The document discusses the transition to digital content and publishing. It provides an overview of: - How digital is becoming a larger portion of the education and training market, with print declining. - The new models of education that digital enables, such as flipped classrooms and adaptive learning. - The many competitors that content providers now face, including open educational resources. - Key trends in digital publishing like the growth of mobile usage and ebooks surpassing print. - The opportunities and challenges in transforming to digital-first workflows and platforms.

1. The Digital Future Is Now
John Wheeler
SVP Strategy and Emerging Technologies
Content Solutions

2. Long ago, people danced. click, share, and tweet.
Now they video,
1990s
Change is the Only Constant
2010s

3. Nothing is Simple Anymore

4. Strategic Shifts in the Marketplace
“Over the past 5 years, we have introduced more new
business models than we had in the previous 193 years, in
part because we are no longer limited by the physicality of
books or journals.”
William Pesce
Former President and CEO of John Wiley & Sons
Nothing is Simple Anymore

5. “eBooks will be the
most dominant format
by 2014”*
“Tablets are
expected to be the
fastest ramping
mobile device.”**
“Complex business
models involving
multiple
stakeholders”
“10+ Billion mobile
devices with
internet” **
“4 out of 5 Executives felt
their organizations would
need significant retraining
to handle the digital
future”*
“185 Billion App
downloads by
2014” ***
“Trend vs Fad?”
“Multiple Standards
to Manage”
* DBW/Forrester 2010 Publishing Executive Survey; ** Alphawise, Morgan Stanley Research; *** Gartner

6. Opportunities in the Marketplace
“The ‘content continuum’ – the potential for expanding
content and author brands into e-book, mobile and other
digital content products – presents the largest opportunity I’ve
seen in 22 years as a book publisher.”
Dominique Raccah
Publisher and CEO of Sourcebooks
Nothing is Simple Anymore

7. Majority of our daily media interactions are screen-based
ON AVERAGE, WE SPEND
4.4 HOURS
OF OUR LEISURE TIME IN
FRONT OF SCREENS
Multi-Screen World

8. User Interface
Input Device
Device Usage
Computing Cycle
TEXT
GRAPHICAL
TOUCH
KEYBOARD
MOUSE
FINGERS
COMMUNICATIO
N
CONSUMPTION
+ SHARING
CREATION
PERSONAL
Evolution: User Interface
INTERNET
MOBILE
INTERNET

9. Many publishers’ digital platforms are already
profitable, and they expect profitability to
grow significantly by end 2014
Digital Platforms & Apps
Publishers are producing
many apps for many devices

10. US eBook sales to surpass printed
book sales in 2017
Digital & Print Revenue %
(2011 vs. 2012)
(US$ billion)
Source: Global Entertainment & Media Outlook 2013
US Trade Industry
Source: Publishers Weekly, April 12 2013

11. 44%
OF EBOOK
READERS
PREFER
TABLETS,
UP FROM
37% IN
AUGUST 2012
1.5 TRILLION
DIGITAL TRANSACTIONS
PER MONTH
BL
AC
K
ER NG
I
OT H
RAT
OPE EMS
T
SYS
1
OVER
BE
RR
Y
ANDROID
billion
users on
smartphones
and tablets
OVER
1.5 MILLION
DOMAINS
MEASUREMENT
FROM 172 COUNTRIES
Dynamic Changing Market
iO
S

12. Global Digital Information Created and Shared, in zettabytes*
AMOUNT OF GLOBAL DIGITAL
INFORMATION CREATED &
SHARED (FROM DOCUMENTS, TO
PICTURES, TO TWEETS) GREW
9 TIMES IN 5 YEARS
TO NEARLY 2 ZETTABYTES IN 2011
*1 zettabyte = 1 trillion gigabytes. Source: IDC Report “Extracting Value from Chaos”, 6/11
World’s Content: Findable, Shared & Tagged

