Like the rest of the newspaper industry, the nation's third largest publisher, The New York Times Co., is facing some major changes, as its industry is restructured financially and technologically. The Times Co. has been weighing the sale of major assets that would focus its core business around print and digital publishing, and on Wednesday it became the subject of a news story of its own: a potential takeover by private investor Maurice Greenberg. But beginning today, its flagship newspaper will introduce a new electronic reader that may help the paper accelerate the transition from print to digital publishing. The new reader, the Times claims, will deliver a more seamless, intuitive experience than previous digital or online editions have rendered before. The reader is a downloadable application compatible with Microsoft Vista and Windows XP that makes the entire newspaper available for browsing in a format similar to the print edition. Once the reader is downloaded, the computer will automatically sync up to download the latest edition of the paper. It can be browsed even when the computer isn't online. Updates are also automatically provided during periodic sync-ups. Stories appear in columns and blocks sized to fit on a computer screen for readability. Readers can resize the text, choose different fonts, highlight key parts and make notes on the content at the bottom of each page. A search function allows users to find content by keywords. Or they can navigate through multiple stories using arrow directional keys on their keyboard. On a tablet PC, they can scroll from article to article using the joystick or touch-screen functions. The articles are also "printer ready." In the new beta reader, the newspaper's print ads are swapped out and replaced with larger online versions to give them more prominence. Each Times page has only one ad, which is located above the fold. The new format has already attracted advertisers, including AT&T, Columbia University and Tourneau. Interestingly, the ads in the reader format are dynamic, allowing users to click-through to landing pages that contain more information even when the user isn't online.
In a finding that underscores the potential of a vast, untapped market for user-generated video, new research conducted by interactive agency Sharpe Partners indicates that more than half (54) percent of adult Internet users currently create their own video offline, but only 11 percent actually upload it to the Internet. That margin, says Sharpe, represents a significant opportunity for software and system providers to help facilitate the migration of a burgeoning consumer generated video marketplace online. It also suggests an even more profound fragmentation of the video marketplace is looming than many industry experts may have predicted. One of the chief reasons for the disparity between producing and posting video is the difficulty consumers said they have with the process. The study, which was conducted online by Harris Interactive, surveyed 2,125 U.S. adults between June 29 and July 2, and found that more than two-thirds of those who create their own video found it difficult to edit their content due to the lack of consumer-friendly software. "Clearly, given easier solutions, consumers will be far more likely to edit their videos," said Sharpe CEO Kathy Sharpe. "And those who edit their video are presumably more likely to share it with others, which will expand this market even further."
After allowing a complex newspaper deal to proceed, a Federal judge is blocking the major players from cooperating in national advertising and Internet ad sales, saying their plans could violate anti-trust laws. The ruling affects The San Francisco Chronicle, owned by the Hearst Corporation, and a number of newspapers purchased by the MediaNews Group in a Byzantine deal earlier this year. In the thwarted deal, $300 million of financing was provided by Hearst--supposedly as a "passive partner." Hearst would hold a minority stake in the new partnership, along with other newspaper holding companies, like Gannett. U.S. District Judge Susan Illston permitted the deal to go forward because Hearst's participation was ostensibly limited to investment. At the time, Hearst's participation raised eyebrows, since it seemed to help the company's major competitor gain ground in the Bay Area market. Yet even without an active interest by Hearst, the MediaNews purchase raised concerns of a media monopoly in the Bay Area, as it now controlled papers with a total daily circulation of about 800,000. In April, the Denver-based MediaNews Group bought the Monterey County Herald, San Jose Mercury News and Contra Costa Times from the McClatchy Company. McClatchy had just acquired the papers in its buyout of Knight Ridder, which it was busy dismantling, selling off less profitable or non-core properties. MediaNews also owns the Oakland Tribune, Daily Review in Hayward, San Mateo County Times, Fremont Argus, Alameda Times-Star and the Tri-Valley Herald, as well as the free Daily News. Now Judge Illston has reversed course, issuing a temporary restraining order on the basis of a previously undisclosed letter from Hearst Senior Vice President James Asher to Joseph Lodovic, the president of MediaNews, that agrees to negotiate terms for possible cooperation in national advertising and Internet ad sales. Although neither side has acted on the agreement, Judge Illston said its very existence casts suspicion on the earlier deal transferring ownership, suggesting that there was intent to violate anti-trust laws all along. The judge's decision is a setback for Hearst and especially the San Francisco Chronicle, which stands out in a troubled industry for its rapid decline. In the last FAS-FAX report from the Audit Bureau of Circulations, covering March-September 2006, the Chronicle saw Sunday circulation decline 6.7%, while weekly circ fell 5.7%, compared to the same period a year ago. These drops are small, however, compared to the ABC report covering the previous six months, when Sunday circulation fell 13% and weekly circulation fell 18.5%. Combining the two reports, over the last two years, Sunday Chronicle circulation has plummeted 18% and weekly circulation has fallen 6%. The MediaNews Group bought the three California papers, as well as the St. Paul Pioneer Press in Minnesota for about $1 billion.
