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1. Master thesis in Media Management
Innovation for
printed newspapers
How print newspapers need to evolve to
meet the needs of the young reader.
Author: Kateryna Gorokhova
Supervisors: Kristina Bürén, Christer Lie
Examinator: Alex Johnsson
2. Research question
How should printed newspapers develop in the
future to correspond to young consumers’ needs?
1 2 3
Is the popularity of print What emerging What should a print
newspapers decreasing technologies may help newspaper be like in
among young newspapers build the future? What
generation? What do the readership? content will it have,
current and potential what advertising, and
readers want the what form?
newspaper to be like? “Is technology
the way?”
2
3. Limitations
18 to 26 year olds
in Sweden
in the Northern European region
3
4. Methods
Literature study Questionnaire Interviews
Overview of the problem What do the current and What is the current state of
Existing technologies potential readers want the printed newspapers
Current predictions newspaper to be like? What are the strategies of
newspaper publishers
What should a print newspaper be like in the future?
4
11. Interviews
Morning newspaper Evening newspaper Free weekly newspaper
DN Aftonbladet Mitt i
Circulation Steady Decreasing Increasing
Graphical re-design Changing layout,
Print newspaper changes -None
New local product repositioning topics.
Distribution in schools and Focus on mobile
Focus on young audience Focus on online services
universities applications
Keeping track of Interviews, web
Overall knowledge Telephone surveys
information about readers analytics
QR codes in the past Beetagg in the past
Interaction techniques None
Real-life interaction Interaction on-line
Actions performed to
Subscription discounts On-line campaigns Mobile applications
attract younger audience
Environmentally certified
Environmental activity Swan certificate Swan certificate
according to ISO 14001
Future predictions
regarding the print Positive Negative Positive
newspaper
11
13. Questionnaire
48% of young readers read newspapers on a daily basis, 9% almost do not read
43% read when commuting to school or work, 42% read at home in the morning
To find coupons/discounts
To solve a puzzle (sudoku/crossword etc.)
To kill time
I read the articles of a special journalist I like
To get the world news
To get the local news
0% 10% 20% 30% 40% 50% 60%
Most important factors:
• accuracy of articles and interviews – 54%
• content corresponding to the readers’ interests – 46%
• content telling about current events – 44%
• easy access – 29%
13
14. Questionnaire
Weaknesses
you have to go to the shop to buy it
format (23%) publicity and advertisement
articles don't go in detail
high price and the need to pay (23%)
too long
waste and pollution (48%)
low speed of news delivery (14%) content is for masses
bad quality of content (8%) unclear structure of the paper
hard to keep for future no interaction (4%) copy paste at free newspapers
no bookmarking/favourites journalists take part, provide no comparison
14
15. Questionnaire
Strengths
easy to look through can use it in many ways (disposable)
fast to get trustworthiness (6%) easily portable
broad scope and local focus (16%)
great feeling of paper (48%)
detailed articles and quality of information (16%)
better concentration (6%) nice routine in the morning
good summary product promotion better for eyes
good layout/not cluttered no device needed/no internet connection needed
short term news are disregarded which is good free authors get paid
15
16. Questionnaire
Content 83% • in-depth, detailed and serious articles
• more diverse content
• Science, political news/debates and international focus
Availability 69% • available everywhere: spread in subway, cafes, other
public places on the people's way
• delivered directly home
Price 60% • free
• cheaper
• student discounts and subscription bundles
Form and design 51% • smaller format
• color, minimalism and free space
Interactivity 35% • not aware of how newspapers can be interactive (20%)
• QR codes are fun (20%)
Status and 28% • status of a newspaper plays its role when it is
popularity questionable whether to believe the information
delivered in it or not 16
17. Suggestions
6 ways of innovation
Content Distribution Environment Price Design Technologies
17
18. Content Distribution Environment Price Design Technologies
Suggestions
Content innovation
• Diversity of topics
• Targeted newspapers
• Deepness of information
• Moving from fast news to better analysis
18
19. Content Distribution Environment Price Design Technologies
Suggestions
Distribution innovation
• Ubiquitous newspaper
• A package of information
19
22. Content Distribution Environment Price Design Technologies
Suggestions
Newspaper make-over
• Changing the format
• Clean design
22
23. Content Distribution Environment Price Design Technologies
Suggestions
Technovation
• Bringing more depth to the content
• Raise advertising attractiveness
• Early adopters – new readers
23
Good morning everybody. Today I’m presenting my master thesis which is titled Innovation for printed newspapers: how newspapers need to evolve to meet the needs of the young reader. This research has been conducted for the Swedish department of the World Association of Newspapers, or Wan IFRA and Kristina Buren is my advisor there. (20sec)
The main question of my research, which is shown in the title as well, is How should printed newspapers develop in the future to correspond to young consumers’ needs? I divided my research question into three sub questions: First, is the popularity of print newspapers decreasing among young generation? What do the current and potential readers want the newspaper to be like? Second, what emerging technologies may help newspapers build readership? I have to say that a pre-assumption for the study was that the use of new technologies will attract young readers, so I had to test whether it is really the way. And third, what should a print newspaper be like in the future? For instance, what content will it have, what advertising, and what form? (50sec)