13. 3%
OF THE
WORLD’S
INTERNET
TRAFFIC
COMES FROM A
MOBILE
DEVICE
OF ADULTS IN THE U.S. OWNS A
TABLET OR E-READER
MONETIZATION
OF THE MOBILE SECTOR IS GROWING.
60%
MOBILE
INTERNET
TRAFFIC
129%
ANNUAL GROWTH RATE
OVER THE PAST 4 YEARS
Mobile Usage is Skyrocketing
1.7
billion units
in 2015

14. 96%
Today’s Smartphone User
OF SMARTPHONE CONTENT
CONSUMERS DOWNLOAD
AN AVERAGE OF
36 APPS, 14% OF
WHICH ARE PAID

15. R
OPE
ER
OTH EMS
T
SYS
G
ATIN
BL
AC
KB
E
RR
Y
S
iO
Today’s Smartphone User
ANDROID

16. Video
Entertainment Content
21%
Books
21%
Weather Content
Today’s Smartphone User
22%
19%

17. 54%
Today’s Smartphone User
OF MULTIPLE
MOBILE DEVICE
OWNERS
PREFER USING
THEIR
SMARTPHONE

18. Today’s Smartphone User

19. 74%
USE THEIR
TABLETS DAILY
Today’s Tablet User

20. 98%
OF VIDEOS
WATCHED IS
SHORT-FORM
NEWS AND
ENTERTAINMENT
Today’s Tablet User

21. PAID APPS
ACCOUNT FOR
23%
OF ALL TABLET
APPS DOWNLOADED IN THE
PAST YEAR
$2.6B
IN APPS SOLD IN 2012
Today’s Tablet User

22. Today’s Tablet User

23. A Rapidly Changing Part of Our Business

24. CREATION
MARKUP
CONVERSION
DISTRIBUTION
ENHANCEMENT
MANAGEMENT
A Rapidly Changing Part of Our Business

25. The Changing World of Education:
MOOCs, Textbooks, and More
Presentation to Wiley
30 September 2013
Kate Worlock
Vice President & Lead Analyst, Education & Training
Advancing the Business of Information

26. 26
Digital is Up to 40% of the Total E&T Market
The move to digital is picking up speed

27. By 2020, Print Will Be 30% of the Market
Whole course solutions will be almost 50%
Source: Outsell analysis

28. The Market’s Shape Changes Fundamentally
Print is important, but its market share is shrinking
Source: Outsell analysis

29. Digital Enables New Models of Education
Changing pedagogic practice
Flipped
Classroom
Virtual
Learning
Adaptive
Learning
Testing
& Assessment

30. And Impacts Multiple Areas of Education
Influence ripples across the board
Teaching styles
Content
Learning styles
Architecture
Assessment
Pedagogy

31. Content Providers Face Many Competitors
It’s no longer an insular market
Adaptive solutions providers
e.g., Adapt Courseware
OER repositories
e.g., MIT OpenCourseWare
OER textbook creators
e.g., OpenStax College
Internal developers
at educational institutions
Faculty creating their own
content
Interactive textbook creators
e.g., Soomo Publishing

32. 32
Competitive Landscape
Key players in the MOOCs market

33. 33
MOOC Students
International students, from a wide age range
Source: Coursera

34. MAKE IT
SIMPLE
MAKE IT WORK ON
WHAT DOES THE
MULTIPLE
PLATFORMS
TYPICAL
PUBLISHER
MAKE IT
LOW RISK
ASK US FOR?
MAKE IT
GLOBAL
MAKE IT MAKE SOME
ECONOMIC SENSE
Vendors as Partners

35. Multiple Output Formats
ePUB2
ePUB3
enhanced
Multiple Device Formats
.mobi
PDF
.prc
HTML5
ePUB
Competing Formats and Displays

36. All with their own










Animation
Video
Audio
Interactive Exercises
End-of-Chapter Quizzes
Citations
Links
Footnotes
Maps & Geo-location
RSS Feeds
Up the Ante with Media Enhancements




Production cycles
Programming needs
QA requirements
Applicability to specific
delivery device(s) or player(s)
Who owns the
 Production?
 Integration?
 Imbedded
 Downloaded from system
 QA?
 Graceful degradation on limited devices?

