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Old media gets creative
New iPhone app
Creating new media attractions is a challenge for some old media people. Some would say it’s just a leap to far. Not true.
Outdoor advertising giant JCDecaux has launched a clever – and free -iPhone app to promote its free bicycle service. In major Spanish, Irish, French and Dutch cities the AllBikesnow iPhone app used GPS navigation to lead people to free bikes. Of course, JCDecaux has ads on the bikes – traveling mini-billboards. Eventually the service will come to Japan.
Outdoor is, arguably, the oldest of the old ad media. Between 3D display design and iPhone apps, it’s certainly seized new media ideas. There’s a lesson here. (JMH)
Telecom tax troubles Commissioner Kroes
Spanish PSB financing problem
Once upon a time French President Nicolas Sarkozy proposed a new financing plan, not to forget complete restructuring, of French public broadcasting. One key ingredient in this sweet tart was taxing telecoms, ISPs and broadcasters. The plan was approved in Paris. Within a year the European Commission (EC) slammed the cookie jar lid on M. Sarkozy’s hand.
We have rules, said Commissioners Neelie Kroes and Viviane Reding in unison, and you can’t raise a new tax on telecoms unless it supports a telecom law. Anyway, they continued, your idea of a tax punishes consumers. Stop it, they said.
The Spanish government thought a lot the French plan and decided they’d do the same thing. We’ll cut the ads from public TV, just like the French, and maybe the ad money will go to the starving commercial TV people, they said. And we’ll tax the telecoms to raise money for public broadcaster RTVE’s shortfall. (More on PSB financing here)
So, Commissioner Kroes brought out the same speech she’d given the French. “The Commission is concerned that this new charge on telecoms operators may be incompatible with EU rules,” she said in a statement (March 18). “This charge appears to unduly hit telecom operators, possibly limiting their investments in new networks and advanced services, and would ultimately penalize telecom customers.”
In formal terms, the European Commission has requested information from the Spanish government about the tax on telecoms. Last December the EC opened a State aid investigation regarding RTVE’s financing. Both inquiries will proceed concurrently. (JMH)
Concept confusion in Moscow
“Not very adult radio”
Russian Federation media regulator Roskomnadzor issued a new warning to broadcaster Elektron for not sticking to program plan in its license for 94.0 FM, reports Kommersant (March 17). The regulator said in its second warning the station should be called “not very adult radio” at least four times an hour rather than Pioneer FM. Electron, owned by Alexander Lebedev, said the regulator is confused.
Mr. Lebedev, who is becoming a newspaper baron in the UK, bought two Moscow frequencies about two years ago. One was originally intended to be an all-business news station. That concept was scuttled for a station for kids, Pioneer FM. “We believe this warning is an unfortunate misunderstanding,” said an Elektron spokesperson.
Roskomnadzor rarely warns broadcaster for concept violations, said Kommersant. Since 2007 it has issued four, half to Pioneer FM. After “repeated violations” a radio license can be revoked. (JMH)
Virgin brand sours
“new identity” needed
French media giant Lagardère has “entered into exclusive negotiations” with Bolloré Media on a new meaning – and ownership - for television channel Virgin 17, reports Les Echos (March 18). If the deal comes down, Bolloré will “consider creating a new identity and not resume the Virgin 17 brand.”
Recently Lagardère Chairman Arnoud Lagardère indicated an interest in disengaging from minority shareholdings. (See more below)
Two years ago Lagardère changed the name of its national radio network Europe 2 to Virgin FM hoping a sexy name might move the ratings needle. It did not. TV channel Virgin 17 was part of that strategy. (JMH)
Satellite radio deal fizzles
Countdown to shutdown
Liberty Satellite Radio, owned by Liberty Media, terminated “strategic negotiations” with bankrupt satellite radio operator WorldSpace, reported Reuters (March 16) quoting WorldSpace disclosures filed with the Delaware (US) Bankruptcy Court. The WorldSpace statement indicated it was “reviewing strategic options” including decommissioning its two operating satellites. There were no other details from WorldSpace and Liberty Media declined comment.
Liberty Media carries the WorldSpace debt, collateral being the satellites. Liberty is a 40% shareholder in Sirius XM, a satellite radio operator serving, largely, North America. The WorldSpace birds have Asia and Africa footprints. (More on satellite radio here)
These satellite radio deals have more lives than Felix the Cat. Stay tuned. (JMH)
Those Danish Cartoons Just Won’t Go Away
London’s reputation as the “libel tourist capital of the world” may come to the forefront again as a Saudi Arabian lawyer says he plans a defamation case there against Danish newspapers that printed those Mohammed cartoons in 2006.
Why London? Because under EC law a judgment under one country’s laws can be applied in other EU countries, too, and since the cartoons were available in the UK via the Internet the lawyer says that allows for UK jurisdiction that then would have to be applied in Denmark, too. Danish courts have said they’re not interested in any such defamation actions there and since libel and defamation law is much stricter in the UK then the Saudi lawyer figures why not try it on?