Move over, Macy's. Herald Square has a new attraction. CBS Outdoor and Monster Media have partnered to demonstrate Monster's interactive outdoor ad system, called MonsterVision, in midtown Manhattan. The new Target display, aimed at mass transit riders, responds to individuals' motions to produce an engaging ad experience in a visible, well-trafficked environment. Some 500,000 commuters per day will see the Target display. In the MonsterVision system, large, colorful ads are projected onto the walls of transit structures, like underground passages and concourses. Using "video-image-based control" technology, the projected images move dynamically in response to input from passersby, such as gestures and other kinds of motion--both deliberate and unconscious. Hallie Stiglitz, vice president of operations for Monster Media, says the display, which runs through mid-January, is a snow scene. Little Target logos fall like snowflakes. When you touch them, they burst into larger snowflakes. By responding in a noticeable way to the motion of users, MonsterVision quickly draws them into the experience. It also relies on the public aspect of place-based media, building its audience by attracting small groups of users who begin demonstrating the technology for others. Out-of-home is one area in traditional media that has enjoyed robust growth in recent years. The out-of-home category is on track to grow 8% over last year, for a projected revenue total of $.6.8 billion. Now, a new sub-category is taking off: interactive place-based video. In May, for example, corporate consulting giant Accenture sponsored the permanent installation of large-screen, touch-guided interface for use by travelers passing through Chicago's O'Hare Airport, the country's busiest international airport. The innovative displays, created by Los Angeles-based design firm Schematic, resemble the futuristic computer interface in sci-fi thriller "Minority Report"--another Schematic design. According to Dale Herigstad, executive creative director at Schematic, the user's choices create a program of video and text information that is visible to viewers standing farther away. Herigstad has formulated a model of traditional "distances" that have dominated American media for many years. It also aims to change that model radically. Herigstad says there are "public" or "outdoor" media (meant to be viewed from 20 feet or more, such as billboards), friends and family (10 feet, things like TV), personal (two feet, computers), and private (one foot or less, for personal devices like iPods). Like Accenture's new displays at O'Hare, MonsterVision's installations at Herald Square blur the lines between public and outdoor, allowing private users to create public media displays that are visible--and accessible--to all.
A boutique media shop run by a former top buyer at Optimedia is close to finalizing a deal to acquire a small New York creative agency that wants to offer clients ad development as well as placement. Cleverworks, the brainchild of ex-Optimedia Senior Vice President-Group Media Director Mike McHale, will acquire Garlic Advertising, which has done work for clients such as Ramada International and Cingular. While small-scale, the move is another example of the concept known as "rebundling" that has been percolating in the media community over the last year. As media and creative duties become increasingly intermingled, agencies may reverse the 25-year-old trend of positioning media-planning/buying silos separate from creative. "Unless we're all equal and we're all talking at the same meeting, there is no way to completely understand and complete the task," McHale says. "Clients won't have to wonder why media and creative is disjointed." In addition to the bundling approach, McHale says the acquisition is driven by requests his year-old shop has received from clients to craft ads and "buy the holes" to place them. Garlic is run by Brian Wheeler, who worked with McHale years ago at Warren Kremer Paino. The creative shop will relocate to Cleverworks' New Jersey offices. "Often, ideas come from collaboration, and you can't collaborate with the creative agency because even if they're in the same holding company, creative wants to look better than media--and media better than creative," he says. Everyone wants to look like the favorite son or daughter, and that creates competition that can be damaging." A year ago, McHale, who built a reputation on Madison Avenue with his work on the heavily publicized BMW Films campaign and oversight of the British Airways account at Publicis' Optimedia, struck out on his own with Cleverworks. He said the shop will post billings of up to $15 million this year, with its largest client Eos Airlines, which flies between New York and London and offers only business-class. Eos' most visible presence engineered by Cleverworks is a "strip" position each Monday along the bottom of the front page of The New York Times business section. On the other side of the Atlantic, the agency executed a "station domination/360 coverage" campaign of the Canary Wharf district in London.
