The Fall of Traditional Media Publisher Like many of the nation's biggest newspapers, the Boston Globe is threatening to fire workers and cut costs as.

The Fall of Traditional Media Publisher

Like many of the nation's biggest newspapers, the Boston Globe is threatening to fire workers and cut costs as advertising sales and circulation numbers decline.

Newspapers that flourished for over a hundred years are now going out of business. In March 2009, the 146-year-old Seattle Post-Intelligencer put out its last print edition and Denver's Rocky Mountain News shut down its presses after close to 150 years of putting out a daily paper.

• Economy, Online Trends Threaten Newspaper Industry• As more Americans turn to online news and the recession eats away at

advertising dollars, some newspapers are going out of business and others are struggling to stay afloat.

Newspapers Adapting to the Web

• Newspapers are having trouble adapting to the Internet

• Although newspapers like the New York Times have successful Web sites with free content, they have trouble collecting enough revenue through

online advertising.

What about a new way to read news?

The Kindle can display books and newspapers on its large screen.  And Amazon has made a deal with the Washington Post and the New York Times to give people a discount on the device if they sign up for a Kindle subscription to one of their newspapers.

Source: 2008 survey, Pew Research Center for the

People and Press

• Overall, 37% of public get news online.

• 35% of internet users went online at least three days a week.

Key News Audiences Blend Online and Traditional Sources

NEW MEDIA

The Evolution of Online Advertisement

The Ad Networks1. The Middle Man

* The bridge between advertisers and publishers

2. The Major Networks* Google Double Click and Google AdSense, * Yahoo! Publisher Network

3. Link Aggregators* ValueClick* LinkShare* Commission Junction

4. Smaller Ad Networks* The Long Tail* The OpenX

The Major Ad Networks

Google Double Click

* Offers technology product (DART) & website services

to advertisers and publishers.

Google AdSense

* Offers ad serving application to website owners.

* Advertisements are administered by Google.

* Generate revenue on per-click or per-impression basis.

Yahoo! Publisher Network

* Ad serving provides cost per-click contextual.

* Various tools & services to publishers.

The Link Aggregators

ValueClick* Provides advertising campaigns & programs to advertisers in the U.S. and overseas.* They operate in four segments: Media, Affiliate Marketing, Comparison Shopping, and Technology.

LinkShare* Provides e-commerce sites a programmable pay-per- action marketing network & patented techonology.

Commission Junction (owned by ValueClick)* Provides advertisers & publishers two key metrics: average earnings per 100 clicks (EPC) and network

earnings

Types of Online Advertising• Banner Ads – Most popular, Many Shapes

and Sizes

• Text Ads – Google Ads, links, etc

• Pop-Up Ads – Annoys web surfers

• Contextual Ads – Within content and targetted

• Site Takeovers – MySpace Promotions

• Application space – Facebook, Myspace,

• Mobile Applications – iPhone & Blackberry

Banner AdsBanner Ads Text AdsText Ads

Common Forms

Site Takeovers

Application Ads

Mobile Applications Ads

Web Analytics• Analytics - measurement, collection, analysis and

reporting of internet data for purposes of understanding and optimizing web usage.

• Gives web publishers and advertisers a criteria to settle on price

• Users – The number of users a site or network has.• Measured by unique ip addresses or site membership statistics

• Generally lots of users can mean lots of revenue for web publishers

• Generally advertisers love lots of users but are more concerned with page views and impressions

• Can be misleading

• Pageviews – Pages rendered by a website• Generally lots of users means lots of pageviews• A common quantifiable measurement• Can help guage how “sticky” a site is

• Impressions - The number of times an advertisement was rendered in a page view

• One page view may contain as many impressions as the web publisher wants

• b) Impressions are another quantifiable meausurement and are directly tied to monetization

• c) Impressions are typically counted by the mil (1000). For every 1000 impressions a site recieves the CPM (Cost per Mill)

• d) CPM's vary widely from pennies to dollars depending on the type of site.

The Analytics Companies• Measure users and pageviews for public

consumption

• a) Google Analytics/Doubleclick - Provides code to enter into any website to track its pageviews

• Purchased the largest ad network, Doubleclick

• b) Omniture - Just purchased by Adobe earlier this week

SEO - Search Engine Optimization

• SEO - Search Engine Optimization– 1.) Optimizing web sites for higher ranks in search

engines to generate higher page views

– 2.) Niche Markets - Small community oriented web sites• a) Targeted Audiences - (Poker Sites, Music Sites,

Gaming Sites, etc...)• b) Can command large commissions if the analytics

are right

MonetizationMonetization process begins

with evaluating possibilities.

Players involved are:• advertisers, • publishers, • and the middlemen

Possible payouts are in • Micropayments

• CPM (Cost per Mil, 1000)• CPC (Cost per Click)• CPA (Cost per Action)

• Signups, Surveys, etc…

• Or fixed pricing.

Methods ofMonetization

• Sponsorship• Cross Advertisement

• Paid Content and Advertorials

• Syndication of Content

• Affiliations• Links

Less Aggressive Methods

• Donations– Loyalty– Responsibility

• Conversion– Indirect Revenue– Generate Interest from

Activities that Eventually Result in Sales

Emerging Markets:

Globalization

Mobile Space: The Next Big Platform

• New cell phone technology

• E-Commerce• Internet on-the-go

India and China

• Critical mass of online users in the next ten years

• Monetizing these markets will be tricky but will have huge rewards

• New millionaires and billionaires will be made in this space

Nanotechnology

• Dictionary: Any fabrication technology in which objects are designed and built by the specification and placement of individual atoms or molecules or where at least one dimension is on a scale of nanometers.

• In their ongoing quest to improve existing products by creating smaller components and better performance materials, all at a lower cost, the number of companies that will manufacture "nanoproducts" will grow very fast and soon make up the majority of all companies across many industries.

Other Technology

• Who knows what the future will bring…