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December 03, 2008

 
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Article

RSS

Stop the Presses


By: John Gartner

March/April 2007 Issue: Page 36 Print Version Print | Send To a Friend Email | DIGG Digg This

Pressure from the digital world - especially social websites - is forcing newspapers to update their publishing model.

Extra! Extra! (clickk here)Prepare the obituary: The era of the daily newspaper as the news source is over. The Daily Tribune, Inquirer and Journals of the world have been recycled, replaced by multiplatform (online and off-line) entities that engage readers and operate around the clock. This rebirth is good news for advertisers big and small who will be able to more effectively target a growing audience.

Newspapers have been increasing their online operations in the past few years in an effort to replace falling revenue from diminishing print subscriptions as more people turn to online news and bloggers for their daily digest. Now they are going on the offense to expand their audience and build loyalty.

Publishers have been hemorrhaging print advertising dollars as retailers have been moving online. Print advertising was down by more than $11 billion (2.6 percent) in the third quarter of 2006 from the previous year. While online advertising on newspaper sites grew by $638 million during the third quarter of 2006, that is less than 6 percent of the print deficit, so the pressure is on to grow online revenue to make up the difference.

Publishers see engaging their audience through community and social collaboration features – which are part of the socalled "Web 2.0" technology wave – as the keys to driving traffic and advertising revenue growth. By incorporating "community" aspects from blogs and websites such as Digg, MySpace, YouTube and Del.icio.us, publishers hope to increase reader loyalty and become the epicenter of their online news activities.

COMMUNITY PAYBACK

The Washington Post Newsweek Interactive (WPNI) Company saw this change coming and started to incorporate community participation into its websites two years ago. The company saw online revenue jump 24 percent during the third quarter of 2006, and by more than 31 percent for the year.


WPNI vice president of marketing Tim Ruder says bringing readers into the news process can enhance readership as well as the quality of the editorial. "Publishing is no longer in the realm of the exalted few, and to ignore the potential [of reader contributions] is suicidal," he says.

Because reporters are generalists it is difficult for them to match the expertise of individuals on all topics, according to Ruder. "There is somebody out there who knows more" about nearly every topic, he says, and publishers can profit from giving them a forum for participation.

During the first quarter of 2007 WashingtonPost.com will introduce social networking, Ruder says. Readers will be able to create personalized Web pages to link to, comment on and share content, including articles, images and video. These new features will enable errors to be corrected and generate comments and new story ideas that can be used in print, he says.

Ruder believes that adding social networking features will increase traffic and give the company more online inventory to monetize through advertising. While adding one social aspect "won't make us a million dollars," collectively creating a dialogue with readers "will separate us editorially from others" and greatly increase reader loyalty, Ruder says.

Austin, Texas-based Pluck enables publishers to add social media aspects to their website without requiring programming. Pluck's "Sitelife," service includes the ability to attach comments to articles, create forums and blogs, and enables readers to post photos, according to general manager Eric Newman.

Pluck hosts the social areas on its servers, but the content is thoroughly integrated, according to Newman. Social networking elements "promote additional discovery on the website, which equals reader loyalty and page views," he says.

Brad King, assistant professor of media informatics at Northern Kentucky University, says publishers who create a community by allowing readers to contribute could see "astronomic" growth in Web traffic. King warns, however, that publishers must provide oversight of the comments and user contributions so that advertisers will feel comfortable in having their ads alongside the content.

Publisher Gannett, which prints 98 regional newspapers plus the national paper USA Today, is among the most aggressive when it comes to redesigning its editorial and sales process around its community of readers.

Michael Maness, vice president of strategic planning for Gannett, says all of its newsrooms are being transformed to "information centers" that operate around the clock and will heavily rely on user contributions. "The future is pro-am, as in professional- amateur," Maness says. Readers are asked to provide assistance in obtaining documents and images relevant to investigations and videos of breaking news events.

Maness says the Ft. Myers, Fla., News- Press got readers involved in investigating sewer utility rates, and the "crowd-sourced" investigation resulted in uncovering pricefixing. At Gannett's NYK.com, readers in the Northern Kentucky metropolitan area post information about local events and community stories, enabling Gannett to connect with a younger demographic of readers who primarily go online for news, according to Maness.

While the morning paper and nightly television news used to be the dominant sources of news, the Internet is becoming the go-to place for news for many Americans. According to the Pew Internet & American Life Project, the majority of people with broadband say the Web is their first choice for science news.

Peter Negulescu serves a technologysavvy readership in his role as the vice president of digital media at the San Francisco Chronicle's SFGate.com. Inviting readers to contribute will attract a desirable community of participants for advertisers and make the content more valuable, he says. "The role of the new media arm is to aggregate content to tell a more complete story."

By recruiting "citizen journalists," publishers can add to the breadth and depth of their content. Continued on Page 2...


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