Brand safety measures are a key concern for advertisers given recent headlines highlighting safety limitations in the programmatic advertising buying process. Advertisers and brand marketers often resort to open exchanges and ad networks for large volumes of inventory and to reach demographic targets. As a result, their ads may be found next to offensive or inappropriate digital and video content. The CMO Council, in partnership with Dow Jones, examines the impact of unsuitable ad placement on consumer satisfaction and perception of digital advertising in their research report “How Brands Annoy Fans.”
To provide context, the research also provides insights on the consumers’ view of the digital content environment. A full three-quarters of the 2,000 consumer respondents surveyed in North America and in the UK report that they are concerned with the growing number of fake and biased news sites. Further, consumers surveyed rank social media last among their five most trusted information channels, following friends, TV, search engines and newspapers. As a result, 60% of respondents now seek their content from brand sites with trusted content.
These findings indicate that environment impacts the overall advertising experience. Most consumers (88%) state a negative advertising experience may make them think differently about the advertised brand. Nearly half of all consumers (48%) indicate they would rethink purchasing brands or would boycott products whose ads appear alongside digital content that offends or concerns them. Further, 38% report they would lose trust in a brand that advertises next to objectionable content.
Importantly, ad placement in specific channels has a direct impact on how consumers perceive those brands. Additional findings on the effect of ad placement on consumer intent include:
64% of consumers state they respond better to ads delivered from a trusted news site than those that appear on social media or search.
If ads are near to objectional content, 37 percent report it changes how they think of the brand, and 11% state they will boycott the brand.
Advertisers and programmatic platforms need to take these findings to heart as consumers are ready and willing to their business elsewhere. Importantly, where marketers run their ads is just as important as the ads themselves. Brands need to ensure their ads are adjacent to appropriate content among trusted-brand websites in well-lit environments.
What makes a great headline, and why? How can headlines make the casual skimmer stop and read? While much has changed in media’s shift from print to digital, these fundamental questions haven’t. Editors and writers correctly describe headline writing as an art — but with all the technology out there, there is a scientific way to put evidence behind that art, and help publishers grow their engaged readership as a result.
Changing behaviors
Reading, scanning, skipping, sharing – our reading behaviors have changed dramatically in recent years. Chartbeat data shows that on average, only around half (55%) of readers who click through to content actually read what they land on.
The context of headline writing has changed as well. Media objectivity, which involves writing factually true and balanced content, is sometimes at odds with the goals of social media marketing, which values metrics like shares, likes and clicks. Increasing readers’ engagement with content can align objectivity and editorial integrity with the need to grow audience in a world where more than half of traffic to publisher sites is driven by platforms like Facebook.
However, publishers can support those better reading behaviors. Recent Chartbeat research shows that despite our changing reading and writing habits, there are scientific ways to improve the likelihood that something will get read.
The role of language and technology
In an analysis of around 100,000 headline tests and 250,000 individual headlines, we examined linguistic traits of successful and unsuccessful headlines and found that language really does matter.
What we see is that words like “what” and “where,” as well as numbers, quotations and superlatives (like best and worst) lead to more readership, whereas using question marks or time references can actually hurt. Interestingly, short headlines actually have a negative effect on readership of content as well, whereas notably longer headlines have no effect.
In a separate study, we also looked at the impact of headline testing technology and its ability to improve the number of visitors who read for more than 15 seconds. What we found surprised us. In a comprehensive evaluation of headline tests that use Chartbeat’s multi-armed bandit testing model, we discovered that alternative headlines – ones that, without testing, would never have seen the light of day – outperform the original roughly two-thirds, or 62% of the time. That means most headline writers only get headlines right the first time for 38% of stories. But technology can vastly improve these results.
A headline should not only entice readers to click and see more; it should drive consumption of a story. Of those 62% of stories, the alternate headline saw on average a 78% lift in traffic. It also led to a 71% lift in readership, measured by quality clicks: visitors who spend more than 15 seconds or more of engaged time with an article.
The bottom line
While gut instinct around language matters, technology can enhance that ability to find the right fit between content and audience. This, in turn, can dramatically improve engagement with content.
These days, publishers wear many hats. They have to write, edit, promote, monetize, optimize and grow quality audiences. The good news is that science — both in terms of predictive modeling and engagement-focused technologies — can help us improve the imperfect art of writing so we can better connect with readers and, ultimately, with each other.
Fraudulent news poses new challenges in today’s digital society. As such, there is a need for best practices and practical solutions to repair tainted digital information streams. In an effort to develop effective solutions and remedy the information disorder, the Council of Europe commissioned research to delve into the digital information and communication process. The newly released report, Information Disorder: Toward an interdisciplinary framework for research and policy, offers a detailed insights at a global scale and examines the agents, messages, and audiences involved.
The term “fake news” was intentionally not used in the report. Instead, three new terms were introduced to better define the reporting and sharing of false and inaccurate information.
Dis-information is false information purposely created to harm a person, a social group, an organization or a country.
Mis-information is false information not created with the intention of initiating harm.
Mal-information information that is based on reality used to bring harm to a person, a social group, an organization or a country.
The phases and elements of information disorder
Three components are identified in the process of information disorder: the agent, the message, and the interpreter. Agents are involved in all phases of the information chain from its creation, production to distribution. It’s important to explore and provide context to agents to identify them and their motivation. Discovering who the agent is, and the purpose of the message is an important part of the evaluation to help stop the information disorder process.
