Last Thursday’s annual BSME awards ceremony was a chance for magazine editors to get together and celebrate their successes – as well as commiserate with others who have not been so lucky.
At the moment, there is an increasing number of good news stories coming out of the magazine world. Yes, there are notable failures – or ‘corrections to the market’, as economists would put it – including the closure of InStyle, etc; but – whisper it – the industry is holding up.
In a previous post, we looked at the broad role the media played in Donald Trump’s stunning electoral victory last week. Here, I want to look in a little bit more detail at one significant aspect – social media. Or, to put it more bluntly, we’re going to look at how Donald Trump bypassed the mainstream media and used Facebook and Twitter to help win the election.
Data from EzyInsights, an organisation that normally helps news publishers understand how stories play across social media, shows that in the run up to the election earlier this month Trump was often gaining three times more Facebook engagement – likes, reactions, shares, comments – as Clinton.
Across the TMT sector, convergence is back in a big way. The early 2000s were packed with mega-mergers like AOL and Time Warner, and the cross-market consolidation that saw the emergence of integrated offerings like Virgin Media.
Things quietened down after the financial crisis, but the last couple of years have seen a raft of big telecoms providers making moves back into the media.
From BT’s acquisition of Champions League and Premiership rights, to Verizon’s recent acquisitions of both AOL and Yahoo!, and now AT&T’s proposed acquisition of Time Warner, telecoms companies can’t get enough content right now.
There was a time, not long ago, when owning a BlackBerry was the mark of a serious professional – someone who was always on, always reachable – well, not any more…
As other firms accelerated their development of business-friendly smartphones, BlackBerry stood still. So it will have come as little surprise to anyone who has followed its fortunes that the ailing technology company intends to no longer make handsets and instead focus on developing software.
So Verizon has been at it again: bagging a former digital behemoth for a fraction of its peak market value in the hope that some of the old magic remains.
To put that in perspective, Microsoft offered $45bn for the business in 2008, but was turned down by the Yahoo’s then management on the basis that the business was worth much more. Way to go, as they say in Silicon Valley.
A colleague was recently sharing a cab with a senior sales director working for a traditional broadcaster and was amazed he had no idea of what affiliate marketing was.
It’s perhaps not as uncommon as my colleague might have thought, and many of our readers might be in a similar position. So, to spread a little light, here’s a simple explanation (those of you in the Affiliate Marketing world, turn away now!):
Last week, Martin wrote about how necessary content could make it simpler for B2B media firms to carve out a significant piece of the digital landscape for themselves.
The problem for a lot of content businesses, particularly consumer-facing ones, is that despite the merits of what they produce, it’s not essential for their readers.
It seems barely possible, but it’s less than a decade since Amazon boss Jeff Bezos ordered his lieutenants to build the world’s first mass-market e-reader. The original Kindle was introduced to the public in 2007 and with it came the fear that its development marked the beginning of the end for printed books.
In the nine years since its launch, Kindle has been through eight generations, an LCD version has launched, along with various adaptors and applications that allow Amazon’s content to run on the slew of other platforms and technologies than have also come to market in this time.
Yet despite the digital explosion that has taken place, despite the consumer’s readiness to ditch old technology for new (honestly, when was the last time you read a printed newspaper?), and despite 2007’s fear for the future of the book, the situation we currently find ourselves in isn’t the one book-lovers feared.
The long-term viability of digital publications that rely on scaling audience has been called into question in the last few months. Digital advertising has continued to grow, but increasingly the idea of a business model focused on generating a massive readership or viewership is becoming outmoded by the fluctuating demands of advertisers.
There’s also a prevailing feeling in the media industry that there’s too much content chasing too little advertising cash. This doesn’t necessarily mean that cutting back on both content and audience size will be beneficial, just that a new way looking at the quality of content and its ‘appropriateness’ to the audience is taking hold.
With this new approach come a requirement for new skills, and increasingly digital media businesses are looking to hire heads of Audience Development to their senior management teams.
Each week I receive roughly 150 marketing emails. The majority get deleted without any consideration of the content, but last week two emails caught my eye and caused me to investigate further. Why? Believe it or not, they stood out from the rest because they used emojis in the subject line.
