Monthly Archives: July 2009

Maybe the problem for New York Daily News is in the pictures

NY_DN0619-thumbAt least, that’s what Mort Zuckerman, chairman of Boston Properties Inc. and publisher of the Daily News, is thinking.

In an unusual step towards saving print media, Mark Zuckerman, chairman of Boston Properties Inc., said he intends to use cash he is raising from the sale of his own company stock to invest in printing presses for the New York Daily News. Using the 50.8 million dollars he plans to raise by selling 1 million shares, Zuckerman said he is hoping to print color pictures throughout the tabloid in an effort to draw advertisers and increase readership, revamping the country’s fifth-most widely circulated paper:

Wait till you see the way this paper is going to look four or five months from now. We are going to once again be able to be the picture newspaper in a way that nobody could have imagined.

While many newspapers are looking to entice online advertisers and generate revenue through customized advertising and ad configurations, Zuckerman’s efforts to increase the paper’s revenue through its print edition seems almost like an outdated vision. Even in color, newspaper ads can’t track a consumer’s shopping history and flash eerily personalized images in the styles section.

AnnArbor.com experiences technical difficulties in first week

Ann ArborWhen AnnArbor.com replaced Ann Arbor News as the Michigan town’s news source, the Web site offered readers a new way to view their news: visitors to the free site can submit comments and vote on articles, propelling them higher on the page and increasing their visibility in a blog-like responsive forum.

But the interactive Web site has experienced technological problems in the first week after its launch. On Thursday, the site announced it had resumed regular posting after a server problem suspended news updates from 2:30 am to 10 am, and on Wednesday, the site apologized for broken and mislabeled links. Staff members posting updates on the issues referred to them as “growing pains” and “hiccups,” but they promised readers they would improve:

We know that’s not acceptable. We’re now working as hard as possible to make sure it doesn’t happen again.

But as other newspapers look to AnnArbor.com to assess online-only news coverage, the recent problems could provide a deterrence if technology proves untrustworthy. Or newspapers could harness the Internet and adapt to new media so they can deliver the news to their frustrated, tech-savvy readers.

Washington Post Co. reports second-quarter profit

More than a week after other major newspaper companies announced second-quarter earnings, The Washington Post Co. reported Friday morning that they, too, had managed to turn a profit. The New York Times Co., McClatchy, Gannett and Media General all posted second quarter gains last week, sparking optimism among an industry mired in debt and suffering from decreased ad revenue.

But the Post, unlike the other companies, has not increased their profit at the expense of staff cuts — instead, the company has been buoyed by their other business investments, including Newsweek Magazine and Kaplan education services, which has recorded a 13 percent revenue increase.

Unless the Post puts their web content behind a pay wall, these confident students should easily be able to read online news when the paper disappears.

Daily Gazette will charge for online content

Schenectady’s Daily Gazette announced on Tuesday they will begin charging for web content starting Aug. 3. As many larger daily newspapers toy with the idea of putting their content behind a pay wall — sources close to The New York Times confirmed last week they planned to charge readers for web access, and The Washington Post has indicated they intend to follow a similar path — the Gazette’s decision will allow papers distributed in larger cities to assess the effects of limited web access.

The Gazette’s editor, Judy Patrick, said the editorial and business staff were at odds in the past over charging readers for content, with reporters wanting their stories readily available, and business staff looking to make a profit from online articles. But she said decreased ad revenue and a downward trend in newspaper readership has made reporters more receptive to the idea of putting their content behind a pay wall if it means they will remain on staff. In the editor’s blog, Patrick writes:

We’re proud of our Web site, which reflects what we are: a small, family-owned newspaper serving the Capital Region. With that in mind, we’ve decided to change the structure of our Web site in a way that offers more information to the people who pay for our paper — our subscribers — but less information to those people who do not.

But as of Thursday night, the New York community has not embraced the decision to limit access to articles and prevent non-paying readers from posting comments: the paper is conducting an online poll asking readers if newspapers should charge for online content that shows only 10 percent supports the idea.

And given that only 168 people have participated in the poll as of Thursday night, subscriptions for interactive content don’t look promising.

Bucking trend, some international newspapers post increasing readership

The Star Tribune is slated to emerge from bankruptcy as soon as September after a US bankruptcy judge cleared the way for creditors to vote on the news organization’s restructuring plan. And though news organizations like the Star Tribune in the US and the Daily Mail in the UK are suffering from financial strain and declining readership, some international newspapers industries seem to be defying this downward trend.

