By Christopher Lazley
In the digital revolution, few companies carry as much clout as Google. Although its physical headquarters can be found in Mountain View, California, the Google ideation is more than anything an approach to life, a way of doing things, a signifier of innovation of technological initiative and, according to yet another survey released recently, a very nice place to work, too, despite the bad fudge brownies.
The survey, conducted by Payscale, reports that Google employees earn on average about 23 per cent more than their industry counterparts in other companies. The average Googler earns US$141 000 per year , and while it’s tempting to think of an HR ethic solely in terms of pay scales, the true value of the Google organisation is its own brand of off-beat corporate culture.
In January this year, Google awarded all its employees a US$1 000 tax-free bonus as part of an incentive scheme to discourage staff from defecting to principal rivals such as Facebook. It also provides a host of less traditional amenities like gourmet meals, massages, exercise equipment, video games, billiard tables, and snack rooms. The company is clear about the need to catalyse new modes of thinking in an ultra-competitive market segment.
Just recently, Mashable reported that Google is now embarking on its largest hiring scheme to date. In an interview with Bryan Power, a people operations manager who oversees all of Google’s hiring in North and South America, it was made apparent that there’s no one-size-fits-all policy about staff recruitment and retention. “Google knows the world changes quickly,” said Power, “and we need people who can adapt and take on different challenges. A lot has changed in the last five years, and the next five years will [change] too. We need people who can adapt and take on different challenges.”
Power says that some interviewees will even arrive in board-shorts and T-Shirts, but manage to impress the company with their sharp intellect. Others, decked in their sartorial best, just weren’t prepared. Part of Google’s corporate philosophy, in fact, is that “you can be serious without a suit.” In this way, it has tended to make some pioneering steps toward fostering truly creative throughout that stretches the more traditional mold of corporate doppelgangers in grayscale suits and black briefcases.
One of the challenges that some multinational corporations face is trying to attract an industry-leading workforce amidst competition from ostensibly more attractive companies like Google. Who doesn’t want free lattes and recreation during working hours? It’s critical to keep in mind that no single company is perfect.
In an anonymous staff survey thread at Google, one employee said, “A common problem [at Google] is that it’s easy to become spoiled by all the perks. Several offices have developed distinct cultures of entitlement, and people whine about the quality of the fudge on the free brownies. It’s embarrassing to be around people who’ve become like spoiled children.”
Other staff pointed to patent management-line problems and inefficiencies. Google seems as plagued by staff politics as almost any other organisation out there. So while you may regard Google at the holy grail of your career (and perhaps in some ways it is), they aren’t the working man’s utopia. They’re damn close though.
Photocredit: jobsbump.com
Showing posts with label digital media. Show all posts
Showing posts with label digital media. Show all posts
Friday, June 17, 2011
Friday, July 16, 2010
How Traditional Media Houses Can Cope in the 21st Century
By Aidan Prinsloo, the Newcomer
How do traditional media houses adapt to the digital age? The resounding consensus on this subject is that media houses need to learn how to incorporate social media. The economic recession and what Megan Knight, Senior Lecturer in International Journalism at the University of Central Lancashire, calls a self-fulfilling rumour mill are driving advertisers away from print media. This is not all too bad, if one considers that advertisers still need to rely on the media to access the public. Rather, they are slowly shifting to social media – a move that can be harnessed by media houses.
Julie Posetti, a journalism lecturer at the University of Canberra, holds that media houses need to be flexible in their approach to content. That is, they need to learn how to incorporate professional journalism with civilian journalism, social media with investigative journalism, traditional platforms with digital platforms. Online media may bring a lower turnover, but it allows for news agencies to tap directly into the needs and wants of their audiences. By doing so, news agencies can remain relevant to their target markets.
One thing news agencies will have to accept is that they can no longer tap into generalised audiences. Knight points out that, while in the 20th century families would watch, read and listen to the news together; today people are far more individualistic. Certain groups of people tend to watch certain types of news – something that has been true since the beginning of time. News agencies should accept that they now appeal to particular niches and should focus on delivering content which appeals to those niches.
Professor McAdams of the University of Florida points out that people have always wanted news, and that people have always sought out news that they find pertinent to their lives. Instead of seeing social media as a threat to investigative journalism, one should realise that it is simply a new platform for social news – something people have always been interested in.
With this in mind, Matthew Buckland, of Memeburn.com, holds that the best business model for media companies operating in both traditional and digital spheres is not the convergence model. In the convergence model, the same content is developed by the same teams for different platforms. Yet, the content and nature of digital news and the way we consume it is significantly different to that of traditional media. It would be misleading to approach the two arenas with the same expertise. Different strategies are required in each sphere for them to be successful and therefore each platform should have a separate division focussed on it.
As media houses change to accommodate these developments in the market, they should focus on preserving one of the most important aspects of 20th century journalism: investigative journalism. Posetti argues that journalists are morally obliged to expose events that people would find relevant if they knew about them. She recalls the role of journalism in bringing Apartheid down and what foreign journalism could have prevented in Rwanda. Investigative journalism takes up a very small percentage of viewing time and print space presented by news agencies, but it is undoubtedly the most valuable.