Everyone has their own view about what constitutes family programming. But you might not know what adults wrestle with when deciding what to watch with their children. Guess what is the second-most-watched show that adults watch with children in prime time? Thinking "7th Heaven" or "Gilmore Girls"? Try CW's "Friday Night Smackdown." The No. 1 show is CW's "Supernatural," a show with its own dark side. Why "Smackdown"? "Friday might be the best night for family viewing," says Brad Adgate, vice president of corporate research for Horizon Media. "Young kids are home, and parents can't get out. That's why there was the success of "TGIF." This TV research came from presentation that was put together for the Family Friendly Programming Forum by David Poltrack, chief research officer of CBS Corp., and president of CBS Vision. For the first two months of the season so far, of the top 20 shows where adults watched with children, The CW had 12 shows--easily the most of any network. Fox was next with five. ABC had two and CBS one. Poltrack says this measure, called the "co-view share," was only one factor. A deeper question is one of engagement, the hot new metric advertisers are demanding of their TV programmers. IAG Research, with whom CBS shared research duties, measures engagement by counting correct answers to a series of specific show questions. With that in mind, CBS looked at shows in relation to adults who watched with their kids. The winner so far this season: ABC's "Lost," which scored 90%, according to IAG. Second and third place went to middle-level-rated CBS comedies: "The Class" and "How I Met Your Mother." Four and fifth place went to ABC's "Desperate Housewives" and Fox's "Prison Break." While "Friday Night Smackdown" may have had big raw numbers of adults watching with their kids, engagement was not apparent. It only took in a score of 61%, which didn't even rank among the top 90 shows. "Supernatural," which ranked No. 1 in co-viewing share of adults watching with kids, came tied for 14th place when it came to engagement. Overall, Fox had six of the top 20 engaged shows with adults watching with kids. ABC had five; NBC four; CBS three; and the CW two. Poltrack believes this season will be a real test for family-friendly programming. "This fall is going to be a significant turning point because the network has been dual streaming their content on the Internet," he says, adding that the results will give networks a better indication of how to program for family viewing.
With no "Dancing with the Stars" in its hip pocket, ABC retreated on Tuesday, as Fox's all-powerful "House" took center stage. With a preliminary 6.8 rating for "House," the night's best-rated network show, Fox grabbed a 4.6 average rating and 12 share among 18-49 viewers for the night. NBC was next at 3.6/9, ABC was in the third spot at 3.4/9, and CBS was behind those numbers at a 3.3/9, CW fifth at 1.9/5 and Univision sixth at 1.6/4. ABC didn't have much luck with its new comedy/drama, "Big Day," which earned a 2.8 rating among adults 18-49 in the 9 p.m. time slot. ABC did a lot better at 8 p.m. with the always-popular "Charlie Brown Christmas," which did a solid 4.8 rating among 18-49 viewers. Perhaps more alarming for ABC was that its rookie sitcom, "Help Me Help You," at 9:30 p.m. lost the wind in its sails--barely drifting at a 1.8 rating, far off its 3.1 average. NBC did its best work at 10 p.m. with a 5.2 for "Law & Order: SVU." ABC's "Boston Legal" grabbed a 3.0 rating during that hour. Next came CBS' new drama "3 Lbs." at a sub-three 2.4 rating. While "Big Day" was having its troubles, other rookie shows were in the same boat on Tuesday night. In addition to the 2.4 rating for "3lbs," two 8 p.m. shows offered up similar data: NBC with a 2.4 for "Friday Night Lights" and Fox with a 2.3 for "Standoff." The CW had much more to cheer about. The "Gilmore Girls" pulled in season-high numbers for 18-49s and 18-34s, while "Veronica Mars" pulled in its best numbers ever for its key 18-34 audience. Among 18-49 viewers, "Girls" pulled a 2.2/6 with "Mars" getting a 1.6/4. Overall for the night, the network grabbed its best Tuesday to date, with a 2.0/6 among the network's key 18-34 viewers.
