Tag Archives: Online Journalism Scandinavia

Online Journalism Scandinavia: Behind the spin of Mecom’s half-year results

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Even former Mirror boss David Montgomery, who has a reputation as a ferocious cost-cutter, admits his new pan-European newspaper group Mecom cannot cost-cut its way out of a recession.

Shares in the company tumbled on the London Stock Exchange last week after the newspaper group failed to impress the market with its interim half-year results.

Perhaps jittery from all the recent talk of recession, investors did not appreciate the highly geared company’s reports of ‘worsening economic conditions’.

Despite Montgomery’s assurances that his business model is very different from that of UK newspapers – with subscription rates as high as 96 per cent in some of the countries Mecom operates in – alert observers noted that advertising still makes up 52 per cent of revenue.

No more title-specific news desks?
As widely reported, this does of course mean employees at the company, already disgruntled about redundancies on the table, will have to prepare for an even tighter ship in times ahead.

But there is more to this story: in a phone conference with employee representatives last week, Montgomery is reported to have admitted the company cannot cost-cut its way out of a recession; and emphasised that new ways of working and new streams of revenue were necessary for newspapers to have a profitable future.

He specifically highlighted two areas as key to the company’s future strategy: digital expansion, where its Norwegian division, Edda Media, is leading the pack with 9 per cent of its revenues from digital operations; and the media house strategy pioneered by Lisbeth Knudsen, the CEO of its Danish operation.

As Journalism.co.uk previously reported, Knudsen has reorganised her company’s titles into ‘verticals’ that deliver copy not only across platforms, but also titles – be they broadsheet, tabloid or regional newspapers. This, apparently, is to become the standard for all future media house strategy in Mecom.

Innovation exchange
“Mecom’s German division for instance – comprised of Berliner Zeitung, a national; Netzeitung, an online-only newspaper, and various magazine titles – should pay heed to these words. This model might be seen as a good fit for Germany,” an employee representative told me.

Mecom has also established an agreement that allows all Mecom countries to exchange software solutions developed in one country to another Mecom country without charge. The Reader’s Newspaper, a citizen journalism portal previously described by Journalism.co.uk, for instance, is to be exported from Norway to Denmark and Poland.

Another Norwegian export is a new range of hyper-local websites and freesheets Mecom is launching in Poland: Moje Miastro – a concept that has been operating for some time in Norway. The newspaper group, often portrayed as cash-starved and too much in debt, has also entered into an agreement to buy Edtytor Sp. z o.o., a regional newspaper business in Olsztyn. It has told employee representatives that the Polish expansion in new products was to blame for the dip in profits from its Polish arm.

Beware the ghost of recession
In other words, keeping an eye on innovations in the various parts of Mecom’s far-flung empire, can give useful pointers to what we can expect on group level.

Unfortunately for Mecom, a less fortunate trend spreading through the many European countries the company operates in is the ghost of recession.

In this age of globalisation, operating in more than one European country is no safe hedge against a market downturn, despite Montgomery indicating otherwise.

As Peter Kirwan recently wrote in his Press Gazette blog: “[W]hen it comes to the ad recession, we’re at the end of beginning, not the beginning of the end.”

In the summer months we have seen the footprints of recession appear in new territories such as Norway and Holland, causing the job and property classifieds markets to shrink – a sure sign that worse is yet to come.

For Mecom, the question is which is strongest, which will have the final say: the ability to come up with new innovative ways of doing business with less resources, or the clammy hand of a jittery market in the throes of recession?

Online Journalism Scandinavia: VG.no adds blog trackbacks to articles with Twingly

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Schibsted-owned VG.no has added a popular ‘trackback’ function, allowing the site to display what bloggers are saying about its articles.

Yesterday the site quietly opened its virtual doors for bloggers and started using Swedish blogsearch-engine Twingly to display links from bloggers below individual articles.

Previously the country’s second biggest tabloid Dagbladet had adopted the function for its news site, while the news sites of other influential Scandinavian newspapers, such as Svenska Dagbladet and Dagens Nyheter in Sweden, and Politiken in Denmark, have been using it for some time now.

Several of these papers have seen Twingly as a way of building a bridge to the blogosphere.

“Twingly has built a solid position in the Nordic market, so it was a natural choice. We see it as a way to enrich our articles,” René Svendsen, deputy editor for VG.no, told Journalism.co.uk.

Online Journalism Scandinavia: Norway’s Journalisten – a role model for UK journalism trade titles?

