19 OTTOBRE 2018

Corso di Digital Marketing

Digital News

1

Qual è la definizione di"Digital News"?

2

Perchè ilconcetto di "Digital News"sta diventandocosì rilevante?

3

Quanti di voi hanno compratoun giornale in edicola?

Quanti di voi hanno scelto di guardare un telegiornale in TV?

4

Quanti di voi invece….

…accedono alle notizieattraverso i Social?

…guardano notizie video online su device mobili?

…navigano con regolaritàsu un portali di notizie?

5

L'evoluzione delle abitudinidel pubblico

6

Il consumo di media cresce trainato da Internet, che sta progressivamente sostituendo la stampa

1. Riferito a media di consumo europea – maggiori economie 2. Fonte: Zenith; analisi BCG

16%

2014

16%

2016 2017

656

4%

19%

652

4%

34%

28%

2015

16%

33%

29%

659

33%

5%

37%

596

18%

27%

2013

15%

25%

614

36%

17%

599

27%

5%

2012

36%

17%

4%

16%

15%

29%

18%18%

3%

Internet

Radio

Stampa

TV Altro

Tempo medio giornaliero di utilizzo media1 (minuti)

CAGR 12-17

+8.2%

+2.8%

-5.0%

+0.2%

7

Il publishing sector è in declino in tutte le componentinon digitaliNewspapers Consumer magazines

Decreasing circulation and readership in developed countriesVertical development is sustaining digital advertising growth in magazines

Source: Ovum; PwC; IFPI; Statista; BCG analysis

62 60 55

6857

44

13

510

3

2010

1291

2015

136

Circ. Print - 1%

- 1%

Adv Dig + 10%

Adv Print - 4%

Circu. Digital+ 30%119

7

2020

4333 29

26

26

20

14

7

69

2010

71

31 1

4

2015

Adv Print - 3%

Circu. Digital+ 16%

- 1%

Circ. Print - 4%

2020

Adv Dig + 25%

66

Global market (B$) Global market (B$)

8

Gli utenti accedono alle news diverse volte al giorno, da diversi device ed in diversi luoghi62% of readers access news 1–5 times daily 36% readers use > 1 devices to access news

18

44

Daily Briefers

News Lovers

Frequency of access

38 Casual users

Interest in NewsAccess > 5 times/day

Access 1–5 times/day

100

22

56

58

% using device

36

Tablet TotalMultiple

devices

SmartphoneComputer

1. N – Newsletter T/T- TV & Tablets; M—Mobile; C-Computer

Source: Reuters Digital News Report 2016; Reuters Digital News Report 2017

In the past …Longer and infrequent

news reading times

Today …Shorter and frequent

news reading times

N N N

T/T N M M M MMM MMC C M N T/T M

Frequency and duration of news reading1 over a day

Access < 1 day

9

Informazione sempre più cross-mediale con unapreferenza per la televisione

Quoti

dia

ni

0,6

Radio

0,4

Inte

rnet

Tv

7,7

2,2

8,6

4,5Tv+In

tern

et

Tv+Radio

Inte

rnet+

Quoti

dia

ni

0,5 0,5TV+Q

uoti

dia

ni

3,7

Radio

+In

tern

et

Radio

+Q

uoti

dia

ni

0,1

Radio

+In

tern

et+

Quoti

dia

ni

Tv+In

tern

et+

Quoti

dia

ni

7,7

10,6

Tv+Radio

+In

tern

et

Tv+Radio

+Q

uoti

dia

ni

5,7

0,3

Fonte: Rapporto sul consumo di informazione 2018, AGCOM. Analisi BCG

Combinazione di media con

cui ai cittadini capita di

informarsi (2017; %

popolazione)

1 mezzo 10,9

2 mezzi17,9

3 mezzi24,3

4 mezzi41,8

10

I Millennials utilizzano sempre di più i social media come piattaforma per contenuti news

Note: questionario realizzato su popolazione UK

Fonte: Reuters, analisi BCG

56

1719

24

1276

8

43

14

Radio news programmes or bulletins

TVWebsites/apps of TV and Radio companies

PrintedSocial mediaWebsites/apps of Newspapers

29

Millenials / Generazione Z (<35 anni) >35 anni

Principale piattaforma di fruizione di news 2017 (%)

3xUtilizzo dei social media

come canale preferenziale

da parte dei millenials vs

restante popolazione

11

Il panorama competitive della Stampa è statorivoluzionato dall'ingresso di aziende “digital-first”

Traditional (Print + Digital) Digital Only Digital News Aggregators

Crowd-sourced digital news

Traditional print companies are experimenting to stay relevant in digital dominant world

12

La sfida delle digital-news: costruire una "new house"

Today

Integrated

Print and Digital

Old world

Large Print Business

Digital Subsidised by Print

The new house

Sustainable Stand-Alone

Digital Business

Profitable Print Product

13

All-News o "Whole-News" digitale? Spot the difference!

