Aug 06

Two Centuries of Brand Building Pays Off

Today's guest post is by London Peppercommer Carl Foster.

Times2 The balance sheet of most major newspapers looks something like this: 

Advertising RevenueDown
Editorial StaffDown

The most radical move to counter this downward spiral has come from one of the world’s oldest newspapers, The Times (Incorrectly referred to by many as The Times Of London or The London Times). Last month The Times put all its content behind a pay wall – the first major, non-financial daily newspaper to do this. It is probably no exaggeration to say that the outcome of this experiment will determine the future of the newspaper industry.

Subscription to costs £1 for a 24 hour pass or £2 for a one week pass. (The daily print issue costs £1.) In the weeks leading up to the introduction of the pay wall, when visitors were asked to register to view articles, traffic fell 58 per cent. The paper’s share of UK news traffic, from sites like Google News, fell from 4.37 per cent to 1.83 per cent.

Losing almost two thirds of your customers overnight is enough to panic any business owner, but  is it really that bad? I don’t think so. First of all, have you lost 58 per cent of your customers or just 58 percent of your footfall coming through the shop door? How many people clicked through from Google News not caring if they read a story in The Times, The Daily Telegraph or, the 800 lb gorilla in the room, the publicly funded BBC? The fact that people should be focusing on (and the newspaper industry rejoicing at) is that 42 per cent of people chose to pay for their news from The Times. That is the kind of brand loyalty that 225 years of publishing gets you.

The other positive is that the people paying to access The Times’ content are a much more lucrative demographic than the froth that washes up on the site from a news aggregator. People see more value in things that they consider worth paying for, and that goes for consumers and advertisers. This is completely the opposite strategy to that taken by another stalwart of the British newspaper industry, the Evening Standard. As I blogged about last year, after more than 150 years, the Standard became a free newspaper. Yes, the readership grew significantly, but the brand, and the value of its content was reduced, irrevocably, in my opinion.

I am heartily encouraged by the apparent success at The Times and what it means for mainstream publishing. Yes, citizen journalism is important, and in situations like the Iran elections it can be invaluable. But don’t discount the big media groups. There are times when only the resources of a major newspaper can tell a story adequately. Two examples of this are the recent leak of the Afghanistan files to Wikileaks, which in turn passed them to The New York Times, The Guardian and Der Spiegel. The other is the British Parliamentary expenses scandal, when thousands of pages were passed to The Daily Telegraph, which ensured the story was analyzed and told properly and responsibly.

There is much ill will directed at Rupert Murdoch, but as owner of The Times his brave experiment will hopefully prove to be the turning point for a troubled, yet vitally important industry.

May 12

From PR to PM

Guest post by Carl Foster, Peppercom London

May 12 london  A common gripe in our industry is that PR doesn’t have
a ‘seat at the table.’ Well, in the UK one PR man has blasted past the table to
become Prime Minister. Last night, in the most exciting political drama seen in
Britain for 65 years, David Cameron got the top job in the country.

David Cameron became leader of the Conservative Party
in 2005 (as Carl
at the time), but before that he was head of corporate communications
at Carlton Television. However, to define him as a ‘PR man’ is somewhat
inaccurate. Cameron became a researcher for the Conservative Party right after
graduating from Oxford and then went on to become a political advisor for the
then Prime Minister, John Major and also the Treasury. Cameron was well aware
however that if his political ambitions were to be fulfilled he needed to
demonstrate success outside of the world of politics. According to
in The Guardian, the mother of
Cameron's then girlfriend Samantha, Lady Astor, contacted her friend,
Michael Green, then executive chairman of Carlton. Apparently she suggested he
hire Cameron, and Green

How did this political animal perform as a Public
Relations Officer? The former business editor of
The Sun, Britain’s
biggest selling newspaper, described Cameron as a "poisonous, slippery
 Highly respected
business journalist, Jeff Randall, said, “In my experience, Cameron never gave
a straight answer when dissemblance was a plausible alternative” and that he
would not trust Cameron “with my daughter's pocket money.” Not good. But to be
fair, Cameron was the conduit between the media and Sir Michael Green, someone
with a fiery reputation and a dislike of journalists. Additionally, Carlton TV
was trying to navigate the new fangled world of digital TV when the behemoth of
BSkyB was way out ahead already. Perhaps the greatest lesson Carlton taught
Cameron was that no amount of presentation and PR could overcome a broken
organisation with a leader that doesn’t prioritise communications.

Cameron has bought the Conservatives a long way since
2005 and has fundamentally changed the party (albeit not as radically as Tony
Blair transformed Labour into New Labour in the 1990’s). What comes now is
anyone’s guess. The Conservatives won more seats and votes than any other party
in the election on May 6
th but did not win an overall majority. Last
night, in the
dramatic 90 minutes
British politics has seen in half a century, the
Conservatives struck a deal to form a coalition government (the first since
Winston Churchill’s in World War Two) with the Liberal Democrats. The Tories are
going to need more than good PR though if they are going to bring the
change they promised in their campaign.