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The Future of Media Groups:
 Some Notes on Revenues

                        (part 4 of 4)
Which Platform is Best for Revenues?


Some media companies have been trying to include users as
content generators and hence they benefit from a better
brand image and diversified revenues.

The following two slides present two different visions of
approaching long term income generation.

From my experience, media managers will use them as the
basis for a much longer discussion
Which Platform is Best for Revenues: This One?
              Current and potential
             Support of Revenues
              competitors
                     Other contributors


                    Other contributors

                      Other
                       Other
                   contributors
                    contributors
                        Own
                        News


                         Wired
                          Wire
                        services
                        services
…Or This One?
                                                                                                              Advertising network
                                                                     Partnerships
                                    Classifieds

                                                                                         Training

                      Etc…                        Bloggers,
                                                           Other contributors



                                                                                                        E.Comm
                                                                                   Local
                         Active Citizens                                           Contributors
                                                                                                        physical
         Database
         activities                               Other contributors

                                                                                          External sites
                      Citizens                            Other contributors                                    E.Comm
                                                      Own                                                        virtual
       Events:
                                                      News
     Sport, other

                        Et cetera                                                       Data bases
                                                   Wire services                                            Niche
                                                                                                           verticals

              Fairs
                                    Links                            Crowdsourcing
                                                                                              Members
                        Market                                                                  hips
                        analysis
                                             Coupons                            Local
                                                                                deals
                                            Rest, life…

                                            www.fernandosamaniego.com
Other Questions About your Company

 On Revenues

 What is the % of revenues coming from digital?
 What is the % of analog revenues lost you intend to recover with digital
  during next 3 years?
 What is the % of digital revenues not
  coming from static formats?
 Do you have self service advertising?
 Do you have specialized sales force?
  (al least for some projects)
 Formats in which you serve ads?



                                              I.A.B., Internet Ad Revenues by Format 2009 v (2007)
Be Ready for this Scenario
                  OTRO
                  EJEMPLO
Fish Where Consumers are
           Marketers Interest in Two-way Media for 2010




Booze & Company, Marketing & Media Ecosystem, 2010
“An Emerging Agenda for Digital Leadership”




Booze & Company, Marketing & Media Ecosystem, 2010

                                               www.fernandosamaniego.com
When the Going Gets Tough…




        www.fernandosamaniego.com
Revenues from the Local Market: Video, highest ad awareness
       Increased usage                     Greater Effectiveness for Advertisers




Highest impact, yet not bothersome




                                     How do you capture local video?
                                     How many pieces do you get per week?
                                     Interactive features for users?
                                     What % of your traffic comes from it?
Revenues From the Local the Local Market:
                       Revenues From Market


Search                Search technology: indispensable to manage the ever increasing
                         amount of database driven content. Improves answer relevancy

 Advertising: to benefit from contextual ads by linking content with advertising
Also:
 Merchandising: by connecting buyers’ needs and desires with products, with fewest
  possible clicks. Tools that allow up-selling and cross-selling in contextual and
  personalized way
 Content: to create specials, to update previous content, for classification clustering…etc.
  For a Media group: it facilitates content creation and increases advertising inventory
  (web pages) at no cost.
 Personalizing: finding the known as well as the unknown (related content and products)
 Search also:
    -Improves answer relevancy in classifieds
    -Gives unity and sense to a series of disparate data sources
    -Allows for more relevant business and consumer connections

                                  www.fernandosamaniego.com
Revenues From the Local Market

 Contextual Advertising

 The importance of search transcends Google.
 Contextual advertising places ads very exactly on websites, &
  mobiles. That’s why it’s called “precision marketing”
 Served at the time and place chosen by agency: premium charged
 When well done, ads can be as useful as content for the user
 It can be used with traditional ads (e.g. banners), text, video
 Advertising moving to performance formulas: traffic becoming
  more important (higher click through volumes)



                            Can you do it now?
Revenues From the Local Market

 E-Mail Marketing

Based in discriminated customer lists to email content, alerts,
offers…often with targeted ads
 Business clients need it to generate repeat business (existing customers and
   new ones)
 Be reassured: businesses benefit from being linked to a reliable local
   brand, opt-in pool of consumers (i.e. giving consent), higher expertise and
   lower costs

If possible, wrapped in your own brand, but with material created/managed
by local experts. Also, video email mktg.