Evaluating the agent
Is the agent acting as an official person/group (e.g. intelligence services), a politician, a news organization or an unofficial person/group?
Is the agent organized as an individual, an official business group (e.g., PR firms or lobbying groups) or a group casually organized group around common interests?
Is the agent motivated financially to profit from the information, politically to discredit a candidate, socially to connect with a specific group of people or psychologically to gain status?
Is the agent human, automated by technology or both?
What audience is the agent targeting?
Is the agent’s intent to mislead??
Is the agent’s intent to harm?
Examining the message
The message itself also needs to be examined. Analyzing the content for key characteristics is important to determine the accuracy of the information. Asking these questions will also help to identify intent of content.
Is the message for short-term or long-term intent?
How accurate is the message?
Is the message legal or does it include hate speech or privacy infringements, etc.?
Is the message posing as an official source to appear credible?
Who is the intended audience?
Factoring in interpretation
The last component to evaluate in the process of information disorder is the interpreter, the recipient of the message. Audiences, individuals or groups, all react to messages in different manners. Understanding how individuals and groups consume information is critical to understanding the flow of the information. Further, identifying what audiences do with the information, such as commenting, or sharing, are an important part of understanding the intent of the content.
Fighting fakes
A few efforts were introduced last year to stop the information disorder. They include Tim Cook’s, CEO of Apple, call for Public Service Announcement about dis-information, new technologies to take down bots, and the addition of labels to identify different types of content on social media. Facebook and Google have also announced ways to prevent fake sites from earning ad revenue through their advertising platforms. Unfortunately, none of the programs impede the continuous flow of fraudulent content.
The issue is complex and efforts toward solutions need to work across multi-levels using technology companies, consumers, educational institutes and others. Importantly, it’s essential for all constituents to receive steady reminders
Consumers are very familiar with digital recommendations. Suggestions online are a constant and come in all varieties from recommendations on new products to purchase, to new songs for your playlist, to new individuals to connect with to news posts in your newsfeed. As consumers spend more time on social platforms consuming content and expressing their views on just about everything, more data is collected, and more algorithms are employed to extract value from consumer information. However, consumers appear mystified as to what usage data tech platforms collect and how it’s parlayed into algorithms to impact their content results.
The Tow Center for Digital Journalism examines this question and others in their study, “Readers are hungry for news feed transparency.” In all, they conducted 13 focus groups across four cities with news consumers. The goal was to understand consumer usage and to clarify the role of algorithms in terms of tech platforms’ accountability and transparency, particularly in the distributed news environments.
Key findings include:
1. Tech platforms and news habits
Participants claim that their news and information consumption on tech platforms is more of a consequence and not their main intent upon visiting. They believe the ease and convenience of accessing news when visiting social platforms fuels this pattern of news consumption.
2. Algorithms
News audiences understand few details about platform algorithms. In fact, many participants have little awareness of algorithm usage. While, others see algorithms as filters for relevant content and personalization. Still others think their usage remains independent of algorithms and generally overestimate their degree of control on their news feeds. Interestingly, many participants said they are willing to leave tech platforms because of the lack of transparency with their algorithms and privacy practices.
3. Local news
Participants think local news has little to no visibility on tech platforms.
4. Brand
Audiences claim they can recognize publishers’ brands on platforms. They also admit to sharing fake news, thinking at the time it was accurate and truthful. Many participants identify what the Tow Center refers to as the “third-person effect.” According to the participants, they of course, recognize solid news brands but it’s “others” who do not and end up sharing fake news.
Participants link fake news to social platforms and place responsibility on them for allowing fraudulent information to be shared. While consumers debate platforms’ ethical responsibilities, they agree that offering ineffective solutions to identify fake news is not the answer. Further, audiences also see platforms as often having political biases. They think platforms are quite challenged in their ability to remain politically neutral.
5. Privacy on social platforms
Participants are concerned with tech platforms’ black box practices and lack of transparency, yet they appear resigned to the practice of data collection. Surprisingly, data collection is viewed as the price paid for accessing these platforms. Not surprisingly, the younger the participant, the more accepting of a platform’s data collection practices.
6. Business models
Participants acknowledge the value of news content; however, they often engage in practices to avoid publisher paywalls. The ease to which consumers can access news content on social platforms reinforces the practice of non-paid for content.
In terms of advertising, native advertising and the use of sponsored links such as “recommended links” or “partner content” is viewed with little trust and appears to carry negative views on the publisher.
The research suggests a necessary unveiling of algorithm practices for both publisher and tech platforms to maintain a trusted relationship with their audiences. It’s essential to offer tools and education to verify brands and the legitimacy of content and to unveil algorithms, tracking and privacy policies.
The UK TV industry has always punched above its weight class. Smaller than Oregon, with a population equivalent to that of California and Texas (66 million), the British TV sector is a vibrant £14 billion a year ($18.58bn/yr) business, which has created formats, content, and executives, who have made their mark around the world.
So, what the can media organizations everywhere learn from their smaller cousins across the pond? Here are seven ideas and considerations (not, by all means, unique to the UK) worth exploring:
1. Consider moving millennial orientated services online only
We know that millennials consume content differently. They’re more likely to watch video content on devices like smartphones and laptops than older demographics. They’re less likely to watch TV-like services on an actual TV.
