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ThankThis: Donate $ without spending $

I’ve been in touch with Twixa.com and its CEO, Kurt Huang, for some time while he and his team have been developing a new revenue widget for online publishers. You can see it on this post, next to the Tweetmeme (“Retweet”) button at right: ThankThis.

Click on the button and you can financially support this site AND support a charity that you choose. But don’t worry: You will not spend a dime (or a cent) by clicking.

The money comes from sponsors, whose messages show up in a pop-up box after you click “ThankThis.” Money earned when a visitor to this blog clicks on an ad in one of these pop-ups goes into the system, and is later distributed among:

  • The site publisher (in this case, me)
  • The charity that the visitor selects when he or she has accumulated enough points
  • Twixa.com (which collects a small portion to run the service)

ThankThis is in private beta currently, and the ads you’ll see are from Google, so for now we’re not talking about much money changing hands. But if the service takes off and is able to sell enough sponsorships (or better, targeted advertising), I think this could turn into a nice extra revenue stream for online publishers.

ThankThis charity donation choices

ThankThis charity donation choices

An important point to note is that when you click “ThankThis,” the ad is not the prominent thing in the pop-up. Rather, it’s a note that tells you how many points you just earned; the ad is below that. To the right you should see how many points you have accumulated by clicking “ThankThis” on various participating websites and blogs.

When you get enough points to be ready to donate them, you click the “Donate Points” link and are presented with several options for spending them on a charity listed. (See the image accompanying this post.)

I like this idea, because … well, most people are cheap. They don’t want to donate money to a website that asks for a donation, and they most often ignore calls online to donate to charities. But with ThankThis, of course, donating money — yes, money — to a charity costs nothing.

Charity giving for cheapskates … what could be better?! (Count me among those online cheapskates, for the most part; but I do pay $5 a month for a Kachingle account and €2 a month for a Flattr account. Those services similarly aim to support multiple online publishers with user donations, but they distribute website users’ money while ThankThis distributes money from sponsors and advertisers.)

Will this work? I don’t know, but I like the concept and think that it has a chance of working. It’s not likely to support large newsrooms or anything like that, but, again, it might provide some extra money for the budget.

I’m disappointed that Kachingle and Flattr haven’t taken off in a big way yet, and I fear that ThankThis may suffer the same fate. If some BIG web publishers implemented any or all of these systems for networked user donations and put some marketing smarts into them, I suspect we’d see more money flowing. (I mean the likes of you, HuffingtonPost.com, About.com, et al.)

I now officially hate print magazines

There. I’ve said it. Now that I have an iPad (and love it as a device for media consumption), I really don’t ever want to see a print magazine again. If I could, I’d happily convert all my remaining print magazine subscriptions to iPad subscriptions, and be a happy guy. (And yes, I’m willing to pay, of course.)

For now, I still have a handful of print-magazine subscriptions, though most of my reading is done online on my laptop, on the iPad, or on my iPhone. What’s left of print for me: Wired, Columbia Journalism Review, and some cycling magazines (Bike, Bicycling, Mountain Biking). I also receive a few unasked-for print magazine subscriptions. That’s it. I receive no print newspapers and haven’t for some time.


Wired for the iPad: For now, that’ll be $3.99 per iPad edition, or else go to print

My reasoning is simple enough:

  1. I dislike the waste of trees and energy for physical delivery of my magazines; a digital edition delivered to my iPad is preferable environmentally.
  2. Print magazines pile up in various places around my house and office, and often don’t get read. Having them all in my iPad would be so much more convenient, and I’m pretty sure that they’d get read more (vs. now, when many of them get tossed in piles for later reading, and then I find them again when they’re months old, at which point they often get tossed in the recycling bin unread).
  3. Many digital editions are better, since they can include video, multimedia, interactive forms, etc.

