Mel Taylor

Rob Curley

Digital Cage Match
Editorial vs. Sales
America East Newspaper Conference March 15, 2011 Hershey, Pa.

TEAM CURLEY

Mel Taylor Media
How we help Newspaper

refresh
blow up

overhaul & rebuild outdated web business models

Mel Taylor Background

Run Web like Newspaper
Think like Publisher / Owner

1. 2. 3.

profit operations editorial

in this order

Editorial vs. Sales

Internal Conflict

FAIL

Online Journalism/Content
looking for

Revenue Models
SMART

Proven Revenue Models
that support

Online Journalism/Content

Rob Curley
• Brian Greenspun • Deep Pockets • Unlimited Patience? • Las Vegas Portfolio • Culture & Staffing

Rob Curley
• Inventory Management • Profit / Loss & Cash flow • Sales Team Effectiveness • Revenue Projections

Costs

Rob Curley
• Editorial independence • Sales calls • Multi-media sales kits • Video

Rob Curley
Editorial & Revenue
• Washington Post • Naples News

How long ?
To Reach Profitability

Bigger
Not Always Better

Who Runs Site
Financially motivated or….
• Make it impressive • Drive page-views • Win cool awards • Sell more print

?

Ad Mix
do they see local business looking great ?

Print News Hole

LOGO
sections

promo

Online
Ad hole

DUMB
National Ad Networks
( at local level )

REMOVE
from home-page & section fronts

Consider day-parting

danger of ad networks

Ad unit designed to look like editorial

How GREAT sites lose money

Online Video
show me the money

online video
that pays
Remember all that video stuff you bought for the newsroom?

Take back half of it, and give it to the sales department.

Re-think EVERYTHING
• Vendor Deals
• Aggregation & RSS • Local Indie-Journos • CMS Platforms • Local Ad Networks

Reduce Costs
via

• Sales-Based Video
• Management

> Open Source > Crowd Source > Revenue Share

New Workshop from Mel Taylor Media

Online Business 101
for Editorial, Programming & Web Producers
When content creators understand online business models… they create more advertiser-friendly & profitable websites

BEST PRACTICES Advertising Sales

MelTaylorMedia.com
•Jeanne Straus
Publisher/Owner: 9 Newspapers -border of PA NJ NY

•Mike Scobey
COO: Print -Calkins Media
Publisher: Doylestown Intelligencer

•Aimee Eckley
Director of Interactive PA Newspapers / Times Shamrock

RUN ONLINE LIKE PRINT SAME RULES

SIMPLE First Steps
• Who’s in charge?

• Ask client about ad spend
• Compensation adjustment • Pitch current print clients • Simplify ads & packages

Steps for Success
• Understand Competition • Know Your USP • Leverage Digital
– Cost Reduction / Operational Efficiency – Increase Revenue Share – Increase Audience Share

1. Compensation 2. Management
3. Simplify inventory

4. Apply pressure
5. Raise Rate

RUN WEB LIKE PRINT

USE EVERY TOOL To Grow • audience share • revenue share

Cannibalize Print ?

solving fear of cannibalization
if we don’t offer digital…

someone else will

Overhaul

Compensation

Revenue & New Business
• Per rep & manager • Per month

Commission
• 25% or more for new biz • 10% or below for transactional

Overhaul

Compensation
> Grow % of clients using web

> Bonus & PENALTY
• Don’t hit web ? Lose PRINT bonus • Don’t hit web….all the time? > Lose acct or job

Compensation
DO NOT bonus based on: • Page views • Unique users

instead…
bonus & compensate
on revenue & profit

What in Common?

Local Ad Dollars

AOL’ s hyper-local play for local ad dollars via journalism

Over 800 Sites…so far
555 in Q4 2010

• 18 states • Over 100 in California • 73 in Massachusetts • 40 in Georgia • 30 in Philadelphia • 3m uniques; Dec 2010
Launched in February 2009

Communities
PATCH Philly Regional Publisher:
Former Publisher @ Journal Register

Avg size: 50-70k

Lehigh County Bucks County

Main Line

Philadelphia Region
Today: 30 Summer 2011: 60
South Jersey

Chester County

Delaware County

Will Patch Succeed ?
• Who knows
– Doesn’t matter

• Patch is more proof…
– Local dollars up for grabs

diverting attention away from item of significance

Deadly Mistake
only focus on….
• traffic • community • banner ads • journalism skills

Sweet.
Newspaper is falling right into our trap

Patch Grows
• Efficiencies of scale • Walmart effect • Infra-structure • Additional revenue ops

Huffington Post
& The Great Roll-Up
similar to isp, cable, radio, newspaper

• Low-cost & profitable

• Pageviews & uniques
• Management success

• Leverage web 2.0 & 3.0
• Social, viral, commenting

Overcoming Common Objections
Not Interested Groupon Newspaper

Facebook
Google

Doesn’t
Work

Already have Site

Cable

No Budget

Don’t See My Ad

Tried it. Did not Work

At Work Day-Part
Internet Prime Time Mon-Fri 9a-5p

Morning

Evening

Mid-day

Total Readership
Newspaper: xxx,000 Online: xx,000 Total Reach: xxx,000
Website: Mobile: Social: Email: YouTube: xx,000 Unique / readers x,000 Apps, alerts x,000 Facebook, Twitter xx,000 Opt-ins xx,000 Subscribers

Total Online

Home Page LARGE Premium Unit

Hyper Local

Blogger Network Farm System
for Newsroom

Newspaper TOOLS
• Legacy • Feet on street • Local content creation • Client relationships • Brand familiarity USP
Unique Selling Proposition

• Print / Traditional distribution

Newspaper TOOLS
• Video
• Social & Mobile

• Integrated / cross platform
• Large newsrooms

• Aggregation, Blog networks

Newspaper USP
unique selling proposition

What can Newspaper offer…

that PATCH & OTHERS can’t ?

America East
Hershey, Pa March 15, 2011

MelTaylorMedia.com
Twitter: @MelTaylorMedia 267-625-5313

Mel@MelTaylorMedia.com

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