Managing a Transition From
Free to Paid Product
Peter Doucette
Executive Director of Circulation
Sales & Marketing
The Bos...
Session Speakers
Peter Doucette
Executive Director of Circulation, Sales & Marketing
The Boston Globe
Peter Doucette is re...
Session Speakers
Pamela Markey
Director of Marketing & Brand Strategy
MECLABS
Pamela Markey builds strategic partnerships,...
An optimization-based
business model radical redesign
The transition from a free to paid product
An optimization-based
business model radical redesign
The transition from a free to paid product
6
The Adit • The Advance Leader • Penn Hills Progress • Woodland Progress • Albuquerque Tribune • Algonquin Countryside • Ca...
The Adit • The Advance Leader • Penn Hills Progress • Woodland Progress • Albuquerque Tribune • Algonquin Countryside • Ca...
2008-2011

9
10
No pressure…

11
The Opportunity (and Responsibility)
• Significant market for high-quality journalism and relevant
content

• Readers want...
Competing objectives

Boston.com
Online
Traffic

Boston.com
Advertising
Revenue

Existing BG
Print
Subscribers

13

New BG...
Competing objectives

Build a model that funds
our journalism
Boston.com
Online
Traffic

Boston.com
Advertising
Revenue

E...
The Business Model Radical Redesign
1 Establish your ‘WHY’
2 Determine your market opportunity
3 Distill your Value Propos...
The Business Model Radical Redesign
1 Establish your ‘WHY’
2 Determine your market opportunity
3 Distill your Value Propos...
1

17
1

The Boston Globe is the leading daily news source for Greater
Boston, featuring premium content that is delivered where...
1

Knowledgeable

Engaging

(alt.: Smart, Astute)

(alt.: Relevant, Valuable )

We know what’s happening. We know what it ...
1

Positioning components

Character attributes

Essence

DEFINITION: The Boston Globe is the

leading daily news source f...
1

Positioning components

Character attributes

Essence

DEFINITION: Boston.com is the region’s leading

digital destinat...
1

Research: Words that describe BostonGlobe.com
Total
Cancelled
Subs

22
1

People love the visceral

experience of reading a
newspaper…

They love getting
reading experience.

lost in the
40%

1

“I would miss the print edition of my
newspaper if it was no longer available.”

35%
30%
25%

20%
15%
10%
5%

0%
S...
1

25
1

26
1

27
1

28
1

29
1

30
1

31
1

US tablet installed base, 2010-2012
40.6 M
Installed base
% of population

24.0 M
12.8%
9.7 M

7.6%

3.1%
2010

2011

3...
1

We are not just digitizing print… we
are

transforming print.

experience of print
and advantages of technology.
Connec...
1

34
1

35
1

36
1

37
1

38
1

39
The Business Model Radical Redesign
1 Establish your ‘WHY’
2 Determine your market opportunity
3 Distill your Value Propos...
2

Consumer research informed audience strategy
Print-engaged favor a format and
editorial approach that resembles a
newsp...
2

One-site

Two-brands

Features
• All things Boston
• Advertiser-supported

• Robust online communities
• Transaction hu...
2

Decision support modeling
-1.2

• A framework to help organizations make
tough business decisions
• Provides the confid...
2

Lessons from paid
subscription models
2

Subtle “subscriber content” indicators
reinforce exclusivity and value
45
2

Expanding footer ad communicates value in a
noticeable but non-intrusive way
46
2

Prominent free trial placement
Clear commitment anxiety relievers
47
2

All homepage elements page either state
or support the Value Proposition
48
2

Strong Value Focus: Audio test tool allows visitors
to experience the quality difference
49
2

We are not just digitizing print… we
are

transforming print.

experience of print
and advantages of technology.
Connec...
2

Differentiating BostonGlobe.com
The quality and award-winning journalism
of The Boston Globe presented through
new “res...
2

Premium, thoughtful Globe content
on a new platform designed for the
digital reading experience

52
The Business Model Radical Redesign
1 Establish your ‘WHY’
2 Determine your market opportunity
3 Distill your Value Propos...
3

Value Proposition
The primary reason why your ideal prospect should buy from
you rather than your competitors.
1. You a...
3

The Value Proposition Spectrum

55
3

BostonGlobe.com Value Prop Considerations
•

Who are BostonGlobe.com prospects?
•

Home delivery subscribers? Boston.co...
3

The Reality Check
We need a framework to connect
company strategy and internal
objectives with what your customers
actu...
3

Value Proposition: Draft 1
A subscription to BostonGlobe.com is the only way to get
complete access to the full content...
3