Alas, the current state of iPad magazines is maddening. Apple, as has been reported recently, isn’t letting magazine publishers use iPad apps to sell subscriptions. Instead, we have the situation where Wired in print is $8 for an annual subscription (I just got my renewal notice). The Wired app on my iPad (free download) allows me to buy individual issues at $3.99; no subscription discount, courtesy of Apple’s resistance to permitting publishers to offer subscriptions. No thanks.

Ditto for Newsweek, but it’s even worse. The weekly per-digital-issue price on the iPad is $2.99 (no subscription offered), while a print subscription can be had for as little as $21 a year (54 issues) via magazine-subscription discounters.

Zinio offers a digital, save-trees alternative for many magazines. Via the Zinio app on my iPad, I can buy digital subscriptions for many magazines. Alas, the only one from my list of remaining print subscriptions is Bike, for $9. For the rest of my list: no option other than print. Wired, Newsweek? Not offered on Zinio.

I hope this is a temporary situation. It’s absurd for digital editions to cost more than print, considering the high costs of delivering print magazines to subscribers: printing, trucking, postage, direct-mail renewal reminders, etc. I’ll settle for the same price I pay now for iPad editions.

Here’s a tip for magazine publishers, once Apple relents on permitting subscriptions from within iPad apps:

  • Low-cost digital magazine subscription for what is essentially a replica edition of the print magazine.
  • Higher subscription rate for enhanced iPad edition with video and multimedia bells and whistles.

Oh, and those unasked-for magazines that show up in my mailbox? Sometimes they are publications that I’m interested in (such as our local city magazine), but please, offer me a free iPad or Zinio subscription; I don’t want print!

When is this going to get fixed?

No, I’m not ‘against’ people paying for online news

In my last blog post, I ranted about Rupert Murdoch’s “hard paywall” on The Times and Sunday Times websites, suggesting that his company’s newspaper division needs to think in shades of gray when it comes to website paywall models, because the extreme black-vs.-white approach being taken is likely to fail.

I received the following comment, which makes me think that there may be others who misunderstand my position on news paywalls and paying for news content. (I’m answering as a separate blog item, rather than have it be less visible in the comments.)

“Dear Steve Outing: I know how fiercely against paying for journalism you are, but please do explain what is so brilliant about the Guardian’s strategy. As far as I understand they just continue the FREE strategy and at the same time they have deep economic problems because it is expensive producing such high quality as the Guardian does? –Cheers, Pernille”

Thanks for taking the time to comment, Pernille, but you mischaracterize my position. I am not against online users paying for journalism. Rather, I don’t believe that enough people will pay for general-interest news online from a single news brand, like The Times, to pay for a well-staffed newsroom, except in certain non-competitive markets. Here’s why:

  1. In the case of The Times, that UK national newspaper has multiple serious direct competitors, each of which continues to offer its news content on the Web free. TheTimes.co.uk likely will convince some of those loyal to its historic brand to pay up online, but the overall effect will be to turn a large chunk of its Internet audience over to the other UK newspaper and other news sites. The influence of The Times will wane.
  2. Murdoch makes the mistake of believing that The Times’ news content is superior to its news competitors, thus lots of people will decide to starting paying him online. He may not believe that in relation to competing newspapers (The Telegraph, The Guardian, The Independent…), but rather is hoping that they’ll see him leap first and follow along for the ride and they’ll all make boatloads of cash. But there’s a problem…
  3. On the Internet, no one knows you’re a newspaper! (Historical reference: that old New Yorker cartoon with two dogs at a computer, “On the Internet, no one knows you’re a dog!”) By that I mean, with a news website, there’s often not much difference between a broadcaster’s news site (say, BBC.co.uk) and a newspaper site (like TheTimes.co.uk). All the major news providers now trade in text, audio, multimedia, and video. I don’t for a second believe that the TV news folks, steeped in models that don’t charge subscription fees, will follow Murdoch into paywall-land, even if the UK newspapers do (again, unlikely). A Murdochian walling off of all newspaper content online would just boost broadcast news entities while sinking the newspapers.
  4. The non-newspaper, non-broadcast news media segment is growing fast, and if The Times and other legacy news brands all marched to Murdoch’s orders, then the up-and-coming news providers would say, “Thanks a lot, guys,” and build up their news quality, staffing, audience, and advertisers. Oh, and who’s running these fledgling Web and mobile news outfits? Lots of laid-off newspaper journalists, in large part. Perhaps Murdoch believes that journalists who don’t work for legacy media still work in their pajamas and don’t do any original reporting.

