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December 07 2011

19:20

Your 2011 holiday gift guide, brought to you by the news

Santa running down the street in Algers, France

If you want to save journalism, you might turn to journalism this year for all your Christmas shopping.

This weekend at NewsFoo, an O’Reilly “un-conference” for about 170 journalists and tech disrupters, the tech writer Mónica Guzmán posed a question: “Can’t we [news organizations] sell anything besides articles?” Yes, it turns out, and there are numerous examples of them trying it.

A couple of months ago Guzmán was talking to an entrepreneur in Seattle who had just sold his latest startup to Google. “We got to talking about journalism, and I’m always fascinated to listen to people who come from an innovative mindset, but not a news mindset, look at news. What he said, basically, is I don’t see how news is really going to innovate and move forward unless they can get past this idea that what they sell is just content.”

News organizations have one big advantage in business: They know their audience.

“We have a huge leg up when it comes to organizing information communities,” she said. “[News outlets] build those communities that can be really specific and really well defined.” (NewsFoo is generally off the record, but Guzmán talked with me after her session.)

Here are a few examples of all the ways news companies are selling non-news products to consumers. Some might look better wrapped up under the tree than others, but if you feel like supporting the news, maybe there’s room on your credit card for one or two of them.

Merchandise!

For the oenophile in your life, buy a gift subscription to the New York Times Wine Club. Six rare wines (four red, two white) for $90 per shipment, or $180 for the most exquisite Reserve Club varietals. Each bottle is paired with tasting notes and an NYT recipe. Europeans can sample Telegraph Wines, “one of the UK’s most respected wine merchants.” A case of six bottles of Prosecco goes for £54 and includes two complimentary Champagne flutes.

Spaceballs: The Flamethrower

The Telegraph doesn’t stop at wine. There’s a Telegraph Garden Shop, Motoring Shop, a travel shop for holiday cottages. You can buy earrings, duvet covers, snow boots, and clothes hangers. “They are the leading retailer of clothes hangers in the U.K.,” said Jeff Jarvis in an April 2010 Editor & Publisher story. The newspaper raked in a quarter of its profit in 2009 from selling things, he said.

The Onion cheaply repurposes tons of its own content into coffee-table books and framed prints. NPR, almost true to stereotype, sells “green gifts,” “gifts for gardeners,” and “gift for tea lovers.” None of those items have NPR branding, just the kind of things a typical NPR listener might like to buy. (And shoppers know their purchase helps support the news.)

The überaggregator Boing Boing sells stuff as weird as that which it aggregates, e.g., rubber finger tentacles, a remote-controlled flying shark, a bacon-scented air freshener. That site outsources the e-commerce software and payment processing.

Specialty iPhone apps

Santa's Hideout screen shot

There are plenty of smartphone and iPad apps that try to generate revenue for news organizations, but it’s less common for there to be an app that doesn’t have anything to do with the outlet’s journalism. Just today we wrote about Condé Nast’s new Santa app, which helps parents assemble and share lists of what their kids want for Christmas.

This summer Hearst Corp. launched its App Lab, a sort of digital R&D unit for the ad agencies who work with Hearst. It was Hearst that developed Manilla, a financial management product for consumers, earlier this year.

Events

In September, the web-only Texas Tribune launched the Texas Tribune Festival, a first annual symposium that brought together politicians, wonks, lobbyists, and others from the universe of Texas politics. (I interviewed editor Evan Smith about it this summer.) Tickets cost $125, but the real money comes from corporate sponsorships. In 2010, before the festival existed, the Tribune raised about $600,000 in event sponsorship, Smith told me. The Tribune festival was modeled on the New Yorker Festival, which also sells tickets and big-name sponsorships. Forbes follows a similar model for its CEO conferences around the world, but those tickets are a lot pricier.

Digital marketing services

Rubber finger tentacles

435 Digital is a Chicago consulting firm that does web design, SEO, and social media — actually, it’s a division of Tribune Co., but you would never know that from looking at its home page. The group is made up of the people who gave us Colonel Tribune and the ChicagoNow blog network.

GannettLocal, too, offers marketing services for local businesses that advertise in Gannett-owned papers. Condé Nast sells its in-house creative talent to advertisers, competing with the very agencies whose work fills the pages of its magazines.