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Kristine Lowe asks, is there a business model in covering the media for the media?:

(Disclaimer: Kristine works part-time for the Norwegian journalism magazine and website Journalisten and has previously contributed to Press Gazette and NA24 Propaganda)

Recording the miserable state of our industry, and listening to experts predicting its imminent death, is a daily plight for media hacks in the western hemisphere.

Newspaper readership for one seems to be in perpetual decline, a fact often bemoaned by the media columnist.

However, a recent article in MediaGuardian by former Press Gazette editor Ian Reeves suggests that the UK’s journalism trade titles, such as the National Union of Journalists’ (NUJ) The Journalist magazine and Press Gazette, are faced with an audience of hacks, who have lost the appetite for news about their own.

“You’ll never make money out of journalists,” Reeves quotes Haymarket’s Michael Heseltine as saying.

Yet that is exactly what the Norwegian equivalent of The Journalist does.

Journalisten.no recorded £1.4 million in revenues in 2007, despite competition from Kampanje (Campaign) – a trade magazine that also covers PR and marketing; NA24 Propaganda – a dedicated media news site; and the media sections of national and regional newspapers.

Roughly £800,000 of this came from advertising and £300,000 from subscriptions, leaving the magazine and news site, which are published by The Norwegian Union of Journalists (NJ), with a post-tax profit of £104,000.

Hardly enough for the hardened business world, but more than enough to justify the existence and further expansion of a ‘local newspaper’ for the country’s journalists.

The news site had 11,000 unique Norwegian-based visitors last week, while the main benefactors of the bi-weekly magazine are around 10,000 union members, who receive it as part of their union membership.

Other than union members, the magazine does have about 1,000 subscribers in the corporate and NGO sector, but not much has been done to market it to a broader audience recently.

The key to Journalisten’s revenues has been capturing the job classifieds market for media jobs, which is easier said than done in a more fragmented market such as the UK. Another minor stream of revenue for Journalisten is a database of PR contacts.

But Journalisten is hardly an isolated example: US-based media site Mediabistro, which also earns money from freelance listings, membership fees and training, must have had a decent turnover to have made it a worthwhile acquisition for Jupiter Media.

Swedish Résumé, owned by Swedish media giant Bonnier, is another contender with 15,000 unique visitors per day online and 29,000 readers per week for its magazine.

These are just two examples which spring to mind here and now, does anybody have other suggestions?

Online Journalism Scandinavia: Berlingske Tidende – using crime maps for journalism

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As the UK government announces plans for crime maps for offences in England and Wales, Kristine Lowe reports for Journalism.co.uk on how Danish paper Berlingske Tidende is using its own map as a source of news and a public service.

“Crime mapping is getting government push behind it, even if police are resisting,” wrote the Guardian’s technology editor Charles Arthur this week, as the government announced plans to publish local interactive crime maps for every area in England and Wales by Christmas.

In Denmark the national daily Berlingske Tidende is already pioneering the use of crime maps as part of the newsgathering process.

With the help of its readers, the paper has created an interactive crime map detailing how well the police responds to calls from the public.

“We have just had a major police reform here in Denmark and decided to investigate how this has worked. The politicians promised more police on the streets and more money to solve crime. We thought the best way to check the reality of these promises was to get our readers to tell us about their experiences,” Christian Jensen, editor-in-chief of Berlingske, told Journalism.co.uk.

The reader reports are placed on a Google map of the country and, since its launch in May, 70 crimes have been reported and plotted.

One of the crimes reported to the map related to the alleged murder of Danish woman Pia Rönnei.

Despite available patrols in the area, the police force did not send officers to investigate calls from neighbours, who reported screams and loud bangs from an apartment that Rönnei was in – something it has been forced to apologise for after the publicity the story received.

“In classic journalism, it is the journalists who find the stories. In our new media reality, it can just as well be the readers who alert us to issues they are concerned about,” said Jensen.

The newspaper has had two full-time reporters devoted to the project, and used an online journalist, photographer and production company (for live pictures) in stories they have devoted additional space to.

“We encourage people to get in touch with stories both in our paper edition and online, as we see a substantial increase in web traffic when we draw attention to the project in the paper edition,” Jensen explained.

Every single crime report on the map generates the same amount of web traffic as breaking news, he added.

The project has been so successful that the newspaper is preparing to launch another project in the same vein. In the next few days Berlingske will unveil a database on immigration politics, where readers can tell their own stories and read and comment on each others’ accounts of their experiences with immigration authorities.