So, Pernille, I simply call foul on newspaper publishers who think that because they say that news is expensive to produce (yes, it is), that people must pay to view it online. Um, no, most won’t pay when the free alternative is one click away.

I do, however, support the idea of Internet users paying for news and news-related services. (An example of the latter would be finely tuned personalized news offered with synchronization across multiple devices.) I believe that premium content and premium services can carry a price tag, and if the offering is good enough and well targeted, then people will pay. The way to accomplish this, I believe, is through premium memberships (non-mandatory), or “member zones,” as my friends who recently exited MediaNews Group call them. Another apt descriptor is “freemium,” since the model involves free news content (like the stuff that’s a click away) and paid premium content and services. Simple.

As for The Guardian’s free-syndication strategy: Indeed, it is brilliant — and counterintuitive to those still wedded to old notions of news publishing. Here’s why:

  1. By allowing full-content publication of Guardian words, images, and more, the news company is creating a global network. For now, anyone running Wordpress can post full Guardian articles rather than just link to the Guardian website, or rather than rewrite Guardian stories in condensed form (a la HuffingtonPost.com or DailyBeast.com) and include a link back to The Guardian site.
  2. The Guardian gets to sell ads on this “global network” and keep the revenue that thus comes from websites and blogs that it has a simple, low-maintenance relationship with. The trick will be to get effective targeting of ads in place, so that readers of Guardian news on an Australian news site aren’t shown ads for London auto dealers.
  3. The incentive for blogs and many other websites to publish full Guardian content is not, I’d say, assured. But in theory it is a great idea, because other Web publishers who can get extra audience traffic by posting Guardian stuff can earn ad money off those pages — i.e., from ads on those pages other than the embedded Guardian advertising.
  4. Sure, we’ll have to see how this plays out. But what The Guardian is doing is saying that instead of making our money solely from within our walled garden (as Murdoch is doing with The Times online paywall), we want to turn on a bunch of other revenue spigots that are outside of our garden.

It’s pretty simple, really, yet seemingly so difficult for the newspaper industry to grasp. The secret is to stop trying to chase after and punish those who “steal” your news content, and instead figure out how to make the inevitable into a profit center and brand enhancer. You know, the old “When life gives you lemons, make lemonade” approach to life, and business.

The Times vs. Guardian strategies: uber-dumb & smart

Today is the first day for the hard paywall at Rupert Murdoch’s The Times and Sunday Times‘ websites. I have one good thing to say about Murdoch, and the rest will be extremely critical. …

At least the declining media tycoon has the guts to try out the online paywall strategy that he’s been pushing on his flagship newspaper. Most newspaper chains try out website paywalls on some small properties that don’t have much or any local competition; they don’t have the nerve to try it on their big-city papers that have competitors sticking to the Web mostly free-content model. (Freedom Communications’ experience with a small-paper website paywall failure explains why this is the norm.)

Enough compliments. Otherwise, Murdoch is acting the fool.

I cruised the Web this morning to see if Times content really is behind a “hard” paywall; it is. I picked the top headline on the homepage, then searched for it with Google News and Google Web search; the Times’ top story is invisible to Google. What about Digg? Nope, Times’ news is absent. You can find older links to Times news articles, but clicking them gets you the same thing as going directly to thetimes.co.uk: this pay-or-go-away screen…

Paywalls are not — or should not be — black and white. There are many considerations, and what Murdoch has ordered done with the Times’ websites is purely black. NYTimes.com is planning to introduce a “metered paywall” in January, which is a shade of gray; a visitor to NYTimes.com will be allowed X many free articles in the space of a month, before being asked to pay. In a further shade of gray, NYTimes.com executives have indicated that they don’t want to chase away Web traffic or discourage anyone from linking to NYT online content. So for a visitor to a NYT online article who comes through Digg, or a link spotted on Twitter or Facebook, or a blog or other website, those visits won’t be counted against a NYTimes.com visitor’s monthly allotment of free articles.