Value Proposition Analysis
Appeal

A subscription to
BostonGlobe.com is
the only way to get
complete access to
the full...
3

Value Proposition Analysis
A subscription to BostonGlobe.com is the only way to get
complete access to the full content...
3

Value Proposition Analysis

Appeal

The Boston Globe’s
experts connect you to
the issues that you care
about – local ne...
3

Value Proposition Analysis
The Boston Globe’s experts connect you to the issues that you
care about – local news, polit...
3

What are we missing?
And what additional Value Proposition
distinctions emerge?
3

NOW
64
3

KNOW
65
3

NOW: Boston.com
• Strong preference for breaking news
• ‘Snacking mode’ online/mobile-engaged readers
• Engage content ...
3

KNOW: BostonGlobe.com
• Breaking news of consequence
• Deep links to past coverage, other resources
• Prefer to engage ...
The Business Model Radical Redesign
1 Establish your ‘WHY’
2 Determine your market opportunity
3 Distill your Value Propos...
4

Value Proposition optimization
1. Identify optimal channels for Value
Proposition testing
• Article stubs, highlight ba...
4

Value Proposition optimization
4. Implement tracking of traffic and conversions by channel
and context
• Channel Tracki...
4

Execution: Next steps?
Value Proposition discovery
• Confirm channels

• Determine option for context tracking
• Work o...
4

So what did we come up with?
4

Value Proposition: Control
With BostonGlobe.com, you get:
•

•
•
•
•

•

The FULL story all day: Enjoy the same high-qu...
4

Value Proposition: Optimized
With BostonGlobe.com, you get:
• Complete access to full content from the region’s largest...
4

Control
• Original Value
Proposition copy
4

Treatment 1
• Same layout as control
except for updated Value
Proposition
• Objective: Test the
effectiveness of a stro...
4

Treatment 2
• Value Proposition copy
moved to the top half of
the page
• Objective: Test the impact
of value above the ...
T1

T2

78

4
4

Stay tuned for results…
The Business Model Radical Redesign
1 Establish your ‘WHY’
2 Determine your market opportunity
3 Distill your Value Propos...
Questions?
Thank You
The Boston Globe
An optimization-based business model radical redesign
Peter Doucette
Executive Director of Circulation
Sa...
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Transcript of "Boston Globe Optimization Summit 2012"

