Results matching “is not enough to”

The 100-year old Pulitzer prize winning Christian Science Monitor has bravely announced that it is ending its daily print format and going fully digital: it will now only print a weekly "magazine" edition. The Editors Weblog caught up with the Editor-in-Chief of the Christian Science Monitor, John Yemma, and we discussed the thinking behind this move and how on earth a nationally distributed newspaper completely restructures itself for a digital future.

This story has been broken down into two parts. Part 1 focuses on why the CSM took this step and its initial steps down this path. Part 2 looks at the nuts and bolts: restructuring the newsroom, retraining, and managing staff through change.

The CSM's decision has sparked the inevitable debate about whether this is the beginning of the end for daily printed newspapers, a debate which will run and run in the years to come. However, the peculiar nature of the CSM's subsidised business model, its relatively small print distribution run and international readership base, make it difficult to draw any firm conclusions on industry trends from this move. Nevertheless, many in the industry will be watching closely to see how the CSM manages this move and whether it proves successful or not. If the CSM is successful, then this may lead to other newspapers pursuing this business model, but these papers will have to have a distinctive and loyal readership like the CSM if they have any hope of being successful.

Why the move away from print?

Yemma (left) states that there are two main reasons behind the CSM's controversial decision to move away from the daily print model. Firstly, the CSM's publishers, "saw the writing on the wall, they knew that the Internet user patterns and reader preferences and so forth were changing the business model of print. Print was becoming increasingly untenable, especially for the Monitor, which has an international audience. We just don't have enough reach with our print product, but we have great reach with our web product. That's not uncommon in the world of publishing right now to come to that conclusion, but for the Monitor we were able to make the change a little faster, because the Christian Science church wanted to move away from subsidising the Monitor within about three to five years."

The CSM is subsidised by the Christian Science church, with the church contributing approximately 50% ($13 million) of the newspapers revenue.  The newspaper itself makes about $12.5 million in terms of print advertising, circulation, web revenue and syndication. Therefore, the publishers of the CSM felt that, secondly, this level of subsidisation could not continue forever, so the team decided to look at the newspapers various options.

How the move to digital began - where to begin?

Two years ago the CSM convened a task force to look at the possibility of dropping its daily print edition. The newspaper worked at it from all angles; from prototyping to financial analysis, and working with a consultant (newspaper consultant Chris Urban), marketing group (Kadence Associates - who organised focus groups and surveys), and a PR company (Shift Communications - who handled assisted the company in communicating this move). A former editor of the Christian Science Monitor, John Hughes, and newspaper consultant, Chris Urban, headed up this task force.

Surveying the core readership base - will they buy it?

Given the nature of the CSM and its relatively small daily print run, international appeal as a Christian newspaper and its worldwide reputation, the reasoning behind this move - no matter the financial calculations and industry trends - is sound. However, if the core CSM readership did not largely support the change, then all bets would be off. The CSM surveyed its core loyal readership base, taking sample groups to sound out their response. Yemma states that the CSM was most concerned with converting this core group as quickly as possible to reading the newspaper in a new way. Its focus groups revealed that 50% welcomed the idea of decreasing the frequency of the CSM and that of the 50% who were "on the fence" only half of these wanted to preserve it as it is now.

Once the decision to drop the daily print edition was announced, the CSM had a customer service team field all calls and emails about the decision from readers, which Yemma receives a daily report on. The accumulative report of this over the past few weeks is consistently running at just 14% negative. 35% are asking questions about this new model will work, such as price and so forth, with the rest being positive. Yemma feels the CSM has got a, "pretty good response. We expected worse."

Yemma is clear that the most important thing for them to find out is how many people will convert from buying the daily newspaper to the weekly magazine. This will not be known until the new format is marketed in the spring, and they begin selling the weekly in April. The CSM's marketing estimate is that they can covert about 80% of the people currently buying the daily to take up the weekly model. On this, Yemma says, "that is the best we can do at the moment without having perfect knowledge of the future."

Communicating with your reader

On the CSM website currently there is a web cast featuring John Yemma and the Managing Publishing, John Wells. Here they talk over the various changes and why they have come about for their reader. The site also has an in depth editorial on the changes ahead for the venerated newspaper.