37.  Describe & Categorize
 Control and Protect Assets
for appropriate use
 Search & Retrieve
 Dynamic Assets – Assets used for
multiple iterations and various platforms
 Bulk Edit
Digital Asset Management

38. Content & Rich Media Assets: Interoperable

39. Desktop Browser
Tablets
HTML5test.com
HTML5 Compatible

40. Manufacture
Basic Content Production
Conversion(s)
QA
Upload
Device-Specific Testing
What About the Money?
Distribute
Delivery Platform
Device
App Store(s)
e-Commerce

41. Vendors as Distribution Partners

42. Internet
App Stores
Customer Web Browser
iPhone/iPad
Android Device
Snappify
3rd Party Payments
REST
REST
API Dependent
HTTP/S
Gateway
REST
3rd Party Publisher
REST
Snappify
Content Server
Staging
FTP Server
FTP
REST
Publisher Server
FTP
Snappify
Web Server
Snappify Asset
Automation Server
FTPServer
HTTP/S (Web Forms and CSV)
Publisher Operator
Vendors as Distribution Partners

43. The Solar System and Beyond
1. What is the name given to planets
like Jupiter and Neptune?
2014
IS THE YEAR OF
ENHANCED eBOOKS
WITH ROBUST
INTERACTIVITY
Gas Giants
Gas Monsters
Rocky Dwarves
Rocky Giants
2. Why does Saturn have a longer
year than Earth?
Saturn is closer to the Sun than Earth
Saturn spins slower than Earth
Saturn is bigger than Earth
Saturn is further away from the Sun
than Earth
Interactive eBooks

44.  Embrace collaboration (Editorial, Digital,
Technology, etc). Hard personnel/HR decisions
to unify Print & Digital folks
23%
 Product Planning (Digital & Print output to be a
part of Unified Strategy)
less important
2%
 Provide ample professional development
far less important
 Cultural Change for Print & Digital (i.e., Editorial
to choose a programmer not just a copyeditor)
How important is
Innovation to
 Communication & Periodical (Daily/Weekly
review with various stakeholders)
 Change Control Management / Governance
 Develop a Pilot/Proof of Concept with
Stakeholders and Sponsorships
 A Marathon, Not a Sprint
PLAN & EXPECTATIONS
the success of my
company compared to
Operational
Excellence?
64%
equally important
3%
far more important
8%
more important

45. Artwork
Author
Manuscript
PrintEdit/Content
Style
Content &
Image
Extraction
XML Edit
XML Parser
QA
Copyedit /
Proofread
Typesetting
PreEdit/Content
Style
XML to HTML
PDF
QC/QA
(InDesign/Quark/3B
2/XPP)
HTM loaded
into
Online/Product
PDF for Print
Transform
to XML
Online
QA
Traditional Workflow: Print First, Digital Last
Release

46. Artwork
Author
Manuscript
Export XML
PrintEdit/Content
Style
XML Edit
Copyedit /
Proofread
XML Parser
QA
Transform
to XML
XML to HTML
XML Edit
Typesetting
PDF
QC/QA
(InDesign/Quark/3B
2/XPP)
HTM loaded
into
Online/Product
XML (First) Workflow: Print First, Digital Last
Online
QA
PDF for Print
Release

47. Artwork
Author
Manuscript
Export XML
PrintEdit/Content
Style
XML Edit
Copyedit /
Proofread
XML Parser
QA
Transform
to XML
XML to HTML
XML Edit
Typesetting
PDF
QC/QA
(InDesign/Quark/3B
2/XPP)
HTML loaded
into
Online/Product
Rich Media
multaneous Publishing: Print & Digital (XML intact)
Online
QA
PDF for Print
Release