Against this backdrop, in 2016 the BBC made their youth targeted TV network, BBC Three, online-only. In part, the move reflected the fact that younger audiences are increasingly consuming less linear TV. But, it also yielded major savings (estimated at c.£30 million / $39.6 million p.a.) as the online-only service requires less original programing, and isn’t burdened with the same transmission and distribution costs.
The BBC’s move didn’t just make financial sense, it was also an effort to more explicitly take content to the spaces that their younger audiences inhabit.
2. Explore opportunities for ad free options
British viewers have grown up in an environment where TV advertising is much less pervasive. The BBC, for example, has no adverts at all, just trailers for other BBC programs and services.
“Seven in ten (67%) say they like to watch TV programs and films on demand to avoid adverts, or because there are no adverts,” UK communications regulator, Ofcom, recently noted.
This preference – coupled with the use of ad blockers on web based TV services – should be a cause for concern, given the continued importance of traditional advertising. One potential solution, explored by the UK’s oldest commercial broadcaster ITV, is to offer a premium IP delivered service that mirrors the ad-free experience provided by HBO and Netflix.
In 2013 the network launched an iOS app that allowed Apple users to watch the last thirty days of their content (from five different TV services) without advertising, as well as live simulcast of ITV3 and ITV4, for £3.99 ($5.27) per month.
The service, called ITV Hub+, has now been rolled out to other platforms including Smart TV’s. (It also costs £3.99 a month.) Will consumers pay more for this convenience? Evidence suggest they will, and this is therefore a model that other broadcasters may want to emulate.
3. Be everywhere
Given the range of ways in which audiences consume – and access content – it’s increasingly incumbent on broadcasters and other content providers to be as accessible as possible.
The BBC iPlayer, an internet streaming, catchup, television and radio service from the BBC, which celebrates its 10th anniversary this year, has always been available across wide range of devices, including mobile phones and tablets, PCs, gaming devices and Smart TV’s.
BBC Three, their youth orientated service, doesn’t just live on the BBC’s own app and web services, it also has its own YouTube channel with full episodes – and entire series – available to watch.
Other UK broadcasters have followed suit. The ITV Hub, for example, is now available on 30 different platforms, including Google Chromecast, and Xbox. At the end of 2016, the broadcaster noted that consumption (the measure of the number of hours watched) is up by 43% in the past year; and, interestingly, that Live TV accounted for c.30% of all requests.
4. Embrace bingeing, archive access, and offline viewing
On-demand services like Amazon, Hulu and Netflix have changed viewing behaviors. As a result, traditional broadcasters need ask whether they too should go “all in” and do things differently.
That might mean releasing new series in their entirety, offering new content for download and offline viewing (which the BBC and others offer) as well as providing “digital boxsets” so that audiences can binge on older shows.
These moves are not just designed to protect revenues and audience share, they also reflect evolving consumers behaviors. Failure to respond to these expectations means that traditional broadcasters risk being left behind.
5. Serve better ads, because audiences still watch a lot of TV
It’s not just online ads that are often terrible, many TV commercials aren’t great either. And yet, we continue to watch a lot of TV, creating prime conditions to deliver strong, effective, advertising to captive audiences.
“The average time spent watching broadcast TV across our 15 comparator countries,” the UK communications regulator noted, “was 3 hours 41 minutes per person per day in 2015.”
That’s a lot of screen time (most of it live viewing) which, when coupled by the mass audiences TV can still reach, continues to remain attractive to many advertisers.
6. Innovate and experiment with new forms of ad delivery
TV’s mass reach makes it an appealing medium for advertisers. Yet, at the same time, we also know that audience’s attention is increasingly fragmented. For many younger audiences, TV is already the second screen, and has been for some time.
As far back as 2012, the Pew Research Center found that 58% of smartphone owners used their phone to keep themselves “occupied during commercials or breaks”. But, Pew found, respondents were often engaged in second screen activity related to what they were watching. This resulted in advertisers trying to find new ways to engage audiences on their second screen. (See some great examples below targeting Game of Thrones fans).
Personalization, time-shifted ads and the use of products (like Sky AdSmart in the UK) to serve different ads to different households (or different people in the same household) against the same content, may still be relatively small markets, but they’re expected to grow quickly. As such, they’re a technology that broadcasters need to be doing more than keeping an eye on.
7. Recognize online revenues can be a major growth area
In 2016, TV revenues in the UK were worth £13.8bn, a figure which is remarkably resilient considering that TV revenues in 2011 stood at £13.3bn.
The sector’s revenue mix has also proved to be surprisingly durable. In 2016, 30% of UK TV revenue was generated by advertising, compared to 29% in 2011, subscriptions accounted for 46% of revenues in 2016 and 44% in 2011, and broadcasters enjoyed 30% of total UK display advertising in 2016, down just 1% from five years ago.
However, this relative stability doesn’t mean that sector can rest on their laurels. Finding new revenue sources, remains important. And in this space, online revenues are growing fast.
In 2011, online revenues were worth £0.3bn for UK TV companies. Jump forward to 2016, and this figure was £1.7bn, a substantial increase. Given this rapid growth, and stagnation in other areas, expect more efforts to be focused on this space.
Final thoughts
“Despite fundamental changes in the advertising market over the last ten years,” writes regulator Ofcom in their latest UK Communications Market Report, “the television advertising market has remained very resilient due to its primacy in providing mass audiences.”