"The Web is not just a paperless publishing medium, it is a totally new way of telling stories"

The move to a web focused future will, "unshackle the newsroom from print."  Yemma says "We will get to see what we can do online in a way that we have never been able to do before. I really believe that journalism in is the infancy of story telling online and that online story telling is about interactivity. I expect us to look more at intelligently moderated user generated content, crowd sourcing, and expanding the reach of CSM journalism.  We can look more at speaking to our readers, and asking them to send us their images and stories of the events hitting the headlines, and thus expand our eyes and ears. There is a non-linear way of telling stories on the web that I think has to be developed by journalists who want their stories to be told in the most appropriate way for the medium."

Yemma goes on to say, "The Web is not just a paperless publishing medium: it is a totally new way of telling stories. We can really start using the web for what it is really all about, which is this three dimensional medium getting information and providing it at whatever level you can convey it."

Part 2 - In our next article on the CSM, the Weblog talks to Yemma about reorganising the team and the newsroom for a weekly magazine and web future, retraining, and staff cuts.

Following on from yesterday's article about newspaper integration and aggregation, the Editors Weblog continues its interview with Ian Fernandes, head of the Digital Division at Nation Media Group (NMG). Today, we look at its new social media platform, mobile classifieds and cross-promotion.

Social media and the Daily Nation - Who wants to be famous?

The NMG has been looking at how to get their readers more involved with the company's activities. Fernandes says, "We are taking a lot of knowledge from what we see happening abroad and from being in the entertainment industry with radio and television. From this, we are noticing that the younger generation are spending more time on Facebook or MySpace than watching television. So we are starting our own social website which will be launched before the end of the year." The name of the site has been under wraps, but Fernandes exclusively revealed to the Editors Weblog that it will be called Zuqka, and the style of the site will be a mixture of Facebook and citizen journalism.

NMG receive pictures, video clips, and songs from readers, listeners and viewers from across its various platforms and it is unable to use it all as there is only so much content they can carry. Users of this new site will be able to share this content with other subscribers and who will then be able to vote on how good or bad it is. The best of this content will be used on NMG's mainstream media platforms. Fernandes says, "We are killing two birds with one stone. Firstly, we are using content that we couldn't use before and, secondly, we are giving people the chance to be famous. A lot of Kenyans want to be famous but there is no chance to be. For example, you can send in a song and if the site users vote for it and it gets in the Top Ten of songs on the site, it will then be played on NMG's Easy FM radio station. In the same way, the top ten blogs on the site will be put in the Saturday newspaper. Whatever topics are being discussed on the blogs and pictures being sent in and so forth, will be shown on a TV magazine programme."

NMG are also going to introduce a platform called Events whereby you can see what is happening in terms of concerts and so forth in Kenya. Through this portal your network of friends on the site can see what you are attending and you can send details of the, for example, concert, to your circle of friends and invite them to come along.

NMG are in the final stages of putting the site together, with the design template scheduled to be completed by the end of this month. Once Broadband is introduced to Kenya (scheduled for next year, please see yesterday's article) sites such as this will have a real opportunity to take off. Fernandes reports, "We want to inform people that there is a lot more you can do with the Internet."  The site is set to be launched at the end of November, and a newspaper pullout also will be unveiled at the same time under the same Zuqka brand name. This pullout will be driven by content from the site.

Fernandes say, "We are at an advantage in terms of tapping into social media as we have all the other platforms within the NMG to drive it. Just telling a user that they can send a video or audio and share it with their friends is not good enough. With the NMG site, the user could get in the newspaper or on TV, this will be the selling factor."

Fernandes goes on to say, "Media has changed. The editor used to select what we saw and so forth whereas today it is the subscriber who chooses. By allowing subscribers to contribute to your product you can also test to see what is the big story... Getting your readership involved by sending in content to you is so important."

Mobile news ahead of online site

With Internet connectivity being so slow, mobile usage in Kenya is significantly higher than internet usae, with four out of every five Kenyans having a mobile phone. To explot this usage, the Daily Nation website also has a Wapsite, providing readers with a mobile web version of the newspaper. Customers who are looking for Daily Nation content on their phone are directed to the Mobile version of the news site.