The Local Media Player relies on advertisers, consumers and
      commercial expertise to satisfy a real local need
                        www.fernandosamaniego.com
Revenues From the Local Market

Promotions
 Businesses need short-term increases of sales
 Advertisers moving budgets to lead generation
 Coupons, discounts (in price, free shipping or extra merchandise) & rebates
  (mainly for services, since no sale today = lost sale), samplings, sweepstakes,
  games…etc, address the consumer directly. They can complement other mktg
  actions.
 Medium local businesses do not have the infrastructure/expertise. Often
  excluded from P.O.S. actions because of size.
 A new gym, a restaurant under new management, a business selling out stock,
  communicating a new location…are examples of local life
 A local media player is in a position to satisfy those needs with creativity
Contextual and Opportunistic E-commerce


Not to be discarded!
Some papers acknowledge good profit from it
fs@fernandosamaniego.com   +1 787 309 2927

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Part 4 Future of Media

  • 1. The Future of Media Groups: Some Notes on Revenues (part 4 of 4)
  • 2. Which Platform is Best for Revenues? Some media companies have been trying to include users as content generators and hence they benefit from a better brand image and diversified revenues. The following two slides present two different visions of approaching long term income generation. From my experience, media managers will use them as the basis for a much longer discussion
  • 3. Which Platform is Best for Revenues: This One? Current and potential Support of Revenues competitors Other contributors Other contributors Other Other contributors contributors Own News Wired Wire services services
  • 4. …Or This One? Advertising network Partnerships Classifieds Training Etc… Bloggers, Other contributors E.Comm Local Active Citizens Contributors physical Database activities Other contributors External sites Citizens Other contributors E.Comm Own virtual Events: News Sport, other Et cetera Data bases Wire services Niche verticals Fairs Links Crowdsourcing Members Market hips analysis Coupons Local deals Rest, life… www.fernandosamaniego.com
  • 5. Other Questions About your Company On Revenues  What is the % of revenues coming from digital?  What is the % of analog revenues lost you intend to recover with digital during next 3 years?  What is the % of digital revenues not coming from static formats?  Do you have self service advertising?  Do you have specialized sales force? (al least for some projects)  Formats in which you serve ads? I.A.B., Internet Ad Revenues by Format 2009 v (2007)
  • 6. Be Ready for this Scenario OTRO EJEMPLO
  • 7. Fish Where Consumers are Marketers Interest in Two-way Media for 2010 Booze & Company, Marketing & Media Ecosystem, 2010
  • 8. “An Emerging Agenda for Digital Leadership” Booze & Company, Marketing & Media Ecosystem, 2010 www.fernandosamaniego.com
  • 9. When the Going Gets Tough… www.fernandosamaniego.com
  • 10. Revenues from the Local Market: Video, highest ad awareness Increased usage Greater Effectiveness for Advertisers Highest impact, yet not bothersome How do you capture local video? How many pieces do you get per week? Interactive features for users? What % of your traffic comes from it?
  • 11. Revenues From the Local the Local Market: Revenues From Market Search  Search technology: indispensable to manage the ever increasing amount of database driven content. Improves answer relevancy  Advertising: to benefit from contextual ads by linking content with advertising Also:  Merchandising: by connecting buyers’ needs and desires with products, with fewest possible clicks. Tools that allow up-selling and cross-selling in contextual and personalized way  Content: to create specials, to update previous content, for classification clustering…etc. For a Media group: it facilitates content creation and increases advertising inventory (web pages) at no cost.  Personalizing: finding the known as well as the unknown (related content and products)  Search also: -Improves answer relevancy in classifieds -Gives unity and sense to a series of disparate data sources -Allows for more relevant business and consumer connections www.fernandosamaniego.com
  • 12. Revenues From the Local Market Contextual Advertising  The importance of search transcends Google.  Contextual advertising places ads very exactly on websites, & mobiles. That’s why it’s called “precision marketing”  Served at the time and place chosen by agency: premium charged  When well done, ads can be as useful as content for the user  It can be used with traditional ads (e.g. banners), text, video  Advertising moving to performance formulas: traffic becoming more important (higher click through volumes) Can you do it now?
  • 13. Revenues From the Local Market E-Mail Marketing Based in discriminated customer lists to email content, alerts, offers…often with targeted ads  Business clients need it to generate repeat business (existing customers and new ones)  Be reassured: businesses benefit from being linked to a reliable local brand, opt-in pool of consumers (i.e. giving consent), higher expertise and lower costs If possible, wrapped in your own brand, but with material created/managed by local experts. Also, video email mktg. The Local Media Player relies on advertisers, consumers and commercial expertise to satisfy a real local need www.fernandosamaniego.com
  • 14. Revenues From the Local Market Promotions  Businesses need short-term increases of sales  Advertisers moving budgets to lead generation  Coupons, discounts (in price, free shipping or extra merchandise) & rebates (mainly for services, since no sale today = lost sale), samplings, sweepstakes, games…etc, address the consumer directly. They can complement other mktg actions.  Medium local businesses do not have the infrastructure/expertise. Often excluded from P.O.S. actions because of size.  A new gym, a restaurant under new management, a business selling out stock, communicating a new location…are examples of local life  A local media player is in a position to satisfy those needs with creativity
  • 15. Contextual and Opportunistic E-commerce Not to be discarded! Some papers acknowledge good profit from it
  • 16. fs@fernandosamaniego.com +1 787 309 2927