Posts Tagged ‘business’

Journalists And Social Media: What PRs Should Know

Wednesday, November 25th, 2009

This evening I have the pleasure of hosting a CIPR Greater London Group event on journalism and social media at Hill & Knowlton.  As speakers we have Nic Newman, the BBC’s Future Media & Technology Controller, Journalism and Digital Distribution, and Journalism.co.uk Editor Laura Oliver.

Journalism has been changing for a number of years, with many people claiming that news and media as we know it is dying.  A slight exaggeration.  Social media though is having an effect of newsgathering and it is this and what PRs should know about it that we’ll be investigating this evening.

Amongst the many questions I’ll will be asking:

  • How the BBC and other news outlets use social media to research stories and generate contacts?
  • How social media is being integrated into the newsgathering process?
  • How journalists use social media to share content and links with their audiences.  Is social media opening up journalists notebooks and making newsgathering more transparent?  And what can PRs learn from this?
  • Importantly, given that social media is about the now – feelings and reactions of people, what do journalists look for online and on social media sites to generate a story and what can PRs learn from the change in power and how this helps journalists?

Social media is not just redefining news but changing how PRs work.  Long gone are the days when the reputation was at risk of a negative piece in the media.  Now people, consumers, on social networks can generate a feeling that can affect a brand.  Power is moving to the people and this is something that as PRs we need to understand.

If you’d like to know more then guests will be twittering live from the event using the #LondonPRlive hashtag.

I’ll be updating my blog tomorrow with my thoughts.

Social Media And The Consumer

Wednesday, October 28th, 2009

“Be human, all this is still experimental” is how Media140 founder Ande Gregson summarised everybody’s expectations of Twitter and social media at the end of the Media140 Brands conference in London this week. And he is right.

A lot has been said about social media and how it is the saviour of all things marketing and communications. Yet, it is the saviour of nothing, or at least the saviour of nothing yet. What social media is though is a great concept that helps brands come alive. It gives brands the humanity that so many have lacked.

Robin Grant, managing Director of London agency We Are Social, captured this feeling perfectly when he said, “social media is making peoples experiences with brands transparent”. It gives consumers power, the power to choose. It is making brands work for their money and loyalty. In fact, as Grant pointed out, “social media is helping define a brand”. If a consumer has a bad experience with a brand at the drop of a tweet they can share this with their own community, who in sympathy might re-tweet it to their own followers.

This shift in power is starting to have an effect on business. Nuria Garrido, British Airways Digital Marketing Innovations Manager, commented “social media is good for companies that are born on the web. For us [at BA] it is complex to work to the same objectives. A lot of people do not understand internally the power of social media. The PR department, they are coming around. We do have them onside”. And that’s the issue. Internally, within many companies, social media is seen as something you do, you add on, just because it is still seen as the latest cool thing.

Getting social media understood and integrated into a business is a slow process. You have to have your facts, your case studies and your metrics to hand to get senior executives on board. And all this is available.

Some people might only accept social media if it can be used as an income generating tool. Others will see social media as a tool that allows their companies and brands to develop and enhance relationships. It is seen as a tool with which you can have a dialogue with consumers and thanks to this enhance the brand. Think about is, if you use it for the latter and a customer’s expectations haven’t been met then you are better positioned to react and by doing so, in the future, to promote other offerings.

Mel Exon from BBH Labs summed it up by saying that, “there is a move from short term campaigns to longer term conversational initiatives”. Relationships take time to be built and social media is a platform that will help brands with this. But there has to be buy-in from the top, from traditional marketers.

Twitter is human, it is a snap-shot of conversations that we are all having about brands that we have or want. To give you an example, we turned up at RIBA to blog and tweet from the event only to discover that while the wifi was working the net wasn’t. So we had to do as much as we could through our iPhone, not ideal but we managed. Anyway, we decided to share our complaint with @btcare – BT’s twitter account. It took them some time but just after lunch they subscribed to our feed and started posting updates on the problem. One of the best updates came at 14.29, and said, “We’re investigating this issue and will update you in two hours #media140”. Then at 17.09 another update, “I can confirm that all is up and running. If there is anything else let me know”. Of course by the time I got this the conference had finished. But, credit where it is due, they contacted me and gave me an update. All this after letting them know that their service in London W1 amounted to a ‘FAIL’. So, if you have a complaint they will listen. Shame it came too late, but at least it showed that they are real-time.

There are a lot of dos and don’ts in social media. The main point for me being, as Daljit Dhurji from Diffusion PR said, “rules go out of the window. Most marketing directors are clever, when agencies are going in and be prescriptive you are not doing it right”.