14

Multi-media publishing

15

Summary: Multi-media publishing

Proliferation of new formats in digital, a truly “multi media”

experience

Video is an important format and many players have built large

teams and in-house capabilities

• Leverage automation for achieving scale and lower costs

• Explore “non traditional” monetization models to make video

investments ROI positive

Emerging formats as audio and the use of virtual reality are gaining

market share quickly

• Key drivers are smart speakers as Amazon Echo/Alexa, MS

Cortana, and Google Assistant and Apple Home Pod

Text is still a dominant format for news consumption

• 71% of users still prefer mostly text to catch up on news

• Publishers should leverage existing text content to build out

conversational content, deploy on virtual assistants/IoT

16

Proliferation of formats (1/2)

Brief (~ 50–60 words) Short (300–500 words) Long (1,000+ words)

Infographics

Tables (~ 50–60 words)

Graphs and Charts GIFs Photo Gallery

Podcasts Virtual news assistantsLive audio

Vertical video Live streamingShort video Documentary style video

Audio Clips

Text

Image

Audio

Video

17

Proliferation of formats (2/2)

Chats curated by editorial teams

High end VR (supported by VR devices)

Chat bots on messaging apps

360 Video (for desktop, mobile)

QR code Scan and Search 3D reality via smartphone

Conversational

Virtual Reality

Augmented Reality

18

Key trends: Shorter articles, greater visualization and devicebased customization

523

Print

-57%

Internet

1,229

Length of a typical front-page article1

(number of words)

On the Internet, you don’t need to write long articles. You have videos or documents, so you can create links andyou don’t have to tell everything inyour article

Johan Hufnagel, Founder of Slate.fr

26% higher clicks on mobile

Shorter articles Pictures and videos Device customized content

1. Le Monde’s front page article, printed and online, on a same date and same topic

Source: Corporate Websites; Expert interviews; Press search; BCG analysis

Desktop

specific

headlines

Infographics,

graphs and

analytical

maps

Mobile specific

headlines

BBC News has

specific “In

Pictures” and

“Video”

sections

19

New York Times politics coverage is a mix of text, video, podcasts and chatbot

Video for

interviews,

political

statements

Chatbot for updates

during elections

Podcasts for

interview series

Text for policy updates

20

Telegraph’s lifestyle coverage is a mix of images, text and video

Recipes in text

and images

Photo galleries for

latest fashion

Videos for special series

21

Centralità dei video

22

Online news video consumption is growing rapidly

17 16 16 1510

3327

2217

2216

+60%

+47%

+59%

Japan

+6%

+10%

+38%

USA

30

GermanyUKSpain France

2014 2016

1 0

1

1 11

3

Online News

(Text formatted)

+27%

Digital AudioMobile and

Web Video

+42%

OTT Video

+35%

+17%2

Source: PQM Research; Reuters Digital News Report 2016

Video is the fastest growing format … … and is driving news consumption across markets

Average Hours/week spent (global) % Readers consuming online video news

23

Videos generating higher engagement for publishersFacebook video engagements as % of total

Source: Newswhip

22

32

34

43

46

54

62

75

37

(%)

The Guardian

National Geographic20

16

28

BBC News25

Fox News

CNN

12Vox

NBC News

50Mic.com

37

October 2016 January 2016

How much do engagements on

Facebook videos contribute to Publishers’ overall monthly totals?