I had age and geographical limitations for my study. Initially, I was focusing on people of 18 to 26 years old residing in countries of the Northern European area. However, due to the limited reach that it was possible to achieve the geographical focus narrowed down to Sweden. (20)
The methods I used in my research were: the literature study, quantitative research in the form of questionnaire and qualitative in the form of interviews, which have given me the answer to the main question. Literature study has first of all given me the overview of the problem, insight into convergence technologies that I will talk about later and into future predictions for newspapers. The questionnaire showed me the preferences of current and potential readers of the focus age regarding newspapers. And the interviews with newspaper publishers showed me mainly what are their current strategies. (40sec)
So to understand the problem I needed first of all to prove that the problem exists. Hence I found the latest statistics that proves that the newspaper situation in Sweden is worse than it was before. Well first of all I have to say that newspapers take a large part of the media in Sweden, no matter what problems they may have. As you see from the chart they occupy 33%, the largest part, of media space, followed by the Internet and television. But as we can see from the next graph the number of readers of daily newspapers is decreasing year after year. And the age groups of 15 to 25 and 26 to 44 show the decrease of 20%. And on the next graph you can see that the number of newspapers copies is decreasing as well (15%). This data was taken from Tidningsutgivarna and the line standing for evening newspapers is not showing the current data but it’s caused by Aftonbladet switching from TU to Pricewaterhousecoopers for the statistica data management and this data is not available. So the main point of interest is the morning newspapers line. And this data proves that newspaper publisher actually have a problem which may get worse in the future. (80sec)
So to understand the problem I needed first of all to prove that the problem exists. Hence I found the latest statistics that proves that the newspaper situation in Sweden is worse than it was before. Well first of all I have to say that newspapers take a large part of the media in Sweden, no matter what problems they may have. As you see from the chart they occupy 33%, the largest part, of media space, followed by the Internet and television. But as we can see from the next graph the number of readers of daily newspapers is decreasing year after year. And the age groups of 15 to 25 and 26 to 44 show the decrease of 20%. And on the next graph you can see that the number of newspapers copies is decreasing as well (15%). This data was taken from Tidningsutgivarna and the line standing for evening newspapers is not showing the current data but it’s caused by Aftonbladet switching from TU to Pricewaterhousecoopers for the statistica data management and this data is not available. So the main point of interest is the morning newspapers line. And this data proves that newspaper publisher actually have a problem which may get worse in the future. (80sec)
So to understand the problem I needed first of all to prove that the problem exists. Hence I found the latest statistics that proves that the newspaper situation in Sweden is worse than it was before. Well first of all I have to say that newspapers take a large part of the media in Sweden, no matter what problems they may have. As you see from the chart they occupy 33%, the largest part, of media space, followed by the Internet and television. But as we can see from the next graph the number of readers of daily newspapers is decreasing year after year. And the age groups of 15 to 25 and 26 to 44 show the decrease of 20%. And on the next graph you can see that the number of newspapers copies is decreasing as well (15%). This data was taken from Tidningsutgivarna and the line standing for evening newspapers is not showing the current data but it’s caused by Aftonbladet switching from TU to Pricewaterhousecoopers for the statistica data management and this data is not available. So the main point of interest is the morning newspapers line. And this data proves that newspaper publisher actually have a problem which may get worse in the future. (80sec)
This slide shows the main trends of the media industry in general and newspaper industry in particular. I will describe the most important of them(: abundance, convergence, digitization, real time, shallow and free). Abundance means that there are so many media players today that consumers drown in the ocean of information around them and their attention dissolves. Digitization and hence the convergence of media channel is very important today as the newspapers are putting more and more efforts to their digital editions. Media convergence in its turn is an intersection of print and publishing industry with computer, broadcast and motion picture industry. Real time: a very important trend which decreases the popularity of newspapers greatly. News today are fast, they get transmitted instantly and this function newspapers do not support. So people get last news from tv and internet rather than newspapers. Shallow is a word characterizing in many cases the content of newspapers. Journalists, being pressed today to succeed not only in their field but also in technologies spend more time in the publishing house than outside gathering news. And maybe the most important is that news today can be reached for free, so why to buy newspapers? (80sec)