However, investigative teams cost money and take time – two resources of scant availability in a digital age. Two possible models have been suggested for sustaining investigative journalism: opening up the process to the public and public funding. In the first, Spot.us serves as model in which journalist post proposals for investigative projects online and the public votes for, and subsequently contributes towards, the projects which they feel are the most relevant. The second option is state-funded journalism such as the BBC and the SABC. Naturally, the problem of people and organisations’ agendas interfering is ever present – but when has it not been? What is required is professional and civilian journalists who are passionate about spreading relevant and truthful news, and this passion needs to be supported by the public.
Fears that we are seeing the end of journalism as it has been practiced in the past 400 years seem to be unfounded. Yes, the way news and journalism is being approached is changing, but it has always changed. Before the rise of online media, people were afraid that radio would destroy print, that television would destroy radio and so forth. Instead, with each development, we have witnessed the sustained diversification of platforms, each appealing to a slightly different market. The most successful media houses will be those that can adapt to the new landscape while realising that people’s demand for relevant and accurate news has not changed.
Listen to the audio podcasts below:
(* press F5 to Refresh on your keyboard if the video does not appear on your screen)
1. Megan Knight Illustrates the Evolution of Journalism
2. Julie Posetti - Workable Business Models for the Next Decade
3. Prof. Mindy McAdams - Social News as a Precondition in Journalism
How do traditional media houses adapt to the digital age? The resounding consensus on this subject is that media houses need to learn how to incorporate social media. The economic recession and what Megan Knight, Senior Lecturer in International Journalism at the University of Central Lancashire, calls a self-fulfilling rumour mill are driving advertisers away from print media. This is not all too bad, if one considers that advertisers still need to rely on the media to access the public. Rather, they are slowly shifting to social media – a move that can be harnessed by media houses.
Julie Posetti, a journalism lecturer at the University of Canberra, holds that media houses need to be flexible in their approach to content. That is, they need to learn how to incorporate professional journalism with civilian journalism, social media with investigative journalism, traditional platforms with digital platforms. Online media may bring a lower turnover, but it allows for news agencies to tap directly into the needs and wants of their audiences. By doing so, news agencies can remain relevant to their target markets.
One thing news agencies will have to accept is that they can no longer tap into generalised audiences. Knight points out that, while in the 20th century families would watch, read and listen to the news together; today people are far more individualistic. Certain groups of people tend to watch certain types of news – something that has been true since the beginning of time. News agencies should accept that they now appeal to particular niches and should focus on delivering content which appeals to those niches.
Professor McAdams of the University of Florida points out that people have always wanted news, and that people have always sought out news that they find pertinent to their lives. Instead of seeing social media as a threat to investigative journalism, one should realise that it is simply a new platform for social news – something people have always been interested in.
With this in mind, Matthew Buckland, of Memeburn.com, holds that the best business model for media companies operating in both traditional and digital spheres is not the convergence model. In the convergence model, the same content is developed by the same teams for different platforms. Yet, the content and nature of digital news and the way we consume it is significantly different to that of traditional media. It would be misleading to approach the two arenas with the same expertise. Different strategies are required in each sphere for them to be successful and therefore each platform should have a separate division focussed on it.
As media houses change to accommodate these developments in the market, they should focus on preserving one of the most important aspects of 20th century journalism: investigative journalism. Posetti argues that journalists are morally obliged to expose events that people would find relevant if they knew about them. She recalls the role of journalism in bringing Apartheid down and what foreign journalism could have prevented in Rwanda. Investigative journalism takes up a very small percentage of viewing time and print space presented by news agencies, but it is undoubtedly the most valuable.
However, investigative teams cost money and take time – two resources of scant availability in a digital age. Two possible models have been suggested for sustaining investigative journalism: opening up the process to the public and public funding. In the first, Spot.us serves as model in which journalist post proposals for investigative projects online and the public votes for, and subsequently contributes towards, the projects which they feel are the most relevant. The second option is state-funded journalism such as the BBC and the SABC. Naturally, the problem of people and organisations’ agendas interfering is ever present – but when has it not been? What is required is professional and civilian journalists who are passionate about spreading relevant and truthful news, and this passion needs to be supported by the public.
Fears that we are seeing the end of journalism as it has been practiced in the past 400 years seem to be unfounded. Yes, the way news and journalism is being approached is changing, but it has always changed. Before the rise of online media, people were afraid that radio would destroy print, that television would destroy radio and so forth. Instead, with each development, we have witnessed the sustained diversification of platforms, each appealing to a slightly different market. The most successful media houses will be those that can adapt to the new landscape while realising that people’s demand for relevant and accurate news has not changed.
