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Posts Tagged ‘media’

Sacrificed on the altar of the market Thursday, November 13th, 2008

Like a Molotov cocktail hurled into a crowd, Publishing 2.0 blogger Scott Karp has ignited the already heated debate about the future of journalism and publishing with his most recent post, entitled “The market and the internet don’t care if you make money”.

He’s pinched the title from Seth Godin, the marketing pundit who is peddling his latest book Tribes, but Karp takes the idea and runs with it in a long screed about how the Internet has broken the newspaper industry’s business model, a topic about which plenty of people including myself have written about ad nauseum. But Karp offers a detailed and particularly articulate discussion of this issue, writing that “Nobody has the right to a business model - Ask not what the market can do for you, but what you can do for the market.”

As usual with this sort of thing, the comments are as entertaining and thought-provoking as the blog post, and as a former journalist I can relate to the responses from people in the traditional media. The words of Thomas Jefferson, author of the American Declaration of Independence, still echo in my ears as one of the main reasons I got into the media business: “Given a choice between a government without newspapers and newspapers without government, I would not hesitate to choose the latter.” The media have an important role in informing society and keeping governments honest. But while Jefferson specifically mentioned newspapers, if he was here today I think he would understand and approve of the Internet and blogging. It is the same principle he was talking about back in the 18th century - free speech. Whether it’s Rupert Murdoch or Ariana Huffington or Joe Bloggs exercising that right doesn’t matter.

At the end of the day, say what we will, the market doesn’t care about ‘quality’ journalism and comprehensive local news coverage. We collectively need to find a model that works in this new and changing environment. I agree with Karp that a future business model lies in the power of networks, not the power of monopolies.


Collaboration is the future Monday, November 3rd, 2008

Vin Crosbie has dug up some interesting history in a recent piece for ClickZ. He writes about how, 13 years ago, major media groups in the US attempted to get together and aggregate their stories into a (then huge) news search engine, so that people would come to one spot to look for news.

The consortium, called the New Century Nework (NCN), also planned to create a classified advertising search engine that would draw its content from all those dailies. And it planned to create a single advertising system that would allow advertisers to place banner ads to across any geographic or demographic strata of those newspapers’ Web sites.

As Crosbie writes, “Unfortunately, the nine major newspaper companies were more used to competing against each other than cooperating. With some exceptions, they didn’t loan their best new media personnel to this cooperative effort. They weren’t able to agree upon a CEO from among their own companies for the consortium, ultimately having to go outside and pick an executive without any background in either newspapers or online. Then, when the consortium began launching its services and earning some money, the companies argued with each about who should get what share, despite previous agreements about that. All the while, each of the companies was progressing with its own new media plan that would each compete with their cooperative effort.

So what happened? Within months of launching its first services, the NCN imploded. Within months, Google was started, and it soon launched Google News, which aggregates news stories from all over the world. Meanwhile, the local classifieds service Craigslist grew virally to the point where it now offers free classified advertising for tens of millions of users around the world.

As Crosbie writes, “Nothing today is causing more destruction in the media industries than the companies within each of its sectors failing to cooperate fully with each other. You don’t get to build the world of the future by competing tooth and nail.”

The community-based nature of the Internet and its agnostic approach to information mean that if you want to get ahead, you have to get along.


Digital transformation still slow Saturday, September 27th, 2008

Rebecca Lieb, writing on the ClickZ website, rightly observes that it’s high past time that the advertising and media industries fully embrace digital solutions. She writes, “It’s not just old-timers on the traditional agency side of the equation who are stubbornly resisting the shift to digital. It’s an issue across the media landscape. Their reluctance was perhaps somewhat understandable in the go-go ’90s and in the sober, austere, bleak era around 2002. But now?

“Still, I’m seeing traditional publishers cut back on digital endeavors (and digital staff) in a desperate and futile effort to sustain their flagging, dead-tree legacy brands. I’m seeing digital executives going to senior management with requests for back-end tools, such as content management systems and social media software, only to learn their corporate overlords have no idea what all that stuff is, much less what it’s actually used for or how it can benefit the business.

“And I’m seeing some of those print publications flatline. Friends who have been print journalists for decades are panicking in the face of cutbacks, early retirement, consolidation, and plain old extinction.

“But they’re not learning digital skills. A critic friend stays up nights over the fact his paper is due to shutter at month’s end. When I inquired about his online skills, he replied that even the most fundamental elements of a story, such as hyperlinks, were determined and executed by the online editor. He doesn’t know how to do any of that stuff.”

I’m happy to report that not everyone in the advertising and media industries in Australia over the age of 30 is a techno-Luddite. But a lot more needs to be done to encourage them to embrace digital formats and produce new ways of communicating ideas that capitalise on these new formats, rather than continuing to produce digital creations that are still rooted in traditional thinking.

Gen Y is not reading newspapers anymore. They’re watching TV without ads, via DVD or DVD recorders, They’re staying away from websites that throw pop-up ads at them. Those of us who grew up with traditional forms of communication are still in the majority - but we won’t be for that much longer. As Lieb says in the headline of her article, “Digital or die”.