  1. 1. Managing a Transition From Free to Paid Product Peter Doucette Executive Director of Circulation Sales & Marketing The Boston Globe Pamela Markey Director of Marketing MECLABS
  2. 2. Session Speakers Peter Doucette Executive Director of Circulation, Sales & Marketing The Boston Globe Peter Doucette is responsible for all consumer-facing aspects of circulation and audience development for both print and digital subscribers, consumer strategy, CRM, customer service, and customer loyalty. Doucette joined The Boston Globe in 2007 and has served in a number of roles in the circulation department. Prior to his present role, he was director of circulation marketing, where he was an architect for the premium-focused circulation strategy, a critical component in the financial turnaround of The Boston Globe in 2009. Prior to that, Doucette was the director of home delivery and single copy circulation, where he was responsible for growing revenue for the Globe's home delivery business, maximizing newsstand sales and profitability, and increasing customer satisfaction and engagement. 2
  3. 3. Session Speakers Pamela Markey Director of Marketing & Brand Strategy MECLABS Pamela Markey builds strategic partnerships, plans promotional initiatives, and is responsible for both Primary and Applied Research communication- and marketing-related activities. If it impacts a MECLABS brand, it goes through her. Before joining the team in June 2009, Markey worked for seven years as a wireless marketing manager at Bell Canada, during which time she managed campaigns for the Solo Mobile and Bell Mobility brands. Her work has been recognized at Cannes, the CLIOs, and the Canadian Marketing Awards among others. Markey started her career in marketing at Microsoft while completing her Bachelor of Commerce degree at Dalhousie University. 3
  4. 4. An optimization-based business model radical redesign The transition from a free to paid product
  5. 5. An optimization-based business model radical redesign The transition from a free to paid product
  6. 6. 6
  7. 7. The Adit • The Advance Leader • Penn Hills Progress • Woodland Progress • Albuquerque Tribune • Algonquin Countryside • Cary-Grove Countryside • Wauconda Courier • American Fork Citizen • Lehi Free Press • Lone Peak Press • Orem Times • Pleasant Grove Review • Americké Listy • Ann Arbor News • Arcadia News-Leader • The Argus Champion • Arlington Heights Post • Elk Grove Times • Hoffman Estates Review • Palatine Countryside • Rolling Meadows Review • Schaumburg Review • Wheeling Countryside Art Review & Preview • AsianWeek • Baltimore Examiner • Batavia Sun • Bolingbrook Sun • Downers Grove Sun • Geneva Sun • Glen Ellyn Sun • Lisle Sun • St. Charles Sun • Wheaton Sun • Bay State Banner • Bedford Sun • Euclid Sun Journal • Garfield-Maple Sun • Nordonia Hills Sun • Sun-Press • Twinsburg Sun • Bellevue Business Journal • The Belton Star Herald • Berkeley Daily Planet • The Bethel Beacon • The Brookfield Journal • The Kent Good Times Dispatch • The Litchfield Enquirer • Big Sky Sun • The Birmingham Eccentric • West Bloomfield Eccentric • Troy Eccentric • Rochester Eccentric • Southfield Eccentric • Blue Springs Journal • Bloomfield Free Press • Bloomfield Journal • Windsor Journal • Windsor Locks Journal • Boca Raton News • Boulder City News • Branford Review • Clinton Recorder • East Haven Advertiser • Pictorial Gazette • Shelton Weekly • Shore Line Times • Stratford Bard and Wallingford Voice • Brick Township Bulletin • Woodbridge Sentinel • The Bridge • Bridgeville Area News • The Bulletin • Business Journal of Corpus Christi • Business Times of the Rio Grande Valley • California Real Estate Journal • The Capital Times • Carson Times • Chicago Free Press • Christian Science Monitor • The City Star • The Clarke Courier • The Clinton News • Coatesville Ledger • Connecticut Valley Spectator • Coral Gables Gazette • Coraopolis-Moon Record • The Daily Reporter • Dakota Journal • Danville Weekly • Delaware Valley News • The Democrat • Denmark Press • Dennis Pennysaver • Yarmouth Pennysaver • Denver Daily News • Des Plaines Times • Mount Prospect Times • Detroit Daily Press • El Dia • The District Weekly • Door Reminder • Donegal Ledger • Douglas Times • Downingtown Ledger • Doylestown Patriot • Eagle-Times • East Bridgewater Star • West Bridgewater Times • Whitman Times • East Hartford Gazette • East Iowa Herald • East Side Herald • El Nuevo Dia Orlando • Elizabethtown Chronicle • Encino Sun • Sherman Oaks Sun • Studio City Sun • Erie Review • Lafayette News • Louisville Times • Eureka Reporter • Fallon Star Press • Farmer City Journal • Fitchburg Star • Fort Collins Now • The Franklin Chronicle • La Frontera • Galesville Republican • Gazette Advertiser • Germantown Courier • Mount Airy Times Express • Greenville Press • Greenwood Lake and West Milford News • Gooding County Leader • Grapevine Sun • Hamden Chronicle • Hanson Town Crier • Hardee Sun • Harlem Valley Times • Millbrook