On this slide I have outlined the main convergence technologies which are assumed to bring new readers to newspapers. These are 2d barcodes, audio and video in the newspapers and augmented reality based on picture recognition. So first are the already known 2d barcodes. There are many versions of them, but two were mostly known in Sweden: beetaggs and qr codes. Publishers use them as a link to point to some content online. The next two photos show the interesting use of audio and video in publications. On the top photo you can see a mini audio speaker that was included to the Volkswagen ad in an Indian newspaper in 2010. And on the bottom photo you can see a video screen on the advertisement for How I met your mother episodes from 2009. And the last in the overview and the most interesting technology today is the augmented reality. This technology allows to display content layers with the help of a video stream from a smartphone camera. So for example readers who have an application installed can point at a page in the newspaper and watch a related video or listen to an audio or for instance make a purchase. 13th Lab, Crossfy, Layar and Blippar (75sec)
The interviews were held with three Swedish newspaper publishers: they are DagensNyheter, Aftonbladet and Mitt I. The selection was based on the type of newspapers and provided an insight into morning newspaper, an evenging newspaper and a free newspaper. In case of Aftonbladet, Ian Vännman, business Developer at Schibsted Sweden, was the team leader of the Beetagg project and was able to tell a lot about the project. The interviewee from DagensNyheter, Johan Othelius, Director Consumer Market, described the ways the newspaper gets subscribers today and how the newspaper got developed in the last years. NiclasBreimar, the chief editor from Mitt I, gave a broad presentation of the newspaper, including all its peculiarities. (40sec)
So here is a short summary of the interviews. So as you can see the circulation trends of the three newspaper are very different. While DN circulation is steady, Aftonbladet’s is decreasing and Mitt I is happy to register the increase in circulation. In case of DN the steady circulation can be explained by their focus audience which mostly lives outside of big cities, so it has already less variety of choice and enjoy the DN subscription and the delivery to the door. Aftonbladet in its turn is distributed through shops and as I will show later, people are not willing to make a special effort to buy newspapers in the shops and the circulation of Mitt I as it is a free newspaper delivered to households is increasing with the increase of population in the Greater Stockholm. Regarding the prited newspaper development both DN and Mitt I understand its need. DN has been re-designed in the last couple of years and they have introduced the local Stockholm newspaper. Mitt I is constantly revising its layout based on the readers surveys. None of the newspapers have special focus on the young readers in terms of content. From what I have found out, DN is distributing its copies in some educational institutions, Aftonbladet is holding online campaign and competitions to attract younger readers and Mitt I tries to reach the young audience by introducing the mobile application. Regarding the interactivity question, publishers showed the same disbelief in qr codes as they don’t get enough views through them, but they use other interaction techniques. For ex. DN is interacting with their readers in the offline so to say by organizing different cultural events, aftonbladet interacts through their website and online campaign and Mitt I as I said started the mobile app. One of the questions in the interviews, the one about environmental impact, was included after I got the results of the questionnaire as it was connected with the general concern of young readers about the environmental pollution caused by newspaper production. The interview showed that all three newspapers are environmentally certified and correspond to a number of demands. In conclusion both DN and Mitt I showed positive future predictions regarding their newspapers, and Aftonbladet are rather negative and more active on-line than the other two. (160 sec)
Now I would like to present the results of the questionnaire. So there were a hundred respondents, mostly from Sweden, but also from Germany and Denmark. A half of the responses was obtained through an online survey and another half through paper questionnaire. Majority were students. The ages distribution is on the chart and majority are of 23, 24 and 25 years old.
Survey results
Survey results
Survey results
which aspect of newspaper has to be changed in order for newspapers to be more attractive. 80sec
based on the literature research, interviews and the questionnaire, I have proposed 6 ways of newspaper innovation based on 6 areas which are Content, Availability, Environment, Design, Price and Technologies. 20sec
Content innovation: As seen from the survey, people consider it to be a newspapers’ strength, weakness and an improvement opportunity at the same time. It is important for readers to read articles written by professional journalists, covering different aspects of a problem, providing opinions rather than facts, offering a mix of topics to be read thoroughly and with understanding. Diversity of topics. Some respondents were complaining on the lack of youth topics, other did not like the mass audience focus of newspapers. The key is to make the set of articles that occupy various areas and topics which quite possibly will not be liked by masses. However, it will provide this unique “mix of everything”. Targeted newspaper. The study has shown that no large newspapers publishers focus on the group of readers up to 26. The first mover advantage may go to the one that will launch such offer first Information has to be deep. Newspaper is a product that by its physical nature supports intensive reading. Comparing to reading news on-line, jumping from one web-page to another, newspapers bring a reading atmosphere, allowing readers to go deep into the subject. Hence, newspapers should provide this depth to jump into. Young readers want to see details of a topics and opinions of different sides in the problem. Moving from fast news to better analysis. The Internet medium allows publishing the happenings in the worlds as soon as they occur. Newspapers with their relatively long production time cannot compete with Internet in the speed. Thus, the medium should serve readers differently, providing analysis and opinions rather than quick facts. This leads again to a demand for professional journalists that are able to provide this quality of information.