The Daily Nation mobile site sends breaking news alerts, sports alerts, religious phrases, and horoscopes to subscribers. Furthermore, in the coming months, NMG is looking to introduce video news alerts for mobile phones via MMS or video content.

Classifieds through mobile

The company is also looking at the classified platform whereby if, for example, you are looking for a red BMW and you are willing to pay 200,000 shillings you will be able to punch the details into your phone and this data then links to the newspaper classified database. The relevant seller details will then be sent to your mobile phone. Once again, the slow Internet connection has resulted in the online classified section being underused, this should change next year. Fernandes predicts that once broadband hits Kenya, "we will see an explosion in Internet usage and we want to be ready for that."

Who wants to be a millionaire?

A key target of the newly established digital division is the monetisation of the various platforms within NMG, it seeks to pursue this by linking its platforms and cross promoting. Fernandes told the Weblog that every Tuesday on NTV (NMG's TV channel) there is a quiz show and viewers send in their answers by SMS, the winner is the person who sends in the most correct answers fastest. The winner of the show wins 1,000 shillings. This show is being cross-promoted across all of NMG's brands and has proved a hit with Kenyans. Fernandes explains the popularity of the show, "Kenya is probably one of the few countries where the "Who wants to be a millionaire" format did not work, not because people did not find the show interesting but because they were too shy to go on TV and look stupid if they did not know the answer. With this format Kenyans can play along from the comfort of their own home and no one knows if you get an answer right or wrong or what you look like."

Secret of NMG's success

Looking at all the various changes and innovations that the NMG has introduced, and is looking to introduce, it is clearly at the cutting edge of innovation within the newspaper and media industry. The cross-promotion across its platforms and the integration of not just the newsrooms but also the content is particularly notable. The Zuqka site looks set to be a success and the vision behind it is exciting, it should generate a real buzz in Kenya and around the NMG brand. Furthermore, it will also attract the key youth readership and create loyalty. Fernandes says, "Our philosophy is that the world is changing and we need to give our customers what they want when they want it and in the way they want it." This seems to be why NMG is so successful, the company knows and understands its readers, and anticipates what they want before they even want it

See also:

Kenyan Media Part 1: Is newsroom integration possible for media conglomerates

The Daily Nation newspaper is in an advantageous position in the African market in that it is part of the largest media conglomerate in Central and Eastern Africa, the Nation Media Group (NMG). The Nation Media Group not only runs newspapers, but also TV stations, mobile platforms, websites and radio across Kenya, Tanzania and Uganda. Furthermore, the introduction of three undersea fibre optic cables next year will bring broadband to Kenya and significantly change the market. These advances in technology and the large footprint of this media conglomerate brings with it unique opportunities but also unique problems for the Daily Nation.

The Editors Weblog spoke to Ian Fernandes, head of Nation Media Group's Digital Division about aggregation, integration and its plans to become a major African online news service. Before heading the Digital Division, Fernandes worked for thirteen years in broadcasting and five years in newspapers.

"Tremendous growth" for Kenya?

The Daily Nation currently faces challenges with its online division due to the lack of Internet reliability in Kenya. The introduction of broadband is widely expected to result in significant growth in the online and telecommunications market in Kenya. Richard Bell, the chief executive officer of East Africa Capital Partners, a Nairobi-based venture capital group, said when talking about the broadband introduction to Kenya, "We have bet the farm on the fact that East Africa is going to see tremendous growth... We're looking for Africa's next Google."

Unique advantages and disadvantages

The Nation Media Group is preparing itself for  broadband by integrating its news platforms. From one office in Nairobi the NMG runs five print titles, two radio stations, a television station, and the recently created Digital Division, which Fernandes heads up. The goal of integration is to, "take the content from all these brands and to make that content available on converged platforms, meaning the mobile and online platforms. Whereas other newspapers have had to invest in technology for their online editions, for us it was already existing, so all we had to do is, for example, link a Barack Obama story that we have in our print publication to what our broadcast team has done and 'voila' we have a fully multi-media website. We skipped what a lot of newspapers are actually going through today." Fernandes goes on to say, "We are giving our customers the opportunity to chose how he or she wants to view their media." Therefore, if one looks on the Daily Nation website, one can see content from the online team, but also from the broadcasting and print team within NMG as well.