Listen to the audio podcasts below:
(* press F5 to Refresh on your keyboard if the video does not appear on your screen)
1. Megan Knight Illustrates the Evolution of Journalism
3. Prof. Mindy McAdams - Social News as a Precondition in Journalism
Tuesday, July 13, 2010
WJEC 2010 - Journalism Business at Crossroads
By David Moepeng, PDMM student
The business of journalism has been under threat since the advent of internet-supported digital media which gives audiences free access to content. This has resulted in loss of potential revenue for the news media, especially print publishers who are now scouting all over in search of business models through which they can retain audiences, continue to generate revenue and thereby protect the business of journalism from becoming unfeasible.
While digital technology is hailed as a major leap forward for the traditional news media, it has proved to be suicidal and unsustainable for most publishers due to the little revenue that online publications can generate.
As online technology continues to tear apart traditional business models for news media, there is a greater need for viable revenue generating models in digital platforms such as online and mobile.
It remains unclear as to what models the news media will adopt; although, currently, the introduction of access charges for online content seems to be the most favoured.
Speaking in an interview on the sidelines of the recently-ended Highway Africa 2010 conference and the 2nd World Journalism Educators Congress in Grahamstown, South Africa, Joe Foote, Dean of the Gaylord College of Journalism and Mass Communication at the University of Oklahoma, US, advised the news media to be experimental with multiple models.
Foote said the media industry is currently unclear about what business models to adopt as no one knows exactly what will work.
“Whatever business models are adopted, they will be a risk to anyone who tries them so perhaps a couple of years from now we will have had winners and losers and we will know more,” he said.
Foote observed that the simplest model is one that involves paywalls for subscription-based access to news sites, adding that multiple models would need to be applied simultaneously to generate revenue from multiple sources, including through news aggregators such as Yahoo and Google.
He advised that news organisations will have to be more innovative to attract advertisers and consider more reader-tailored advertising. Foote said despite being used by online advertisers already, this model is yet to be adopted by the news media.
Adam Clayton Powell III, vice provost for globalization at University of California believes that mobile applications such as Apple Iphone news applications will also provide a revenue stream for the news media in the future, although currently the pricing for such gadgets and applications limits access.
Powell III also sees the emergence of non-advertising supported news media organisations which will be funded by entities such as non-governmental organizations, governments and other interest groups.
Whatever business model works will, however, depend on the type of publication and the quality and exclusivity of its content.
The internet could therefore become a measurement tool for demand as publications that carry content that is readily available in free platforms may lose readers and go out of business if they introduced pay walls.
Foote gave an example of financial publications in the US such as The Economist, Financial Times, Wall Street Journal and Bloomberg News, which he says are making significant profits.
He also sees small town newspapers surviving the tide due to little competition, but added that this will also depend on quality and relevance of the content.
Click here to listen to a podcast in which Joe Foote spells out his "Tips for New Business Models in the Digital Age":
The business of journalism has been under threat since the advent of internet-supported digital media which gives audiences free access to content. This has resulted in loss of potential revenue for the news media, especially print publishers who are now scouting all over in search of business models through which they can retain audiences, continue to generate revenue and thereby protect the business of journalism from becoming unfeasible.
While digital technology is hailed as a major leap forward for the traditional news media, it has proved to be suicidal and unsustainable for most publishers due to the little revenue that online publications can generate.
As online technology continues to tear apart traditional business models for news media, there is a greater need for viable revenue generating models in digital platforms such as online and mobile.
It remains unclear as to what models the news media will adopt; although, currently, the introduction of access charges for online content seems to be the most favoured.
Speaking in an interview on the sidelines of the recently-ended Highway Africa 2010 conference and the 2nd World Journalism Educators Congress in Grahamstown, South Africa, Joe Foote, Dean of the Gaylord College of Journalism and Mass Communication at the University of Oklahoma, US, advised the news media to be experimental with multiple models.
Foote said the media industry is currently unclear about what business models to adopt as no one knows exactly what will work.
“Whatever business models are adopted, they will be a risk to anyone who tries them so perhaps a couple of years from now we will have had winners and losers and we will know more,” he said.
Foote observed that the simplest model is one that involves paywalls for subscription-based access to news sites, adding that multiple models would need to be applied simultaneously to generate revenue from multiple sources, including through news aggregators such as Yahoo and Google.
He advised that news organisations will have to be more innovative to attract advertisers and consider more reader-tailored advertising. Foote said despite being used by online advertisers already, this model is yet to be adopted by the news media.
Adam Clayton Powell III, vice provost for globalization at University of California believes that mobile applications such as Apple Iphone news applications will also provide a revenue stream for the news media in the future, although currently the pricing for such gadgets and applications limits access.
Powell III also sees the emergence of non-advertising supported news media organisations which will be funded by entities such as non-governmental organizations, governments and other interest groups.
Whatever business model works will, however, depend on the type of publication and the quality and exclusivity of its content.
The internet could therefore become a measurement tool for demand as publications that carry content that is readily available in free platforms may lose readers and go out of business if they introduced pay walls.
Foote gave an example of financial publications in the US such as The Economist, Financial Times, Wall Street Journal and Bloomberg News, which he says are making significant profits.