24

In response, many publishers have created large in-house video teams

Publication

Number of people working

on online news video

Number of videos

produced daily Off-site focus Main strategies

Telegraph 7/8 producers, editors plus a

features/brand team

30 news pieces + bespoke

series

Facebook video News focus + lifestyle

content for advertisers

Guardian 30 working across video and

audio

20 news pieces + features Facebook

experiments,

YouTube

News + distinctive

features

Wall Street Journal 45–50, but varies on the time

of the year

30–40 on average Facebook + Snapchat

Discover channel

Short-form video

News + explainers

Washington Post 40 producers embedded on

reporting desks around the

world

50 videos Facebook focus Customising stories

for different

platforms

Die Welt (N24) 20 producers and editors split

across the two brands

At least 70 videos Facebook focus News focus,

reusing N24

content

The Economist 15 people with video

experience

Less than one a

day but more when

Espresso TV

launches

Facebook and

YouTube

Quality content with

distinctive tone

The Independent Ten video specialists, central

team of five to work on bigger

projects (planning to double)

~ 250 per month Facebook International and foreign

reporting, mini-

documentaries

Source: Reuters Future of Online news Video 2016

25

The Economist is using Facebook live video as an awareness tool

Source: Digiday; press; https://www.facebook.com/TheEconomist; June 2016

Experimenting with Facebook Live

lead to

• Lots of internal discussions about

the balance of being scrappy or

being slick without being a high

quality TV broadcaster

• Do you have the hardware and

the skills

• Lane Green straight started the

Q&A whether Internet is killing

language as we know it

• In April live video was too big

to ignore

• The Economist film division

combined with the editorial team

Now The Economist has a team of

• 15 people with video experience

• Launched very successful Brexit

Q&A sessions of 30 min each

Reach and interaction

• 45,000 average views

• Peaking at 2,000 at any one time

• Around 500 comments

• 10 times the interactions that

links to articles

• Due to facebook’s prioritizing

video in newsfeed

Goal is to grow and reach

more audience

• Til August staff shall grow to

18 FTE

• US is The Economist’s key market

but only 50 percent of people have

heard of the publisher

• Video is used as an awareness tool

Future format uncertain

• Series versus scheduled versus

ad hoc

January to April 2016 June 2016 After June 23rd

26

Washington Post aims to become a one stop video destination

Two–fold video strategy

• To chalk out videos that complement content strategy

• To create videos that gain prominence on social media channels

40

65

60

35

% o

f orig

inal a

nd a

ggre

gate

conte

nt

PlannedCurrent

Original ContentAggregated content

Facebook

• Users are much more passive, and are on that site for diverse and an

unspecified range of content

• Thus, content on Facebook has to be designed to appeal to new users and

become viral

• Minimal requirements on attention span

YouTube

• users are on YouTube exclusively to watch video

• It can show longer videos that require greater attention span

• Greater engagement with the content.

OTT strategy

• Video destination on OTT services such as Apple TV, Roku, and Fire TV

• Has hired video personalities, to produce longer and scripted videos

• Studio quality

Source: Press Research

Want to create most of the video content in-house Different strategy for different platforms

Put editorial package around it, adding reporting, annotations, and other elements to make aggregated

videos original

27

However video production is expensive and the returns are unclear …

Source: Press Research

Time • Pre-production planning• Scripting• Location scouting• Shooting• Special effects and editing

Talent• Experience• Expertise

Tools• High-end camera verses mobile• Professional lighting kit• Sophisticated cost-production motion graphics • Animation

Drivers of video product costs Video product costsSemi-Pro

• Some experience or training of using sophisticated tools (editing software, prosumer camera)

• Low time commitment• Cost for 1–2 minute video—$1,500–$3,000

Professional • Professional team using professional tools • Average level of time• Cost for 1–2 Minute Video—$5,000–$20,000

Premium• Top-level talent, high-end tools (such as motion

graphics, high-end cameras, a studio)• More time engagement• Cost for 1-2 Minute Video—$25,000–$50,000

For a professional 1–2 video to breakeven ($10–$30 on

YouTube/ad impression) it needs 17K–200K impressions

28

Potential solution: Leverage automation to scale video operations

Automation works well for the following

types of video …

Format 1

Short form videos

Content for social media

Supplement to news articles

Create videos in less than five minutes

Publish—on different platforms and get video analytics

Analyze text—script or a traditional news article

Edit and Fine Tune—Customize videos with themes, branding, size, text editing, etc.