That’s not going to change any time soon, but as viewing habits on both sides of the Atlantic continue to evolve, so broadcasters and advertisers need to refine their strategies accordingly. This means finding new ways to capture attention, serve relevant – and increasingly targeted – ads, and experiment with new revenue models.
Three areas that I believe merit more attention are: more flexible pricing models – recognizing that many audiences love to watch certain shows, series or events, but that they don’t necessarily want (or can afford) a year-round subscription – simulcasting shows (nationally and internationally) to prevent piracy, and identifying opportunities to both reduce churn, and discourage the illegal sharing of logons and subscriptions.
What we see in the UK, as well as here in the US, is that although TV’s business model is changing, there are opportunities to diversify both content distribution and income strategies. How broadcasters continue to respond to the challenges – and opportunities – presented by digital disruption, is a subject many of us will continue to watch with interest.
Damian Radcliffe is the Carolyn S. Chambers Professor in Journalism at the University of Oregon, a Fellow at the Tow Center for Digital Journalism at Columbia University and an Honorary Research Fellow at the School of Journalism, Media & Cultural Studies at Cardiff University. (And, by way of disclosure, Damian is originally from the U.K.)
The continuous stream of false information and mounting consumer mistrust challenges today’s media environment. When fake news becomes a daily battle cry for consumers and politicians alike, it’s time to rethink current reporting practices. The PEN American Center’s new report, Making News: Fraudulent News and the Fight for Truth, reviews journalism and media interactions to identify how best to rebuild consumer trust in news outlets today.
Figuring out fakes
What exactly is fake news? It includes clickbait and misleading headlines as well as fraudulent news for profit or political reasons. On the other hand, “good-faith mistakes” or editorial points of view don’t fall under the fake news umbrella. PEN America defines fraudulent news as “demonstrably false information that is being presented as a factual news report with the intention to deceive the public.”
Importantly, while there is no quick-fix to stop fraudulent news, restricting or governing speech is not the solution. That said, digital media’s content and search algorithms are no excuse. Popular information channels like Facebook and Google need to behave responsibly, given their powerful roles. When Google shares content to supply a search result and Facebook curates content for its newsfeeds, they take on the responsibility to ensure the information they share is truthful. Social media and technology platforms need to step up their game to curtail the spread of fraudulent news.
The game plan
The report calls upon users, news outlets, policymakers, educators, social media and technology platforms and others in six key areas to support consumers in their efforts to combat fraudulent news and rebuild trust in media outlets. The six steps approach includes:
1. Educate to create informed consumers of news across all platforms.
Policymakers and educators:
Identify effective forms of news literacy education.
Engage and prepare teachers to educate the public on news literacy.
Use all media platforms to inform citizens about the foundation of news literacy.
2. Equip the public to differentiate between fact and fiction.
Technology, social media platforms and other news intermediaries:
Identify those producing fraudulent news to ensure they do not profit from advertising revenues and marketing dollars.
Develop or invest in technologies and practices to quickly identify fraudulent efforts (e.g. bots) that increase traffic and suggest credibility of information.
Detect fraudulent traffic so it’s visible to users.
Fortify partnerships with independent fact-checking organizations. Ensure their work is easily available and understandable to users.
Encourage news literacy plans and support through funding and partnerships.
Introduce users to content outside their personal views. Ensure users can control what they see and receive.
Appoint independent spokesperson(s) to reply to the public questions on these policies.
Collaborate with academic researchers and civil liberties advocates to understand effectiveness of educational programs and policies.
Ensure employees can speak candidly about preventing the spread of fake news.
Guarantee there is an appeal process for those identified as publishers of fake news.
3. Exemplify the values of collecting and distributing credible news.
News outlets:
Highlight transparency practices including the editing practices and the management of errors.
Carefully label content to identify information reports versus an opinion or analysis.
Ensure independent spokesperson(s) focuses on transparency and accountability.
Assist in the public education regarding the harms of fake news.
Proactively engage in civic and education initiatives to improve media literacy.
4. Engage users of different groups to better understand the passion or trigger points that influence their trust in the news media.
News outlets, social media platforms, educators, research institutes, and civil society:
Identify and understand the drivers of media distrust.
Offer opposing sides of topics to fight fraudulent news.
Include voices from across the political spectrum.
Ensure objectivity in operations and including the reasoning behind conclusions.
5. Expose those who purposely spread fake news.
News organizations and civil society:
Report the ways in which fake news is created and distributed.
6. Empower people to help disarm fake news practices.
Policymakers, news outlets, social media platforms, and civil society:
Refute those who deny validity of news.
Protect sources especially with concerns of national security.
Support the news of those in the minority.
Publicly reject all efforts to denigrate the news media or undercut the legitimacy of their work and reaffirm commitment to the freedom of the press.
Counter government efforts to close or limit media outlets.
Defend freedom of the press.
Consumers, news outlets, social media and technology platforms all have a role in combating fraudulent news. Importantly, empowering consumers is the ultimate solution to reviving trust in media. Today’s users have the right to exchange information but now they need the necessary tools to conscientiously access its credibility.
Over the past year, advertisers have devoted more dollars to programmatic native than ever before. And it’s easy to see why. Programmatic native gives native scale, while bringing more efficiency and data-targeting into the equation. Nativo, TripleLift, Sharethrough, Unruly, and Bidtellect are some of the most well-known players/programmatic native exchanges in this space.
To get a clearer picture of today’s programmatic native ad market, my company, MediaRadar, pulled together some of the most pressing trends on the year so far.