The NFL will offer live regular-season games over the Internet for the first time in the U.S. next month. Six games broadcast simultaneously on the NFL Network will be available to a select group of Verizon Internet customers. The ads slotted in the NFL Network broadcasts will also run in the Verizon feed. But the Verizon content will feature some added-value as viewers will be able to select alternate camera angles as well as audio feeds, including from players wearing microphones in action. An NFL spokesman was unsure whether those additional features would be sponsorship opportunities. While somewhat of a groundbreaking move since it will allow consumers to watch live NFL games anywhere there's a broadband connection, only about 344,000 customers will actually be able to do so at first. That's because only Verizon DSL customers who also have DirecTV through Verizon (about 250,000), or customers who have both Verizon's FiOS-branded telco TV and Internet services (about 94,000) will be able to tap in. In addition to the six live games, starting Dec. 7 with Pittsburgh vs. Cleveland, two college bowl games will also be simulcast online. The NFL's deal with Verizon appears to be another effort by the league to increase pressure on large cable operators such as Comcast and Time Warner to start carrying its network. A carriage deal presumably would include the chance for the MSOs to offer the live games to their broadband customers. (FiOS and DirecTV carry the channel.) Eligible consumers will be able to log on to the surround.verizon.net site around the globe to watch the games.
It took them about a week, but the preoccupied media finally got around to reporting the resignation of Reverend Joel Hunter as president-elect of the Christian Coalition. Hunter, who was elected in October to head the organization started in the late 1980s by televangelist Pat Robertson, was supposed to start Jan. 1. He didn't get that far. Hunter made no secret of his plans to move the Christian Coalition away from its two-note, bang-the-drum issues: anti-gay marriage and anti-abortion. Instead, he focused on problems "Jesus would want us to care about," like poverty, hunger, HIV/AIDS and the environment. That didn't go over well. In a conference call with board members Nov. 21, it quickly became clear that Hunter's priorities were not the priorities of the CC's base--and he offered his resignation. It was accepted unanimously. Since one of Hunter's big issues is hunger, you'd think this would have been a great springboard for timely stories over the Thanksgiving holidays. You'd be wrong, of course. Hunger's a bummer, and the economy depends on you thinking about what you and yours don't have but want--not counting your blessings. The stories over the long Thanksgiving weekend were rabid rabble-rousing accounts of citizen-consumers spending money like spendthrift sailors, with lots of coverage about the exciting new trend of stores opening a minute after midnight to please ever-eager deal-seekers, plus the usual anxious tickers about whether this season's sales would top last year's. These stories of unchecked consumer lust created an uncomfortable, bordering-on-sick contrast with the stories that same day coming out of Iraq--where it must have seemed as if all hell was literally breaking loose. . Car bombs, missile attacks on civilians, topped by missile attacks on holy shrines, versus shop, shop, shop. Talk about hunger, though, and it makes people uncomfortable. Don't want to think about it, don't want to talk about it. We want to make it go away in our minds because we don't want to address making it go away in reality. If you don't believe me, how about this unbelievable, Orwellian turn: The government, through the Department of Agriculture, has eliminated the term “hunger” from its yearly reports on, uh, what they now call "low food security." Nearly 11 million Americans now have "low food security," but nobody's going hungry anymore. So who needs a Christian leader to talk about it? The media knows hunger is a no-sell; nobody's going to watch Sean Hannity debate people about hunger. Christian leaders who appear on TV need to be inflammatory. They need to address issues that divide people. They need to talk about damnation, not salvation. They need to be Christian hypocrites: Hypochristians. With all that in mind, my wife and I went to a Vanity Fair preview of "One Punk Under God," the Sundance Channel's forthcoming reality show that follows Jay Bakker, son of Jim and Tammy, and his fledgling ministry. The show illustrates its struggles to gain a toehold in an era when much of the Christian power structure wants to wear jackboots. Bakker preaches a gospel of inclusion and forgiveness, one that believes Jesus is open to all, without judgment, and offers love unconditionally. The new program itself was a mixed bag. Bakker the younger is a bit affected by the camera, and not all his actions seem particularly natural. But the panel afterward, which featured the tattooed, bespectacled minister, was refreshing and far more revealing. Vanity Fair's usually deft Michael Wolfe was an uninformed and condescending moderator, but Bakker was graceful and unassuming. The key moment when Wolfe asked if Bakker's autobiography and new series weren't more about self-aggrandizing, like his father, than faith. The most telling moment came when Bakker talked about one new member of his congregation, a transgender individual who came up to him after a sermon and said she found the church through the Internet. "She said, 'I really want to go to church, but I need to find one where people won't hate me,' " Bakker recalled. "That's why I'm doing this. People need to know Jesus is about love, unconditional love." Amen to that. "...Once a year when Christmas comes We give to our relations And perhaps we give a little to the poor If the generosity should seize us But if any one of us should interfere In the business of why there are poor They get the same as the rebel Jesus." -- “The Rebel Jesus,” Jackson Browne