One big basket of content

NMG recently introduced a new content management system called CoreMedia. With this new system, "if we are looking at the content of three of our newspapers and we see that the top story on the TV station is a piece about Barack Obama then we do not have to go and physically place that story on all of the three editions, it automatically picks it up as they are resident in a common database. We have one big basket into which everyone is throwing their content and then the online editors decide to pick what is relevant for their particular portal and it can be done at the click of a button."

Integration across print, TV and radio

In terms of convergence and integration, this is as far as NMG has gone. In terms of newsgathering, each brand still has its own newsroom, and each newsroom goes out and pursues an event individually. However, with the introduction of the new content management system, NMG is now looking at newsroom convergence. Therefore, instead of sending eight different teams to cover one particular event from each angle be it TV or radio, they are looking to pull them all together and have one multi-media team go and cover an event. This would consist of a reporter, cameraman and photographer reporting the story and then placing it in the CoreMedia "basket" of content. The various brands at NMG can then take that content and repackage it so it is suitable to its relevant market.

Problems of size

This is obviously a far more efficient way for NMG to cover a news event, but NMG faces a specific problem with regard the integration of publishing, ie, publishing to multiple platforms from one piece of software. Due to the sheer size of NMG, they have been unable to find suitable software that can carry all their content and efficiently manage it. Fernandes reports that "there is not any software that exists in the world today that can manage the process, because there are very few organisations like us, who need such a service.  The Times of London's video content is from the Times of London, but on the Daily Nation web edition the video content comes from NTV - the NMG's TV station -, which has its own unique brand. That is where the difference is." Fernandes and his team are examining various technologies on the market and reports "newspapers have software that integrates the ability to manage their online content, and with that newspaper companies are looking at getting video as part of that content, which is something they haven't done before. So the technology is still very much at the development stage whereby they are using video content that is suitable for their website and we need to look at video at a higher quality level."  

Aggregation site to challenge international players

The Nation Media Group is also readying itself for this new advancement and has built a news aggregator portal called nationafrica.com. nationafrica.com pulls together all the news from across the Nation Media Group's many platforms. Fernandes reports, "Our vision is to be the media of Africa for Africa. It would be wrong to think we could have newspapers and TV stations all over Africa, but online is the perfect platform." The timing of the launch of this site is significant, if nationafrica.com can establish itself quickly enough in the market, it has the potential to become the dominant force in the aggregator arena in Africa. The players in the market who have their strategies in place for when broadband hits Kenya will be at a marked advantage for establishing their brand in the market.

Fernandes reports that they are expecting the site to grow from just being a portal focusing on the Central and East African region - NMG have three newspapers in Tanzania and a newspaper and TV station in Uganda - to beyond its current reach. NMG have correspondents in 18 African countries providing content on a daily basis, it plans to train and equip these same journalists with "not just note books and pens, but cameras and video cameras" and they will be able to load this content directly onto the NMG system. NMG is in a unique position to challenge the other media conglomerates operating in Africa who have bureaus and correspondents all over Africa, such as the BBC. Fernandes states that this portal is vital to Africa as the international broadcasters like the BBC and CNN tend to focus on the "doom and gloom stories about Africa."

The future
 
NMG has undoubtedly been at an advantage with the expansion of online media due to the fact that it is not just a newspaper company, but the fact that it is not a newspaper company creates challenges for the firm in terms of efficiency for its business model. The challenge of streamlining the publication platforms for an organisation of NMG's size is a significant mountain to climb. Technology is rapidly coming on stream that will aid this process, but could it result in the various NMG brands loosing their identity in the drive for efficiency? This is something that NMG will have to consider as the brand's popularity is in no small part due to its ability to tap into the domestic market.

The future looks bright for this media conglomerate and its move to challenge the international players in the market such as the BBC is a bold and brave move that it needed to take to keep NMG at the heart of the Central and Eastern African market.