But the biggest challenge for the paper has been verification:

“That is what makes this complicated. Our journalists read through all the reports to check their credibility, but we do not have the resources to verify every single detail. That has made it even more important to clarify from the outset that we are only reporting what the readers have told us.”

Norwegian newspaper reporters banned from filming rock festival

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“These newspaper reporters should stick to what they are good at, namely creating a newspaper, be it online or in print,” the head of press for Norwegian rock festival Rootsfestivalen, told paper Brönnöysunds Avis (BA).

The local paper was the first Norwegian mainstream newspaper ever to go online back in 1996, but PR man Dagfinn Torgersen, a former professional film photographer with the country’s public broadcaster, does not think the early online adopter has made much headway with web-TV.

“We have allowed TV stations to film, but we see no purpose in news reporters filming these concerts only to put the material on BA’s website with extremely bad sound and picture quality,” he told the paper.

Online Journalism Scandinavia: Mecom’s Danish arm may ditch costly CMS for Drupal

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Berlingske Media, Denmark’s biggest publisher of daily newspapers, is considering making free open source software Drupal its online publishing system of choice.

Former Mirror-boss David Montgomery’s Danish lieutenant, Lisbeth Knudsen, is contemplating the move, which could save a substantial sum of money – but it does not come without risk.

Berlingske Media already runs some of its sites on Drupal – a long-time favourite free content management system (CMS) of web hacker-geeks – but many consider the open source solution more vulnerable to hackers than proprietary systems.

“Our sports portal, launched early in June, is developed in Drupal, and we will use this for more sites. We are in the process of evaluating future online solutions, and will make a decision on this later this year. So far we have chosen Drupal for some of our smaller sites and Saxotech online for the bigger,” Knudsen told me.

But is Drupal up to the task?

The Danish newspaper publisher is in the process of integrating all its titles into ‘verticals’ that deliver copy across platforms and titles, and its sports site carries material from several of Berlingske’s titles.

Henning Sund, head of digital development for newspaper publisher Edda Media, is sceptical about how well Drupal is suited to such large-scale projects.

”I think part of the reason Berlingske Media is considering Drupal is that they are so desperate to get away from Saxotech Online. That is a desire I understand perfectly,” he said, explaining that Edda Media, Mecom’s Norwegian division, is also in the process of replacing Saxotech Online, but Drupal is not a candidate.

”I do not feel the security in Drupal is well-documented enough. We want a provider that can take responsibility for this, something we will not get with Drupal,” said Sund, adding that you also have to spend a lot of money on developing the desired functionality in Drupal, as it is not ‘plug and play’.

Berlingske-owned AOK.dk, a city guide for Copenhagen that runs on Drupal, has used an east European company to develop extra functionality in Drupal – a concept that has been exported to Berlin and Mecom Germany.

However, Sund does not think that Mecom boss Montgomery will impose Drupal as the standard CMS throughout the company should it be a success:

“Montgomery has made it very clear that as long as you reach your budget targets, you can choose the solutions you see fit. However, if you do not reach these targets, you will get Montgomery breathing down your neck, and that is something you would do anything to avoid.”

For more news on newspapers harnessing open source read about The Jewish Chronicle’s launch of a beta site using Drupal.

Online Journalism Scandinavia: Norway’s Aftenposten to webcast editorial meetings

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Norway’s newspaper of record, the Schibsted-owned Aftenposten, is to start webcasting parts of its editorial meetings.

Following of a newspaper debate on media transparency where American regional newspaper Spokesman-Review, which has webcast its editorial meetings since June 2006, was upheld as an ideal in terms of editorial transparency, the paper’s editor-in-chief Hans Erik Matre told attendees it was time to open up more of the editorial process to public view.

“We are considering webcasting our editorial meetings, starting this autumn. However, instances were we broadcast these live online, in full, will probably be limited,” he later told Journalism.co.uk.

“What we have concrete plans for, is publishing parts of our editorial meetings online to get feedback. This could either be to get reader perspectives on the evaluation of our stories, in retrospect, or to involve readers more upfront in the planning stage of big stories – say on healthcare.”

Steve Smith, the editor-in-chief of Spokesman-Review, visited Oslo recently. He told Journalism.co.uk webcasting editorial meetings was a minor programme in the scheme of things for the newspaper, which also use reader polls and journalist-written blogs actively.