It’sa growing market
The number of advertisers placing native in Q1 2017 was nearly identical to Q1 2016 (2,318 vs. 2,326 brands). However, there was a sharp increase in Q2 2017, where the number of advertisers grew 42%, from 2,100 to 2,981 native programmatic advertisers. Why the surge? Good performance. As I have shared previously, programmatic native is generally evaluated on the same KPIs as display. In a contest against most standard IAB ad display units, programmatic native scores well with high click-rates and engagement. And it can scale.
Penetration is low
Despite the fast rise in programmatic native, 122,241 brands were buying advertising online in the first half of the year. This means that as a% of total, only 2.5% of those brands buy native programmatic. We are only scratching the surface here. Even though large national brands make up the early adopters, there is still significant room for programmatic native to grow. This is welcome news for native exchanges that sell this kind of advertising. They know the opportunity is poised to grow substantially.
Renewal rates are mixed
While total numbers are strong, quarterly renewal rates on programmatic native remain challenged, with only 20% renewing. Specifically, the brands buying in the first half of 2017 share just 20% of the same brands from the first half of 2016. So, for programmatic native to continue its expansion, brands will have to recognize its benefits and make a long-term commitment to the format.
Campaign duration varies
Campaign duration remains short, with most native campaigns lasting a median of one month. In Q1 and Q2 2017, 14% and 20% of advertisers ran multi-month campaigns, respectively. During this time period, renewal rates on longer campaigns were much higher than shorter-term campaigns. This is why renewal rates and campaign duration are often tied together tangentially. Longer campaigns mean more of an opportunity to tweak and amend programs, which feeds into higher renewals.
Programmatic native is on the rise. And while there are some challenges – namely measuring performance of programmatic native and no definitive, standard set of metrics, as well as some market confusion about what programmatic native can offer – the benefits outweigh them. Yes, the market is still in its infancy – relative to its potential – but it’s becoming increasingly popular. And it has a lot of room to grow.
A study conducted by International Center for Journalists survey set out to answer a critical question: Are journalists keeping pace with the digital revolution? Despite making strides in leveraging new technologies, the study concluded that the answer is no.
The State of Technology in Global Newsrooms takes a deep look at the adoption of digital technologies at a wide range of news media organizations worldwide. Working with Georgetown University, the International Center for Journalists conducted the study in 12 languages, and received more than 2,700 responses from journalists and newsroom managers in 130 countries.
Key takeaways include:
Newsrooms still face a deep technology gap.
Digital journalism has made some substantial gains.
In an era when fake news and hacking have proliferated, too few journalists are taking the proper precautions.
While most newsrooms find it challenging to gain trust with their audiences, there are two major exceptions.
New revenue models are emerging, but not fast enough.
Newsrooms have yet to fully embrace analytics data to make decisions.
Journalism is a young person’s profession.
The digital training journalists want is not what their newsrooms think they need.
Today’s media organizations
The report examines technological investment, use, and staffing across different types of newsrooms in the digital age. ICFJ identified three newsroom types based on their primary distribution platforms:
Traditional news organizations, which disseminate information primarily in the legacy formats of newspaper, television, print magazines, and radio. Though these organizations may have a website or some digital presence, their primary platform is a traditional format.
Digital-only news organizations that exclusively publish in an online format.
Hybrid news organizations, which use a combination of traditional and digital formats. Many hybrid organizations have transitioned from being traditional news outlets.
The report finds that digital-only and hybrid newsrooms are outpacing traditional media in most of the world. In fact, according to the ICFJ, news organizations that disseminate content primarily in traditional print, television, and radio formats are disappearing from the global media landscape. Overall, the majority of journalists surveyed work for news organizations that are either fully digital (33%) or a hybrid of traditional and online (40%). About one-quarter are employed by traditional news organizations.
Distribution strategies
Today’s newsrooms have access to a multitude of new platforms and formats — from social media to mobile apps to virtual reality, which they use to distribute their stories and reach wider audiences. Though the range of tools has expanded, the news industry relies heavily on the two social media giants: Facebook and Twitter.
Though digital-only and hybrid newsrooms are more likely to use Facebook, traditional organizations (which use digital but not as a primary distribution format) are not very far behind. Three-quarters of traditional newsrooms reported using the social media site to push out content, compared to 93% of digital-only and 91% of hybrid.
Staffing up
Hybrid organizations are the most likely to cut their newsroom staffs, with 41% reporting that their staff size has decreased in the past year. Traditional newsrooms are a close second, at 38%. Digital-only newsrooms are at the opposite end of the spectrum, with only 17% reporting that their staff size has decreased, compared to the 50% that reported adding more staff members.
Digital-only newsrooms are also more likely to have older personnel – in the 51-55 age group – than both their traditional and hybrid counterparts. Traditional newsrooms also have a higher percentage of staff in the 25-29 age group than hybrid ones, following digital-only newsrooms in this category.
Hybrid and digital-only newsrooms are more likely than traditional newsrooms to have digital content producers/editors and tech professionals on staff, though the number of these positions remains small compared to established roles.
The study shows that many journalists are hired into their positions without experience working in digital media or significant digital skills. While on-the-job-training remains an essential tactic for staff-strapped media newsrooms. However, news professionals almost universally agree that training is important to help them meet the demands of their job.