It’s a prime example of why Lord Judge, the lord chief justice of England and Wales, (yes, his last name really is Judge and he is the chief judge) said last October, “We need to look closely at why it (London) is called the libel capital of the world and if it is, we have to try to persuade Parliament to change the law."
The government has gotten that message and the Ministry of Justice is expected to publish a report within the next couple of week recommending various reforms. But with the UK general elections probably just weeks away in early May it’s unclear what will happen with those recommendations.
Crikey, Forget Newspapers, Just Browse PR Newswire!
An Australian study has found that more than 50% of stories in Australian daily newspapers are triggered by PR activities which goes to explain probably how newspapers around the world that have cut way back on reporters still manage to fill the newsprint. Put bluntly, if there is no one available to write the original news copy then fall back on what the PR people give you. Great journalism, that!
It’s a sad state of affairs. According to the Crikey web site, many journalists and editors interviewed for the survey were very defensive and many later asked their comments be deleted for fear of being reprimanded or fired.
But Chris Mitchell, editor of the national Australian (Murdoch) was candid. “It’s very difficult, I think, given the way resources have drifted from journalism to public relations over the past 30 years, to break away as much as you really want to…I guess I’m really implying the number of people who go to communications school and who go into PR over the years has increased and the number in journalism has shrunk even more dramatically.”
Sure, but those who did go into journalism have been losing jobs right and left, too – maybe that has something to do with why a PR release is now like manna from heaven in too many newsrooms. Saves all that time and effort originating a story that actually might actually be negative against a company or person. Ugh!
Media closed for opposition reporting
It’s the weather
Reporting on a political rally will get you kicked off the air and your newspapers confiscated in Kyrgystan, reports several sources in Bishkek. Authorities refused to allow circulation of the newspaper Forum (March 15) because it contained information about the opposition rally scheduled for March 17. Last week (March 10) programs from RFE/RL’s Radio Azattyk were prevented from re-broadcast on local affiliates.
One RFE/RL television affiliate “Echo Manas” stopped broadcasting after government threats to pull its broadcast license. Several news Websites were also blocked, prompting a rebuke from the Russian Ambassador to Kyrgystan as several of the Websites are in the Russian language or have Russian domains.
A daily television program produced by BBC Kyrgyz Service was inexplicably unavailable one day (March 15) then returned. Kyrgyz media authority NTRC blamed the BBC service outage on weather conditions. (JMH)
Yes, It’s That Bad – They’re Messing With The Comics
The very first thing they teach you in editor’s school is “You mess with the funnies (comics) at your peril. Don’t do it.” But it seems the financials at US newspapers are so bad that editors are looking for savings even from the likes of Charlie Brown and Dilbert (which is probably the reason their home – United Features – could be for sale). But newspaper editors are hearing vociferously from their readers – as they knew they would – that you can mess with page size, you can move sections around, even drop a local beat or two, but don’t even think about, yet alone act upon, cutting back on the funnies (comics).
The Star-Ledger in Newark New Jersey, for instance, got more than 1,200 reader complaints when it told readers it could save $300,000 annually by dropping one page of comics. You think they would have gotten 1,200 complaints if they said they were dropping an arts critic, or it would no longer cover municipal court? The newspaper eventually came to its senses and the comics stayed.
The other trick editors try is if they can’t dump comics then at least reduce the space given to the comics by making every square smaller, which of course means the type face is smaller. But wait a minute, aren’t the majority of newspaper readers more than 50 years of age, which means poorer eyesight than the young pups and that means smaller type is a big problem …
Don’t mess with the funnies!
UK National Newspaper Ad Linage Up, But Revenue?
Rate card, what rate card? First reports from UK national newspapers for 2010 are indicating ad lineage is up but no mention about whether revenue grew, and the way the ad agencies are talking about how newspapers are becoming more “realistic” and “more willing to trade” would indicate the rate card is just about out the window.
So, while there may be lineage increases from just a bit up to around one-third for The Daily Mail and The Daily Telegraph the ad trade seems to be saying the increase is because of lower rates so how all of this plays on the newspaper bottom line only the bean counters know for sure.
But if ad space is up then ancillary trades such as newsprint and ink should be happier – more ads means more paper and ink, unless editorial is cut back by a similar amount.
Open the window and throw something out
Spinning through French media
Media giant Lagardère is the most recent in the list of media giants posting sad 2009 financial results. The company still brings in a boat-load of cash, just far less hitting the bottom line. Consolidated revenue ending December 31 was off 4% to €7.892 billion.