What we need is common sense. We need to remember what we as people and consumers want. What we react to. And that is attention. We want to feel unique, special. George Nimeh from Iris summed it perfectly, “You listen first. And then you engage with them [the consumer]”.

Social media is a tool that goes across the company. It isn’t just for advertising, marketing, PR or customer care, it is for the company, the brand. It is a door for consumers into the brand, and that is the fear that directors have to deal with. How do you engage with customers who can now go public and share their opinions with their own network?

Social media is making consumers critics that brands must influence for their favour. That is the best way to put it, and business better wake up to this new world.

And to all those who say that it is a tool for the intelligentsia, think again. The number of people on Twitter, YouTube and other sites is rising. People who’ve in the past complained privately are learning to do so publicly. Not just that, but they are sharing their positive and negative experiences with their own networks.

Social media is about the now, it is real-time and as PRs that is what we should be ready for. Promoting and protecting brands now, today.

Media140 is doing a great job of championing social media, of making sense of social media for companies, of demystifying it so that companies can better communicate with people.  If you haven’t been to an event yet then look them up.

Writing on the wall?

Tuesday, September 15th, 2009

Remember when iTunes was released way back in January 2001? Really, do you remember? At it’s launch Steve Jobs was confident. He knew what he was giving us and how it might transform our music listening and buying habits.  At the unveiling at Macworld Expo Jobs said: “iTunes is miles ahead of every other jukebox application, and we hope its dramatically simpler user interface will bring even more people into the digital music revolution.” With that straight to the point statement the landscape for the music industry and other associated creative industries changed.

These industries didn’t know what lay ahead. Ten months after iTunes was introduced, on October 23rd, Apple released the iPod. Eighteen-months later in April 2003 – while the music industry was doing battle with file-shares, Apple opened it’s iTunes store. And within six years Apple had 70% of worldwide online digital music sales, making iTunes the largest digital music retailer.

Steve Jobs was hailed as a saviour of the music industry. He had a vision and made it work. Today, the news, media and publishing industries are crying out for a saviour that can help rescue them from the catastrophic situation that they find themselves in.  Sales down and advertising at an all time low.

Some have tried, amongst them Amazon’s Jeff Bezos, who in November 2007 launched the Kindle, a popular eReader that gave Amazon customers in the US access to an initial catalogue of over 88,000 digital titles. Today, there are more than 300,000 titles, including subscriptions to newspapers.

The Kindle has hype. It sold out quickly and had the support of Rupert Murdoch. Yet, the Kindle and it’s successors didn’t have the magic that Apple had, nor the practicality that is designed into every Apple product.

In the background though, Apple and Amazon are facing the monopolistic might of Google – a true online mammoth, which is looking to digitise the world’s books and create a vast online library. With a court hearing in New York next month, Google is hoping to legally confirm a deal signed last year with US authors and publishers. In the deal, Google would set up a Book Rights Registry and position itself as a PRS-style (ASCAP to our US readers) entity for writers and publishers. Some believe that this should not be allowed.

Yet this deal has forced many in the news, media and publishing industries to really have a look at how they operate and how they must make the most of the internet.

Yes, the Google Books deal would allow people to search books through it’s search engine, but it would also set up a model for making money from publishing, possibly through eReaders and the like. It might also create new income streams for the news and media industries, which have been suffering since customers started to switch online, where news has available free for years because publishers wanted a slice of the online advertising pie. Sadly, as I said in my previous post, they set themselves up for a tough time, dependent on advertising income, which plummeted when the current recession hit.

And why is this Google Books deal relevant to news outlets?  Well, Google has reached a settlement with book publishers in the US and news and media companies might be hoping that the online giant will hear their talk of paywalls. What they need is for Google to play ball and start paying for listing their headlines and first paragraphs through its very popular Google News aggregator.

And it appears that Google is willing to play. In an eight-page response to the Newspaper Association of America request for paid-content proposals, Google revealed that it was developing a micro-payment system for paid-for-online content.

In the document Google outlines its vision for a “premium content ecosystem” that includes subscriptions across multiple news sites, syndication on third-party sites, accessibility to search and various payment options, including small fees for access to individual pieces of content (known as micropayments).

Google says that: “While we believe that advertising will likely remain the main source of revenue for most news content, a paid model can serve as an important source of additional revenue. In addition, a successful paid content model can enhance advertising opportunities, rather than replace them.”