Part 2 - In tomorrow's article, social media, the Daily Nation and the search for fame, and why the "Who wants to be a millionaire" format failed in Kenya and how NMG adapted it to the mobile market.

Source: AllAfrica.com
 

For over 100 years, The New York Times has set the standard for print publications in the US and all over the world.  In an article on Monday, Scholars and Rogues, a blog offering commentary and analysis on breaking news, said that the legacy could be close to its end, because the Times has "significant debt coming due, and insignificant cash on hand."

Scholars and Rogues comments that the Times did not accept the Internet as an "effective colleague" to distribute news and information, regarding it as "ineffective."  This has now proven "costly," as the numbers indicate.

The media stands accused of failing to foresee the global financial crisis, of a lack of understanding of the issues, and even of having a hand in the problems we now face. The Editors Weblog has been following the debate, beginning with an interview with the Managing Editor of the Financial Times, Daniel Bogler, who highlighted the problem of the media "fanning the flames" of the crisis. Is the media responsible, or are these accusations merely a knee-jerk reaction?

Danny Schechter is a respected investigative journalist and the author of Plunder, a searing indictment of the modern banking system, the role of government in finance, and the greed-is-good mentality. Schechter's book was published one week before the collapse of Lehman Brothers on the 1st of September, and it examines the very problems that were about to unfold. The Editors Weblog spoke to Schechter about the media's failure, the ethics of advertising, responsible journalism, and the cult of the CEO.

Two key failures

Schechter believes that there were two key areas where the media failed. He says that there was little or no examination into the new breed of exotic financial products that caused many of the problems, such as CDO's, and that the media ignored the warnings from community housing organisations of the predatory lending practises in some of America's poorest communities. "This was a big media failure, we were not warned about it" says Schechter. If Schechter's assertion is correct, why did the media fail to fulfil its role? Newspapers, and the media in general, are supposed to be the fourth estate, a watchdog for citizens. Is it a lack of knowledge on the workings of high finance or has the media lost its way and become part of the problem?

Why did the media fail in its early warning role?

Schechter believes that the media failed in its role because of vested interests. He points out that one of the key sources of revenue for newspapers is real estate advertising in weekend supplements and classifieds, as well as advertisements for credit card and refinancing companies. As a result, he argues there is a connection between the real estate and newspaper industry, their future and success are intertwined. Schechter says, "The newspaper industry is the marketing arm of the real estate industry. In some cities you actually had newspapers getting a piece of the action of sales through the ads that they generated. So they were actually part of the corruption of this whole relationship. So of course there was little real scrutiny about what was actually happening in the neighbourhoods where houses were flipping, where people who couldn't afford to buy houses were buying them with bogus mortgages. Newspapers were making money on the sales of these homes."

Schechter argues that after the dot.com bubble burst back in 2000, all the advertisements from these new emerging businesses stopped, so the $3 billion in lost advertising revenue for the media industry had to be found somewhere. Schechter puts forth that credit card companies and refinancing firms stepped into the gap. He points out that the majority of people do not automatically spend money that they don't have, but it was marketed to them through the media in advertising and life-style supplements. Most of the money that the media makes in advertising is in the last quarter in the run up to Christmas, newspapers run articles on the best presents to buy, and so forth, all of it driving a concept of "buy and shop" which "stimulates consumption." Schechter says, "for me, on the consumer front newspaper's are a marketing instrument and on the investment front it's a confidence building instrument. The media was part of this whole sales machine, and it happened at the same time that newspapers were cutting back on investigative reporting, and ironically expanding business news targeted at the business world; not at the general public, not on the economy and how it affects you and me."

Has financial journalism lost its teeth?

Another criticism levelled at business reporters is that they are too close to Wall Street and the City, and have too much respect for the institutions they are supposed to be examining. John Friedman of MarketWatch was at the press conference announcing the Bank of America's acquisition of Merrill Lynch and wrote, "the media were so polite and deferential to the two CEOs; they behaved as if the press conference were a victory lap for the financial services industry." Schechter believes that "business men are seen as heroes" and it's all part of the "cult of masters of the universe"; he cites the endless sycophantic articles about Bill Gates of MicroSoft and Richard Branson of Virgin. He argues that there is a kind of "cultural embedding, as financial journalists cover business, they become part of the scene, they identify with the players, go to the parties, they are increasingly in a world of fewer and fewer people that is cut off from the mainstream of American life." He believes that many financial journalists want to be like these Masters of the Universe that they write about every day.