He also sees small town newspapers surviving the tide due to little competition, but added that this will also depend on quality and relevance of the content.
Click here to listen to a podcast in which Joe Foote spells out his "Tips for New Business Models in the Digital Age":
Labels:
business models,
digital media,
Future Trends,
online news,
WJEC
Tuesday, April 6, 2010
The end of the website
Posted: 05 Apr 2010 04:05 PM PDT
Having been involved in this industry for a very long time, I have the benefit of a long and wide perspective of the business of making the web. This sometimes narrows my thinking, and I have been accused, for example, of not recognising the importance of mobile, or the revolution that is social media. However, [...]
Click on headline link to visit matthewbuckland.com for full article
Having been involved in this industry for a very long time, I have the benefit of a long and wide perspective of the business of making the web. This sometimes narrows my thinking, and I have been accused, for example, of not recognising the importance of mobile, or the revolution that is social media. However, [...]
Click on headline link to visit matthewbuckland.com for full article
Labels:
digital media,
Future Trends,
Mobile Web,
Social media
Thursday, March 25, 2010
Finding a viable media business model in the digital age
By Monique Senekal, Managing Editor
Media enterprises operating in today’s Information Society, whether in developed or developing nations, are facing great uncertainties and challenges as to the specific approach they should be taking in responding to the global digital migration. Today consumers have greater choice and more control over the media they consume.
Just last week the Sol Plaatje Institute for Media Leadership at Rhodes University hosted 12 print media mid-level journalists and managers from across Africa in its first Essentials of Newspaper Management (EONM) short course for the year 2010. I saw this as the perfect opportunity to question the experienced group of print managers not only about their perceptions regarding the all-pervasive debate that the traditional media and, indeed, print media, are forced to develop a new business model to meet the needs of the digital age, the age of discontinuity, but also of the respective business strategies they are employing in responding to the global digital migration.
Quite surprisingly, most of the participants were steadfast in their belief that digital media is not really a threat to their businesses. Many explained that their management teams have had the foresight in using the internet as an extension of their product and/or service.
Shirley Govender, editor and managing director of the community newspaper and online publication Southern Globe, which services the greater Indian population in Lenasia, explains:
“As a monthly publication, we saw it as an imperative to go online because 80% of our audience work in Johannesburg, meaning that they need to commute at least two hours on a daily basis. Online we are able to update content regularly in a cost-effective manner. We therefore saw going online as an opportunity to better our service to our readers, allowing them to go online and catch up with their community news, whenever they have a few moments at work to do so.”
Govender further explains that going online has allowed them to expand their audience reach, now targeting the techno-savvy youth market. Strategically, their website caters not only for the need of the youth to network and interact, but also for the older readers’ need to gather information. Southern Globe’s online strategy also includes inviting readers to submit articles they think may be of interest to their target audience.
The EONM group of print managers are also recognising the value in real-time marketing. That is, they are using the interactive nature of the web for real-time, value-added customer relationship building. For example, Dirk Lotriet, deputy editor at Sondag, asserts that their online strategy for improving their service delivery is to offer the feedback loop, creating producer-consumer dialogue and relationship-building. Sondag has also introduced an interactive SMS section which invites readers to express their opinions and views about Sondag and the articles published in the newspaper. Furthermore, Lotriet adds that their value-added service is to offer picture archives and competitions online.
There is also the possibility for traditional print media to find new ways of generating revenue online. However, Adrian Henwood, co-owner of the Eastern Times community newspaper, Pretoria, is not convinced of the viability in investing in an online revenue generation strategy at the moment.
“There is no money going digital; our income is generated from selling ad space, not sales. Going digital is more about branding, getting our name out there,” he said.
Although Henwood is right in saying that online provides the opportunity for branding, there may be ways to generate extra revenue online for community print media. Perhaps they should think of strategies that offer their online users customised services that are uniquely differentiated from their competitors. The online product could, for example, allow consumers to obtain instant information on advertisers’ products or services to aid them in their crucial purchase decision process. The online site could also offer a ‘bid-or-buy’ section where the community could offer their unwanted goods for auction; they could also offer a point-of-transaction service to its reader and advertiser base which may increase their unique selling proposition to their existing and potential advertiser base.
Then there is the rapid expansion of mobile phones in Africa, which promises to close the digital divide between the haves and have-nots and the urban and rural populations and has made it easier for people to participate in social media networking.
With 28% of the African population having mobile access to date, the mobile phone has shown an exponential growth rate from only 2% in 2000, according to International Telecommunications Union (ITU), an agency of the United Nations. Compared to only 3% with access to the net, the mobile is, indeed, the future of web access in Africa. However, not many of the EONM participants spoke about using the mobile phone as an integral part of their strategic business strategies.
Betsie van der Merwe, co-owner and editor of the Eastern Times community newspaper, acknowledges print media’s need to take note of the opportunities offered by the mobile phone, adding:
“We must engage in mobile; it’s not a real threat to us right now but we must be aware of it."