A recent study conducted in Australia reported newspaper readership is increasing despite declining ad revenue. According to the Australian study, no newspapers in the country have closed in the past year, and the number of regional daily papers has held steady. The three major papers have increased sales by 0.2 percent, which, though minor, still represents a positive break from weakening markets.

Newspaper readership in the Philippines is also increasing in the more affluent sectors of the population, according to recent analysis by Synovate, a global market research company. Steve Garton, global executive director of media at the research company, attributed the increase to a push by the newspaper companies to distribute their papers to offices, increasing readership among the higher socio-economic classes. The educated, economically secure sector should give advertisers incentive to place their products in a financially favorable location, he said.

Garton also offered this optimistic declaration:

It’s time to debunk the myth that newspapers are dying [here]. They are not.

This is a sharp contrast to the oft-pessimistic take by media moguls in the US.

Wired Magazine’s editor-in-chief Chris Anderson said in an interview on Tuesday, “Newspapers are not important. It may be that their physical, printed form no longer works,” and last month, Rupert Murdoch told Neil Cuvato of Fox News this:

I can see the day — and it may be 20 years away — where you don’t actually have paper and ink and printing presses.

Maybe the more positive international trend is a product of persistence and confidence. Or maybe their Internet connections are just slower than ours.

Another one bites the dust: Independent Voice ceases print edition

Another town is losing its local newspaper, as Tipp City’s Independent Voice becomes the latest to fold. The Ohio weekly is just another victim of the economic slump and decreasing ad revenue, though the publisher also cited organizations in town that encouraged out of town businesses and “past employee drug problems” for the paper’s demise, according to the Dayton Daily News.

The town’s residents are not only losing their newspaper, but are also losing the self-described “best source for local news around.” And though the paper was completely independent and never part of a news conglomeration, its disappearance again proved the news is never free from economic stress.

The newspaper’s permanent staff of two intends to update their Web site “as best they can,” the publisher said, but that all depends on whether they stay in Tipp City and stay away from illegal forms of chemically addicting mood modifiers. Although maybe if the town is promoting non-local businesses, it could also support a non-local paper with non-local advertisements, making the paper truly independent from the community it was intended to serve.

New media adaptation: could celebrity columnists save newspapers?

According to the Associated Press, Madonna has written an article for the front page of Yediot Ahronot, Israel’s most prominent daily newspaper. A portion of her column appeared in today’s print edition, with the full version to be published on Friday.

Madonna is only the latest celebrity to pen a column for a major newspaper — Bono has written op-ed columns for the New York Times about Frank Sinatra and Obama’s visit to Ghana earlier this summer, and Quincy Jones recently wrote an article about Michael Jackson in the Chicago Tribune. Sean Penn wrote an article about meeting Hugo Chavez and Fidel Castro for The Nation in 2008 and an article about traveling in Iran for the San Francisco Chronicle in 2005.
Celebrity columnists could revive newspaper sales by providing a recognizable byline on the front pages. But when professional journalists are losing their jobs to cutbacks, celebrities should stick to Twitter. Or newspapers could adapt to new media journalism, give up, and just become blogs.

Evening newspaper to launch in Toronto

A daily evening newspaper will launch in Toronto on Sept. 8, according to Media in Canada. The publication, a rare venture for an industry in decline, will be called t.o.night and will be distributed at public transit stations between 3:30 and 6:30 in the evening to provide subway riders with a print version of the news during their commute. Managing director John Cameron said most of the content will be taken from Canadian Press and local blogs, eliminating the need for a large editorial staff:

Because the majority of our news is provided by the newswires, we don’t have to have that staff that newspapers have. And so it allows us to be a much more lean operation and to be frank that’s what you have to be these days.

He added:

Transit riders can hold it in one hand. They can hold the subway pole and read it at the same time…For advertisers they love it too because their ads just pop.

The Toronto Star tried a similar project in September 2006, but their evening edition, called Star P.M. was a downloadable e-mail.

Not only will Toronto commuters be able to read the magazine-style newspaper without juggling a laptop, but Cameron said the paper will be distributed in a traditional fashion: paper boys and girls, dressed in poorboy caps and white oxford shirts, will distribute some copies of the newspaper.

Rumor has it the publisher has also placed an online advertisement seeking a movable type printing press and fountain pens.