distribution innovation. 69% of respondents would like newspapers to be more available for them. As expressed in several cases, they do not get newspapers intentionally and it takes an additional effort to get it from a shop or a kiosk. Subscriptions with direct home delivery also require modification. First, the decision of getting subscription and providing payments in advance is a barrier for reading a newspaper, and second, the active lifestyle of students does not support leisure reading in the morning when the newspaper is delivered. Ubiquitous newspaper. Newspaper publishers need to search for new distribution places. Newspaper vending machines or free newspaper stands in transport stations, near possible queues, in university cafes, parks and other places where potential readers are not occupied by anything. This is a possible way for newspapers to compete against mobile phones and Internet offerings that are currently taking this time. A package of information. Many respondents have shown their interest in getting a package of services together with newspaper subscription. Since they do not intentially buy newspapers in the store and they do not like to be approached on the streets by marketers that offer subscriptions, publishers can incorporate this product into other offers. It can go together with a library membership, or as a package of both on-line and printed newspaper subscription. The important part is the freedom of choice.
Environmental awareness campaign the study has shown that nearly half of respondents showed their concern about newspapers production and distribution polluting the environment. Many of them noted the need of recycling as a weakness of newspapers. However, the interview with an environmental expert has shown that the knowledge of society about this question does not correspond to the real-life picture. Environmental pollution of printing is very close to that of production of electronic devices and web-based publications and depends on the energy mix in the country. Hence, the way for newspaper publishers is to deliver to their readers the information that the environmental pollution of web-based newspapers and of printed newspapers do not differ as dramatically as they believe.As seen from the case studies results, all three newspapers interviewed, have received environmental certificates. This means, among the rest, that at least 20 per cent of the raw material used for the newspaper production comes from certified sustainable forests, the raw material contains more than 75 percent recycled paper, printing colours, glue, varnish, laminate and toner are environmentally sound and that all waste and discharges are environmentally managed or recycled (Ecolabeling Sweden, 2012). This is the information that newspaper readers should know to make an unbiased choice of products and that can be formed into an environmental awareness campaign.
Price adjustments 60% of respondents, according to the questionnaire results, state that they will read newspapers more if their price changes. Namely, they would like to see it cheaper, if not free. In the same time the interest in newspaper advertisements is extremely low among young readers – only 3% of respondents indicated their interest in them. The outcome is the question: how to make newspapers cheaper without increasing the amount of advertising? Decreasing news production costs. This can be done through using readers as the news source. However, there are drawbacks of this way as the quality of articles will drop and qualified journalists will protest this decision. Improving advertising attractiveness. Games, interaction and communication is what attracts youth. Creative advertising campaigns, using new technologies, described further, to enrich the advertisements, is the way to go. Offering “bundled” products. As described previously, offering “bundled” products, for example, a printed newspaper subscription together with a digital subscription (already practiced by such newspapers as The Economist or The New York Times) in combination with a thought through marketing, would raise circulation of printed newspapers.
. Newspaper make-over 51% of young readers are not satisfied with modern newspapers form and look. Many consider these factors to be the major newspaper weaknesses. Changing the format. The changing place of reading from indoors to outdoor implies the need of changing the size of the paper to suit the reading conditions. Standard tabloid size of 430 × 280 mm is considered by young readers too big and uncomfortable to leaf through, possibly comparing it to the comfort of using a tablet or a phone. Thus, to conform with readers wishes, the size should go down to A4 or even a book format. Clean design. Clustered newspaper pages confuse readers and do not bring additional value. In this case newspapers should follow the design approach of modern web-sites or mobile applications, which develop clean layouts with a lot of free space. For many years, each blank space in a newspaper was counted and valued a lot. However, if newspaper publishers adopt the practice of publishing long analytical articles rather than fast news consisting of a couple of paragraphs, more space will be left for an eye of a reader to relax.http://ilovarstritar.com/Projects/Nedeljski-dnevnik-Newspaper.aspx?WorkPageNumber=3
TechnovationTechnology innovation, although not the most important according to students’ answers, goes as a red line across all other innovation advices described above. QR codes to be an interesting supplement to advertisement or an article, another part and publishers themselves, as case studies have shown, are not satisfied with them. Bringing more depth to the content by bringing new media types to the content. Raise advertising attractiveness by offering special functionalities to an overview of the product or service. Early adopters – new readers. Young people are usually the ones most interested in new technologies. 35% of respondents, who answered that more interaction in newspapers will make them read newspapers more, are the early adopters and early majority in the adoption curve of innovated newspapers, and who will eventually bring more readers.