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THE INTERNET, MOBILE MEDIA, AND YOUTH ARE NOT TO BLAME

Traditional media industries and companies are overwhelmed with an atmosphere of consternation and fear today.

Trade publications and industry association meetings are filled with news of diminished budgets, reorganizations, consolidations, and layoffs. People say traditonal media are declining and will soon disappear. Potential employees are wondering if there is a future for them in the industries and senior employees are hoping their jobs will last until they reach retirement. Everyone is pointing the finger,but most of the blame for killing traditional media is laid on the Internet, mobile media, and young people.

There is just one problem with their scenario. IT’S NOT TRUE. We have deluded ourselves into thinking that well established media are dying and that young people are uninterested in traditional text and audiovisual media.

Although new distributors of information and entertainment abound and video on demand and consumer-created content are increasing daily, consumers’ greatest time allocation and advertisers’ greatest expenditures remain with traditional media. Although young people have adopted newer media technologies more rapidly than other population groups, most of their media use still involves film, television, magazines, and non-traditional newspapers.

If the death knell for traditional media is not ringing, why do industry personnel keep hearing bells in their ears?

The reason is that significant changes are underway and most people don’t understand them. We have reached a era when the collective weight of expanded offerings of traditional media and the appearance of new types of media are ending the relatively undemanding operating conditions that existed due to lack of media choice and are removing the effortless profits that traditional commercial media enjoyed for a half century.

Suddenly there is competition. Suddenly there are financial losses. Suddenly there are company failures. Suddenly audiences are no longer satisfied with the “take content on our terms when we want to deliver it” approach that traditional media have offered. Only it wasn’t really sudden. Those factors have been growing incrementally for at least three decades. The problems were certainly compounded by the arrival of Internet and mobile content distribution, but they were not caused by them.

Let’s look at the case of the newspaper industry in the U.S. Readership problems have been evident for half a century. Although actual circulation rose continually throughout the twentieth century, reaching a height of 62.6 million in 1993, penetration has declined steadily at 1 to 2 percent each year since 1950. The pace has been steady despite the appearance of additional types of media. The expansion of network television didn’t increase the loss, the arrival of cable channels didn’t amplify the decline, and the arrival of the Internet didn’t boost the pace.

Today, the Internet is having an affect on advertising, but even that is not disastrous despite the wailing and gnashing of teeth. Total U.S. newspaper advertising was $46.6 billion in 1999 and $49.3 billion in 2006. In financial terms newspaper advertising is rising, but when accounting for inflation it has basically plateaued so one can not say the Internet is killing papers. If we look at classified where the biggest substitution exists, classified advertising in newspapers reached a height of $19.6 billion in 1999 and it was $16.9 billion in 2006. Clearly a decline occurred but it was offset by the fact that newspaper online advertising produced $2.6 billion in 2006. Overall, the business has stopped growing and investors are unhappy, but the industry isn't dying.

Certainly, the Internet is having many effects on established media. Research shows that print media business models have been least disrupted, unlike audiovisual media, but that print media work processes are changing most among media. However, Internet, mobile and other new form of distribution are providing all types of traditional media new opportunities.

Similar things have happened in the television business. The change from a limited number of television channels to hundreds of television, cable and satellite channels spread the audience, reduced the viewers of dominant stations, and made advertisers unwilling to continue paying previous prices. The big 3 networks could count on ratings in the 20s to 30s in the 1970s, but today they achieve ratings in the teens and are fighting to stay among the big 3. Nevertheless, viewers want network programming--on TV, as DVD, as syndicated programming, as downloads. There is no sign that demand for interesting programs is diminishing even if the basic television ratings are falling and new ways of monetizing the content are being developed.

We all need to recognize that changes in traditional operations are painful for industries, companies, and their personnel and that the contemporary changes are placing a lot of stress on management and employees. Everyone would prefer to continue doing things in the old ways they know well, but because of the new conditions those business models, processes, and market techniques aren't working as effectively as in the past.

The biggest challenges facing people in traditional media today are pessimism and lack of vision. Morale in publications and stations continues to drop, and doom and gloom are everywhere. That negativism makes things worse internally, reduces confidence of advertisers and investors, and makes it difficult to think about trying new things or even trying old things in new ways. The first step out of this condition is to stop lamenting the passing of the past. Things will never be the way they were. So get over it. Move on. 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CAN PUBLIC BROADCASTERS HARM COMPETITION AND DIVERSITY?

This is not trick question and it is being increasingly asked as public broadcasters grow larger, offer multiple channels, move into cross-media operations, and increasingly commercialize their operations. The Federal Communications Commission will have to consider that question shortly when it considers the effort of WGBH Education Foundation—operator of WGBH-TV, the highly successful Boston-based public service broadcaster—to purchase the commercial radio station WCRB-FM. WGBH is the top ranked member of the Public Broadcasting Service in the New England and produces about one third of PBS’ programming. It operates a second Boston television station, WGBX-TV, and WGBY in Springfield, Massachusetts. In addition it operates FM radio stations WGBH (Boston), WCAI (Woods Hole), WZAI (Brewster), and WNAN (Nantucket) and is a member of National Public Radio and Public Radio International. It operates two commercial subsidiaries involved in music rights and motion picture production. This mo...

Slow down

Estamos na última semana do verão e por aqui o tempo continua bem bom. Claro que não está mais tanto calor como em Agosto, mas ainda consigo andar de camisolas e tops de alças, t-shirts, vestidos e saias. Num ou noutro dia lá precisei de um blazer ou quimono de manhã cedinho ou de noite, mas ainda está calor. E o que é que eu quero com este paleio todo? Não, não é conversa de circunstância vir aqui falar do tempo. Só me chateia um bocado ver imensa gente já cheia de frio e em colecções de outono dos pés à cabeça quando ainda temos muitos dias com máximas perto dos 30º!! Really!!! Eu já dei uma olhada nas novas colecções e já me apetece o frio para vestir-me em layers, cores mais escuras, malhas, mas calma... O chinelo no pé e a sandália ainda estão mais do que permitidos! Porque já andam de botas, camisolas com gola e manga comprida, casacos de couro... se está tanto calor? Estamos em Setembro, ainda está bom tempo, não andem por aí cheias de roupa da nova colecção, qual vitrina da...

Why should you have a uniform?

Desde maio que não partilhava um look meu aqui! Oh-Meu-Deus!!!! IMENSO!!! Acho que nunca estive tanto tempo sem publicar por cá os meus outfits, mas a verdade é que não tenho tido tempos mortos para conseguir fotografar. Quando tenho tempo não tenho fotógrafo disponível. Este foi o look que usei no jantar do meu aniversário, há mais de um mês, I know, e é daqueles looks bem simples mas que resultam sempre lindamente. Eu adoro este tipo de combinações. E não podia ser mais apropriado aos últimos meses que têm sido non stop. Confesso que cada vez mais sou adepta de deixar pronta a roupa que vou vestir no dia seguinte antes de dormir. Pensar no que vou vestir antes de sair para o trabalho acaba por me gastar demasiados minutos, ainda não estou bem acordada, tenho o raciocínio lento, noto que perco mais tempo quando na verdade o que eu queria era ainda estar a aproveitar a cama! Não sei se são como eu ou não, mas este tipo de combinações salva-me os dias, ou melhor, uns minutos a ma...