As the report points out, the digital era is forcing newsrooms to adapt to a constantly evolving space. They face an array of major challenges, including shifting revenue models, attracting loyal advertisers, engaging audiences, and developing new storytelling formats. While journalists (and the media organizations they work for) continue to experiment with a range of digital tools, the report makes it clear that continued investment, innovation, and development of the digital skillset is required.
A year after Apple announced the arrival of the subscription app model as part of a wider sweep of changes it made to its App Store policies, the size and scope of this new app category is exceeding analyst expectations. It is also paving the way for content companies to grow audience numbers and engagement.
Content companies that embrace the model can plan their business with high confidence that they will attract high-value users and generate a predictable cash flow. This is because consumers who buy into subscriptions commit to a recurring fee and – generally speaking – stick to their decision. Their resolve is inextricably intertwined with a concept known as the Sunk Cost Fallacy. Simply put, people who have invested time or resources in something don’t want to see it go to waste. Think of the times you rented a movie and, even though it wasn’t great, you watched it to the end. Now you’ve got the gist.
Consumer commitment colored by this fascinating bias bodes extremely well for companies that offer subscription apps. In fact, as far back as 2014, research found consumers would buy into subscription apps if the price was right. Specifically, the Branchfire research into consumer attitudes toward subscription apps found that “$10 a month is the sweet spot for subscribers.”
Are subscriptions right for you?
Fast forward, and the range of subscription apps has expanded to include much more than streaming media providers like Netflix and Spotify. Data provider App Annie reports that “in-app subscription revenue from non-game apps, particularly within the media streaming, news and dating categories, is rapidly increasing.” Overall, App Annie forecasts revenue for non-game apps to grow at an incredible rate of 25% – reaching $33.8 billion in 2021.
It’s good news that subscription apps are gaining traction. But not all media companies that can offer their app as a subscription model should do so. If you’re asking users to open their wallets, you need to offer value for money.
A crowd-pleaser across the board is fresh and relevant content. Obviously, media companies do this by definition. That said, in order to merit a monthly recurring cost, the content must be exclusive, or engaging – or both. Regularly releasing new features is also a plus.
Finally, apps that remove the friction from navigation, or help users accomplish important tasks (book a reservation, register for more information, streamline sharing) are also a hit with time-crunched consumers and multi-tasking mobile users.
Do your homework
Before you decide to release a subscription app, do your homework to make sure your audience engages frequently, and deeply enough, to merit the investment in the first place. This is where audience measurement data around the who, when and why of app usage in the form of behavioral data and insights is a must. Even better if this data spans all the platforms that encompass consumers’ daily routines.
Finland’s Verto Analytics focuses on precisely this, quantifying the user journey from one device to another and measuring from the point of consumer interaction across all platforms, media, content and devices. In April Verto posted high-level research into news access and engagement across platforms, highlighting how (and when) valuable audience segments engage with news content.
The day-in-the-life data and visualization underscores the importance of offering content to consumers on their terms – and across all platforms. But it also reveals interesting “windows of opportunity” during the day when content companies might use their presence to interest consumers in a subscription offer.
Raising awareness of your app is an important top-of-the-funnel activity. However, you also need additional data to plan your app marketing and acquisition campaigns – and ultimately benchmark your performance against your peers.
You must also consider several important criteria, which are raised in the 2017 Subscription Apps Report, such as: What is the proper price range for a subscription app? How long is too long to wait for a user to convert and commit to paying a recurring cost? When are the best months to reach and engage potential users?
Compare costs and contexts
The report finds that it costs $161.38 the cost to convert an app user into a subscriber. However, the number may skew high since the subscription app category Liftoff tracks includes Dating Apps, Utilities, and Finance. These types of apps vary significantly in the value they offer and the monthly subscription fee they charge.
It is essential to remember that subscription apps (and their users) are about long-term gains, not short-term bargains. Granted acquisition costs high, but media companies can also increase conversion rates by using all channels at their disposal – including email, push notifications and print ads in their own media properties – to reinforce their value proposition.
Provided they are powered by appropriate messaging and effective targeting, subscription app campaigns can engage and re-engage audiences all year long. This is very different to other categories, such as commerce, which take their cues from seasonal triggers such as holiday sprees or back-to-school shopping.
Companies that offer subscription apps have a huge window of opportunity in which to run campaigns and hit targets. Liftoff also finds that there are some stand-out months, such as September and March, when the “cost to acquire a user who subscribes to the app pays dividends beyond the promise of a more predictable business model powered by more sustainable revenues.”
Above all, keep in mind that driving high conversion rates for your subscription app a journey, not a destination. Regardless of your app subcategory (news, lifestyle, sports) or your campaign objective, your results will be determined by your ability to orchestrate all of your channels to take advantage of all the opportunities to communicate with consumers in ways that are easy, engaging and effective.
Peggy Anne Salz is the Content Marketing Strategist and Chief Analyst of Mobile Groove, a top 50 influential technology site providing custom research to the global mobile industry and consulting to tech startups. Full disclosure: She is a frequent contributor to Forbes on the topic of mobile marketing, engagement and apps. Her work also regularly appears in a range of publications from Venture Beat to Harvard Business Review. Peggy is a top 30 Mobile Marketing influencer and a nine-time author based in Europe. Follow her @peggyanne.