48. Artwork
Author
Manuscript
PrintEdit/Content
Style
Copyedit/Pro
ofread
Transform
to XHTML
XHTML Edit
Parser/
QA
XHTML loaded
into
Online/Product
Online
QA
Rich Media
Online/Authoring and
Publishing Platform
Author
Manuscript
Artwork
Copyedit/Pro
ofread
Rich Media
Digital Only
XHTML Edit
Parser/
QA
Publish
Online &
Device QA
Release
Release

49. XML
(Generate from
Manuscript)
(Word)
TypeCoded/
CopyEdited
Manuscript
XML imported
into InDesign
Master File
PDF Print
InDesign Master
File (New/Reused)
Manuscript
Final XML Export
from InDesign File
PDF
Proof
PDF for Print
Transform XML
to EPUB
Rich Media/
HTML5 Assets
Edit/Digital
Suppressions
applied to XML
XML First Production
Edit/Update
StyleSheet
Course Objectives
& Assessments
XML
Parser/Validation
Open Source eBook
EPUB
Check/Validation
XML Courses &
Media Ingested into
Online Platform
QA (Desktop/
QA (Online
Mobile)
EPUB Distributed
to Retailers
Rich Media, HTML5, Course Cartridge
& Assessments created using
proprietary or open standards
Proprietary eBook
Platform)
eBook to
Production/Live
Server
Unified Approach: Print & Digital
Proprietary Platform—eBook, Courses,
Assessments & Interactive Assets

50. Content
Modules
TEXT
TEXT
Pages
Lessons
Courses
Curriculum
We’re not publishing
PAGES, but publishing
CONTENT as assets
which are then
organized by metadata
dynamically into
pages.
John O’Donovan
BBC & Publishers Association
Structured Approach: Learning Object / Outcome

51. No Risk
Slight Risk
Moderate Risk
Large Risk
Significant Risk
Challenges to Digital Transformation

52. Most Important Ingredients
Constraints
Innovation

53. As early adopters of the Mark Logic server and an XMLfirst workflow, we appreciate that UPSO uses these same
tools to optimize discoverability.
We are convinced that features such as chapter-level
tagging and chapter abstracts will encourage the use of
our monographic content.
Ellen Faran
Director, The MIT Press
Digital First: Recent Publisher Announcements

54. HarperCollins Expands Digital First
This spring saw a new push by HarperCollins to enhance
its digital-first lines with the launch of Witness Impulse, a
digital mystery, suspense, and thriller line that will release
its initial ten titles in October under the William Morrow
Impulse imprint.
Library Journal
June 14, 2013
Digital First: Recent Publisher Announcements

55. Harlequin Expands Digital First Efforts
Harlequin is expanding its publishing programs with the
launch of new digital first initiatives. The Harlequin,
Harlequin Teen, Harlequin Mira, and Harlequin HQN
imprints will all publish e-book originals in the coming
months.
Publishers Weekly
August 14, 2013
Digital First: Recent Publisher Announcements

56. Elsevier launches Open Video Journal
Publisher Elsevier has launched a new open journal on
gastrointestinal (GI) endoscopy that includes videos with
each article. According to Editor Jürgen Pohl, the Video
Journal and Encyclopedia of GI Endoscopy includes the
videos because "many pathologies, current endoscopic
techniques, and materials are too complex to be explained
by conventional written articles.”
August 12, 2013
Video to Existing Content: Recent Announcement

57. The past does not buy the future…
the future must be built.
The road to the future can be built…
But not if we insist on building it
with models from the past.
@JXPAXTON

58. Thank You
John Wheeler
SVP - Strategy & Emerging Technologies
SPi Content Solutions

59. Strategic Value through
Professional Services
Discovery/
Enrichment
Experience/
New Media
Platforms/
Delivery
Technology
Core Services
High-Value Offerings Built on a Solid Base

60. Strategy &
Technology
Creating solutions to
meet emerging needs
The latest industry and
market trends impacting
client needs
Research &
Development
Marketing
Positioning the solution
in the marketplace
High-Value Offerings Built on a Solid Base