Schechter also says that there is no real pressure at the top of media organisations to thoroughly investigate these companies. Thee reason being that they would be investigating their advertisers. As a result, there is no impetus behind financial reporting, no push for the truth and the heart of the story, not enough cynicism.

Furthermore, with the advent of multi-platform publishing and shrinking newsrooms, journalists are frequently, "fireman, going from one fire to the next. When you are doing that, there is very little time for reflective analytical reporting."

Where is the counter-narrative?

During an interview recently on the Editors Weblog, the FT's Managing Editor Daniel Bogler said, "It's unfortunate that the financial literacy and understanding of how things work in the City and of basic accounting and so on, is actually very thin in financial journalism." Schechter agrees with Bogler's point saying, "You have people who are not really very well educated covering these issues. Hence they go to a briefing and a company gives them a story, and they don't really have a counter-narrative."

Reviewing his argument, Schechter's assessment of the media is damning indeed; but it is not unilateral. Schechter points out that many newspapers and bloggers are asking the right questions and searching for the truth in this financial crisis. He cites the UK's Telegraph and Guardian newspapers, saying they "have been way ahead. I find the coverage of the British media better, and increasingly much more critical of what is happening."
 
Omission and Commission

Looking back over the rapid collapse of the world's financial markets, and the uncertainty ahead, Schechter says it is, "a financial system failure, a regulatory failure and a media failure. Everyone is willing to talk about the first two, but they are not willing to discuss the last one. We are all in this. It's a media failure of omission and commission."
 

For the second time this year, Russian newspaper Moskovskiy Korrespondent was shut down.

Chief Editor Sergey Varshavchik said he doesn't expect the paper to continue being published, reported Lenta.ru. According to him, Moskovskiy Korrespondent does not have enough financial backing from investor Alexander Lebedev.

Earlier this year, the paper was temporarily shut down after it published a "scandalous" article about an alleged love affair between former Russian president Vladimir Putin and gymnast Alina Kabaeva.

Source: Lenta.ru

Barely a day goes by at the moment without a raft of stories on the financial crisis, the US election and... the Associated Press. The Associated Press's communications team have never been so in demand, and the venerated news agency is moving dangerously close to becoming the story rather than being the one that writes about it.

The Editors Weblog spoke to Tom Brettingen, Chief Revenue Officer and Senior Vice President, Sales and Marketing at the AP, to discuss bad publicity, editorial content, price structure, and editorial cuts at the agency.

EW: Have you been surprised at the reaction to the price structure changes?

TB: "Generally, and for most of the industry, what we were offering was much more content for less money and a broader license to use it. We expected people to be happy, and most people were happy, the people you are seeing in the news were people, as the economic situation got worse, who were expecting larger decreases in their rates."

EW: Why were these changes necessary?

TB: "In the beginning, the goal was not drastic rate cuts, it was more about content. We wanted to help newspapers find the content that was specifically right for them in their markets and keep rates flat in doing that. We did all the work to devise the specifics and as these discussions went on the situation in the market became a lot worse and the global economy got worse. So, now the pricing and packaging that we started off with has run into this buzz of newspaper challenges and general economic challenges and that's why you find today all the stuff in the news about us"

EW: Is the AP having the same financial difficulties as the rest of the industry?

TB: "If our customers, who are generally ad supported, are hurt by the challenges that all newspapers are facing, compounded by the global economy, then of course it affects us as well"

EW: Looking back, would you have done anything differently with regard implementing the price structure changes? Do you think communication was an issue?

TB: "Some of the clients found the new packaging unnecessarily complicated. We created one level that contained all of the Breaking News, and then separate to this we had additional levels, Premium vertical segments, such as Sports, Business, Lifestyle, Entertainment and Analysis. Our thinking was "Breaking News" would satisfy a lot of customers, but some of our clients with more specialized newspapers might want to buy additional sports and business. Breaking News did have a huge amount of sports and business, but some of it was separated into Premium categories, so only those newspapers that wanted it needed to buy it."