How has both consumer consumption of news and traffic patterns changed year-over-year? What about the role of platforms? Every October, media analytics platform Chartbeat identifies macro trends in audience behavior and news consumption to help publishers understand major shifts and discover new growth opportunities. These just released trends, rolled up from Chartbeat’s network level data from 2016 to 2017, sum up the key findings:
1. It’s not a mobile first-world, it’s mobile-only.
In looking at platform-referred traffic by device type, we see that mobile has made stunning gains year-over-year. Last year, traffic from Google had just tipped over the 50% mark for mobile for the first time ever, showing a 51% mobile vs 42% desktop split. But from 2016 to 2017, Google mobile traffic grew from 51% to 60%, and Facebook’s grew from 78% to 87%. For publishers with high dependencies on platform-referred traffic, it is significant to note that most visitors are now coming via mobile. At least for platform-referred visitors, it is practically a mobile-only world.
2. It’s not that Facebook traffic is down, it’s that Google is up.
Traffic that was referred from Facebook and Google to premium sites has been fairly steady over time, with Google driving roughly 1.25 billion visits per week and Facebook around 1 billion. The ebbs and flows in their traffic have stayed pretty consistent each month—until now.
Due to recent major news events including the solar eclipse and hurricane Irma, we saw traffic coming from Google escalate in unprecedented ways in September. Recent reports have described a decline in Facebook traffic, but in looking very closely at multiple data sources, we see a different picture: While it is true that Facebook’s share of total traffic is down, the missing piece is that, in fact, the pie is much larger, and Google is up.
So what does this mean for publishers? Newsworthy events, particularly those that are unfolding over time, are huge moments for search activity leading to direct traffic. Social traffic does not spike until afterwards, mainly around more emotional, reactionary content.
3. Demand for video is not constant; it spikes around breaking news.
In looking at consumer engagement with video content, we see that it’s much more dependent on what’s in the news than text is. Below we’re looking at how much time visitors spend watching video, relative to the time they spend with text. The first notable thing is that this line isn’t at all constant — demand for video content really changes across the year. When we look closer, we see that spikes in video watching correlate with a few highly visual stories in the news (like hurricane Irma). And that makes sense: for highly visual news, readers look for a highly visual news medium.
It is noteworthy for publishers that video demand is variable, and deeper insights here should lead to a better content strategy and smarter monetization.
4. Longer time reading content drives higher loyalty.
How can media companies build and grow a loyal audience? Focus on engagement.
Why is engagement as a metric so important? Chartbeat research shows that half of visitors who click through to an article hardly read what they land on: 45% spend less than 15 seconds on the page. As you can see in the graph below, a new reader who engages for a longer amount of time during their visit is more likely to return. And the more they return, the more pages they consume and the longer they read on the page. This in turn, means they also view more ads on the page. Overall, optimizing for engagement can drive loyalty, and revenue.
5. The homepage is not dead– it’s the place for your most vital audience.
Is the homepage really dead? Not at all. Yes, Facebook and Google are prime sources to target new readers, and those first time visitors are more likely to land on an article than a homepage. However, to our surprise, in looking at how article and homepage consumption changes by loyalty (based on the fraction of days a user visits in a two-week period), our data shows that frequently returning visitors build strong homepage habits.
As readers become more loyal, they use front pages more actively.
Visitors who come more than every other day (hitting the 50% threshold), visit more front pages than articles
Subscribers (see dotted lined below in contrast to the solid lines) demonstrate higher overall engagement, at first with articles, but as they become more frequent users, their homepage consumption then begins to spike
The lesson for publishers? It is becoming increasingly clear that there are different tools in the publisher toolbox as it relates to building and growing a loyal audience. While platforms are for acquisition of new visitors, driving direct traffic on your owned and operated properties is critical to retention. The homepage is more important than you might think–it’s where you’ll lose or retain your most loyal readers.
For the past several years, marketers shifted digital ad budgets “gleefully to programmatic engines that promise efficiency and hands-off effectiveness.” These days, as much as 80% of all online display activity is transacted through technology-based exchanges that offer promises to “hyper-define, hyper-target and hyper-engage with minimal human monitoring.”
In retrospect, it all seemed to just a little bit too easy: superior targeting, engagement and tracking—and all for lower costs. However, in response to significant concerns around fraud and brand safety, the advertising industry is taking a collective pause on programmatic.
That’s not to say programmatic won’t continue to play a meaningful role in the advertising ecosystem, but its flaws have been exposed. There is a dark underbelly associated with with programmatic advertising (see: the 2016 US president election and Facebook-fake news aftermath. So, today many big brands, experienced marketers, and agencies are in the process of carefully reevaluating their adtech-enabled digital media buying strategies.
During the summer of 2017, the CMO Council interviewed hundreds of brand leaders to gauge their thoughts about these issues and recently published Brand Protection From Digital Content Infection report.
Here are the key findings that media executives and marketers need to be thinking about:
Digital can be a dangerous place
“Buyer Beware” might be the best sign to hang outside of the digital advertising gates. Of the marketers engaged in programmatic advertising buying, more than half (52%) are focused on risk and reputation management across ads placed on social media sites. Marketers are also aware that issues like ad fraud plague brand safety.
Guilt by association
The overwhelming majority of marketers believe that inadvertent association or negative adjacency has had a direct (and negative) impact on their brand. Some 78% of respondents say that unintended associations with objectionable content, images, topics, audience or conversations have hurt their brand’s reputation.
Reputation management problems lead to lost dollars
Brand safety and integrity in advertising are not simply reputation issues anymore; they can directly impact the bottom line. When consumers were asked about their reaction to seeing the brands they love being associated with inappropriate or questionable content, the answer was clear: Customers will walk away with their wallets—even if it means walking away from their most beloved brands.