Find visuals—images or video clips to go with the text from sources like AP, Reuters, Getty Images

Add voiceovers—sourced from third party or computerized voice

Clients

29

Potential solution: Explore levers beyond advertising to make video content economically attractive

Business Model Cost Reduction Levers Monetization levers

Advertising Focus

(More aggregated

content)

• Content aggregation

– User generated content

– Syndicated videos

• Automation to create large scale short-

form video

• Advertising

– Branded content

– Programmatic Ads

Dual Focus

(More original content)

• Automation for short-form videos that

complement news articles

• Co-production of long form content with

OTT players like Amazon Prime, Netflix

• Subscription

– Standalone products

– Bundle video offering with existing

news packages

• Licensing

– Long-form content to OTT

– Syndication deals for short-form

content

• Advertising

– Branded content

– Programmatic Ads

Invest in video

management

platforms for

placement

and demand

optimization

Format 1

30

L'approccio alla costruzione di un portale "whole-digital"

31

Implications across the two newsrooms

Established formats are important-Video, Images and Text

Experiment with new formats-VR,

AR, Virtual Assistants, Chatbots

Format Choice

Monetization Programmatic Ads and Branded Content

Subscriptions, bundling,

licensing for original content

Capabilities Partnerships and network of contributors for aggregating video, breaking news …

Selective in-house

video production capabilities

Dual Focus Advertising Focus

32

Ad—Focused must create long tail via aggregation, dual focus newsrooms need to build in—House depth

Advertising Focus Dual Focus

In-house Out-source Aggregation Key success driver In-house Out–source Aggregation Key success driver

Text Long tail Distinctive Tone

Image Images to catch eyeballsExclusivity

Data visualization

AudioCommentary on genres

like sportsExclusive podcasts, experiment with IoT

VideoLong tail, production quality less important

Exclusivity,Production Value

Conversational Technology Technology

Virtual Reality Cost Technology

Augmented Reality Still emerging Still emerging

Strong Focus Moderate Focus Experimenting

33

Text and video important for all, plus selective focus depending on underlying revenue model

Advertising Focus Application Dual Focus Application

Text Curation DistinctTone

Image Picturegalleries

Graphs, Charts

Audio Special interest

TopicalPodcasts

Video Shortform, viral

Long form, exclusive

Conversational Topics like sport, gifs

Curatednews via apps

Virtual Reality - Special Features

Augmented Reality

- Early Phase

Important

across

spectrum

Dual focus

players are

testing

actively

Moderate Focus ExperimentingStrong Focus

34

I pilastri della newsroom digitale

35

Digital news require new capabilities

Newsroom of

the future 24 × 7 Operations

Faster Content Creation

Editorial Analytics Data Visualization

Multi-pronged sourcing Personalization

Innovation

Product Development

Multi-media Production

Branded Content

36

The pace of editorial workflows and publishing is changing to meet consumer needs

Immediate responsive-

ness to events

Pace aligned to consumer context

Live on

the event

Wire story

on a plane crash

Refresh to an old article

on low-cost airlines

Mobilization of an

aviation expert

Publishing is changing with digital in two ways

7 am 12 h 18 h 22 h

Morning reading peak

Publication of new

articles

Noon reading peak

New front page, new

articles

Evening reading peak

Publication of new

articles

Correction and

improvement of

existing articles

Mobilize own resources/contributor network

37

SLOW Journalism

Beyond the standard article: Wide range of story formats/styles can beapplied to news as it develops

18. Explainers

19. Focus pages

20. Deep interviews

21. Photo essays

22. Enterprise reporting

23. Context

24. Advice

25. Reviews

26. Long term views

27. Data analysis …

10. Backgrounders

11. First images

12. First videos

13. First info-graphics

14. Chronologies

15. Livestreams

16. Podcasts

17. Briefings …

1. Breaking news2. Flashes

3. Follow-ups

4. Maps

5. Reactions

6. Instant analysis

7. Social media feedback

8. Audience comments

9. Spot interviews …

28. Mega info-graphics

29. Profiles

30. What’s next stories

31. News behind the news

32. How this will affect you?

33. In-depth investigative

reporting

Mobile Newspaper

Source: WAN-ifra

Must adapt both roles of editorial staff and newsroom processes to cater to multiplicity of story styles

FAST Journalism

38

Financial Times launched fastFT with emphasis on speed and context

• Breaking news but with an informed context

• Focus on brevity—article length 200-450 words

fasFT landing page on Financial Times website

fasFT ticker on Financial Time’s homepage

39

Publishers moving to multiple briefings/edit huddles for quick updates

The morning briefing includes

• 5–6 brief stories (70–150 words)