What times.co.uk has done is ensure that virtually no one will link to its content, and no one can sample its content without at least buying a day pass ($2 or £1) or paying that same amount for a one-month trial subscription (with the price rising after the trial). Since The Times has plenty of strong competitors offering free-model websites, I don’t see this having a snowball’s chance in hell of working.

Most newspaper executives understand the futility of the hard paywall, and even those working on newspaper site paywall strategies understand the subtleties that Murdoch is ignoring. I was at a conference in Denver a couple weeks ago where two VPs from Denver-based MediaNews Group talked about the paywall strategy they’re designing to try out at some of the smaller MNG papers’ websites.

(… Side note: Both of those guys were laid off last week in a purge of the MNG executive floor; about a dozen people lost their jobs, including the chief architects of the paywall experiment. …)

The strategy that they talked about was of creating “Member Zones,” where online users would, they hope, pay for premium subscriptions online; existing or new print-edition subscribers would likely get access to the Member Zones for no extra charge. What would be in the paid Member Zones was yet to be nailed down, they said, but could be the newspapers’ core locally produced content. The innovative twist to the strategy was to keep the free websites valuable by adding new, lower-cost content, to keep traffic coming to the free site and continuing to have it be a good ad vehicle, while also creating a new online subscription revenue stream. While loyal website users would lose some content that used to be free online, that would be replaced with other Web-exclusive content.

I’m not going to endorse that model, and I don’t know what will happen now that the people in charge of it have been laid off, but at least it shows some understanding of the Web and online audience behavior.

The Times’ hard paywall, by comparison, is … oh, to hell with being diplomatic … stupid in its inflexibility and lack of subtlety.

We can probably expect a brain drain at the Times/Sunday Times newsroom. Britain’s top journalists have aspired to write for The Times for decades; what journalist with serious credentials would want to work there now that the global influence of The Times has been wiped away?

Of course, this is great news (a gift, really) for other British national newspapers that think more clearly about what it takes to succeed in the digital era. I tip my hat to The Guardian, which is going in the opposite direction of Murdoch and company. Guardian.co.uk actually wants other websites, blogs, etc. to republish its content. Earlier today I experimented with its Wordpress plug-in and posted a full Guardian article on this blog. The embedded article includes an ad and the revenue from it goes to the Guardian; it also includes tracking code so that Guardian digital staff can track traffic to their content coming from external sites like my little blog. If some large news sites start embedding Guardian full articles, then the financial potential could be significant.

The Guardian’s API strategy is the antithesis of what we’re seeing from Rupert Murdoch. It’s smart and plays to the potential of the World Wide Web as a revenue generator. Murdoch appears to want to find revenue from a group of brand-loyal people within Britain. Yeah, good luck with that, Rupert.

The old guy apparently still doesn’t understand that this whole pay-for-news-online thing is not about the needs of publishers like him. It’s about what the audience for news is willing to do and willing to pay for. They’ll pay if they think what you offer is worth it to them; they mostly won’t if what you charge for is equivalent to what a credible news provider down the street is offering online for free.

Rupert, what is it that you don’t understand about that?

Jakob Nielsen critiques the iPad’s usability failings

I’ve installed The Guardian’s new Wordpress plug-in on this blog, and this is my first try at publishing a FULL Guardian article. Bravo to The Guardian for having the vision to push its content out in this way and leverage the power of letting go and turning the Web outside of its walled garden into a revenue opportunity. To the rest of the legacy news media: TAKE NOTE! -Steve


Powered by Guardian.co.ukThis article was written by Jack Schofield, for guardian.co.uk on Wednesday 2nd June 2010 13.07 UTC

Apple’s iPad has usability problems, and shows an “overemphasis on aesthetics”, according to usability guru Dr Jakob Nielsen, who has just published a free 93-page report on iPad usability. He was in London last month where his company, Nielsen Norman Group, was holding a usability conference. Since he had an iPad in his hotel room, I asked him how well it had turned out.