It confirms a Google’s vision for “a premium content ecosystem includes the following features:

· Single sign-on capability for users to access content and manage subscriptions

· Ability for publishers to combine subscriptions from different titles together for one price

· Ability for publishers to create multiple payment options and easily include/exclude content behind a paywall

· Multiple tiers of access to search including 1) snippets only with “subscription” label, 2) access to preview pages and 3) “first click free” access

· Advertising systems that offer highly relevant ads for users, such as interest-based advertising

The payment system, which is described as being in production, would help and confirm News International’s plans to charge for access to it’s content online within the next 12 months. Or at least it gives us a clue of how paywalls might work.

Currently most news outlets only make money online from advertising, while print makes it from both from sales and advertising. The exceptions here being titles such as The FT, The Wall Street Journal, as well as other online subscription based outlets. The industry is starting to see how valuable it could be to have committed subscribers accessing their content.

Publishers meanwhile are starting to stand firm against Google’s News aggregator.  In Italy, the Italian association of daily newspaper and periodical publishers, claim “members news sites receive no compensation for the news picked up by Google News Italia and if they do not appear on a Google search they are denied access to thousands of potential ‘visitors’ who generate advertising income.  ”Google argues that it helps newspaper websites make money through online advertising and does not misappropriate content.”

With its Google Books operation and details of it’s plans for a micro payment system using Checkout, one has to assume that Google is looking to safeguard its position and transform the news, media and publishing industries just like Jobs changed the landscape for music.  After all, “Google’s mission is to organize the world’s information and make it universally accessible and useful.  This applies to all information – paid and free.”

And Google is planning to replicate the model that Apple develop with it’s possible initiative with news, and possibly Book. Hidden in the document Google confirms that a revenue split would be comparable to “Apple’s models on iTunes and AppStore and consonant with experiments being currently conducted on YouTube.”

The question is, with rumours of an Apple Tablet, could Jobs undermine what Google might be planning?

Apple has done it before and it has the infrastructure to do it again and be the knight in shining armour for a beleaguered set of industries.

The media landscape is changing, and it’s changing fast.

Changing and charging times for news

Thursday, September 3rd, 2009

No more news?  I think not!

No more news?

The MacTaggart Lecture took place last week with News Corporation’s James Murdoch deciding at long last to take the stand at the MediaGuardian Edinburgh International TV Festival. Murdoch wasted no time in setting his stall out to get support as he painted a grim picture of the state of the UK’s media industry. Pointing the finger at the BBC, Murdoch described the corporation as a villain that had a “chilling” hold on the UK media landscape.

Given that we are in a recession Auntie was always going to be an easy target for the man from Sky. Murdoch though did have an audience.

After all, for quite a number of years we have been told that the news industry is dying a slow death. Print media – national, local and magazines – was passing away. Broadcast news is on the way out. Even subscription-based online news sites were in A&E. All very terminal. And all before one of the worst recessions in living memory, which has this year pushed advertising income down in many newspaper groups by between 20 and 30 per cent.

We are told that we, the consumers, are guilty of killing the industry by wanting our news for free. So whose fault is it that leading papers like The Observer are considering ceasing all together?

The fact is that since media executives decided to chase online advertising revenue stream at the beginning of the decade circulation of print newspapers and magazines have been dropping. As Alan Mutter points out in his blog, publishers couldn’t “figure out how to charge for content without throttling their web traffic and the online advertising that comes along with it.” What execs did was undermine their own industry by offering the goods for free, on a different platform maybe, but still without charge. Thus conditioning consumers to expect news on the house. Interesting strategy.

The Wall Street Journal though stepped out early on and offered access to its content online through a subscription service. They were one of the first to implement this strategy and in 2007 found itself with a daily circulation of more than 2 million, with approximately 931,000 paying online subscribers. While the Journal might be seen as a niche title with a focus on business and finance it certainly is a healthy position to be in, bucking the worldwide downward trend in income and circulation.

Meanwhile the UK-owned Financial Times is a title that has used a subscription-based strategy to its advantage. It decided to reduce the amount of free content available online and started to charge for access to the Lex column, FT Alphaville and others. FT.com now has 117,000 individual subscribers and makes it’s content available on a range of platforms including the US Kindle, as well as a new iPhone app, which was released to rave reviews. The app does what it’s designed to do – give users a taste of the quality journalism that the FT is renowned for through access to free content. But it also tempts users to subscribe to the FT so that they can make the most of the app.

Earlier this year Rupert Murdoch signalled that his news organisations would start charging for access to content online. This after News Corporation announced a 97 per cent slump across its newspaper titles. The rest of the industry took a deep breath, as the unspoken had at long last been made public.

Advertising-reliant media has been hit hard, leaving the industry to rethink its business and wonder how it is going to survive in the recession. The fact is that it can no longer rely on advertising revenue alone from its print and online platforms. With advertising budgets slashed, the news and media industries must find income from the people on the street. That means charging them for content.

