Posts Tagged ‘monetization’

Making a Model a Reality

August 3, 2010

I wanted to take the opportunity to thank Tanja Aitamurto for this excellent PBS MediaShift blog article about the Graybeal & Hayes “Modified News Micropayment Model.”

Since we presented the paper at the International Symposium on Online Journalism we have received quite a bit of attention for the model.  There is at least one international company working to implement aspects of our theoretical model.

In short, people are working to make this abstract theoretical model a reality. We’re thrilled about that.  Ultimately, to see whether a “modified news micropayment model” (or any model for that matter) will work it needs to be implemented.

We need news partners to make that happen. If you’re interested in experimenting with our model, please let us know. We’d be happy to work with you.

-Geoffrey M. Graybeal & Jameson L. (Jay) Hayes

*If you’re in Denver this week you can find me at AEJMC.  The largest gathering of journalism educators seems like a perfect setting to continue the “MNMM” discussion that began at ISOJ last spring.

Video of presentation from ISOJ

May 10, 2010

Below is a short, edited video with some highlights from the paper I presented with Jameson Hayes on a modified news micropayment for the Social Web at the International Symposium on Online Journalism in Austin, Texas:

Wilkinson at ISOJ: Newspapers must adapt in “age of micro media”

April 23, 2010

AUSTIN, TEXAS_ Newspapers have to adapt to the “age of micro media” in which every unit of content must have value, INMA chief Earl Wilkinson told attendees Friday morning at the International Symposium on Online Journalism.

Determining their content’s value should be a top priority for newspapers, because content value can serve as a proxy for engagement in the Digital Age, Wilkinson said during a fiery, impassioned presentation.

Even if  newspapers never charge for content, segmenting “content platform,  audiences” forces a market approach to growth and places them in the context of today’s “abundance of information,” Wilkinson said.

The traditional business model will not survive,  Wilkinson said.

“We clearly have reached a point where we need alternative funding sources,” he said.

Advertising will account for a smaller portion of a newspapers’ revenue, but won’t disappear entirely, Wilkinson said.  The pure value of content, however, keeps changing.  Newspapers must find ways to monetize content, which will require significant leadership and industry collaboration, Wilkinson said.

The global recession accelerated changes to the news industry.

“It’s transformed our business models and we’re never going to go back,” Wilkinson said.

Newspapers are going through transformation and evolution, but they’re not going to die, Wilkinson said.

The future media landscape will consist of less advertising and smaller companies, Wilkinson said. There will be less journalists, but more editors as print complexity is replaced by a digital one.  According to Wilkinson, newspapers should invest more in sales, marketing and research, while focusing on product development and speedy delivering of news enhanced through social media.

Wilkinson says that  “Value= Audience + content + platform”

I found myself often nodding in agreement during Wilkinson’s presentation because, in my humble opinion, he “gets it.”  His presentation, more than any other, has me fired up to present my paper proposing a new business model tomorrow.

The Future of Media

April 20, 2010

The future of media may well be in your hands.  I’m talking, of course, about mobile devices.

For a variety of reasons, consumers and businesses alike appreciate the new opportunities mobile either offers, or will offer, distributors and consumers of media content.

Mobile devices offer users personalization, portability and constant connectivity, the ability to socialize and share content, interactivity, participation, and engagement.  Mobile devices offer media distributors the ability to provide these features to users, but also the potential to provide unique, geo-targeted, local, community-focused, monetizable content for all of its clients (readers/viewers/listeners and advertisers).

With mobile devices poised to be a “game changer” for news and entertainment industries in the near future, there was little surprise that “mobile” was a focal point of discussions at the National Association of Broadcasters’ annual convention and the Broadcast Education Association conference, both held last week in Las Vegas, Nevada.

I attended many sessions where mobile was front and center.  Mobile offers exciting new areas for entertainment (Mobile DTV, smartphone apps), as well as newspapers, radio and television news, and for advertisers.

I’ll report a few highlights from some of the managerial-oriented sessions, where business models, monetization and strategy were key themes.

“The mobile device has the opportunity to reset the revenue models because the ability to do the transactions on a mobile device is very seamless, it’s very easy,” said Greg Philpott, president and founder of mDialog, which has built an ad platform to monetize HTML-5 videos.

Mobile gives individuals the ability to have their own screen wherever they are, Philpott said.

Mobile devices will allow content owners to charge advertisers a higher CPM that’s trackable, actionable and measurable, Philpott predicted.

Bob Hildeman, CEO of Streambox, said that said media outlets still face a challenge getting consumers willing to pay for content.

Media outlets are still grappling with how to do so, but many believe consumers are better conditioned to pay for content on their phone, than they are online.

“We’re growing this audience but we’re not monetizing it,” said Lance Richard, Entercom Communications’ vice president of digital sales for over 110 radio stations and their Web sites in 23 media markets. “We’ve got to figure that piece out… A lot of our focus is figuring out how to monetize that stream.”

Advertising revenue should grow on mobile devices, said Tom Kenney, president of Verve Wireless, which designs mobile news applications for many leading news agencies.

“Mobile advertising now is starting to take off,” Kenney said. ” The thesis behind Verve is that the mobile Web is a new medium and could potentially be the most important medium in a few years and ultimately it’s a local (emphasis mine) medium.”

The idea of consuming digital media with your hands is such a transformation from the norm that providing similar experiences on multiple platforms is going to be key for media outlets going forward, said Kinsey Wilson, senior vice president and general manager of digital media for the not-for-profit NPR.

NPR’s Web site won a  prestigious Peabody Award (housed at my University I might add!)  for general excellence this year and their app for the iPhone and iPad are constantly ranked by users as being one of the best smartphone apps for news.  Mobile devices allow for media outlets to strategically shift their offerings from platform to platform.  While NPR does offer live streams of their radio programs on the apps, written breaking news headlines are the most popular feature, Wilson said.

Overall, media outlets face a shifting environment in which smartphones will outpace the sales of desktops by 2011, according to IT firm Gartner.

Futurist Tomi Ahonen posits that mobile is the 7th medium following print, recordings, cinema, radio, TV, and Internet.

At the end of 2009, two thirds of the world’s population were using mobile phones, according to the European Information Technology Observatory.

There are now more mobile devices in the world than there are TVs, radios, and computers.

While there are many remaining questions about the mobile strategies media outlets will choose to implement, one thing is clear.  The future of media is one you can hold onto.