“In some ways, less well than I expected,” he said. “There were really a lot of usability problems in this first-generation of iPad applications. It’s often quite difficult for people to discover what they have to do because the options are not very visible. I have to say of both the device itself and the content, it’s very attractive, which is good. But at the same time, overemphasising the attractiveness and hiding the functionality, that does cause problems.”

Nielsen also thinks “there are things Apple has done that diminish usability. For example, they don’t have some standard things like font size control so you can define big, small or medium text. With no font preferences, every designer can do a picture-perfect layout on every screen, because they don’t have to reflow the text accordingly, which is what websites should always do,” he says.

“The second compounding issue is that everything is different. If you pick up a few different magazine apps, every one of them will treat the articles and pictures differently. How do you go to the next article? It’s different in each application, the problem being that then you can’t learn.

“When it comes to reading a magazine, the interest should come from the content, not the interface to that content. You don’t want to have to struggle with ‘how does this work?’ I don’t think [Apple] have detailed-enough guidelines, which partly comes from them pushing it out too quickly.”

But, I reply, surely people are used to dealing with different applications on the web.

“They are, but they also don’t like that!” Nielsen says. “But I think the web has by now evolved a fairly large set of conventions, so it’s relatively well known how to deal with basic things.” For example, with a long article you can either scroll or sometimes click for the next page. “You can certainly do it differently, but any website that does it differently will have problems.”

Nielsen says that some of the iPad’s problems are endemic to the touch tablet format. “With the iPad, it’s very easy to touch in the wrong place, so people can click the wrong thing, but they can’t tell what happened,” he says. There are also problems with gestures such as swiping the screen because they’re “inherently vague”, and “lack discoverability”: there’s no way to tell what a gesture will do at any particular point.

“People don’t know what they can do, and when they try to do something, they don’t even know what they did, because it’s invisible,” Nielsen explains. “With a mouse, you can click the wrong thing, but you can see where you clicked.”

Lack of consistency and lack of discoverability are problems that should worry Apple, because they have been its strength for decades. Discoverability was the core attraction of the Mac’s pull-down menus when it was launched in 1984, and the main reason Apple opted for having only one button on the mouse. “One of the great successes of the Macintosh was that it had very detailed human-interface guidelines for how applications should work,” says Nielsen. “In those days, as a Mac owner, you could pick up another application and just use it, whereas as a PC owner, if you bought another application, it was another user interface – completely different.”

So does he have a view on the Adobe Flash versus HTML5 bun-fight, because Flash isn’t generally known for its usability.

“For once, I’m on the side of Flash,” he says, “because I think Apple is trying to over-rigidly control what’s on its devices. I can understand there are benefits to doing that, but there are also benefits to the diversity of the internet. Diversity is a very powerful mechanism. In the early days of the web, there were many alternatives that were closed services – AOL, CompuServe, Trilogy – but on the web, anybody could put up anything, including a lot of bad stuff. But users vote with their feet, or their clicks: they can click away from bad Flash and click towards good Flash. It’s a shame Apple is so restrictive on what they allow on the iPad and the iPhone. When a customer has bought a device, it’s theirs; they should be able to see the information they want, and run the applications they want.”

Nielsen adds: “Flash has been quite often mis-used to cause grievances in the user interface. That said, it has also been used in later years for more useful things, such as video. In my view, there’s no real need to change to another technology once we have one that works pretty well. But Apple doesn’t seem to like Adobe, I guess, so they’re pushing that we should change to HTML5. But from the user perspective, which is what I’m trying to advocate, it doesn’t make that much difference. Technically, it doesn’t really matter.”

But don’t we all expect HTML5 to win in the end?