Round Table • Voice Ledger • Henderson Home News • The Hershey Chronicle • Heyworth Star and LeRoy Journal • Hill Country View • Homer Sun • Lincoln-Way Sun • Plainfield Sun • Hopi Tutuveni • Hoy Hyde Park Townsman • The Independent • Iraan News • Island Breeze • Jeanerette Enterprise • Johnson County Sun • The Journal-Messenger • Kansas City Kansan • Kitsap Free Daily • LA City Beat • La Palma • La Tribuna • Lake Elmo Leader • Lake Highlands People • Lakewood People • West Plano People • Lake Norman Times • Lakota Journal • The Leader • Leadville Chronicle • The Lemoore Advance • Lincoln County Journal • Los Gatos Weekender and West San Jose Resident • Loudon Easterner • Main Street News • Maricopa Tribune • McCamey News • McKnight Journal and North Journal • The Message for the Week • The Midcoast Beacon • The Milford Observer • Ming Pao New York • Ming Pao San Francisco • Minidoka County News • The MonitorHerald • NASCAR Scene • National Speed Sport News • Nebo Reporter • New Hope Gazette • New York Blade • New York Press • The New York Sun • News Gleaner • Northeast Breeze • Olney Times • The Newton Record • Nichi Bei Times • Noblesville Daily Times • The North Florida Herald • North Haven Post • North Side News • Northern Star • Oak Cliff Tribune • The Observer • Orfordville Journal & Footville News • Oxford Tribune • Parkesburg Post Ledger • Solanco Sun Ledger • Pawling News Chronicle • Peoria Times-Observer • Petoskey Citizen-Journal • The Phoenicia Times • The Olive Press • Pinellas News • Placer Sentinel • Plymouth Bulletin • Pocono Business Journal • The Post-Crescent • Putnam County Courier • Quakertown Free Press • Quickly • Register Herald • The Rockingham News • Rocky Mountain News • Rumbo de San Antonio • Rumbo del Valle • San Juan Star • Seattle Post-Intelligencer • Selah Independent • The Sentinel • Stillwater Courier • South Florida Blade • Southern Idaho Press • Southern Voice • Spanish Fork Press • Sparta News-Plaindealer • Spotlight • Springville Herald • St. Louis Globe-Democrat • Suffolk Life • The Sun • Sun Post • Sun Tribune • Sylvania Herald • Thomasville Times • Today Newspapers • The Town Meeting • Tri-County News • Tucson Citizen • Two Rivers Tribune • Ulster County Townsman • Vail Mountaineer • Vail Sun • Vail Trail • Valley Journal • Washington Blade • The Weekly Almanac • West Lane News • The Western Tribune • Whitehall Times • Whitehorse Community News • Wood River Journal • Wrightstown Post-Gazette
  8. 8. The Adit • The Advance Leader • Penn Hills Progress • Woodland Progress • Albuquerque Tribune • Algonquin Countryside • Cary-Grove Countryside • Wauconda Courier • American Fork Citizen • Lehi Free Press • Lone Peak Press • Orem Times • Pleasant Grove Review • Americké Listy • Ann Arbor News • Arcadia News-Leader • The Argus Champion • Arlington Heights Post • Elk Grove Times • Hoffman Estates Review • Palatine Countryside • Rolling Meadows Review • Schaumburg Review • Wheeling Countryside Art Review & Preview • AsianWeek • Baltimore Examiner • Batavia Sun • Bolingbrook Sun • Downers Grove Sun • Geneva Sun • Glen Ellyn Sun • Lisle Sun • St. Charles Sun • Wheaton Sun • Bay State Banner • Bedford Sun • Euclid Sun Journal • Garfield-Maple Sun • Nordonia Hills Sun • Sun-Press • Twinsburg Sun • Bellevue Business Journal • The Belton Star Herald • Berkeley Daily Planet • The Bethel Beacon • The Brookfield Journal • The Kent Good Times Dispatch • The Litchfield Enquirer • Big Sky Sun • The Birmingham Eccentric • West Bloomfield Eccentric • Troy Eccentric • Rochester Eccentric • Southfield Eccentric • Blue Springs Journal • Bloomfield Free Press • Bloomfield Journal • Windsor Journal • Windsor Locks Journal • Boca Raton News • Boulder City News • Branford Review • Clinton Recorder • East Haven Advertiser • Pictorial Gazette • Shelton Weekly • Shore Line Times • Stratford Bard and Wallingford Voice • Brick Township Bulletin • Woodbridge Sentinel • The Bridge • Bridgeville Area News • The Bulletin • Business Journal of Corpus Christi • Business Times of the Rio Grande Valley • California Real Estate Journal • The Capital Times • Carson Times • Chicago Free Press • Christian Science Monitor • The City Star • The Clarke Courier • The Clinton News • Coatesville Ledger • Connecticut Valley Spectator • Coral Gables Gazette • Coraopolis-Moon Record • The Daily Reporter • Dakota Journal • Danville Weekly • Delaware Valley News • The Democrat • Denmark Press • Dennis Pennysaver • Yarmouth Pennysaver • Denver Daily News • Des Plaines Times • Mount Prospect Times • Detroit Daily Press • El Dia • The District Weekly • Door Reminder • Donegal Ledger • Douglas Times • Downingtown Ledger • Doylestown Patriot • Eagle-Times • East Bridgewater Star • West Bridgewater Times • Whitman Times • East Hartford Gazette • East Iowa Herald • East Side Herald • El Nuevo Dia Orlando • Elizabethtown Chronicle • Encino Sun • Sherman Oaks Sun • Studio City Sun • Erie Review • Lafayette News • Louisville Times • Eureka Reporter • Fallon Star Press • Farmer City Journal • Fitchburg Star • Fort Collins Now • The Franklin Chronicle • La Frontera • Galesville Republican • Gazette Advertiser • Germantown Courier • Mount Airy Times Express • Greenville Press • Greenwood Lake and West Milford News • Gooding County Leader • Grapevine Sun • Hamden Chronicle • Hanson Town Crier • Hardee Sun • Harlem Valley Times • Millbrook Round Table • Voice Ledger • Henderson Home News • The Hershey Chronicle • Heyworth Star and LeRoy Journal • Hill Country View • Homer Sun • Lincoln-Way Sun • Plainfield Sun • Hopi Tutuveni • Hoy Hyde Park Townsman • The Independent • Iraan News • Island Breeze • Jeanerette Enterprise • Johnson County Sun • The Journal-Messenger • Kansas City Kansan • Kitsap Free Daily • LA City Beat • La Palma • La Tribuna • Lake Elmo Leader • Lake Highlands People • Lakewood People • West Plano People • Lake Norman Times • Lakota Journal • The Leader • Leadville Chronicle • The Lemoore Advance • Lincoln County Journal • Los Gatos Weekender and West San Jose Resident • Loudon Easterner • Main Street News • Maricopa Tribune • McCamey News • McKnight Journal and North Journal • The Message for the Week • The Midcoast Beacon • The Milford Observer • Ming Pao New York • Ming Pao San Francisco • Minidoka County News • The MonitorHerald • NASCAR Scene • National Speed Sport News • Nebo Reporter • New Hope Gazette • New York Blade • New York Press • The New York Sun • News Gleaner • Northeast Breeze • Olney Times • The Newton Record • Nichi Bei Times • Noblesville Daily Times • The North Florida Herald • North Haven Post • North Side News • Northern Star • Oak Cliff Tribune • The Observer • Orfordville Journal & Footville News • Oxford Tribune • Parkesburg Post Ledger • Solanco Sun Ledger • Pawling News Chronicle • Peoria Times-Observer • Petoskey Citizen-Journal • The Phoenicia Times • The Olive Press • Pinellas News • Placer Sentinel • Plymouth Bulletin • Pocono Business Journal • The Post-Crescent • Putnam County Courier • Quakertown Free Press • Quickly • Register Herald • The Rockingham News • Rocky Mountain News • Rumbo de San Antonio • Rumbo del Valle • San Juan Star • Seattle Post-Intelligencer • Selah Independent • The Sentinel • Stillwater Courier • South Florida Blade • Southern Idaho Press • Southern Voice • Spanish Fork Press • Sparta News-Plaindealer • Spotlight • Springville Herald • St. Louis Globe-Democrat • Suffolk Life • The Sun • Sun Post • Sun Tribune • Sylvania Herald • Thomasville Times • Today Newspapers • The Town Meeting • Tri-County News • Tucson Citizen • Two Rivers Tribune • Ulster County Townsman • Vail Mountaineer • Vail Sun • Vail Trail • Valley Journal • Washington Blade • The Weekly Almanac • West Lane News • The Western Tribune • Whitehall Times • Whitehorse Community News • Wood River Journal • Wrightstown Post-Gazette Newspapers that have closed or stopped publishing a newsprint edition 2008-2011
  9. 9. 2008-2011 9
  10. 10. 10
  11. 11. No pressure… 11
  12. 12. The Opportunity (and Responsibility) • Significant market for high-quality journalism and relevant content • Readers want a paper that “looks out for my interests.” • Higher readership is connected to the belief that a paper is “a leader in the community,” one that “makes me think,” and one that keeps readers “informed about the nation and the world.” 12
  13. 13. Competing objectives Boston.com Online Traffic Boston.com Advertising Revenue Existing BG Print Subscribers 13 New BG.com Online Subscribers
  14. 14. Competing objectives Build a model that funds our journalism Boston.com Online Traffic Boston.com Advertising Revenue Existing BG Print Subscribers 14 New BG.com Online Subscribers
  15. 15. The Business Model Radical Redesign 1 Establish your ‘WHY’ 2 Determine your market opportunity 3 Distill your Value Proposition 4 Prep to test your Value Proposition
  16. 16. The Business Model Radical Redesign 1 Establish your ‘WHY’ 2 Determine your market opportunity 3 Distill your Value Proposition 4 Prep to test your Value Proposition
  17. 17. 1 17
  18. 18. 1 The Boston Globe is the leading daily news source for Greater Boston, featuring premium content that is delivered where, when, and how you want it. With by far the largest newsroom in the region, we provide more news, analysis, and information about community events, sports and entertainment than any other source. We connect to readers by being insightful, thought-provoking, and relevant. Definition Differentiation Deliverable 18
