 as an iPad app. It was a native application that won multiple awards, including the “Best iPad App in the World” at the WAN IFRA Cross Media Awards in 2011.
In 2013, we ditched our native apps and created a new set of VG+ hybrid apps (Android, iPhone, and iPad). The goal was to combine the best of Web technology with the best of native technology. We also created a new set of editorial tools that are tailor made to the needs of our editorial team and to creating interactive and instantly available content for mobile devices.
We had just started the VG+ 2.0 project to develop hybrid apps when Mark Zuckerberg announced, “The biggest mistake we [Facebook] made as a company was betting too much on HTML5 as opposed to native.” Speed and stability were the main factors influencing Facebook’s change of mind and move back to native.
Taking an award-winning native app and transitioning to a hybrid app was a very difficult decision. Our native app was popular with our users, it was winning awards, and we were steadily increasing the number of subscribers to our product. We still had a number of challenges with the native app — as I’ve outlined below — which we believed could be best addressed by developing a hybrid solution.
We believed that given the requirements of our project, we could combine native and HTML5 functionality in a way that would give us the best of both technologies — the flexibility of HTML5 and the speed and stability of native....[more]
17 March 2014 · By Duncan Stewart
Deloitte has been publishing “Predictions” reports about the technology, media, and telecommunications (TMT) sectors since 2001, and I have been co-authoring these reports since 2007. After 13 years, the company has gotten pretty good at it.
Our 2013 list of predictions was 85% accurate. Here, I share with you the most important short-term trends in the TMT space today, and what they mean for the media industry.
1. The decade of the device is over.
Globally, we have seen a remarkable growth in consumer hardware in the last 10 years: The global dollar value of all TVs, PCs, tablets, smartphones, and gaming consoles has gone from US$250 billion in 2004 to a projected US$768 billion in 2014. That tripling in size represents an annual compounded growth rate of nearly 12%, and is unprecedented in the history of consumer electronics.
However, that period of hypergrowth appears to be at an end, with Deloitte predicting that sales of those five devices will plateau and still be under US$800 billion by 2018. Although unit sales will continue to grow, falling prices (especially in the developing world) will cause annual growth in dollars to fall to almost zero by 2018.
The first implication is that we will likely see a shift or re-allocation in consumer spending: Lower growth for hardware almost certainly means more growth for software, services, and content.
By 2018, an incremental US$250 billion may be available for mobile apps, higher speed or bigger data plans, and media content, whether one-off buys or monthly subscriptions such as newspaper paywalls. That won’t radically transform those industries, which already have revenues of more than US$2 trillion, but a tail wind is always appreciated!...[more]
20 January 2014 · By Graham Hinchly
The Financial Times’ award-winning Web app shook up the news industry when it was launched 2011, quickly becoming a case study for the benefits of distributing content solely using the Web, rather than relying on native apps.
But for many, the “Web vs. native” debate is still opaque, due to the technical jargon and acronyms that surround it. By demystifying some of the concepts for a non-technical audience, and outlining the advantages and disadvantages to both native and Web apps in an impartial manner, I hope to enable more publishers to make informed decisions when it comes to evaluating, or re-evaluating, their approach to delivering a great user experience on all devices.
I’d also like to share some of the things we’ve learned from building a Web app at the FT, as well as a few thoughts on how I’m expecting publishers’ approaches to content distribution to evolve over the next few years.
As a trip to a local technology outlet will show you, there are many makes and models of smartphones available and an increasingly large number of tablet devices.
The common ground for a lot of these devices is the operating system that they run, with the majority either running Google’s Android operating system or Apple’s iOS, the operating system for iPhones and iPads. Between them, these two operating systems comprise more than 90% of the smartphones and tablets currently in use (Source: netmarketshare.com, Dec 2013).
The term “native app” refers to an app that has been built specifically for one of these operating systems, using the specific programming language of that platform, meaning that you can’t re-use an app written for one operating system on another. The apps are generally distributed through app “stores,” such as the Apple iTunes store for iOS or the Google Play store for Android....[more]
09 December 2013 · By Randy Bennett
To be fair, Omidyar is focused on re-inventing news media generally. While no one really knows what Mr. Bezos has up his sleeve, it may be a more transformative approach if the newspaper itself stays largely the same. Omidyar is preparing to create a national or international news entity, while Bezos is retooling a large metro newspaper with a national brand.
Is anyone reinventing smaller local newspaper franchises?
Certainly, Advance (itself owned by a family of billionaires) is taking a whack at it by reducing print frequency and creating new, digital-only news and marketing operations. The traditionally tight-lipped media company has not revealed much about what informed the strategy or how it has played out so far.
While smaller-market newspapers are healthier than their big-market brethren, their long-term future, too, is in doubt without a fundamental rethinking of the franchise. It would not take the resources of multi-billionaires (perhaps just a cadre of civic-minded local millionaires) to build a successful, for-profit, local media organisation. If I had the luxury of starting a relatively well-funded local media enterprise from scratch, this would be my blueprint.
Note: There are many traditional media organisations that are implementing and executing on strategies and approaches outlined in this blueprint. These organisations, along with innovative digital news startups, provide ideas, approaches, lessons learned, and departure points for our own business and product strategy.
The context for this blueprint is an acknowledgement of a range of market “truths” including:
- The era of mass media is on life support as the new world order of personal media has arrived.
- The news ecosystem has been disrupted by deep vertical players, wide technology-based aggregators, and pervasive connectivity.
- As such, traditional media organisations cannot compete if wedded to their historical organisation, processes, and cost structures.
- As community has splintered into a range of special interests, the only segment that is somewhat defensible is local.
- News is no longer primarily consumed at a single destination. Rather, it is consumed across a continuum, increasingly starting with social media or on a mobile device and progressing through more traditional channels to layer on context, additional information, and related content.
- The media environment is just as (if not more) complex for marketers as it is for publishers.
- Those organisations that provide customers with the best return on time, attention and financial investment win.