“Five years from now, it’s likely that HTML5 will be a better way of doing video – it’s a very good long-term trend – but that doesn’t mean you should throw out all the existing stuff now,” says Nielsen. “You have to be able to read old formats.” Not everything gets updated.

Of course, I say, another part of the iPad’s appeal to publishers is that they can charge for content that would otherwise be free on the web.

“The one thing we’re still missing is a great business model for content providers,” says Nielsen, “and the iPad gets people to buy magazines by downloading apps. It’s really a sort of midi-payment rather than a micropayment because you’re still buying an aggregation of material in one go. I actually still believe more in micropayments, where you pay for individual things. Micropayments haven’t taken off. It’s one of those areas that has to be fairly centralised: there really has to be one system.”

Microsoft has done it with points on Xbox Live, for one example, so could Facebook do it for the wider web?

“Maybe they could, and they could seed it very well by allowing you earn points from different things you do on their system,” he says. “When they needed to get a critical mass of customers, PayPal gave you for signing up. Facebook could give you the opportunity to gain some points by updating your profile. But they’re trying too hard to leverage friend connections, and almost anything you do to make money off who’s a friend of who will be a privacy violation.”

guardian.co.uk © Guardian News & Media Limited 2010

Consumer Reports gets it right (*finally)

* at least on the smartphone platform

ConsumerReports.org is the classic example of a once-primarily print publisher having content valuable and unique enough that it can charge for it online. The site for years has had a subscription model, with a monthly or annual fee to access its product reviews.

I subscribed for a while, but I rarely needed to look for product reviews; I got tired of paying for a service that went unused most months and canceled. (The rate has changed since then: It’s now $26 a year, or $5.95 a month, auto-renewing.)

I’ve long been annoyed by ConsumerReports.org because it only offered subscriptions — no day passes or even a pass for a single month’s access without automatically dinging your credit card every month.

While CR’s regular website is still crippled in that way, the company’s new mobile website for smartphones finally offers a day pass for 99 cents, or a non-renewing month pass for $4.99. Hurray!

CR mobile payment screen

Hurray! CR finally offers better payment options

You have to wonder what took CR so long. Having CR reviews in your hand while out shopping for a new dryer is a handy thing, and I’d gladly pay for a daily or month pass during periods when I’m shopping for a major purchase.

So, CR, how about doing the same with your non-mobile website now? You can start getting customers like me — who refused to pay for a long-terms subscription — back. (Many years ago, I even subscribed to the print magazine.)

From a business perspective, I can understand why the one-off pricing for reviews or the day pass might seem to be an option to be avoided. Get enough people hooked into having their credit card charged automatically each month and that’s a sweet business model.

But the days when that was possible are gone, in my view. Too many websites and online services want to charge a monthly fee. Sorry, CR, but there are only so many monthly online fees I’m willing to pay.

I’ll use CR’s mobile website with the day pass option when I’m in a position to need the product reviews. I’ll avoid the regular website until it dumps the subscription-only silliness.

Credit cards suck! Offer some alternatives

Credit cards suck for many reasons. (One that annoys me the most is the absurdly high late charges I’ve personally experienced for being a day or two late getting my bill in on time.) But in the physical world, and in certain situations in the online world (e.g., Amazon.com, which can store my account information), they are awfully convenient.

But for paying for low-priced digital content, credit cards largely suck because the fees are too high for online publishers to use them on small amounts without some sort of aggregation system to bill multiple small purchases together, as Apple does with its iTunes accounts when you buy 99-cent songs (and there’s no need for entering a card number more than once).

So it’s a pet peeve for me when I see some media website selling content or subscriptions, and the only payment option is using your credit card, and typing in all your information for the transaction to go through. My peeve is less about the cut that the credit card companies take form the site owner (though it is outrageously high, typically!), than about how much time and bother it takes the buyer to make a small purchase when the required payment method is a credit card.