  19. 19. 1 Knowledgeable Engaging (alt.: Smart, Astute) (alt.: Relevant, Valuable ) We know what’s happening. We know what it means for you and for the community. We deliver what you need, want, and should know. We publish news, analysis, opinion, and information that is directly relevant to your daily life and to civic participation. We write it, and present it, in a way that captures your interest. Authoritative (alt.: Dependable, Trusted, Proven) You can rely on us to be fair, accurate, thorough, honest, and honorable. Approachable (alt.: Accessible, inviting) Your overall experience with The Boston Globe is inviting, helpful, alluring, comfortable, fun, and eyeopening. Forward-looking (alt.: Innovative, Energetic) We are at the leading edge, both in our coverage and in how we deliver that coverage to you. We are innovative. Impactful (alt: Effective, Agenda-setting) Our work makes a difference: It sets the news and civic agenda and shapes community conversation. What we report really matters. 19
  20. 20. 1 Positioning components Character attributes Essence DEFINITION: The Boston Globe is the leading daily news source for Greater Boston, featuring premium content that is delivered where, when, and how you want it. Knowledgeable Authoritative Forward-looking Engaging Approachable Impactful DIFFERENTIATION: With by far the largest newsroom in the region, we provide more news, analysis, and information about community events, sports and entertainment than any other source. DELIVERABLE: We connect to readers by being insightful, thought-provoking, and relevant. 20 Your source for trusted journalism
  21. 21. 1 Positioning components Character attributes Essence DEFINITION: Boston.com is the region’s leading digital destination for information about our community, and active involvement in it – free, wide open to all, and comprehensive. DIFFERENTIATION: This is where you get the best and broadest coverage of breaking news and things to do; stay connected to the community conversation; and find exclusive, top-quality news, sports, and entertainment content from the newsroom of The Boston Globe. There is no better place to find local deals or make transaction that provide access to area events. Resourceful Entertaining Straightforward Friendly Credible DELIVERABLE: Here, Greater Boston comes together to explore all this community has to offer and to contribute ideas, opinions, and information of their own. 21 Connecting you to a greater Boston
  22. 22. 1 Research: Words that describe BostonGlobe.com Total Cancelled Subs 22
  23. 23. 1 People love the visceral experience of reading a newspaper… They love getting reading experience. lost in the
  24. 24. 40% 1 “I would miss the print edition of my newspaper if it was no longer available.” 35% 30% 25% 20% 15% 10% 5% 0% Strongly Disagree Somewhat Disagree Neither Agree or Disagree 24 Somewhat Agree Strongly Agree
  25. 25. 1 25
  26. 26. 1 26
  27. 27. 1 27
  28. 28. 1 28
  29. 29. 1 29
  30. 30. 1 30
  31. 31. 1 31
  32. 32. 1 US tablet installed base, 2010-2012 40.6 M Installed base % of population 24.0 M 12.8% 9.7 M 7.6% 3.1% 2010 2011 32 2012
  33. 33. 1 We are not just digitizing print… we are transforming print. experience of print and advantages of technology. Connecting the
  34. 34. 1 34
  35. 35. 1 35
  36. 36. 1 36
  37. 37. 1 37
  38. 38. 1 38
  39. 39. 1 39
  40. 40. The Business Model Radical Redesign 1 Establish your ‘WHY’ 2 Determine your market opportunity 3 Distill your Value Proposition 4 Prep to test your Value Proposition
  41. 41. 2 Consumer research informed audience strategy Print-engaged favor a format and editorial approach that resembles a newspaper, more willing to pay for Globe content Online/mobile engaged Online/mobile-engaged prefer ‘news surveillance’ activity that draws them to search engines, links, and other digitally-directed discovery, could be attracted at a lower weekly price point Casual readers prefer to engage Globe content – some print and some Web, but less frequently, some willingness to pay 41 Casual Printengaged
  42. 42. 2 One-site Two-brands Features • All things Boston • Advertiser-supported • Robust online communities • Transaction hub: reviews, tickets and deals $ 42 • The only place to get the ENTIRE Boston Globe • Built in HTML5 and responsive design (no native app) • Exclusive subscriber features and benefits
  43. 43. 2 Decision support modeling -1.2 • A framework to help organizations make tough business decisions • Provides the confidence to proceed with an approach to a complex problem in unchartered territory • A way to check back on initial objectives, what was achieved, and how assumptions play out in the strategy • Builds internal confidence and focuses the team on the right things 43 2.2 -0.2 2 2 2 1. 2. 3. 4. 5. -1 3 Print readership in decline Audience bifurcated; Disparate motivations Print-eng will fund innovation for 2-3 years Low-eng (large %) like print-eng xcpt e-devs Rev$/appeal for low-eng → Ads (Print+Onl)
  44. 44. 2 Lessons from paid subscription models
  45. 45. 2 Subtle “subscriber content” indicators reinforce exclusivity and value 45
  46. 46. 2 Expanding footer ad communicates value in a noticeable but non-intrusive way 46
  47. 47. 2 Prominent free trial placement Clear commitment anxiety relievers 47
  48. 48. 2 All homepage elements page either state or support the Value Proposition 48