Nielsen Online data shows many newspaper sites post increase in readership

Despite decreasing newspaper readership, many newspaper Web sites are showing an increase in the number of unique visitors, according to the most recent data from Nielsen Online. The trend seems to buck advertisers’ growing impression that news sites are no longer profitable ventures, with 18 of the 30 most popular sites generating noticeable increases. Though readership was down for NYTimes.com, The Boston Globe, The Atlanta Journal-Constitution and the New York Post, LA Times saw a 66 percent increase, and SFGate, the online site for the San Francisco Chronicle, posted an increase of 19 percent.

SFGate’s VP for Digital Media told BayNewser she attributes the increase to a homepage redesign and the site’s decision to feature links to other news sites and blogs like TMZ.com:

We see it as providing a service to our readers…They can depend on us instead of having to go to multiple sources for what is going on in the Bay Area.

But AP’s proposed licensing agreement for link use may hurt this upward trend, leaving news sites scrambling to generate readership and convince advertisers they are worthy investments. Or they could launch pay walls and hope subscriptions from readers compensate for decreased ad revenue as their readers go to the other sites they wanted to visit in the first place.

The disappearing paper: why government support won’t save news

In the late 1800s, Oscar Wilde wrote this in The Soul of Man:

In old days men had the rack. Now they have the press. That is an improvement certainly. But still it is very bad, and wrong, and demoralizing. Somebody — was it Burke? — called journalism the fourth estate. That was true at the time no doubt. But at the present moment it is the only estate. It has eaten up the other three. The Lords Temporal say nothing, the Lords Spiritual have nothing to say, and the House of Commons has nothing to say and says it. We are dominated by Journalism.

At the turn of the 20th century, journalism was likened to a torture device, a dark fortress that overshadowed the highest governing bodies. But a recent survey conducted by the Pew Center for Research found 42 percent of Americans said they wouldn’t miss their community newspapers, a good thing considering more than 100 newspapers have stopped printing this year alone.

Even congress is concerned — in March, they issued a report titled “The Newspaper Industry in Transition,” a detailed set of proposals generated to save the industry. And today, only 23 states have papers covering Congress — less than half the states in the country — opening a chasm in government analysis and leaving too much room for corruption and political deceit. If the press is the main watchdog agency in government regulation, then the extinction of the fourth estate will allow for unbalanced, unchecked political administration. In this case, the disappearance of newspapers is a matter of public policy.

But a government bailout will not solve the problem. Tax cuts, allowing print to transition to non-profit status, relaxing anti-trust laws, increasing government funding — all proposals in the report — might save the industry financially, much as government assistance temporarily quelled the bank crisis, but ultimately, will do nothing to restore journalistic prominence. A government bailout will lead to a press beholden to the very establishment they are supposed to regulate.

Would journalists feel compelled to ignore their gut political instincts if the only reason they were still employed was because the politician they were investigating had rescued their industry? Would the reporter from The State have ignored her “hunch,” and decided against going to Hartsfield-Jackson Atlanta International Airport to corner Governor Mark Sanford as he exited a plane from Argentina if Washington was responsible for the upkeep of her newsroom?

As a watchdog agency, the newspaper industry can only save itself. Or they can accept government support and become another stalemated political branch. At least frustrated editors will still be able to threaten their reporters with rolled-up newspapers as they become submissive puppies beholden to their new government masters.

Washington Post shows signs they will charge for online content

Howard Kurtz, Washington Post staff writer and columnist, answered questions today from readers as part of the Post’s live discussion session. Amidst questions about TV news anchors, Sarah Palin and media coverage of President Obama’s relationship with Professor Gates, he answered a question about a new business model for journalism:

…I hope we in the newspaper biz find a way to accept some payment from people who appreciate that serious journalism costs money and are willing to contribute their share.

And last Monday in a live discussion, the Post’s managing editors answered a similar question:

We, like most other newspapers, would love to figure out a simple way to charge for content online that doesn’t hurt our web traffic. A significant majority of our online readers come through a specific search for a specific article and are from all over the US and the world. With current technologies and availability of information on multiple free sites, we believe it would be difficult to start charging. But we do hope we can figure out a way to get paid for our content online, as we do in print. Stay tuned.

When the Post will initiate a pay wall is still uncertain, but rumor has it drastic cutbacks have freed up funding to unite Woodward and Bernstein for the investigation.