Using reporters’ smarts

The Chronicle of Philanthropy, as I wrote this summer, packages its reporters’ in-house expertise about particular topics as paid webinars that cost as much as $96 apiece.

The premium content, the merch, the events, the consulting, the apps — they are all specialty products for niche audiences. Whether all of the offerings are making money is for another story.

“Last-minute shopping?” by Louise LeGresley used under a Creative Commons license.

February 01 2010

15:00

NPR’s Ron Schiller: “A concrete and hopeful message” can raise funds

Ron Schiller, the new senior vice president for development at National Public Radio, doesn’t subscribe to the notion that the nation’s news media are in a state of crisis. Is the landscape changing? Absolutely. But this is no time to wallow in doom and gloom, according to Schiller. It’s an opportunity to take the case for nonprofit journalism to a broader audience of foundations and grant-making organizations with a “concrete and hopeful message” about what their philanthropy can achieve.

NPR has a long track record of success with big donors — witness Joan Kroc’s $200 million gift in 2003 — but many of its major institutional donors give because public affairs journalism already is a particular area of interest, Schiller said in an interview Thursday. But with the rapid decline of traditional, for-profit media, more nonprofits, including foundations and advocacy organizations, are having trouble getting their messages out. As a result, he said, they may be more open to the idea of NPR as a “partner in philanthropy” that can address a growing and demonstrated social need.

“There is a great opportunity to go to many, many organizations with that kind of case,” said Schiller, a former vice president at the University of Chicago who was named to his post in September. “We certainly have an opportunity to educate.”

Schiller hopes the approach will yield more gifts in the five- to nine-figure range. He concedes the approach isn’t novel; universities have been using it for decades as they take on issues such as urban education. But NPR’s new direction also would align with a broader trend in the nonprofit sector in response to the decline of traditional media.

From being the news to producing it

More and more nonprofits that once operated as expert sources for mainstream media have cut out the middleman and gone into the business of producing journalism. Last year, for instance, David Westphal documented the effort of Human Rights Watch. The New York-based nonprofit is “leveraging an already robust network of fact-gatherers around the world by adding a small unit that converts its academic-type research into consumer-friendly news reports,” Westphal wrote. Likewise on the domestic front, the Kaiser Family Foundation, a longtime provider of high-quality healthcare data, last year launched Kaiser Health News as a response to a decline in mainstream reporting on healthcare policy.

Other nonprofits with less expertise or commitment to journalism might be equally interested in filling society’s need for high-quality reporting, Schiller said. But the public radio community, including NPR, has not done a very good job of making what is known in the fundraising business as the case for philanthropy. To date, the appeal has been largely transactional, he said. It goes something like this: If you liked what you heard on “Morning Edition,” please send us a contribution.

The pitch is not without its successes. In 2008, NPR collected $57.7 million in grants, contributions and sponsorships, or about 34 percent of its total revenues, according to the organization’s most recent Form 990 report. But going forward, Schiller said, it might sound more like: “How do we use this incredibly powerful news and cultural organization to serve the country more powerfully?”

Are the nation’s major foundations ready to take on the task? Less than a year ago, Chuck Lewis and Bruce Sievers wrote an article in The Chronicle of Philanthropy called on foundations to pitch in. They wrote:

Philanthropy is in a unique position to take the initiative because it can move quickly and deliver significant resources to key players in the news media, while taking a hands-off stance toward content. Yet, with a few notable exceptions by some of the nation’s biggest grant makers…foundations have not become involved in this arena of public life.

Today, Schiller is optimistic that more grant-making organizations will be open to the idea of supporting journalism. What is needed is more education of potential donors and a message that makes the case compelling, Schiller said.

That might sound a lot like a traditional, university-style giving campaign, and Schiller doesn’t discourage the idea that NPR might launch that kind of effort. Much of his time, he said, is occupied in strategic planning with his counterparts at NPR’s 300 member stations to coordinate a national message while preserving their ability to meet local needs.

“We have a special time right now when the need for good information in the media is out there,” Schiller said in an interview at NPR offices in Washington. “In every community now, this is on people’s minds.”

Photo of Schiller by Dan Dry/University of Chicago.

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