  49. 49. 2 Strong Value Focus: Audio test tool allows visitors to experience the quality difference 49
  50. 50. 2 We are not just digitizing print… we are transforming print. experience of print and advantages of technology. Connecting the
  51. 51. 2 Differentiating BostonGlobe.com The quality and award-winning journalism of The Boston Globe presented through new “responsive design” technologies; an innovative website that will accommodate any users’ mobile device. BostonGlobe.com Key Features: • MySaved for offline reading • Adaptive design • Archives (access for members dating back to the 1800s) • Touch enabled features • Limited advertising • Front page gallery (last 30 days) 51
  52. 52. 2 Premium, thoughtful Globe content on a new platform designed for the digital reading experience 52
  53. 53. The Business Model Radical Redesign 1 Establish your ‘WHY’ 2 Determine your market opportunity 3 Distill your Value Proposition 4 Prep to test your Value Proposition
  54. 54. 3 Value Proposition The primary reason why your ideal prospect should buy from you rather than your competitors. 1. You are fundamentally answering a first-person question posed in the mind of your customers. 2. Your Value Proposition is not a complete list of product/company benefits. It is a focused expression of the most compelling force inherit to your product/company value. 3. A Value Proposition cannot be all things to all people. It states the unique appeal of an offer/company to a specifically defined prospect type. 4. A Value Proposition has a specific action in mind. It is seeking to answer “why” for a specific “what.” 5. A Value Proposition must differentiate you from your competitors. In at least one way, you must have an “only” factor.
  55. 55. 3 The Value Proposition Spectrum 55
  56. 56. 3 BostonGlobe.com Value Prop Considerations • Who are BostonGlobe.com prospects? • Home delivery subscribers? Boston.com registrants? Boston and Greater Boston residents? Particular age group, motivation? Other? • How do you know you are reaching each of them, and if reached, targeted with the best Value Proposition? • Prospect segments can be identified and reached by different channels • • Website, display, email, search and others Core value proposition needs to be tested with each of this channels in order to be able to understand • What aspect/benefit of BostonGlobe.com each of these segments value more?
  57. 57. 3 The Reality Check We need a framework to connect company strategy and internal objectives with what your customers actually believe.
  58. 58. 3 Value Proposition: Draft 1 A subscription to BostonGlobe.com is the only way to get complete access to the full content from the region’s largest newspaper in the way, and on the device, most convenient to you. The Boston Globe’s experts connect you to the issues that you care about – local news, politics, sports, the arts and more – delivering award-winning investigative reporting, analysis, and reviews as we have for more than 140 years. 58
  59. 59. 3 Value Proposition Analysis Appeal A subscription to BostonGlobe.com is the only way to get complete access to the full content from the region’s largest newspaper in the way and on the device most convenient to you. Exclusivity Credibility Clarity Responsive design has tech-savvy endorsement High-interest content (sports and traffic- driving stories) are featured on both sites Largest newsroom Complete access to sports is on BG.com Integration of Globe on Boston.com implies the content is there BG.com isn’t convenient to all, on all platforms Some high interest content (deaths, sports agate) isn’t on the site 59 Site users perceive all content is on Boston.com Some users perceive content is missing from BG.com Member center serves both brands
  60. 60. 3 Value Proposition Analysis A subscription to BostonGlobe.com is the only way to get complete access to the full content from the region’s largest newspaper in the way and on the device most convenient to you. Appeal 1 2 3 4 5 APPEAL EXCLUSIVITY Clarity Exclusivity CREDIBILITY CLARITY Credibility 60
  61. 61. 3 Value Proposition Analysis Appeal The Boston Globe’s experts connect you to the issues that you care about – local news, politics, sports, the arts, and more – delivering awardwinning investigative reporting, analysis, and reviews as we have for more than 140 years. Exclusivity Credibility Issues listed are those that top in surveys Investigative stories also posted to Boston.com We are 140 years old All sports posted to Boston.com 61 History of winning awards Investigative reporting that brings change Clarity
  62. 62. 3 Value Proposition Analysis The Boston Globe’s experts connect you to the issues that you care about – local news, politics, sports, the arts, and more – delivering award-winning investigative reporting, analysis, and reviews as we have for more than 140 years. Appeal 1 2 3 4 5 APPEAL EXCLUSIVITY Clarity Exclusivity CREDIBILITY CLARITY Credibility 62