For the uninitiated, emojis are little graphics that are commonly used in text messages but are increasingly moving into other forms of communication. The two that caught my attention were an image of a car to start the subject line of an email about car finance and, similarly, a party image in a service upgrade message from one of my tech providers.
Well, so far, you might think, so boring; but there is a point to all this: according to a recent survey Brits are 63% more likely to open an email with an emoji accompanying the subject line.
Sometimes the pace of change in publishing can be staggering. It seems not a month goes by without the arrival of a technology or platform that causes permanent disruption to how and where content is presented to end-users and forces executives to (again) fundamentally rethink their digital model.
The other week we met with a senior figure at a major international online publisher to discuss the changing nature of their business. He flagged up the biggest issue almost immediately:
‘The emphasis,’ he said, ‘has changed from driving traffic to our sites to taking our content out to where people are. That requires quite a change of mindset within the business.’
Today marks eight years since MTA opened its doors to an eager media market. Although, as it turned out, the media market in 2008 was not that eager: within weeks, the global economic collapse had gathered pace and there was precious little investment in the industry. Timing has always been my strong point.
Nonetheless, we landed two clients in the first couple of months. The first client, one of the UK’s largest consumer publishers, remains a client today. The second – an international news and data business – led to a multi-year project which saw us recruiting for bureaux around the world (Russia, China, Europe and the US). Strong partnerships like this have been our mainstay ever since.
The other week I found myself in a meeting with the CEO of a niche B2B publisher, and a senior member of his digital product team. The CEO had spent much of the previous hour bemoaning his declining print revenues, as well as outlining an advertising-driven attempt to go digital that, it’s fair to say, has experienced some pitfalls.
The digital executive (who was new and therefore not involved in the aforementioned digital transition) then began outlining, very articulately, proposals to create a high-value, subscription-driven online service out of the data published every issue in the back of the magazine. The sort of service that, were they to get it right, would generate millions in recurring, secure subscription revenue every year. His CEO interrupted him by slapping down a page of the magazine, showing an ageing executive in a suit, and declaiming “but most of our audience looks like this”.
2016 marks twenty years since I became a headhunter. While that makes me feel incredibly old, it has been a fascinating time to be an observer of the media landscape across the UK and beyond.
When I first started, the internet existed, but was a hard-to-use and limited resource with dial-up access. Email also existed, but not in my office (we relied on faxes). Things were changing, yes; but no-one had really grasped the magnitude of what was about to happen.
If you really want to know how much the media world has changed in the intervening years, imagine saying this back in 1996:
It’s hard to believe that Amazon was founded twenty-one years ago. Since their establishment in 1994, they have diversified into innumerable categories; but it is their impact on book publishing that is interesting to us. Amazon has disrupted the landscape that held solid for many years, and they haven’t done it gently.
Last year, Keith Gessan wrote in Vanity Fair that “all the publishers feel bullied by Amazon, and Amazon, in turn, feels misunderstood.” The implication that Amazon is the unwitting playground bully doesn’t, unfortunately, distract from the fact that they used their size and their far reaching power to the detriment of others by undercutting prices.
This strategy of Amazon’s, which basically cuts out the ‘middle man’ that is the traditional retailer, is having a hugely negative impact on the industry. Last year, while Amazon was busy falling out with Hachette, Steve Dent of Engadget UK wrote that “Amazon grinds suppliers to keep its competitive edge and publishers are no exception.” Amazon argues that it is looking out for the ‘little guy’ by saying that “we will never give up our fight for reasonable e-book prices”, but these protests seem hollow.
Negotiations on prices for e-books have largely failed, and have led to accusations that the company is using that figleaf to cover up its continuing efforts to under-price print books. Alexander Alter of the New York Times reported recently that the “paperback editions of some popular titles, like “The Goldfinch” by Donna Tartt, [were] several dollars cheaper than their digital counterparts.”
Of course, some of the responsibility for this has to be shared with the publishers themselves. Their collective unhappiness about online pricing is reminiscent of the Net Book Agreement dispute from the 1990’s, just as Amazon drew its first breath. And it is arguable that Amazon deserves a larger share of the e-book market because it is chiefly responsible for creating it in the first place with the invention of the Kindle.
As Amazon does not report their sales figures, it is difficult to gather a consensus on just how much e-books are thriving in monetary terms. We do know though, that the e-book market is prosperous and the traditional publisher only has around a third of the market share.