Although many academics and journalistic critics muse that traditional journalism has fundamentally failed to serve the needs of the public – by being too elitist, selfish, product-orientated rather that consumer-driven – Lotriet counter-attacks and points out:
“Journalism might be failing the academics, but it is definitely not failing the public; our increasing readership proves that we are serving the needs of our target market.”
What emerges from this statement is the reality that the tabloidisation of today’s journalism is another thread coinciding with the digitisation of the media, whether the conservationists of traditional media like it or not. Lotriet asserts that “the success of tabloids, community newspapers and African language publications proves that they are giving people what they want”.
The fact that Sondag is structurally a tabloid newspaper may point to a parallel phenomenon occurring in the new media landscape: that the tabloidisation of the media on the one hand and an increase in user-generated content made possible by an increase in broadband on the other are two phenomena so similar in structure that they can almost be viewed as one and the same. Both assert the need for more grassroots journalism, journalism that is produced bottom-up, rather than top-down.
The question that remains is thus: how can tabloidisation and the increase in user-generated content in the digital age translate into effective and ethical management, the cornerstones of managing any successful business?
The title of this post marks the theme of this year’s African Media Leadership Conference, hosted annually by the Sol Plaatje Institute for Media Leadership and Germany’s Konrad Adenauer Stiftung. The conference, taking place 26-29 September in Cairo, Egypt, will be a key learning and reflective platform where African media’s top dogs will discuss the structural and operational challenges, and the strategies they employ in an effort to remain credible, relevant and competitive in a fast-changing, digitised, market-driven media landscape.
Media enterprises operating in today’s Information Society, whether in developed or developing nations, are facing great uncertainties and challenges as to the specific approach they should be taking in responding to the global digital migration. Today consumers have greater choice and more control over the media they consume.
Just last week the Sol Plaatje Institute for Media Leadership at Rhodes University hosted 12 print media mid-level journalists and managers from across Africa in its first Essentials of Newspaper Management (EONM) short course for the year 2010. I saw this as the perfect opportunity to question the experienced group of print managers not only about their perceptions regarding the all-pervasive debate that the traditional media and, indeed, print media, are forced to develop a new business model to meet the needs of the digital age, the age of discontinuity, but also of the respective business strategies they are employing in responding to the global digital migration.
Quite surprisingly, most of the participants were steadfast in their belief that digital media is not really a threat to their businesses. Many explained that their management teams have had the foresight in using the internet as an extension of their product and/or service.
Shirley Govender, editor and managing director of the community newspaper and online publication Southern Globe, which services the greater Indian population in Lenasia, explains:
“As a monthly publication, we saw it as an imperative to go online because 80% of our audience work in Johannesburg, meaning that they need to commute at least two hours on a daily basis. Online we are able to update content regularly in a cost-effective manner. We therefore saw going online as an opportunity to better our service to our readers, allowing them to go online and catch up with their community news, whenever they have a few moments at work to do so.”
Govender further explains that going online has allowed them to expand their audience reach, now targeting the techno-savvy youth market. Strategically, their website caters not only for the need of the youth to network and interact, but also for the older readers’ need to gather information. Southern Globe’s online strategy also includes inviting readers to submit articles they think may be of interest to their target audience.
The EONM group of print managers are also recognising the value in real-time marketing. That is, they are using the interactive nature of the web for real-time, value-added customer relationship building. For example, Dirk Lotriet, deputy editor at Sondag, asserts that their online strategy for improving their service delivery is to offer the feedback loop, creating producer-consumer dialogue and relationship-building. Sondag has also introduced an interactive SMS section which invites readers to express their opinions and views about Sondag and the articles published in the newspaper. Furthermore, Lotriet adds that their value-added service is to offer picture archives and competitions online.
There is also the possibility for traditional print media to find new ways of generating revenue online. However, Adrian Henwood, co-owner of the Eastern Times community newspaper, Pretoria, is not convinced of the viability in investing in an online revenue generation strategy at the moment.
“There is no money going digital; our income is generated from selling ad space, not sales. Going digital is more about branding, getting our name out there,” he said.
Although Henwood is right in saying that online provides the opportunity for branding, there may be ways to generate extra revenue online for community print media. Perhaps they should think of strategies that offer their online users customised services that are uniquely differentiated from their competitors. The online product could, for example, allow consumers to obtain instant information on advertisers’ products or services to aid them in their crucial purchase decision process. The online site could also offer a ‘bid-or-buy’ section where the community could offer their unwanted goods for auction; they could also offer a point-of-transaction service to its reader and advertiser base which may increase their unique selling proposition to their existing and potential advertiser base.
Then there is the rapid expansion of mobile phones in Africa, which promises to close the digital divide between the haves and have-nots and the urban and rural populations and has made it easier for people to participate in social media networking.
With 28% of the African population having mobile access to date, the mobile phone has shown an exponential growth rate from only 2% in 2000, according to International Telecommunications Union (ITU), an agency of the United Nations. Compared to only 3% with access to the net, the mobile is, indeed, the future of web access in Africa. However, not many of the EONM participants spoke about using the mobile phone as an integral part of their strategic business strategies.
