Thursday, April 25, 2013

Pilot pay wall proposal is a red herring

 If The Virginian-Pilot, the dominant media voice in Tidewater, would ever charge the Public to read online news was never in question.

When The Pilot would do it, in imitation of other major dailies in the U.S., was the question.

That question has been answered – this summer.

But what baffles, bewilders and irritates me is the justification for charging a fee to read online news.

To pay journalists, The Pilot must charge for online access.

To offer more news, features and other fluff, The Pilot must charge for online news.

Because we have to pay those pesky journalists, we have to charge for online access.

Essentially, the head honchos at The Pilot are saying that we have to charge for online news because we have to pay journalists. 


In other words, journalists are responsible for all these costs, so if you want all this and more, you have to pay. This is a red herring.
Heaven forbid, you should trim the managerial staff.

Why not revamp the sales force and the sales philosophy?

Blasphemy.

Why not streamline redundant sales, managers and operations by shifting the operations of Targeted Media, which is owned by Landmark Media, to The Pilot?

How can you say such a thing?

What about those other costs that you never mentioned?

Editors, associate editors, managing editors, copy editors, designers, artists, the cost of newsprint, the cost of IT and so forth.

But, no, it’s the cost of journalists.

No one goes into journalism to get rich.

Most journalists know this, so they marry an investment broker, attorney, accountant or judge or hang a sign around their neck and say “I’m almost homeless and looking to marry a rich woman or man.”

Or they walk over to the business side of the ledger and become a general manager.

So now you want us to pay for news after giving it to us for free?

You should have thought of that a few years ago.

"Our work has great value," said Denis Finley, the editor of the newspaper. "We can't give it away anymore."

Let the market determine if “your” work has great value.

Let the market determine if people will pay for your news.

Don’t tell us you’re going to charge for news before you even think that people will pay for it.

There’s a smell of arrogance to this assumption.

"We need to ensure that we cover the cost of generating that journalism on multiple platforms, including the digital platform, where we are experiencing significant growth," said David melee, president and publisher of The Virginian-Pilot.

Finley said digital subscribers will continue to see new features, including enhanced city pages - Norfolk's is scheduled to debut Tuesday - and a new Pilot app for tablet users, set to appear this summer. "We're not standing still," he said.

We also have the challenge of paying for it all, Melee said in an open letter to the Public. We employ more than 150 journalists who provide comprehensive coverage of Hampton Roads — reporting on government, politics, health, education, crime, transportation, military, business, sports, entertainment, and much more.

That journalism requires a significant investment in people, equipment, systems and support. 


Footnote: placing the justification for cost increases on journalists will only exacerbate an already dubious and controversial relationship with the Public. 

3 comments:

  1. Phil-

    I can show you study after study that proves charging for online content is smart move for newsrooms today. If you think the Pilot has zero value to this community, then it should remain free online forever. If, on the other hand, you believe the newspaper must remain the flagship media outlet in Hampton Roads, then the community must pay for online content.

    Revamped sales and advertising strategies also matter, but digital subscription models are on the rise coast to coast, and people understand the need to pay for local news 'of value.' Judge the merits of the Pilot's paywall model and pricing but not the idea in general.

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  2. Philip,

    I have a few questions that you are in a better position than most readersto answer. You have spent most of your life on the print side of the news business and now have an on line publication. To have a successful news organization I assume takes money and a team. I know you are working your butt off right now and wearing many hats but, as you grow, so will your need for support. Hard print readership is down, or so I'm told. I think some of it has to do with lightweight reporting but it also has to do with the availability of news on line. The better (perhaps larger) on line papers and blogs are constantly updating making print versions stale. To continue to exist,a print version which also has an on line version must have a business model which provides for a revenue stream. That, like the print, version in large measure relies upon advertizing and to a lesser extent subscribers. This is not meant as sarcasm but as an honest question. How would you, if you owned Landmark, generate the income to employ the journalists, the support staff, marketing people,purchase equipment, etc. in the face of shrinking revenues from the print side? Does the electronic version generate sufficient income to be self-sustaining? I for one believe you need both. Not everyone can afford one nor does everyone use a computer. However, if everything I have read about the reduced circulation of newspapers and lost advertising dollars is accurate, it would seem that all publishers are facing a serious cash flow problem.

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  3. Sounds like you are gonna have a harder time leeching ... I'm sorry ... linking to other people's work.

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