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Digital publishing from Econsultancy

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Digital publishing business models - a taster of Econsultancy's Digital Publishing MSc from Craig Hanna and Tim Tucker

Digital publishing business models - a taster of Econsultancy's Digital Publishing MSc from Craig Hanna and Tim Tucker

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  • People won’t pay for what they can get free elsewhere Maybe some legacy brand equity or habits for some audiences, but these will diminish over time
  • More devices disrupt print. There may be some opportunities too.
  • The volume of online content will grow, making it harder to stand out in the market Brands are becoming publishers in order to get found in search, engage in social and fulfil consumer needs for information. They can offer this information free at the point of use because they are selling something else of high value at the back of this customer interaction. This is going to be a major challenge to publishing businesses over the next few years (apart from those engaged by they brands to help which is a businesses model in itself, just look at the growing success of the APA’s members).
  • Display advertising worth 20% of overall advertising market in 2009. 60% of online advertising market is search advertising. £2,148m was spent on search in 2009. 84% percent of the entire internet population doesn’t click on display ads, an increase from 68% in July 2007. [Source: comScore, October 2009] Facebook now accounts for 20% of all online display ads in the U.K. (12.5 billion) reaching an audience of more than 30 million exposed unique visitors. [Source: comScore, December 2009].
  • Not at all. It simply means that to be commercially viable publishers need to end reliance on outdated models for doing business and look at other ways to generate revenues.
  • Publishers are not managing to monetise these revenue areas well Listings and directories that aren’t social optimised Running partner adnetworks (adify) User generated content to produce page volume Thinking about content from a sponsors perspective
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Focus on offsite as onsite (comments, forums etc.) better known
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Future of SEO is PR Web 2.0 This year = Atomisation
  • Building
  • Transcript

    • 1. Digital Publishing Business Models Specialist Media Show, May 2010 May 27, 2010 Craig Hanna & Tim Tucker
    • 2. About Econsultancy
      • Specialist publisher for the digital marketing, digital publishing and ecommerce sector
      • 30% + average YOY growth for the last 4 years
      • 2010 YTD = 70% YOY growth
      • 35+ full time staff
      • Offices in London and New York
      • £1m+ EBITDA 2010
      | Mar 2010 |
    • 3.
      • ‘ To become THE indispensible resource for any digital marketing/publishing/ecommerce professional looking to have a successful career globally’
      | Mar 2010 |
    • 4. Question: How do publishers make money online? May 27, 2010 |
    • 5. Answer: It’s complicated May 27, 2010 |
    • 6. Content in a world of ‘free’ May 27, 2010 |
    • 7. New publishing devices May 27, 2010 |
    • 8. Content growth May 27, 2010 |
    • 9. Online display advertising will not replace print revenues May 27, 2010 |
    • 10. So is this the death of print media? May 27, 2010 |
    • 11. | Mar 2010 | Revenue models 1.0 Ad funded User funded
    • 12. | Mar 2010 | Revenue models 2.0 Ad funded User funded Service funded
    • 13. | Mar 2010 | Advertising funded
      • Display
      • Affiliate
      • PPC
      • Site sponsorship
      • Listings
      • Classified
      • Directories
      • Jobs
      • Email
    • 14. | Mar 2010 | Advertising funded
      • Targeted advertisements on niche websites are likely to receive a 32% better response rate than generic adverts on major sites.
      • This figure increases to an average 42% better response rate amongst 18 to 34 year olds.
      Source: Online Advertising Report 2010, Addvantage Media, March 2010
    • 15. 05/27/10 Online Writing | Innovation in directories?
    • 16. | Mar 2010 | User funded content
      • Subscriptions
      • On demand
      • Pay as you go
      • Micropayments
      • Archive access
    • 17. | Mar 2010 | User funded
      • 71% of global consumers say online content of any kind will have to be considerably better than what is currently free before they will pay for it.
      Source: Changing Models: A Global Perspective on Paying for Online Content, February 2010
    • 18. INNOVATION IN TRAFFIC GENERATION AND ECOMMERCE? 05/27/10 Online Writing |
    • 19. Average Total Value / Visit = 62p |
    • 20. Social Media vs. Other Traffic Sources |
          • April 2009 Social Media = 9.5% of total traffic vs. SEO at 57%
          • April 2010 Social Media = 15.3% vs. SEO at 54%
          • Social Media gnawing away at email, SEO, affiliates, direct…
    • 21. Does social media drive SEO? |
          • Google “sees” social media links like any other, but how “important” does it consider them?
          • Page Saturation in SERPs e.g. Econsultancy Top 10 includes Twitter, Blog, Slideshare, YouTube, Vimeo…
    • 22. Online PR / “reaching out” |
    • 23. BBC Internet Blog |
    • 24. Multilingual Search Community |
    • 25. BazaarVoice Blog |
    • 26. Internetworldstats.com |
    • 27. Facebook |
    • 28. Answering Questions |
    • 29. Yahoo! Answers |
    • 30. LinkedIn Answers |
    • 31. WikiAnswers |
    • 32. Wikipedia |
    • 33. Profiles / ‘Channels’ |
    • 34. YouTube (Vimeo, Veoh, Dailymotion etc) |
    • 35. Twitter |
    • 36. Slideshare |
    • 37. | LinkedIn
    • 38. | 2 June 2009 | CheetahMail Retail Forum 2009 | Measuring Success
    • 39. Generally speaking… |
          • Don’t care about ‘completely accurate’
          • Not even overly obsessed with getting the ‘right’ metrics
          • What we’re after…
            • Useful
            • Insightful
            • Helpful
            • The relative rather than the absolute
            • Actionable
      “ Rather than trying to figure out the 'ROI from social media', you should use social media to help figure out the ROI from other activities”
    • 40. Site Analytics | Social Media vs. SEO - traffic
    • 41. Site Analytics | Social Media vs. SEO - commerce
    • 42. | Mar 2010 | Service funded
      • Data (and metadata) services
      • Ecommerce
      • Premium access (timely)
      • Consultancy
      • Networking
      • Events
      • Training
      • Mobile and location services
      • Gaming
    • 43. | Mar 2010 | Content-centric to customer-centric
      • What does my audience need?
      • How can I create communities around my content?
      • How can I develop value propositions for that community?
    • 44. Econsultancy’s community model |
          • We address 10 Core Needs of
          • Digital Marketing Professionals:
          • Market data, stats, figures
          • Best practice, how-to guides
          • Define strategy, business cases
          • Template files, documentation
          • Innovation, trends
          • Supplier selection
          • Recruiting or looking for a job
          • Build skills, get training
          • Advertise solutions, services
          • Network, meet peers
          • We monetize the community
          • with an integrated portfolio of
          • services
          • Bundled offerings
          • The more services a customer uses, the more valuable they become
    • 45. Become an Agile publisher
      • We are changing constantly
      • Content driven by users and usage
      • Geographical locations driven by opportunity – move fast, create market share
      • New business very proactive – call within an hour!
      • Don’t always go alone
      • Crowdsourcing internally and externally
      • Very little debate – do it cheaply, if it works accelerate
      05/27/10 Online Writing |
    • 46. Thank you
      • E: [email_address]
      • Tw: cragster
      • MSc in digital publishing
      • creating tomorrow’s publishing leaders
      • http://econsultancy.com/training/qualifications/publishing
      | Mar 2010 |