61. Available on All of the Important Platforms

62.  Accept any content as PDF, XML or e-pub.
 Content can contain audio/video/
HTML5/Hyperlinking
 Full bookmarking/Footnotes/Internal Linking
 Distribute across a range of AppStores
(Apple/Google/Windows)
 Integrate single-user account across multiple
devices and AppStores – content consumers are
not locked into any single one device or ecosystem
 Support for non-European languages
A Progressive Solution

63. Low Set – up Costs for Content
and Customer Management
Support in-App single and subscription purchases
Support of out-of-App single and subscription purchases
Future Proof in Platforms or Devices
Each App is an online retail store to each Publisher
$
Handle all money matters relating to online sales
Full analytics on downloads and sales
A Progressive Solution

64. Publishing
Solutions
ePublishing/
Digital Solutions
Production
Production
Conversion
Conversion
Content
Content
Engineering
Engineering
Data enrichment
Data enrichment
Help Desk
Help Desk
Creative Services
Creative Services
Authoring Tools
Authoring Tools
Editorial
Editorial
eBooks
eBooks
DB Design/
DB Design/
Maintenance
Maintenance
SME Support
SME Support
Back Office Services
Back Office Services
Business Editorial
Business Editorial
Structuring Tools
Structuring Tools
Project
Project
Management
Management
New Media
New Media
Platform Migration
Platform Migration
Content Mining
Content Mining
Business Research
Business Research
Workflow Tools
Workflow Tools
High Volume Data
High Volume Data
Encoding
Encoding
Web Scraping
Web Scraping
Custom e-Comns
Custom e-Comns
Conversion Tools
Conversion Tools
Prod Editor
Prod Editor
Databases/
Content Platforms
Content Enrichment
Customer Support
Services
Marketing Services
Support
Content Technology
Peer Review Support
Peer Review Support
3.5+ M pages
3.5+ M pages
Large Conversion
Large Conversion
Projects
Projects
Med //legal DBs Sp
Med legal DBs Sp
100+ SMEs
100+ SMEs
(PhD/ Masters)
(PhD/ Masters)
18 publisher
18 publisher
processes
processes
2,000+ marketing
2,000+ marketing
materials created
materials created
SPiCE
SPiCE
2+ M pages CE
2+ M pages CE
160 M pages Archive
160 M pages Archive
DB Maintenance:
DB Maintenance:
1M ++records
1M records
500K+ records
500K+ records
scraped
scraped
150+ FTEs
150+ FTEs
50+ FTEs
50+ FTEs
SPiCON
SPiCON
1M pages PM
1M pages PM
300+ eBooks
300+ eBooks
(Interactive)
(Interactive)
Web Research: 5M ++
Web Research: 5M
recs
recs
IPF
IPF
PE 500+ journals
PE 500+ journals
550+ KKpages test
550+ pages test
banks
banks
Encoding: 300+ M
Encoding: 300+ M
recs
recs
XPUB
XPUB
iWork
iWork
Extensive Scope and Scale of Services

65. A Rapidly Changing Part of Our Business

66. Today’s Smartphone User

67. 








EPUB
Kindle
DocBook
DITA
NLM
NIMAS
Section 508
DTB
Audio Sync
Unified Approach: Open Standards
 Common
Cartridge
 QTI
 SCORM
 LTI





HTML 5
Flash Cards
Audio
Video
Games

68. QTI
Examview / Respondus
Mobi / Kindle
Assessments
Clickers
CourseSmart
EPUB
VitalSource
e-Books
Learning Management
Systems (LMS)
Marked-up
Content
Courses
CC / SCORM
DITA/TEI
Inkling
DocBook
NLM
(XML/HTML5)
HTML
NIMAS
Section 508
Accessibility
Audio Sync
Multi-Channel Publishing
PDF
Typesetting
(InDesign, Quark, 3B2)
XSLT