Betsie van der Merwe, co-owner and editor of the Eastern Times community newspaper, acknowledges print media’s need to take note of the opportunities offered by the mobile phone, adding:
“We must engage in mobile; it’s not a real threat to us right now but we must be aware of it."
Although many academics and journalistic critics muse that traditional journalism has fundamentally failed to serve the needs of the public – by being too elitist, selfish, product-orientated rather that consumer-driven – Lotriet counter-attacks and points out:
“Journalism might be failing the academics, but it is definitely not failing the public; our increasing readership proves that we are serving the needs of our target market.”
What emerges from this statement is the reality that the tabloidisation of today’s journalism is another thread coinciding with the digitisation of the media, whether the conservationists of traditional media like it or not. Lotriet asserts that “the success of tabloids, community newspapers and African language publications proves that they are giving people what they want”.
The fact that Sondag is structurally a tabloid newspaper may point to a parallel phenomenon occurring in the new media landscape: that the tabloidisation of the media on the one hand and an increase in user-generated content made possible by an increase in broadband on the other are two phenomena so similar in structure that they can almost be viewed as one and the same. Both assert the need for more grassroots journalism, journalism that is produced bottom-up, rather than top-down.
The question that remains is thus: how can tabloidisation and the increase in user-generated content in the digital age translate into effective and ethical management, the cornerstones of managing any successful business?
The title of this post marks the theme of this year’s African Media Leadership Conference, hosted annually by the Sol Plaatje Institute for Media Leadership and Germany’s Konrad Adenauer Stiftung. The conference, taking place 26-29 September in Cairo, Egypt, will be a key learning and reflective platform where African media’s top dogs will discuss the structural and operational challenges, and the strategies they employ in an effort to remain credible, relevant and competitive in a fast-changing, digitised, market-driven media landscape.
Friday, February 26, 2010
Kenya races ahead of SA to provide varied media menu
By Francis Mdlongwa
A mobile phone company is hurriedly assembling editors and journalists to staff its digital media content distribution hub; a 24-hour television network has been launched both online and offline; and nearly half a dozen private television stations have sprung up.
Welcome to the ‘new’ Kenya. It’s good news for Kenyan audiences, though not necessarily for the incumbent traditional media houses.
The East African nation is quietly racing ahead of South Africa -- long regarded as Africa’s leader in economic, political, military and other fields -- in providing a rich and varied media menu to audiences.
Kenya’s largest mobile phone group, Safaricom, has started hiring editors to comb through local and foreign media to “localise and customise” news stories and information for its mobile subscribers, who, according to the firm’s half-year financials to September 2009, were 15 million in a country of 40 million people.
Could Safaricom be thinking of extending its news service to include deploying its own journalists to cover stories within Kenya and in neighbouring countries? Watch this space.
A new private television station, Kiss Television, which describes itself in Facebook as the “hypiest new TV station in Kenya”, went on air late last year to provide non-stop, 24-hour music for Kenya’s huge youthful audiences.
Operating both offline and online, Kiss serves up a diet of the latest hip hop sounds, rhythm and blues, soul and gospel music. Viewers and listeners phone in or SMS the station or go through the net to select a music video of their choice, which then automatically queues up to play, like the juke box of yesterday’s good, old world.
As well as relying on advertising, Kiss Television’s business model is based on sharing phone-in revenues with its telecoms partner.
Safaricom’s bold entry into journalism and of Kiss TV into the broadcast sector are but only the latest signs of a rapidly growing and dynamic media industry in Kenya since the 1990s liberalisation of the broadcasting and telecoms sectors there.
Safricom’s action in particular has many editors of Kenyan newspapers, radio and television stations worried because it potentially raises significantly competition for audiences among media firms in an already highly segmented and hyper-competitive market.
As David Maingi, head of corporate affairs at Nation Media Group (NMG), the largest media group in East and Central Africa as measured by market capitalisation and media presence in that region, told foreign journalists visiting Kenya recently:
“Kenyan editors are scrambling in all directions searching for answers as to what to do next, wondering about the impact on their media of Safaricom’s entry into the journalistic content market. No one can tell yet what it will be… but we have already been losing a sizeable slice of our market to the current heightened competition.”
As well as the state-run Kenya Broadcasting Corporation, which owns radio stations and a television service, Kenyans now wake up to watch around seven private television stations, most of which broadcast 24 hours across the nation, and to listen to several dozen radio stations, also run by private capital.
The competition for audiences is already stiff and it seems certain it will get tougher in the coming days, weeks and months.
The television stations range from K24, owned by Kenya’s emerging media tycoon and Nairobi University journalism graduate Rose Kimotho; to Nation Television (NTV) and Kenya Television Network (KTN).
NTV is owned by NMG, publishers of the once best-selling Daily Nation and several other newspapers, and KTN is owned by Kenya’s Standard Media Group, which also publishes several newspapers, including the daily Standard.