Online users do not have a lot of patience, and usability experts who’ve studied this will tell you that to get lots of online users to do something (like pay a bit of money for some premium content, or make a donation, etc.), the process must be quick and simple. Typing in card number, expiration date, name on card, security code, e-mail address, postal code, and phone number is not something that you want to ask online users to do very often.

Long credit card donation formThis little rant comes courtesy of me spotting this donation pitch (at right) from the Bay Citizen, the new non-profit online news enterprise covering the San Francisco Bay Area and financed by Warren Hellman, which launches on May 26 under the editorial leadership of Jonathan Weber (ex-NewWest.net and the Industry Standard). Pre-launch, Bay Citizen is looking for “founders” to commit either one-time or repeating donations, and it has this lengthy form for you to fill out.

The sole payment option: your credit card!

Especially for non-profits, those donation forms should be effective at collecting money. A long form like the Bay Citizen’s just gives an excuse for a potential donor to click away rather than spend several minutes filling out a form. But the same goes for for-profit media sites.

How about doing the obvious, web publishers: Offer some choices! Let your contributors or purchasers have multiple options: Paypal, Google Checkout, and more media-centric payment systems such as Zuora and others.

While I can buy a burrito at Chipotle and the counter person swipes my card and hands me a receipt (not even a signature required any more), too many media websites force me to spend precious time filling out long forms like the one on this page (click to enlarge it).

It’s got to be made simpler and faster in the online marketplace!

My grocer knows me better than my news provider

The other day I received two envelopes of coupons in my (snail-)mail box.

The first included the same kind of untargeted assortment of color-printed discount coupons from local businesses that I’ve received for decades. OK, not entirely untargeted; after all, they were for businesses in my area. But the sender knew nothing about me other than where I live, apparently, so flipping through the 1/4-inch-thick stack of coupons, all but one went immediately to the recycling basket.

The other, smaller package of (single-color) coupons was from one of the grocery stores I shop at: King Soopers. Because the King Soopers chain offers member discount cards, the company’s databases have lots of data on what I’ve bought from its stores; you pretty much have to use the cards (or enter your phone number as an alternate ID at the check-out), or else you pay significantly more by missing all the in-store sale prices.

While King Soopers has been sending my household product-discount coupons (which go beyond the member-card sale prices) for many years, this latest envelope got my attention. Of the dozen coupons in my envelope, every single one was for a grocery item and brand that I routinely buy. The company at last seems to have evolved its system to the point where I could use all those coupons.

If I was of mind to get upset about digital privacy, I might have been freaked out that one of the coupons was for a free pint of Haagen-Daz ice cream. You see, one of my daughters and I are both fond of that company’s Java Chip variety, and I must confess to having purchased quite a few packages. My guess is that the system tracking my purchases noticed that I’d bought a bunch of Haagen-Daz, and rewarded me not just with a discount, but with a coupon for a free pint.

You may feel differently, but I’m not one to freak out about this on privacy grounds. I’ll trade the occasional free item and ongoing discounts for a computer tracking my grocery purchases. In fact, I thought it was pretty darn cool that King Soopers has advanced the technology it uses enough so that I can get, in effect, personalized discount coupons.

Returning to the usual topic of this blog, none of the news brands that I use regularly know me anywhere near as well. Count me as one of those news website readers commonly afflicted with banner-ad blindness. I’m looking for news, so I seldom notice the ads, unless there’s something about them that hits my interest areas.

Google, on the other hand, knows me well, because it reads all my e-mail, as a regular user of its Gmail service. On Gmail, there’s a thin strip of text ads that run on top of the list of messages and above opened e-mails. I notice those ads frequently, because they are placed contextually based on the content of the e-mails in my Gmail inbox. I don’t try to look at them; they just catch my eye when they’re relevant to me. I’m surprised at the number of those Gmail text ads that I’ve clicked on through the years.

Back to news once more, there’s a similarity between when I visit a news website and when I’m using Gmail. In both cases, I’m task oriented: reading news, and reading and responding to e-mail. Yet with Gmail I notice more of the ads because many of them end up targeting me because they’re based on the content of the e-mail I’m reading. With most news sites, the ad targeting is weaker, and the advertising thus less effective in catching my eye.

