magazines

Managing the magazine component of newspapers

This is the second part of a series about the evolution of print media. Part I here.

A few years ago, the founder of the French daily Liberation was asked what he would do if he had unlimited resources to run his paper: “I would do a magazine everyday”, he said. During the late 80′s, “Libé”, as it was called, stood at the forefront of the transition from a traditional daily newspaper to a magazine-like concept, with long pieces, narrative journalism, reportages… Later in 1994, Libé launched a daily full-page featuring an in-depth profile including a photograph specifically shot for the occasion. It was a brilliant magazine-style piece, done under a demanding editor who did not hesitate to rewrite the story to give it rhythm, breadth and, sometimes, fun. (Usually, in France, dailies don’t get that much editing.) Amazingly, even though it has lost some of its luster, a feature that largely inspired the competition still survives 16 years later.

Magazine writing is still an appealing attribute for a daily paper. Just take a quick poll among your friends: the most notable articles they’ll recall from a newspaper will be magazine-like treatments. From a pure editorial perspective, the “magazinification” of dailies make more sense than ever. Breaking news and even developing stories have been captured by the web and by the mobile internet. In itself, this shift would justify a massive resource reallocation in favor of digital medias.

Having said that, does it make an economic sense to maintain the large editorial operation needed to produce every single day a product closer to a weekly or even a monthly magazine? To what extent do we need to reconsider the journalistic morphing that appeared a smart move ten or fifteen years ago? More

The 2010 Media Watch List

No predictions, just a few of many hot topics for the newborn year.

Paywalls. 2010 could see a significant number of newspapers jumping into the paid-for option. Among the conditions to be met:

- Grouping around a toll collector. It could be Journalism Online in the US, a big media group in Europe, or even Google — should a truce occur between the search giant and publishers. From the user’s standpoint, the payment intermediary must be friction free, able to operate on any platform (web, mobile) and across brands.
Publishers will have to devise a clever price structure. If a knee-jerk move takes them back to the tired basic-content vs. premium-content duality, they are doomed.
- State-of-the-art web analytics affords much more refined tactics around users, platforms segmentation, etc. In addition, a paid-for system must be able to deal with many sources of income, such as monthly subscriptions, pay by-the-click, metering system based on downloads, time spent, etc.
- Publishers must act in concert. In every market, the biggest players will have to carefully coordinate their move to paid-models: everybody must jump at the same time. This is easier said than done: there is always the risk a rogue player will “cheat”, that is break the pact in order to secure a better market position. Also, too much “coordination” could encourage a disgruntled competitor to sue on anti-trust grounds.Daily newspapers shifting to periodicals. How many dailies in the world will shift from seven or five issues a week to three or two? Undoubtedly, many. This is a better trend than it sounds. For breaking news, print is no longer relevant, but it will remain the medium of choice for long-form pieces. Newspapers publishing a few times a week will gain by becoming more magazine-like in their news coverage; they’ll save their story-breaking capabilities for web versions. In this regard, the mobile web will soon become bigger than the original, PC-based variant.
The “instant web” such as Twitter and its offspring will thrive in 2010. The likeliest offshoot is video-twittering as pocket size camcorders continue to spread (see Gizmodo comparison here). These will be supplemented by an upcoming generation of high-definition devices with Net connectivity through wifi or 3G networks.

Advertising Disintermediation. The media buying side is definitely not the sector to be in for the next decade. First of all, ad spending will continue its adjustment to the actual time spent on various medias. In 2008, print captured 20% of advertising dollars for only 8% of the time spent; in comparison, digital got 29% or our time but 8% of ad spending. Those numbers, those discrepancies tell us the correction is far from over.
Unless they devise smarter ways to analyze web audiences (see below, the audience measurement issue) and, as a result, clearly define the true value of each group of users, there is no longer a need for the media buyers’ costly intermediation. The trend is there: the most agile web sites will go directly to brands and advertisers, they will propose sophisticated integration mechanisms for their sites and mobile platforms. So do social networks such as the 25m users French Skyrock (see our case study).
Anyway, Google will settle the intermediation issue as its boss candidly puts it in Ken Auletta’s books (1): “Google wants to be the agent that sells the ads on all distribution platforms, whether it is print, television, radio or the internet. (…) As our technology gets better, we will be able to replace some of their [large companies] internal captive sales forces”. Media buyers, consider yourself notified: you’re toast.
As for the creative side, we hope advertising agencies will, at last, wake up and think of new ways to integrate their messages in digital media layouts (as in print), rather than trying to divert users away from media sites (see previous Monday Note on the inherent design flaws of the internet). More

A Case Study: Le Figaro’s Advertising Gamble

Let’s start with a counterintuitive move: At a time when, all over the world, publishers are  tired of the red-ink their printing plans produce and dream of dumping the dinosaurs, the historic French daily Le Figaro fires up this Monday a brand new €80M printing facility to launch a redesigned edition. Behind this apparently irrational decision lies a gutsy but calculated bet to change French advertising habits.



French  newspapers love what they call
Une Nouvelle Formule. As the Fall approached, the left-leaning Libération launched its own, then Le Monde retooled its weekly magazine. “Libé” is betting on an elegant graphic redesign; fine, but this is merely a diversion, a way to avoid painful challenges such as editorship, insightfulness, content relevance.
Le Monde Magazine wishes to reconnect an excellent but elitist magazine to the advertising market and, incidentally, to its readers. To beef up its mag operation, Le Monde brought in a new seasoned editor, a new art director and relies on an abundance of journalistic or photographic talent at and around the paper in order to produce high-quality content.
How these two initiatives will fare is too early to tell. Le Monde’s mag was launched Friday, as for the redesigned Libé, it is barely a week old.

Le Figaro’s move is both more ambitious and much riskier. First, let’s have a look at the company’s fundamentals. More

Media: What’s left for the brand ?

A well-established brand is supposed to be a key asset. Everybody keeps dreaming of building a long-lasting brand with lots of positive attributes. How true is it for media ? In the rapidly changing environment, in the massive shift towards electronic media (and the vaporization of value that goes along with it), how relevant is the notion of media brand?

Quite important, actually. Brand management must be handled with great care, especially when business models are threatened. The brand becomes a critical line of defense, and a strategic component to build upon. There are conditions, though, to the survival of media brands — and to the emergence of new ones. More

The Niche Temptation

Update : Newsweek just launched its brand new site today. Story on the Editors Weblog.

Very few industries are tempted to drastically and willingly reduce their base in order to increase each customer’s value. The magazine sector is one such industry. This month, Newsweek gets its strategic turnaround under way: a redesigned magazine, less news and more added value content – coupled with a deliberate plan to shrink its reader base.

This deserves watching: Newsweek’s moves epitomize the fragmentation the news business, a trend that will force magazine and newspaper publishers to take decisive steps.

The magazine sector is suffering even more than the newspaper industry: its bigger dependence on the advertising market makes it even more vulnerable to the economy’s downturn and to the shift towards the internet. Here is the picture for the American market, based on Q1 2009 vs. Q1 2008 (source: Magazine Publishers of America, numbers have been rounded).

In gross advertising dollars, the overall market lost 26.1 % over a year after a loss of 11.7% for the full year 2008. Here is a sample a European audience can relate to:

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