The news-driven television stations are modelled along the lines of the Atlanta-headquartered Cable News Network and the BBC World Television Service.
But I was most impressed by their fiercely-independent and balanced news, and their well-researched and packaged in-depth news analyses which would be the envy of many people “Down South” and elsewhere around the world. More so in today’s world which is largely dominated by “sound-byte” journalism that gives little meaning and context to the news!
One indicator of growing competition among media is the fact that the daily circulation of the Daily Nation is now around 100,000 versus 200,000 five years ago, Maingi said, noting the big negative impact of the internet and of several media companies that have sprung up in Kenya.
“Through research, we are constantly trying to understand why we are losing these readers,” he said.
“The internet has obviously had a huge impact because it offers free news, but we must re-position ourselves and constantly re-evaluate and renew ourselves if we are still to be the most desirable media leader in this region.”
While it is arguable whether a majority of “monied” Kenyans have access to the internet, it is clear that its advent, combined with new “sensationalist” newspapers which Kenyans brand the “gutter press”, plus new radio and television stations, has significantly raised competition among media for segmented news audiences.
One of the challenges for NMG – indeed for most media around the world– is for the group to work out whether it can make more money out of advertising by going totally online, as the Christian Science Monitor in the US has done, or continuing to serve its audiences with a fuller package offline.
Experience so far from the US shows that newspapers which have moved part of their content online are getting an average of only 12% of their advertising income from this platform – this is despite the fact that most American audiences are online (A year ago, South Africa’s Mail and Guardian reported that its online edition was contributing around 15% of total income).
Of course, the situation in Africa is vastly different, with most audiences and advertisers still relying on the hard-copy editions of newspapers.
In the developed world, advertisers have not exactly followed content online, partly because the advertisers themselves can now go direct to customers using both online and mobile solutions.
One other key lesson for traditional media in the ‘age of discontinuity’, to quote C Christensen, is that they must not willy-nilly jump onto the bandwagon of the digital media platforms, throwing away all the good work which they would have done in the past to be successful.
Yes, they need to experiment and innovate with digital media and never be left behind, choosing what works for their media firms and market. But they need to do much more to perfect their core business (eg being a market leader in investigative journalism or in financial markets reportage) which would have fuelled their success.
Whatever platform media firms choose to use, audiences will still require content that is highly relevant to their needs and wants, is exclusive and helps to improve their lives and is presented accurately, truthfully and in a fair and balanced manner.
Yes, because of the migration of large segments of audiences to digital platforms, especially mobile, it is crucial for a media firm to be present there to experiment with how it can innovatively serve audiences while also making money.
South African media, especially print, should learn a lesson or two from their Kenyan counterparts. One of these is that South African newspapers should take bold steps to prevent a situation like that of the Daily Nation, whose circulation has halved in just a short five years.
There is also a lesson for South Africa from the mushrooming Kenyan media. South Africa needs to move faster in liberalising its broadcast sector so that more players can come in, not just to make the numbers but to add value and diversity in content in a rapidly fragmenting industry.
Sixteen years after South Africa’s freedom, the country south of the Limpopo still has just two main national broadcasters, a development which severely limits audiences’ choices.
Although pay-TV broadcasting licences have been granted to several companies, we are yet to see these come alive and offer a diverse range of content and programming which fosters healthy competition and hopefully gets the nation truly engaged in discourse about how it wants to live and to be governed.
Indeed one could argue that most South Africans can hardly afford to have access to pay television, so there is a need to open up the broadcasting sector to more free-to-air channels for the general public.
A mobile phone company is hurriedly assembling editors and journalists to staff its digital media content distribution hub; a 24-hour television network has been launched both online and offline; and nearly half a dozen private television stations have sprung up.
Welcome to the ‘new’ Kenya. It’s good news for Kenyan audiences, though not necessarily for the incumbent traditional media houses.
The East African nation is quietly racing ahead of South Africa -- long regarded as Africa’s leader in economic, political, military and other fields -- in providing a rich and varied media menu to audiences.
Kenya’s largest mobile phone group, Safaricom, has started hiring editors to comb through local and foreign media to “localise and customise” news stories and information for its mobile subscribers, who, according to the firm’s half-year financials to September 2009, were 15 million in a country of 40 million people.
Could Safaricom be thinking of extending its news service to include deploying its own journalists to cover stories within Kenya and in neighbouring countries? Watch this space.
A new private television station, Kiss Television, which describes itself in Facebook as the “hypiest new TV station in Kenya”, went on air late last year to provide non-stop, 24-hour music for Kenya’s huge youthful audiences.
Operating both offline and online, Kiss serves up a diet of the latest hip hop sounds, rhythm and blues, soul and gospel music. Viewers and listeners phone in or SMS the station or go through the net to select a music video of their choice, which then automatically queues up to play, like the juke box of yesterday’s good, old world.
As well as relying on advertising, Kiss Television’s business model is based on sharing phone-in revenues with its telecoms partner.