Marketers not waiting for industry solutions
Marketers are taking specific steps to ensure the integrity of digital ad placements and, by extension, the integrity of the customer’s experience. First and foremost, marketers are developing stronger digital advertising guidelines for agencies and buying networks to adhere to. And many are choosing to move to programmatic direct buys and private exchanges rather than having their programmatic dollars spread across open exchange networks.
Core recommendations focused on proactive governance & adjusted KPIs
Marketers are taking specific steps to ensure the integrity of digital ad placements and, by extension, the integrity of the customer’s experience. First and foremost, marketers are developing stronger digital advertising guidelines for agencies and buying networks to adhere to. And many are choosing to move to programmatic direct buys and private exchanges rather than having their programmatic dollars spread across open exchange networks.
The programmatic advertising train has left the station and there’s no risk of stopping it or even slowing it down in a meaningful way anytime soon. The actual and perceived benefits are simply too powerful. As well, with deep-pocketed and influential behemoths Google and Facebook so thoroughly dependent on the category’s health to grow and be successful, its likelihood of continuing as a force for years to come is practically guaranteed.
But it’s emerging from the shadows, and marketers are getting more sophisticated about how they assess its performance, and how they plan its role in broader strategies moving forward. While this trend should cause companies like Google and Facebook to at least pause, it’s hard to imagine how it doesn’t translate positively to both tightly controlled ad buying networks and premium publishing brands. At the end of the day, it is about targeting and engagement, where premium properties continue to hold sway.
Tim Bourgeois (@ChiefDigOfficer) is a partner at East Coast Catalyst, a Boston-based digital consulting company specializing in strategic roadmaps, digital media audits, and online marketing optimization programs.
The transformation of the media business shows no signs of slowing. While all areas have been disrupted, local news has been among the hardest hit. These neighborhood news providers have seen steady cuts and closures. This has left “news deserts” in which wide swaths of America have a troubling shortage of local news coverage. Undoubtedly, local news remains important to the communities it serves and its survival essential.
The report, Local Journalism in the Pacific Northwest, explores the experience of 10 local media outlets in the Pacific Northwest. Through expert interviews and analysis, the report offers insights into a microcosm of how digital disruption is impacting local journalism more widely across the United States.
Like all media, local journalism faces enormous economic pressures and continues to evolve to address these issues. The report finds that continued experimentation is essential to success. However, some of the older digital formats — newsletters and podcasts — are experiencing a resurgence both in popularity and revenue generation. The upheaval in local journalism has also produced new possibilities for journalists and storytellers.
Here are three key takeaways from Local Journalism in the Pacific Northwest:
1. The practice of local journalism is evolving.
The report finds that role of local journalists is changing. Even the notion of objectivity is being reexamined as journalists seek to authentically engage audiences and reestablish trust. This includes elements of engaged journalism, with an emphasis on listening to communities, as well as harnessing digital platforms to tell stories in new and interesting ways.
Video and social media are already well-established means to engage audiences and share the news. Local journalists are also increasingly enthusiastic about exploring different approaches to their work. This includes solutions journalism and a recognition that you can maintain journalistic independence and integrity while still being active— and visible—in the community. We can expect to see a greater emphasis on the role of analytics to shape content and inform the beats that newsrooms focus on, as well as an increased importance attached to journalists with data and visual—particularly video—skills.
2. Local media needs to be more diverse in staffing and content.
While the report unsurprisingly finds that local newsrooms will continue to shrink in terms of staffing, it emphasizes that newsrooms must become increasingly diverse. Efforts to this end are essential so that these publications better reflect and engage the communities they serve. As those interviewed point out, many communities have seen a significant change in the racial and economic profile of their readers since the bulk of staff were hired. Thus, they need to improve their understanding of their audiences, as well as the priorities and expectations of these audiences. And, in addition to staffing up newsrooms that look more like the communities they represent, the skill-set of these journalists needs to address emerging digital formats and analytic tools. Engaging local journalism must reflect its community and their information needs while leveraging multimedia storytelling.
3. Outlets are experimenting with multiple ways to increase revenue.
The report outlines the significant pressures on the local ad-based business model. These include the fact that many advertisers are focused on ad targeting at scale and only willing to pay “digital dimes” rather than “print dollars.” It also looks at offline pressures on local advertising such as like shift of Main Street businesses from local shops to national chains.
Thus, local media providers are exploring with a range of ways to expand their revenue base. These include paywalls, subscriptions (including special offers and sales through third parties, such as Groupon), events, income from foundations, sponsorship, and membership models. These efforts are part of a wider move to diversify revenue and reduce reliance on print advertising and subscriptions—which are declining overall. Finding the right revenue mix to support local journalism is a strategic priority and, typically, a combination of methods is required for success.
The report explores several more significant takeaways based upon the research. They cover issues that include metrics, on and offline engagement, the rise of visual content, and the need to create unique content. As the report states, “We can see the positive impact local journalism can make on communities and the wider news/information ecosystem on a daily basis. It supports community, democratic, and civic needs and remains valuable to audiences and communities alike.”
Local journalism bears a great responsibility and must evolve to reflect the diverse communities it serves. At the same time, it most continuously experiment with engagement and delivery tools, as well as monetization models in order to remain relevant and economically viable.