My entry in the Detroit Media Partnership's IdeaQuest 2011

1. Reinventing the Detroit Newspapers: Using Micro-Donations to both Attract and Retain Readers and Create a New Revenue Channel

2. Proposition Imagine: A newspaper building on its existing relationship with its community AND its advertisers? A relationship transformed by a radical new business model… A model that would take these to another level…

3. Creating a new relationship… …with all deriving new benefits… through Micro-Donations

4. The Micro-Donation concept Readers login when they visit the paper online. In return for designated activity, readers get rewarded with a Micro-Donation to a charity The Micro-Donation can be immediate, or set to accumulate over time.

5. Micro-Donations, cont’d. Standard amount is $.50 Limits placed on amount that can be donated over certain time periods, and to certain charities Either donated immediately, or accumulated Co-Donated in the name of the person and sponsor Readers receive a regular email detailing statistics

7. What about the mechanics?

8. Detroit Newspapers: How does it work? For facilitating – the Detroit Newspapers earn a percentage of the transfer Micro-Donations based on a formula developed to effectively allocate the cash Regular readership statistics would need to be determined

11. Comments

12. Videos viewed

13. Visits / time period

14. Stories read

15. Home delivery

16. News-stand purchase

17. The metrics can be weighted and a formula created:

18. (Page Views)(W1 ) +… (Metric)(Wx ) = Micro-Donation

20. Sponsors: How does it work? Sign up to donate a certain amount over a certain time period Limits risk by guaranteeing an amount Get option to reclaim money not Micro-Donated Agree to make Micro-Donations to charity on behalf individual who is a ‘winner’ Can also offer coupons/further benefits to participants

21. Charities: How does it work? Agree to receive Micro-Donations from corporate sponsors Must be vetted by both the Detroit Newspapers and corporate sponsors Not guaranteed to receive any contributions Receive the sum of Micro-Donations quarterly

22. Facebook Facebook app allows contributors to compare their stats with their friends and family Friendly competitions may ensure, creating more avid readers Stats include: Number of charities donated to Amount donated Micro-Donations locally, nationally, internationally Articles read, videos watched

23. Imagined numbers in aggregate Note: This does not include the increased advertising revenue that will be created by implementation of this concept, which would result from both increasing readership and retaining them, in addition to the establishment of new relationships with new advertisers.

24. Benefits to Detroit Newspapers More readers will participate with the newspapers Higher circulation: more ad revenue Something additional to offer advertisers Build a more personal relationship with each reader Contribute to the community in a major way Introduction to non-traditional advertisers Small tax on each transaction generates revenue More reader data

25. Charities and Sponsors: Benefits New way to connect with people Burnish brands Can make offers to new potential customers/donors More publicity Tax benefits? New source of revenue