More worrying for publishers – and retailers – is Amazon’s share of the print market, and its pricing policy in that area. Amazon’s second-hand market, in particular, is troublesome; advertised on the same page as new editions, publishers do not get a penny from the sale of used books. One third of a monetisable e-book market is much better than three-quarters of a non-paying second-hand print market.
So perhaps patience with the playground bully is – after all – the best strategy. Despite difficulties arising from the Apple price-fixing case, publishers should focus on getting a better deal from Amazon on the electronic market, and seek to curb their prominence as a print reseller.
Web users find online advertising annoying, intrusive, often irrelevant, and a drag on browser speed. For those that go online using a mobile, there are also concerns over stealth data consumption and privacy.
It’s for these reasons, according to a recent YouGov survey, that 15% of internet users currently use ad-blocking software and 22% have at one time or another downloaded
In 2013, communications strategist Zan McCulloch-Lussier wrote about the overwhelming torrent of content that consumers face.
In the article for charity leaders, published in NTEN Change, he wrote: “48 hours of new video on YouTube. 684,000 pieces of content shared on Facebook. 100,000 tweets. This is just a sample of what happens every minute of every day on social media. Overwhelmed yet? The people you’re trying to talk to certainly are.”
Stats vary: but the challenge for brands to be heard amidst such noise is immense. McColloch-Lussier argues the only way forward is to curate content – on behalf of the audience – so you are seen as a trusted source of information. There is, in his view, no point in shouting louder. The only way to be heard is to become so trusted that your voice can be heard in a whisper.
Well, love them or hate them, they are all titles that have bucked the wider media trend and maintained strong brands and readerships over the last few years. They have become trusted voices by delivering appropriate content in the way their audience demands – across print, digital, social and video media.
So what can content marketers learn from their success?
With so many interested parties involved in the conversation over content marketing, it’s understandable how criticisms – and occasional notes about its limitations – can sometimes get swept under the carpet.
So it’s refreshing to see, in recent days, two well-meaning – if not entirely earth-shattering – counter punches.
Marketing B2B products can be a highly-specialised affair and, as a result, finding senior leaders in the sector can be a challenge. The knowledge required to become an effective senior B2B marketer can take years to develop; this is particularly true in the business information space where, over the past 18 months, many clients have asked us to help find them top-class product marketing leaders.
Having worked on a number of similar projects recently it has become clear to us at Martin Tripp Associates that there’s an identifiable set of skills that are highly desirable at present. So, if you’re thinking of undertaking a process to appoint a senior b2B marketer, or looking to move into a senior product marketing role, it might be worth bearing in mind the five key attributes we have identified when recruiting product marketers for our clients:
The consumer publishing sector is expected to see continued strong growth of its digital income over the course of the next five years. However, money from print will continue to form the bulk of revenues, according to research published this month.
Ovum’s Digital Consumer Publishing Forecast said that by 2020 just 24 per cent of overall revenue in the consumer publishing sector will come from digital – currently it’s at 14 per cent – with the remainder generated through print titles.
In his 2011 AdWeek memoir on David Ogilvy, the advertising legend, Kenneth Roman tells the following story:
“At one board meeting, he [Ogilvy] gave directors sets of Russian nesting matryoshka dolls. Inside the largest doll a smaller one, then a smaller one, and so forth. Inside the smallest doll there was a slip of paper:
“If we hire people who are smaller than we are, we will become a company of dwarfs. If we hire people who are bigger than we are, we will become a company of giants.
“Hire people who are better than you are. And pay them more than you if necessary.”
It is a great guiding principle. The smart manager hires the best team and revels in its success – a success which reflects well on all of them; everybody wins. The less smart manager hires down, the team struggles to meet targets, and the manager ends up blaming team members; nobody wins.
As media headhunters it’s common for our conversations with senior editorial and commercial people – at old and new media businesses alike – to regularly address the challenges they face in offering new and compelling solutions to advertisers.
These conversations often revolve around how a publisher can use the editorial skills they have in-house, and a reputation for producing high-quality content, in commercial ways that won’t alienate the readership or damage a relationship that, in some cases, has been built on centuries of editorial rigour.
So how do they do that? Well, it isn’t easy.
