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THE


NEWS
CHALLENGE

   P.
P. ADVERTISERS ARE REACTING AND ADJUSTING
           While total ad revenues continue to decline, circulation revenue actually hold steady over time. This is
           very promising for the news industry, whose circulation revenue is constantly threatened by the growth
           of digital subscriptions, news apps, and online news curations.




50000



37500



25000



12500



    0
        1979   1981   1983   1985   1987    1989    1991     1993     1995     1997     1999   2001   2003   2005   2007   2009   2011

                                                                                                        Most newspapers cannot survive
                                                           Total	
  Ad	
  Revenue                       on circulation revenue alone.
                                                           Total	
  Circula2on	
  Revenue

                                                                                                                                         9/2
P. TIME IS RUNNING OUT thousands)NEWS ORGANIZATIONS
                                              FOR
                                          The rules of competition are
    Every day, there are hundreds (sometimes,     of new websites added to the web. All of
        them are competing for attention. And some of them, are competing for the attention of your users.



                                                   changing
                                                                                              Too late




                                                                                                             6/21
P. TIME ISacross the world are downsizingFOR NEWS ORGANIZATIONS
    Newsrooms
              RUNNING OUT
                                          their staff due to declines in print subscriptions and
        general advertising revenue.




                                                                                                   6/21
P. TIME ISacross the world are downsizingFOR NEWS ORGANIZATIONS
    Newsrooms
              RUNNING OUT
                                          their staff due to declines in print subscriptions and
        general advertising revenue.




                                                                                                   6/21
P. THERE IS HOPE IN ONLINE ADVERTISING REVENUE
    Over the past few years, print advertising revenue continues to fall, while online advertising revenue is
    growing. However, many newsrooms still do not have a clear strategy for monetizing the ads on their
    website.




                50000                                                                      4000


                37500                                                                      3000


                25000                                                                      2000


                12500                                                                      1000


                      0                                                                        0
                           2003 2004 2005 2006 2007 2008 2009 2010 2011

                                                  Print           Online




                                                                                                                8/2
P. WHY ARE NEWS ORGANIZATIONS NOT ADAPTING?



                              Many newspaper organizations in Latin America are still adapting to social networks and
DELAYED ADAPTION              mobile, as well as understanding the content that drives a user-driven Web 2.0 world


            Web 1.0                                            Web 2.0                                      Web 3.0



   Print                Web                         Social                        Apps                           ?


1800-2002             2005-today                  2008-today                   2011-today                      2014
P. WHY ARE NEWS ORGANIZATIONS NOT TAKING ACTION?
    News organizations are typically reactive, not proactive. In other words, change is oftentimes only made
         when it becomes inevitable. Unfortunately, in digital, when change is inevitable, it is also too late.




            Few	
   news	
   sites	
   prac-ce	
   two-­‐way	
                          In	
  almost	
  all	
  cases,	
  no-­‐one	
  on	
  the	
  editorial	
  or	
  
            conversa-ons	
  with	
  their	
  audience,	
                                technical	
  team	
  knows	
  from	
  where	
  and	
  how	
  
            online	
  and	
  on	
  social	
  networks                                   much	
  revenue	
  is	
  generated	
  from	
  the	
  
                                                                                        company’s	
  website

            Few	
  news	
  sites	
  have	
  a	
  CMS	
  that	
  is	
  fully	
  
                                                                                        Most	
  news	
  organiza-ons	
  use	
  the	
  same	
  news	
  
            accommoda-ng	
  to	
  SEO
                                                                                        feeds	
  (AP,	
  Reuters)



            Most	
  news	
  organiza-ons	
  s-ll	
  treat	
                             Several	
  news	
  sites	
  are	
  s-ll	
  using	
  
            print	
  and	
  digital	
  news	
  the	
  same	
  way                       a	
  10	
  year	
  old	
  website	
  design




                                                                                                                                                                        6/21
P. THE INTEGRATED DIGITAL NEWSROOM and that integrated media can be
    Readers are now learning that the lines between offline and online are blurring
       both entertaining and instant.




 The Big Problem:

 Traditional and digital news
 departments do not integrate
 well and often fail to
 communicate altogether.
P. THE BATTLE OF THE DEPARTMENTS blurring and that integrated media can be
      Readers are now learning that the lines between offline and online are
                   both entertaining and instant.




TRADITIONAL                                                            DIGITAL                                                           DIGITAL
JOURNALISM                                                       VS.   JOURNALISM                                             +          PRODUCTION
•The	
  king	
  of	
  news	
  content                                  •Write	
  for	
  the	
  web
•Established	
  and	
  well	
  experienced	
  journalist               •Less	
  text,	
  more	
  context
•Thorough	
  research	
  done	
  for	
  each	
  ar-cle                 •More	
  use	
  of	
  images,	
  videos,	
  and	
  infographics
•Longer	
  editorial	
  process                                        •Inverted	
  pyramid	
  wri-ng
•Tiered	
  editorial	
  process                                        •Smart	
  and	
  wiUy	
  headlines
•Pyramid	
  style	
  wri-ng                                            •Humor
•12-­‐24hr	
  publica-on	
  for	
  most	
  pieces                      •Immediate	
  publica-on	
  and	
  tracking
•More	
  text	
  than	
  anything	
  else                              •Community	
  distribu-on	
  &	
  feedback
•Journalist-­‐generated	
  content                                     •User-­‐generated	
  content
•Entertaining	
  and	
  an	
  overall	
  enjoyable	
                   •Use	
  of	
  keywords	
  for	
  search	
  engines
reading	
  experience                                                  •Proper	
  tagging	
  in	
  content	
  management	
  system
•Created	
  for	
  an	
  audience	
  that	
  enjoys	
  reading         •Proper	
  editorial	
  process
•Single	
  plaSorm	
  publica-on	
  (press)                            •Mul--­‐plaSorm	
  publica-on	
  (mobile	
  vs.	
  pc)
                                                                       •Created	
  for	
  an	
  audience	
  that	
  enjoys	
  skimming




