1. The traditional print newspaper business model was already under threat from digital media and the 2008 recession accelerated this decline, with many newspapers abandoning print or shutting down entirely as advertising revenue dropped sharply. 2. Moving entirely online helped publications reduce costs by 50% but online advertising alone was not enough to sustain the traditional operations of newspapers. 3. The future of media will see a profound impact on digital information and advertising models as the divide grows between free online content supported by ads and paid premium content. Media owners will look to control platforms like e-readers and follow the mobile phone business model of tied content and advertising.

1. stop the
presses patrick collings
sagacite brand agency
Photo by Ed Schipul

2. years from now, people will look at the new
media business model and say it “happened” in
the recession of 2008 / 2009

3. Photo by Vanessa Pike-Russell
what started as a trickle

4. Miami Herald into third
restructuring New York Sun closes afte
New York Times Will Cut
years
Salaries; Washington Post to
Offer Buyouts When newspapers fold
Ad Declines in Mass Media US newspaper crisis deepens
Seen as More Than Just
Economic
Christian Science Monitor
abandons print edition
Rocky Mountain News Folds
Amid Ad Slump
Hearst Plans to Slash, Sell or
Shut Paper in Bay Area
Hearst Shuts Down a
Seattle Paper
Gannett slashing dividend to
preserve cash
Washington Post Net Plunges
Seattle Paper Advances Plans
Cincinnati Post folds to Turn Into Online-Only
Blender Magazine to Go Publication
Online Only

5. not only in the US, and not only newspapers
Note: Spoke about situation of media in Europe and what magazines were doing to save costs and increase revenue

6. those abandoning print either headed to...

7. Photo by Kirk

9. not coming back

10. 1 the print business model was already under
long-term threat from digital
2 great expense in returning to traditional print
model
3 “recessionary push” will lead to changed
habits and rituals

11. abandoning print saves 50% costs, but ...

12. online advertising
not enough to sustain
traditional news
operations

13. ?
defining questions &
issues

14. “it is possible to charge for content”

15. © that’s my copyright

16. photo by D Barefoot
the rise of the bloggers

17. and that raises more questions about business models

18. is trust the new slingshot
Note: Spoke about research that some blogs
were more trusted than traditional media photo by Jennifer Hayes

19. online advertising
is evolving and
will evolve further

20. Note: Spoke about how online publications were allowing banner ads to briefly take over the home page

21. Note: This is a “banner” ad for Apple that uses large portions of the page to show an online video ad

22. changing offline, not only online

23. WSJ.com

24. perhaps
the internet
is not such
a safe place
for traditional
print media
escaping the
photo by Kyriakos recession

25. digital doesn’t just mean the web
Photo by Rienk Jan Schurer

26. the kindle isn’t alone

28. new business models are rapidly emerging
Note: Among other things mentioned subsidized e-readers for long-term subscription models

29. expect to see early adoption by higher eduction

30. what can history teach us

31. remember when cell phones phoned

32. before text messages

33. before they took pictures

34. before they recorded video

35. before the applications

36. do you remember before

37. ?
similar path for the e-reader

38. subscription models

39. the new textbook

40. colour is coming

41. so is video
Note: Probably several years down the line

42. and competitors

43. prices are falling

44. new ad models are emerging
Note: Whilst the Kindle does not yet carry formal advertising, this promotional offering from Showtime is available

45. 1the decline of the traditional newspaper
business model will have a profound
impact on the future of digital information
and advertising

46. 2
the divide between free and paid,
commodity and premium will
become more distinct

47. 3
web revenue models will be tested,
found wanting and will evolve

48. 4
media owners will seek the control of
the e-reader, copy the mobile phone
business model, and content and
advertising will follow

49. “I find it hard to believe that the
primary way of reading newspapers
10-plus years from now is going to
be on printed paper.”

50. Patrick Collings
patrick@sagacite.co.za
+27 (0)83 616 0967