A recent editorial candidate told me at their (established) news organisation, they have clear boundaries to maintain the traditional gap between editorial and commercial. But this ‘traditional’ gap is no longer the case everywhere, and some of the UK’s most distinguished media businesses are peering directly into it in the hope of finding new sources of revenue.
Increasingly, media organisations are becoming more relaxed around the separation of editorial and commercial activity and redefining how existing boundaries can work. Under the umbrella of ‘native advertising’, the old lines between editorial and commercial are changing.
Here’s a potentially concerning development all media owners would be advised to keep an eye on: this week, the Financial Times revealed ‘several’ mobile operators are proposing to lock advertising on their networks, with one European provider preparing to do so before the end of this year.
If you’re thinking of recruiting digital executives in the next 12-months, this could be a live issue with which they (and you) might have to deal.
Off the top of your head can you guess where Britain’s fastest growing technology hub is located?
East London? Manchester? Cambridge? Liverpool?
Nope, it’s none of those places. According to this year’s Tech Nation report, Bournemouth is by some distance the fastest-expanding tech cluster in the country. Between 2013 and 2014, it saw a 212% rise in new tech companies forming. It’s growing nearly twice as fast as Liverpool, its nearest rival.
Online publishing businesses in the UK expect to be at the heart of a 2015 recruitment boom driven by the adoption of programmatic advertising systems, according to research released this month.
Data from the annual Association of Online Publishers’ Organisation Census said 71% of online publishers in the UK expect to recruit additional staff in the coming year – the highest percentage seen since the survey began in 2003.
Recruitment and skills development is now a key investment area for online publishers, according to the AOP, as the industry begins, at speed, to adopt the use of programmatic trading.
The results of the AOP Census mark something of a turnaround from last summer when a separate survey found nearly a third of all publishers in the UK – online and offline – hadn’t even heard of programmatic advertising.
While Martin Tripp Associates specialise in filling high-level positions right across the media sector, the vast majority of searches we’ve completed over the last three or four years have had one thing in common: nearly all of them have been about finding executives to assist in a transition from print to digital, or increasingly, from one kind of digital presence to a more advanced one.
In that context, the job title ‘Head of Digital’ can seem anachronistic. After all, if your business is digital-first (as many of our clients now are) then virtually every department – editorial, sales, marketing, product development, the lot – should have digital skills at the core.
However, some clients still have successful print businesses with separate digital teams that need to be managed. In that context, when they’re recruiting a Head of Digital, what they really need a matrix-managing figure to establish digital best-practice across the business.
Workers rejoice! The days of firms barring employees from looking at social networking websites could be at an end. Why? ‘Cause Facebook is aiming to help everyone do their jobs just that little bit better…
In-house recruitment professionals should be especially excited by news that Facebook has launched a new social network specifically for office communications – it’s called Facebook At Work.
The speculative amongst you may care to think that sounds a bit like Facebook making inroads into LinkedIn’s territory, albeit in a different way – we’ll come to that…
So far just a handful of companies have be asked to join an extended trial of Facebook At Work, but the service is expected to be rolled out to the wider business community in the coming months of 2015.
Like its big sister site, Facebook At Work lets users create an account, post content, and interact. But instead of doing that with friends, it’s with co-workers.
The coming of the New Year brings with it an annual rush of predictions on the trends and technologies that will dominate the next twelve months for those businesses keen to use digital channels to expand and improve the way the talk to – and do business with – their customers.
In the latest of these predictions, Tech Radar said last month the key trend for retail technology in the next 12-months would be the rise of ‘hyper-personalisation’. Instead of looking at portfolios of individuals, customer management would instead be looking at customer persona as a way to drive innovation and keep shoppers engaged.
“Only by serving the changing needs, preferences and behaviour of the customer,” it said, ‘will retailers and brands be able to meet today’s hyper-connected consumers on their terms, across all channels of interaction.”
At the start of 2015 I went back and had a good long look over our recent completed searches. One thing really stood out: over the last four years, the number of product management roles we’d been asked to fill has increased dramatically. Four or five years ago we’d barely been approached to place one product manager, we’re now doing at least four or five every year.
For businesses still struggling with a print-to-digital transition, or even if you’re a well-established online player, product manager is an essential position. Why then, do so many media businesses seem to struggle with the discipline? Why do so many struggle when recruiting product managers?