                                                                                                                                                      6/21

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The News Challenge

  • 2. P. ADVERTISERS ARE REACTING AND ADJUSTING While total ad revenues continue to decline, circulation revenue actually hold steady over time. This is very promising for the news industry, whose circulation revenue is constantly threatened by the growth of digital subscriptions, news apps, and online news curations. 50000 37500 25000 12500 0 1979 1981 1983 1985 1987 1989 1991 1993 1995 1997 1999 2001 2003 2005 2007 2009 2011 Most newspapers cannot survive Total  Ad  Revenue on circulation revenue alone. Total  Circula2on  Revenue 9/2
  • 3. P. TIME IS RUNNING OUT thousands)NEWS ORGANIZATIONS FOR The rules of competition are Every day, there are hundreds (sometimes, of new websites added to the web. All of them are competing for attention. And some of them, are competing for the attention of your users. changing Too late 6/21
  • 4. P. TIME ISacross the world are downsizingFOR NEWS ORGANIZATIONS Newsrooms RUNNING OUT their staff due to declines in print subscriptions and general advertising revenue. 6/21
  • 5. P. TIME ISacross the world are downsizingFOR NEWS ORGANIZATIONS Newsrooms RUNNING OUT their staff due to declines in print subscriptions and general advertising revenue. 6/21
  • 6. P. THERE IS HOPE IN ONLINE ADVERTISING REVENUE Over the past few years, print advertising revenue continues to fall, while online advertising revenue is growing. However, many newsrooms still do not have a clear strategy for monetizing the ads on their website. 50000 4000 37500 3000 25000 2000 12500 1000 0 0 2003 2004 2005 2006 2007 2008 2009 2010 2011 Print Online 8/2
  • 7. P. WHY ARE NEWS ORGANIZATIONS NOT ADAPTING? Many newspaper organizations in Latin America are still adapting to social networks and DELAYED ADAPTION mobile, as well as understanding the content that drives a user-driven Web 2.0 world Web 1.0 Web 2.0 Web 3.0 Print Web Social Apps ? 1800-2002 2005-today 2008-today 2011-today 2014
  • 8. P. WHY ARE NEWS ORGANIZATIONS NOT TAKING ACTION? News organizations are typically reactive, not proactive. In other words, change is oftentimes only made when it becomes inevitable. Unfortunately, in digital, when change is inevitable, it is also too late. Few   news   sites   prac-ce   two-­‐way   In  almost  all  cases,  no-­‐one  on  the  editorial  or   conversa-ons  with  their  audience,   technical  team  knows  from  where  and  how   online  and  on  social  networks much  revenue  is  generated  from  the   company’s  website Few  news  sites  have  a  CMS  that  is  fully   Most  news  organiza-ons  use  the  same  news   accommoda-ng  to  SEO feeds  (AP,  Reuters) Most  news  organiza-ons  s-ll  treat   Several  news  sites  are  s-ll  using   print  and  digital  news  the  same  way a  10  year  old  website  design 6/21
  • 9. P. THE INTEGRATED DIGITAL NEWSROOM and that integrated media can be Readers are now learning that the lines between offline and online are blurring both entertaining and instant. The Big Problem: Traditional and digital news departments do not integrate well and often fail to communicate altogether.
  • 10. P. THE BATTLE OF THE DEPARTMENTS blurring and that integrated media can be Readers are now learning that the lines between offline and online are both entertaining and instant. TRADITIONAL DIGITAL DIGITAL JOURNALISM VS. JOURNALISM + PRODUCTION •The  king  of  news  content •Write  for  the  web •Established  and  well  experienced  journalist •Less  text,  more  context •Thorough  research  done  for  each  ar-cle •More  use  of  images,  videos,  and  infographics •Longer  editorial  process •Inverted  pyramid  wri-ng •Tiered  editorial  process •Smart  and  wiUy  headlines •Pyramid  style  wri-ng •Humor •12-­‐24hr  publica-on  for  most  pieces •Immediate  publica-on  and  tracking •More  text  than  anything  else •Community  distribu-on  &  feedback •Journalist-­‐generated  content •User-­‐generated  content •Entertaining  and  an  overall  enjoyable   •Use  of  keywords  for  search  engines reading  experience •Proper  tagging  in  content  management  system •Created  for  an  audience  that  enjoys  reading •Proper  editorial  process •Single  plaSorm  publica-on  (press) •Mul--­‐plaSorm  publica-on  (mobile  vs.  pc) •Created  for  an  audience  that  enjoys  skimming 6/21