  63. 63. 3 What are we missing? And what additional Value Proposition distinctions emerge?
  64. 64. 3 NOW 64
  65. 65. 3 KNOW 65
  66. 66. 3 NOW: Boston.com • Strong preference for breaking news • ‘Snacking mode’ online/mobile-engaged readers • Engage content on devices as part of a wider ‘news surveillance’ activity • Spends less on fewer sources of news 66
  67. 67. 3 KNOW: BostonGlobe.com • Breaking news of consequence • Deep links to past coverage, other resources • Prefer to engage Globe content in a print-like experience, favoring a format and editorial approach that resembles a newspaper, even though they are eager users of new technology • Spend the most on content and experiment the most with media products • Doesn’t need to be alerted to everything that happens; need context to know significance 67
  68. 68. The Business Model Radical Redesign 1 Establish your ‘WHY’ 2 Determine your market opportunity 3 Distill your Value Proposition 4 Prep to test your Value Proposition
  69. 69. 4 Value Proposition optimization 1. Identify optimal channels for Value Proposition testing • Article stubs, highlight bar 1st free click, and display 2. Draft main Value Proposition statement • Use the Value Proposition spectrum! 3. Draft 2-3 variations of main Value Proposition • Consider current prospect segments as well as non-traditional segments too
  70. 70. 4 Value Proposition optimization 4. Implement tracking of traffic and conversions by channel and context • Channel Tracking: Analytics reporting allows visibility of traffic and conversion by channel and context on a high level 5. Implement Value Proposition test by channel • Based on results, determine if another test cycle is needed and run a follow up test. • Refine Value Proposition until you it can be articulated in a single, instantly credible, sentence 6. Frequently test the Value Proposition (i.e. every year) • A Value Proposition is not determined; it is discovered and it evolves
  71. 71. 4 Execution: Next steps? Value Proposition discovery • Confirm channels • Determine option for context tracking • Work on main Value Proposition statement and variations • Implement tests based on optimization project timeline Technical solution • Kickoff project with technical team (gather requirements) • Create/share documentation (use cases, style guides, etc) • Define timeline • Replicate registration flow
  72. 72. 4 So what did we come up with?
  73. 73. 4 Value Proposition: Control With BostonGlobe.com, you get: • • • • • • The FULL story all day: Enjoy the same high-quality, in-depth journalism you get in the print edition – plus breaking news that's updated 24/7. A truly reader-friendly format: It's online news that looks and reads just like the newspaper – uncluttered, uninterrupted, and easy on the eyes. Breakthrough technology: The responsive design automatically adapts content so it always reads perfectly on the digital device of your choice – view the demo to see it in action. The My Saved feature: The ability to save articles for offline reading – no Internet access needed. Exclusive insider-only access: Become a Boston Globe Insider and enjoy VIP access to exclusive content and special events with editorial staff, as well as offers and invitations from Globe partners and advertisers. A century's worth of archives: Access to digital content dating as far back as the 1800s. Get the story when it breaks – plus timely updates as it evolves – from the largest newsroom in the region and award-winning journalists you trust. 73
  74. 74. 4 Value Proposition: Optimized With BostonGlobe.com, you get: • Complete access to full content from the region’s largest newspaper • The option to read on any device of your choice, online or offline • Access to the issues that you care about – local news, politics, sports, the arts, and more from The Boston Globe experts • Award-winning investigative reporting, analysis and reviews • Access to The Boston Globe Archives dating back to the 1800s • Over 140 years of expertise that makes The Boston Globe the most trusted source for your local news. 74
  75. 75. 4 Control • Original Value Proposition copy
  76. 76. 4 Treatment 1 • Same layout as control except for updated Value Proposition • Objective: Test the effectiveness of a stronger Value Proposition on all channels
  77. 77. 4 Treatment 2 • Value Proposition copy moved to the top half of the page • Objective: Test the impact of value above the fold, presented before pricing.
  78. 78. T1 T2 78 4
  79. 79. 4 Stay tuned for results…
  80. 80. The Business Model Radical Redesign 1 Establish your ‘WHY’ 2 Determine your market opportunity 3 Distill your Value Proposition 4 Prep to test your Value Proposition
  81. 81. Questions?
  82. 82. Thank You
  83. 83. The Boston Globe An optimization-based business model radical redesign Peter Doucette Executive Director of Circulation Sales & Marketing The Boston Globe Pamela Markey Director of Marketing MECLABS

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