Like the FT, The Times already offers a subscription service to readers. I subscribe to both, which is why I wonder if we will see The Times follow the FT’s model of offering limited free content online and in depth to subscribers or pay as you read customers.

Print itself might become a pointer to a fuller online package where news packages can be developed by taste and interest. Pay 90 pence and get part of the story. Subscribe and you get the full picture, together with the background briefings and extra content – video, podcasts, reviews, etc.

And what about magazines, I hear you ask? Well, yes, some titles have been bucking the downward trend, but overall sales are down. The proposition will need to be rethought and subscription services will be brought in.

Publishers like News Corporation have been backing the Kindle as a portable aggregator of news. And it makes sense. What also makes sense is the news of News Corporation meeting with other major publishers to discuss the setting of a consortium that would charge for news online.

Some people have come out and very publically stated that charging for news online won’t work. People expect it for free and won’t part with their cash. I think people will pay, but they will have to believe that they are getting value. In fact people already pay. The Times and The Financial Times already offer and heavily promote subscription based services to their print titles. The FT itself gives access to their content online to those who subscribe to the print edition of the FT. So, could a subscription service similar to this work? I think so. While I myself am a subscriber to both of these titles, as well as plenty of other magazines, I feel that subscription based wall offers exclusivity and value. Of course publishers will have to make sure that what is offered is exclusive, something that differentiates them from their competitors.

Not just that, but if your daily and monthly subscriptions were updated to a Kindle, Apple Tables or other eReader device, say at night when traditionally they went to press, then you knew that you were getting your titles within minutes of the copy being finished.

What you need is an ‘iTunes-style’ store through which you can get access and pay for a wide range of titles from around the world. A store through which you can get your UK titles as well as international titles that tick your interest box, so if you’re into fashion your GQ and Vogue from France, Italy, Japan and the US. And if it’s music, then Spin, Rolling Stone from the US, as well as UK’s NME. All downloaded to your device and updates sent via Wi-Fi wherever you are.

Of course social media will have a game to play in a new media landscape.  Titles are already publishing stories on Twitter, sending updates of breaking news stories as well sharing thoughts and knowledges and subjects they cover.  Social media is drawing people in to titles and for PRs enabling another tool to listen and follow journalists on their beat.

And ramping up subscriptions when advertising is down can only be a good thing for an industry that as tradition relied on advertising income.

You know, it might just make sense.

And as for the BBC? Well, news outlets need a standard to measure themselves against and the BBC is that standard for news quality. Criticising the BBC in my opinion is highlighting the weaknesses in your offering.

Getting ready for China

Monday, March 23rd, 2009

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The Government recently unveiled an advertising and communications campaign to promote the export opportunities that exist to British industry.  Some might consider the timing to be odd given that the nation is in the middle of the worst recession in living memory.  But a recent UK Trade and Investment (UKTI) conference in London at the beginning of the month proved otherwise.

At UKTI’s ‘Digital Business: India and China’ two day conference which I worked on (Reuters TV news above) small and medium sized technology and communications companies came together to share knowledge on the opportunities that lay in two countries that are bucking the downward global economic trend.

Companies from Britain’s digital, technology, mobile and gaming sectors agreed that while growth in the UK was hard, business opportunities in these two countries gave them hope for the future.

During the second day, which was devoted to China, representatives from China’s Ministry of Industry and Information Technology gave an insight into the help that was available to UK companies thinking of investing in China, a country that is looking to move its economy towards value-adding products and services.

Welcoming The World To Britain

Welcoming The World To Britain

We’ve seen UKTI’s ‘Take It To The World’ campaign message on billboards at stations up and down the country.  And companies like Playfish.com are an example of how Britain can take gaming to the world.

But what has this got to do with PR and communications?  Well, it was wisely pointed out at the conference that China was not just looking to bring expertise to its home country.  Businesses in China are looking to enter the British and European marketplace, thus increasing the need for services such as PR, advertising and the like for them.

And let’s be honest, Britain has usually been concerned about China and it’s new financial muscle.  But with the UK PR industry suffering in the current recession the opportunities that might exist from Chinese companies wishing to expand into Europe might help.

Some of the big agencies, such as Burson-Marsteller already serve and support Chinese companies, such as  online business-to-business trading company Alibaba.com, which last week announced a 39 per cent increase in revenue to over £300 million.

Agencies are getting ready for business from merging markets.  Maybe Brazil will be next.  Not a bad place for a business trip me thinks!

about me

Hello. I'm Julio Romo, a London-based PR, communications and social media consultant. I am also a freelance journalist and advise clients across a range of sectors how to get their message across through traditional and digital media channels. 

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