That King Soopers and Gmail know me better as an individual than do the news providers that I frequent online is a problem for the latter. Sure, some newspaper companies have used targeting technology to track what a website user is reading, and perhaps if they have the data through required online registration, their systems can match that information with my age and location to deliver personally relevant ads on their websites and/or via e-mail or other subscribed services.

But I believe news providers online need to do a much better job or personalization and targeting of advertising. Local newspapers, indeed, might want to look at the grocery industry to pick up some tips. I find it intriguing that the most effective, personalized advertising that I’ve received lately came from a grocer.

Perhaps those member cards are something that news brands should consider more seriously.

Re: Mutterings on non-profit news

Josh Stearns of Free Press called me out on Twitter yesterday: “@steveouting Would love to get your thoughts on Mutter… my response is here http://bit.ly/cVoWrc.” Well, I better not ignore that call to action…

Stearns is referring to Alan Mutter’s item this week on his Newsosaurus blog, “Non-profits can’t possibly save the news,” in which the news-media analyst opens:

“An amazing number of smart and sophisticated people continue to harbor the fantasy that philanthropic contributions can take over funding journalism from the media companies that traditionally have supported the press.”

Mutter cites figures that American newsrooms today are spending $1.6 billion a year less on journalism than in 2006, and suggests that there’s no way that foundation and philanthropic funding of non-profit news organizations will get anywhere close to making up for all that lost news coverage.

TexasTribune.org (a non-profit online news entity) founder John Thornton did a great job of refuting Mutter’s take on non-profit news, and I doubt I can do better. But to satisfy Josh, I’ll add my few cents. …

Of all that lost for-profit journalism that used to be published by newspapers, lots of it is no longer needed. Newspapers have lost plenty of movie and book reviewers; foreign and Washington, D.C., correspondents; sports reporters who travel across the country to cover every away game; and on and on. I don’t mean to belittle the loss of those jobs, but the Internet has made available plenty of credible replacements.

Is it necessary that my hometown paper have a professional movie reviewer, when I can read a wide range of professional and movie-goer reviews on my laptop or phone? I’m not the only person who’s stood in front of the multiplex theater deciding what movie to see by checking the reviews and trailers using Flixster on my smartphone. … That the local metro paper no longer has a correspondent in D.C. is lamentable, but there are plenty of replacements just a few clicks or finger-taps away. … Foreign news coverage? I’ve never had such a wide range of sources available to me, for free, no less.

In other words, plenty of that $1.6 billion in lost newspaper journalism is not going to be replaced; it already has been by other parties.

The part of that lost journalism that’s most important — and has not been replaced by new digital players because there’s no business model to support it — is investigative, in-depth, watchdog, enterprise journalism. You know, the months-long investigation by dogged reporters that uncovers the corruption by the county sewer board that’s led to poison in your drinking water. The stuff that wins Pulitzer Prizes.

Newspapers are doing less of that important work, and that’s unlikely to change. Non-profit news organizations like TexasTribune, ProPublica, Voice of San Diego, and many others can fill some of the loss — for a lot less than $1.6 billion a year.

Non-profit news will grow — it must grow — in order to cover that part of the news (the most important to our communities and society) for which a profitable business model no longer exists to support. I believe that foundations, philanthropists, individual donors, and development of non-profit business models that are sustainable without requiring unending foundation checks is achievable for a non-profit news eco-system to supplement the weakened for-profit news media.

Mutter, whose musings I often enjoy, is guilty of thinking too black-and-white, I’d say, with his blog post this week. Non-profit news will grow, prosper, and serve the public better than the sector has in the past. It will be but one part of an increasingly diverse news eco-system.

I can’t think of anyone in the media-criticism or industry-punditry space with views that fit into Mutter’s opening-paragraph description.

Average newspaper reader age: 56

Here’s one way for newspapers to adapt, by Ted Rall. Enjoy…

 

 

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