"If we had foreseen how much more difficult the economic situation was going to get, we probably would have jumped ahead farther and skipped some of the intermediate steps. Things were not great 2 years ago, but they weren't nearly as bad as they are now.

"I am sure that (sic: communication) was part of it.... We were making this brand new separation from Breaking News, which on its face seems straightforward enough. However, say you are looking at Sports; you get the baseball results and match report, but what about analysis and sidebars? We had that planned, but we didn't have it live in the new web platform, so newspapers hearing from us couldn't go immediately to the website and see what we were talking about."

"If we'd had more time to announce it so that we could have finished the programming so that the distinctions between Breaking News and Premium would be clearer.... yeah, we could have timed that better. We were racing to get the program built and explained so people could make their choices in time for 2009. Newspapers didn't have the ability to see the differences to Breaking and Premium, and that would be something we could have done better.

"There was a huge amount of communication, it just wasn't necessarily what everyone wanted to hear"

EW: What was AP's reaction to the business-wide and economic crisis?

TB: "Last week, as the economic situation worsened and newspapers wanted a further reduction in their pricings from us, we did two things, for the small percentages of newspapers that saw a price increase in 2009, that was called off, and then we decided to abandon the two tier model. We made it part of one package, so premium is available to everyone."

EW: What is in the future for the AP?

TB: "We are undertaking a major review of what we need to do beyond changes in 2009. That will be a wide-ranging review. There are some benefits to membership of the AP, you vote for the board, you have an ownership stake; however, maybe some newspapers would prefer to not support the co-op to that level. Maybe some newspapers would prefer to be a more straightforward customer and buy a small content package for less money. That will be something that we will be examining."

EW: Do you expect to increase prices after 2009 for US newspapers?

TB: "Unless something miraculous happens and turns things around, if newspapers get to where they need to go with much more success on the web, that is theoretically possible. But no, I don't see any rate increases in the foreseeable future."

EW: Why has the AP changed its tone in some AP copy? Some of AP's content is now quite opinionated, are you moving away from neutral ground?

TB: "It's an area that can be debated, but we are certainly not moving from a neutral position. We remain committedly neutral, but that doesn't necessarily mean you can't have a voice, it's a more distinctive voice. It's a different voice to that which we may have had on some of our content in the past, but there is no leaving the neutral middle ground in terms of political leanings. We are providing value to the reader, we don't go to the consumer of course: we're a wholesaler. However, if we don't interest the reader, our customers aren't going to find that much value in our content. It's not a decision to be outrageous, or voicing off... it was an incremental change to be a little more distinctive in the market place."

EW: Does the AP have any new projects or innovations in the pipeline?

TB: "If we're not going to have all the revenue that we've had in the past from US newspapers and, more than likely, a few US broadcasters, we need to replace that revenue. We have several initiatives to help us do that, and they will be in content areas. Any more detail would be premature at this stage."

EW: Do you expect staff cuts at AP? If so, can you confirm that these will not happen in editorial?

TB: "Its clearly a company where the expense is largely people, if you're going to reduce expenses, you've got to look there. We need to be sure that the cuts are done very carefully because damaging the product and damaging the quality of the product starts a spiral that we clearly have no intention of starting.

"There is no decision on not cutting editorial, but depending on the levels of cuts that is required, its unlikely that you could do that entirely without looking at where the majority of our expenses lie, which is news staffing"

EW: What do you see in the future for newspapers? What do you think they need to do to their business models?

TB: "If I had the secret potion I would get very wealthy in a hurry. There are lots of good ideas floating round out there and they almost all revolve around targeting users with information, content and services, not expecting a single product - be it print or web - to be fully satisfying to everybody you want to reach in your market. A lot of customization and niche kinds of products are the things on most peoples minds."

See also:

Exploring the content sharing model: Is this the future of the US newspaper industry?
Opinion: Is the AP threatening its own future?
US: AP suspends rate hike
US: More newspapers to drop AP
US: Tribune Co. to drop AP