AP versus the Internet: why link access makes sense

As many newspapers announce they are considering charging for web content, putting their sites behind pay walls to compensate for decreased ad revenue, the AP’s proposal to require access agreements with news aggregators and big mirror sites may not be as detrimental to fair use standards as some are suggesting.

According to an article on Huffington Post, the AP ‘would rather destroy the link economy,’ rather than adapt to the digital age, to both the detriment of the news industry and themselves. The article then advocates replacing the AP:

The reason to replace the AP is because…it is hopelessly, mortally outmoded for the digital age and its ownership structure — I blame its board of newspaper owners more than I blame its management — won’t let it be transformed for our new reality…The AP’s primary job is to distribute content. In a content economy, that worked well. In the link economy, what the AP does is a disservice to content because it cuts the links to the source by rewriting news.

If news organizations that subscribe to the AP wire service require their own readers to pay for AP’s content, AP should also benefit. And as newspapers continue to make staff cuts in order to boost their own profits, their only hope in widespread global news coverage becomes AP reporters, anyway.

USA Today to launch ‘e-Edition’

USA Today announced they will launch an online ‘e-Edition,’ an exact digital replication of their print edition, to subscribers starting Aug. 3. The digital editions will be available for a $99 yearly fee, but are free for subscribers to the print edition. And just like a real newspaper, the e-Edition will be delivered to e-Driveways by 5:30 am every morning. USA Today declined to comment on the development of their new e-Dogs.

Why newspapers will disappear

Last week, major newspaper companies posted second-quarter profits, providing an inkling of hope that the industry has not flat lined yet. The New York Times Company, McClatchy, Media General and Gannett, which combined own more than 150 daily newspapers across the country, recorded market gains despite decreasing ad revenue as a result of staff reductions and other aggressive cost-cutting measures. Headlines declared a minor victory for print, emblazoned by these four companies.

But that’s the problem. An industry whose well-being hinges on the value of a few major companies cannot survive. Conglomeration has turned newspapers into homogenized posters for uninspired stories, and reporters are afraid to investigate when an expose could cost them their jobs. In March, The Huffington Post launched an investigative journalism fund, because, as this article notes:

Huffington said she and the donors were concerned that layoffs at newspapers were hurting investigative journalism at a time the nation’s institutions need to be watched closely. She hopes to draw from the ranks of laid-off journalists for the venture.

As long as journalists fear losing their positions on any of the newspapers owned by a few giants, newspapers will not survive.

And as new media strains the newspaper industry with immediate headlines and constantly changing articles, newspapers no longer hold the same import. In the morning, the front page boldly declares what happened yesterday, while the computer screen glows with what’s happening now. Newsprint is the town crier, dressed elaborately and trying desperately to communicate an established royal proclamation to the streets, blindly ignoring the more interesting and communally divisive brawl behind him.

Even if the reporting is flimsy, even if anyone can blog and write articles, at least new media journalists are not afraid to write controversial stories. Perhaps because the Internet is so vast, so unconstrained, new media has not yet fallen victim to the same conglomeration, safe in the tangled web of cyber-journalism. Newspapers cannot compete with real free press.

How to get the scoop: look to Britain

Though Fleet Street has lost much of its visible luster with the departure of its last international news agency today, the newspaper industry in Britain still maintains what the United States organizations are losing to the blogosphere: the ability to get the scoop. A New York Times article heralds the ‘freewheeling past’ of British journalists, their willingness to use any means necessary to report, even if their judgment errs slightly to the left of the law. The article says this:

While Fleet Street is as hypercompetitive as ever, its relationship with blogs is more symbiotic than the parallel connection in the United States, where bloggers portray the “mainstream media” as the enemy or, worse, an irrelevance…For now, British editors remain willing to work the gray areas. The result may not always be pretty, but it helps explain why they are hanging on to the scoops.

Bloggers in the US are following the British journalistic tradition, often disregarding journalism ethics and letting stories pan out without stringent fact checking and rigid regard for the absolute truth.

But the American news media may be catching on. In June, an article by Brian Stelter in the New York Times reported that mainstream news organizations were responding to the blogosphere’s coverage of the Iranian protests, choosing to “check the source” later, and using unconfirmed video clips and soundbites before they were confirmed.

Journalism ethics may dictate otherwise, but this quick dissemination of news, this sharing of information based on a reporter’s hunch, could revive newspapers. And when traditional journalism is becoming extinct anyway, maybe reporters don’t need a third confirmation to run a story. Maybe they don’t even need one.