Unformatted text preview: Hanson’s “Seven Truths”
7. The media are essential components of our lives
There are no Main Stream Media
Everything from the margin moves to the center
Nothing’s new: Everything that has happened will happen again
New media are always scary
Activism and Analysis are not the same thing
There is no “They” Growing a media business Growing a media business The beginning Penny Press 1 cent weekly newspaper First US media to be largely supported by advertisement revenues Benjamin Day (1833) New York Sun Ida WellsBarnett, (1885) Free Speech Two distinct models
Two distinct models Benjamin Day
– Commercialization, whatever sells
Some news Sensationalism
Build with an exit strategy –
– Documented news
Keep the “truth” in the mind of the audience
“truth” sells Informed populace Ida WellsBarnett espousing ideologies Traditional Media Economics Traditional Media Economics (making money, staying in business)
Donations Private Support
Other enterprises Government Funded What sells today?
What sells today? News – packaged and documented
– Sensationalism Nonnews: Social media Instructional such as DIY The regulars: sports, entertainment Music: distribution control New Media Economics
New Media Economics
Commercial sponsors AdSense CPC (Cost per Click) Cost per Lead (Also used in traditional models) Cost per Sale (Difficult to track w/o online ordering) CPI or CPM (Cost per Thousand Impressions) server counts every time an ad impression opens on a user’s screen CPA (Cost per Action) typically optin advertising Subscriptions Links Domain names So many others Media Economics cont’d
Media Economics cont’d The information must be in demand
Make the information outlet “famous”
Information as a loss leader
Direct traffic to your product SERPs (Search Engine Results Pages) the list of web pages returned by a search engine as a result of a keyword search Media still sell information
Do not always communicate only for profit Typical Life Cycle
Typical Life Cycle Introduction (Danger Zone)
R & D
Testing, retooling, testing
Marketing Rapid growth in sales and profits
Reinvest or take profits
Increase market share, promotion (advertising/public relations) Growth Maturity – R & D restricted to product modification and improvements
– Competition flanks the leader Decline – Seek to lower production cost
– Intro in cheaper markets Life Cycle Model
Life Cycle Model Why does this matter?
Why does this matter? Media sell products – Hard and soft products
– Intellectual products and rights
– Creative products “Media” are products
Media practitioners must be always aware of the “bottom line.” Product Life Cycle (applies to Product Life Cycle (applies to media products and others) Product life cycle is one element that drives a succession of strategies used by management to develop, manufacture, and sell a product Life Cycle Examples
Life Cycle Examples
Intro Growth Maturity E
Conference Fax Digital BluRay
Dear John Avatar DVD Decline
written letters VHS Harry Potter Pirates
and the HalfBlood The Short Head and the The Short Head and the Long Tail (Chris Anderson) Electronic Developments such as Internet Electronic Developments suchas Internet Markets allow for longer product cycles—
especially for media products ShortHead – Many people interested in few products LongTail – Few people interested in many products
What does it mean? Ownership and Ownership and Government Control Media Traditions: Media Traditions: ownership
o Private Public
Government All demanded
o Large resources: money, connections, tenacity
o Licensing o Intense competitive abilities (few channels, many viewers)
o Expertise, work, luck New Media Ownership
New Media Ownership
A laptop and an Internet connection Some technical savvy A sense of what will sell Some business acumen Fewer viewers in many channels
For a thousand bucks, some work, and some luck you can be in business Ownership Integration Ownership Integration Ben Bagdikian o Vertical Integration o Horizontal Integration Issues: o Monopoly
o Consolidation Who controls content?
Who controls content? Who controls content?
Who controls content?
Special interest Groups Audiences The Business of Media
The Business of Media
o Ownership: Private, Government
o Diversity o Gatekeepers
o Agenda Setters
o Change! See beyond the horizon YouTube
“We are providing a stage where everyone can be seen” –Chad Hurley Media Discussions (considering Media Discussions (considering these media types) Radio
Internet Discussion Points
Discussion Points What influence do your media have on society?
Is it valuable? How will it change in the future?
What will it be like when your children go to college?
How will ownership change?/Will change in ownership matter? ...