• Various sections—Business, Noteworthy Smarter Living, Weekend (on Monday), and Back Story

The evening briefing includes

• Top 10 stories of the day

The briefing includes

• Top story of 200–250 words

• 5–6 brief stories 70–140 words

• Lunchtime read—Trending topic

• Brief sports and business section

• PapersㄧBrief on front page headlines of leading dailies

New York Times has daily morning (6 am) and evening

(6 pm) briefing Guardian has a daily morning briefing

40

Digital skills requirements become increasingly complex

Source: ICFJ Survey, “The State of Technology in Global Newsrooms,” October 2017

First-tier skills Second-tier skills Third-tier skills

Used by > 50% of Newsrooms globally Used by ~ 33% of Newsrooms globally Used by < 33% of Newsrooms globally

• Posting stories and comments on

social media

• Digital photography

• Engaging audiences on social media

• Producing and distributing content

across platforms

• Using analytics to measure audience

engagement

• Multimedia reporting and editing

• Video production and editing

• Website design, development, and

management

• Using digital tools to validate

information

• Working with graphics

• Audio production and editing

• CMS management and coding

• Mobile and backpack reporting

• Data visualization/production of

infographics

• Data journalism

• Working with live video

• Using analytics to drive news agenda

• Cybersecurity

• Blogging

• Building/adapting digital tools for

Newsroom

• Podcast production

• Working with VR/360

41

New tools enabling to make a difference

Source: News Whip; Datawrapper; Google Media

Tools; BCG analysis

Examples

Many leading international newspapers use this type of services

Google Media Tools

provides a range of tools

for digital editorial teams

2

Datawrapper enables to

create tables and maps

based on data uploaded

on the platform

1

42

New York Times—T Brand Studio for branded content

Content for brand

platforms

Sourcing creative talent

Analytics

Social media services

Content strategy

Native ad inventory and

Content production

• Creative talent from NYT journalists, product teams, videographers and data scientists

• To measure and show value to the clients

• Developed a tool called ReaderScope which looks to answer the question who reads what, where

• Full service agency providing bespoke solutions depending on advertiser level

• Connect brands with social media influencers via acquisition of Hello Society

• Team of social optimizers

• Custom content frequently distributed both on and off NYT properties

• Content creation includes working with new technologies, like AR, VR and 360 degree video

• Acquired startup Fake Love to bolster immersive content

Capabilities

43

NY Times for Orange is the New Black (Netflix)—Article about women’s prisons

“at first glance” matrix placement: six

44

Huffpost reorganized product teamSmall shifts can have large impact

HuffPost’s reorganized from tech-stack oriented to product

teams. This drove 27% lift in video views. Furthermore

HuffPost uses a Snapchat or Instagram like storybook format

Within one year HuffPost has set up four new product groups• News Innovation

– Experiments with new story formats

• Revenue group

– Monitors metrics and revenues from each Webpage

• Video group

– Consumer facing, quick release, new ideas as animated gifs

lead to increase in video views

• Generalist group

– A/B testing of content1

– Data analysis

Create quicker processes and leaner teams• Cut down on back-and-forth

• Keep a core team e.g., 25 FTE engineers last year

Four new product groups• Each group a team of four to eight

– Product managers, web designers, engineers

• People from other areas can team up on topics e.g., rebranding

Snapchat like new storyboard

1. A/B testing has a long tradition at HuffPost http://www.niemanlab.org/2009/10/how-the-huffington-post-uses-real-time-testing-to-write-better-headlines/

Note: April 2017

Source: Press; company information; digiday.com

45

Story [X]—R&D lab of NYT

Team of 61 and works as an advance team of sorts for product, editorial and

advertising, providing research help• Helps Times stay on top of what is happening in technology

Each quarter, it focuses on a certain area such as computer vision, augmented

reality and connected home

Interactive

Inauguration photo

developed using

Computer vision

technology by Story

[X] team

1. When filly staffed

Source: Press Research

46

Quartz journalists use code to break story

A future of finance reporter at Quartz, used his knowledge of coding to break a

news story

• He analyzed a publicly available to break the story on how a popular e-wallet

application trying to make revenue

Another Quartz tech reporter created a bot that users can follow on Twitter

at @actual_ransom to see all the Bitcoin payments the WannaCry ransomware

victims have sent

47

bcg.com