Safaricom’s bold entry into journalism and of Kiss TV into the broadcast sector are but only the latest signs of a rapidly growing and dynamic media industry in Kenya since the 1990s liberalisation of the broadcasting and telecoms sectors there.
Safricom’s action in particular has many editors of Kenyan newspapers, radio and television stations worried because it potentially raises significantly competition for audiences among media firms in an already highly segmented and hyper-competitive market.
As David Maingi, head of corporate affairs at Nation Media Group (NMG), the largest media group in East and Central Africa as measured by market capitalisation and media presence in that region, told foreign journalists visiting Kenya recently:
“Kenyan editors are scrambling in all directions searching for answers as to what to do next, wondering about the impact on their media of Safaricom’s entry into the journalistic content market. No one can tell yet what it will be… but we have already been losing a sizeable slice of our market to the current heightened competition.”
As well as the state-run Kenya Broadcasting Corporation, which owns radio stations and a television service, Kenyans now wake up to watch around seven private television stations, most of which broadcast 24 hours across the nation, and to listen to several dozen radio stations, also run by private capital.
The competition for audiences is already stiff and it seems certain it will get tougher in the coming days, weeks and months.
The television stations range from K24, owned by Kenya’s emerging media tycoon and Nairobi University journalism graduate Rose Kimotho; to Nation Television (NTV) and Kenya Television Network (KTN).
NTV is owned by NMG, publishers of the once best-selling Daily Nation and several other newspapers, and KTN is owned by Kenya’s Standard Media Group, which also publishes several newspapers, including the daily Standard.
The news-driven television stations are modelled along the lines of the Atlanta-headquartered Cable News Network and the BBC World Television Service.
But I was most impressed by their fiercely-independent and balanced news, and their well-researched and packaged in-depth news analyses which would be the envy of many people “Down South” and elsewhere around the world. More so in today’s world which is largely dominated by “sound-byte” journalism that gives little meaning and context to the news!
One indicator of growing competition among media is the fact that the daily circulation of the Daily Nation is now around 100,000 versus 200,000 five years ago, Maingi said, noting the big negative impact of the internet and of several media companies that have sprung up in Kenya.
“Through research, we are constantly trying to understand why we are losing these readers,” he said.
“The internet has obviously had a huge impact because it offers free news, but we must re-position ourselves and constantly re-evaluate and renew ourselves if we are still to be the most desirable media leader in this region.”
While it is arguable whether a majority of “monied” Kenyans have access to the internet, it is clear that its advent, combined with new “sensationalist” newspapers which Kenyans brand the “gutter press”, plus new radio and television stations, has significantly raised competition among media for segmented news audiences.
One of the challenges for NMG – indeed for most media around the world– is for the group to work out whether it can make more money out of advertising by going totally online, as the Christian Science Monitor in the US has done, or continuing to serve its audiences with a fuller package offline.
Experience so far from the US shows that newspapers which have moved part of their content online are getting an average of only 12% of their advertising income from this platform – this is despite the fact that most American audiences are online (A year ago, South Africa’s Mail and Guardian reported that its online edition was contributing around 15% of total income).
Of course, the situation in Africa is vastly different, with most audiences and advertisers still relying on the hard-copy editions of newspapers.
In the developed world, advertisers have not exactly followed content online, partly because the advertisers themselves can now go direct to customers using both online and mobile solutions.
One other key lesson for traditional media in the ‘age of discontinuity’, to quote C Christensen, is that they must not willy-nilly jump onto the bandwagon of the digital media platforms, throwing away all the good work which they would have done in the past to be successful.
Yes, they need to experiment and innovate with digital media and never be left behind, choosing what works for their media firms and market. But they need to do much more to perfect their core business (eg being a market leader in investigative journalism or in financial markets reportage) which would have fuelled their success.
Whatever platform media firms choose to use, audiences will still require content that is highly relevant to their needs and wants, is exclusive and helps to improve their lives and is presented accurately, truthfully and in a fair and balanced manner.
Yes, because of the migration of large segments of audiences to digital platforms, especially mobile, it is crucial for a media firm to be present there to experiment with how it can innovatively serve audiences while also making money.
South African media, especially print, should learn a lesson or two from their Kenyan counterparts. One of these is that South African newspapers should take bold steps to prevent a situation like that of the Daily Nation, whose circulation has halved in just a short five years.
There is also a lesson for South Africa from the mushrooming Kenyan media. South Africa needs to move faster in liberalising its broadcast sector so that more players can come in, not just to make the numbers but to add value and diversity in content in a rapidly fragmenting industry.
Sixteen years after South Africa’s freedom, the country south of the Limpopo still has just two main national broadcasters, a development which severely limits audiences’ choices.
Although pay-TV broadcasting licences have been granted to several companies, we are yet to see these come alive and offer a diverse range of content and programming which fosters healthy competition and hopefully gets the nation truly engaged in discourse about how it wants to live and to be governed.
Indeed one could argue that most South Africans can hardly afford to have access to pay television, so there is a need to open up the broadcasting sector to more free-to-air channels for the general public.
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