It’s another story of decline for ad-based traditional media. Operating profit for that wing – Lagardère Active – dropped to a mere €15 million in 2009 from €206 million in 2008. Lagardère Publishing, by contrast, had revenue growth a shade more than 5%, largely on book sales in the US, Australia and the UK. Sports right marketing division Lagardère Sport also had a decent year, first half much better than the last half.(See more on media in France here)
Though Q4 revenue for Lagardère Active showed improvement, the years total was off 16.6% to €1.725 billion over 2008. Radio and television revenue was down 12.7% to €454 million. Revenue for broadcasting activities outside France was down about 20%. The magazine sector took the major hit; down 20.1% to €1.271 billion.
“Activities of limited growth,” said group chairman Arnaud Lagardère at the press briefing, could be jettisoned. Minority stakes in Canal +, Groupe Marie Claire and even aerospace company EADS could be spun. “Each year, the window opens,” he said.
That “window” refers to a put option for Canal+ open between March 15th and April 15th. Lagardère owns a 20% stake. Several French radio “activities” may be sold, scuttled or otherwise downsized. The Europe 1 Sport channel is likely the first to go. The company has also investigated the possibility of withdrawing several FM frequencies used by Virgin FM and RFM. (JMH)
More Harmony in Rules
And more ads
The Swiss Federal Council approved (March 12) changes to the Ordinance on Radio and Television (ORTV) meant to bring rules into harmony with the European Commission (EC) Audiovisual Media Services Directive (AVMS). With the changes, coming into force April 1st, broadcasters will be allowed to interrupt films and news programs after 30 minutes for spot breaks. Liberalization of ad rules will not immediately affect public broadcaster SSR-SRG.
Broadcasters will also benefit from government contributions to new technologies investment. Part of broadcasters concession fee, based on revenue, will be rebated for new transmitters and multiplexes. Additionally, non-commercial radio broadcasters will be eligible for financial contributions from the public broadcasting license fee, up to 70% of operating costs.
The Federal Council maintained ad restrictions on SSR-SRG pending a review of the license fee.
The Swiss government was obliged to amend media rules or risk losing contributions from the EC’s MEDIA program for support of film production, in which Switzerland participates. Swiss broadcasters had lobbied for changes, being at a disadvantage from French and German broadcasters with liberalized ad rules. (JMH)
Show biz trick starts bad buzz in Georgia
Who you gonna call?
Just how many news directors are told to be creative and generate a little excitement? More than some can imagine. Usually the really wacky stuff never makes it to air.
It was just a joke, said a spokesperson for Georgian television channel Imedi after a Saturday night (March 13) fake news program caused panic. The half hour show pulled out all the stops, apparently, with stern-faced news readers telling of troops on the move and the country’s president killed backed with archive footage of the 2008 Russian invasion. People went to the television station’s building in the capital Tbilisi in search of answers, aliens or both.
Georgian politicians used this opportunity to attack each other. There is, of course, a election coming up in May. “It was indeed a very unpleasant program but the most unpleasant thing is that it is extremely close to what can happen and to what Georgia's enemy has conceived,” warned Georgian President Mikheil Saakashvili on State TV (March 14). His political opponents shot back that the show was conceived as a political plot, threatening to sue or worse.
Imedi has a storied – and brief – history. Started eight years ago as a privately owned radio and TV company with tendencies to report news upsetting to Mr. Saakashvili, Imedi has had interesting friends and enemies. When founder Badri Patarkatsishvili dropped dead of a heart attack in London (February 2008) there was a flurry of activity by family members, in-laws and outlaws, to get control. (See more on Imedi TV here) Patarkatsishvili called News Corp a partner, which may have been real but was certainly not long-lasting. Most Georgian media observers consider news coverage on Imedi TV government-friendly.
References to the breath-taking Orson Wells broadcast “War of the Worlds” found their way to many news report of the incident. That show, broadcast on radio in the US in 1938, scared the willies out of a lot of folks, tensions heightened by economic depression and fears of a world war that would arrive all too soon. German news magazine Der Spiegel, slight irony showing, evoked in a headline the 1966 Oscar-winning comedy film “The Russians Are Coming, The Russians Are Coming.”
Interestingly (or not) Imedi’s news director Nana Intskirveli quit March 4th, reported Civil Georgia. She said her “work was not appreciated.” Commenting on the personnel change, station general director Giorgi Arveladze rubbished rumors that the station is about to close, saying “we have very serious plans for future.” (JMH)
Paralympics TV Coverage Increases
“significant improvement”
Thousands of hours of television were broadcast from the Vancouver Winter Olympic Games. Since the inspiring closing ceremony, most sports reporters and broadcast crews have moved on to the next event. Some have stayed.
The Paralympics – March 12 through 21 – is expected to receive record coverage, says the EBU, which will bring live and delayed broadcasts to more than a dozen European public broadcast channels. (See EBU release here)
Canadian coverage, led by CTV, will offer 57 hours, 30 in French and 27 in English. “It’s a significant improvement,” said an International Paralympics Committee (IPC) spokesperson to the Vancouver Sun (March 10). “We want to drive as many viewers as we can to the coverage.” (JMH)
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