“Our webcasts have 40-50 viewers in the morning, 20-25 in the afternoon. It’s mostly our competitors or people who have, or think they might have, a stake in what is being said. We attract few viewers simply because these are boring meetings. It’s symbolic: the fact that it is there, that it is an option, is important. We also break out pieces of the webcast and put them on blogs when we are dealing with controversial issues,” he explained.

He added: “The whole transparency costs next to nothing. The challenge is time: I would much rather spend all my time blogging than being an editor.”

In May, Liverpool Daily Post (LDP) became the first British newspaper to webcast an editorial meeting. Mark Comerford talks to LDP’s editor Mark Thomas about their “transparency” experiments here.

SFN: Norway’s online newspaper revenues reach 290 million euro – up 61 per cent in two years

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Online newspapers in Norway generated nearly €290 million in 2007, up 61 per cent from about €180 million in 2005, according to the International Newsmedia Marketing Association (through SFN Blog).

Display and classified revenues increased 41.7 per cent. Search and listing up 112.5 per cent.

Online Journalism Scandinavia: David Montgomery’s toughest general – Lisbeth Knudsen, editor-in-chief of Berlingske Media

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Once so controversial as the boss of The Mirror, over the last few years David Montgomery has reinvented himself as a European media mogul.

As head of the pan-European media company Mecom, Montgomery has emerged as an internet evangelist and one of the most optimistic advocates of a multimedia future.

This is good news for Lisbeth Knudsen, CEO and editor-in-chief of Mecom’s worst performing subsidiary.

Denmark’s Berlingske Media is the biggest publisher of daily newspapers in one of Europe’s toughest newspaper markets. Revenues of paid for dailies in Denmark have been ravaged by a costly two-year-long freesheet war.

When Montgomery bought the Danish company in 2006, it had a paltry 3.5 per cent profit margin – miles away from the 15 – 20 per cent Montgomery was promising his investors.

But it’s all grist to the mill for Knudsen, who rumour has it secured her job last spring by submitting the longest list of potential cost cuts.

Montgomery’s toughest general has been charged with justifying his professed faith in the profits to be made from the new media world.

“It is my task to deliver what I have promised, but also to tell Berlingske’s journalists that we have exciting times ahead of us. It is necessary for our survival that we start using new work processes, develop our journalism and launch new digital products. Old traditions are no longer enough,” Knudsen told Journalism.co.uk

Her first act as head of Berlingske was to publicly denounce Mecom’s profit demands as unrealistic.

Simultaneously, she made it crystal clear that the financial situation required radical changes, skilfully lowering the expectations of both her boss and the unions.

Integrate everything
Central to those changes is integration. Not only converging media platforms, but also altering most of the company’s titles into ‘verticals’ that deliver copy across platforms and titles be they broadsheet, tabloid or regional newspapers.

Berlingske may have created one of the most integrated media operations in Europe, but it has also caused great concern among the company’s journalists about work flow, work culture and how it may erode the different media brands.

“Everyone has to be able to work and plan to all media platforms. Journalists get more resources to cover events in this way. Instead of sending three journalists from three different platforms or titles, we will now have one journalist cover the results of a football match, one live blogging it, and one writing the portrait of the game’s top scorer,” said Knudsen.

To ensure editorial standards, she added, each title will have a brand manager to makes sure it runs only content that is appropriate and in line with its specific values.

Discontent
These assurances have not been enough, however, to assure the domestic journalists union. It has voiced continuous concern about merging titles, job cuts and the new ‘integrated’ work environment where journalists are confined to hot desks to create a paperless environment.

Knudsen says that new technology is necessary. Adding that the increase in the number of tools at the disposal of her reporters has also created many exciting new opportunities for journalists.

“This integration is necessary to survive. Journalists today have to accept that they have to fight for every pair of eyeballs. I accepted this job because I believe, both as a journalist and as CEO, we can create something great in this company,” she said.

Not here to please
As for her proprietor, she said: “It is my impression that you can have a discussion. If I am to be in charge of this, I have to believe in it. I have made it very clear that I’m not here to please. I have a very open and direct dialogue with the management about our goals and progress. During my thirty-something years in the newspaper industry I’ve encountered a lot of unprofessional owners. Mecom is a very professional owner, the company imposes certain demands to our revenues, but that is the way it has to be.”

David Montgomery may have got himself a straight shooter, but what impression is she likely to have made on her newsroom staff? It seems she is a journalististic champion who is both admired and feared.

“If anyone can stand up to Montgomery it is she. She is completely ruthless and resembles Montgomery in many ways. I cannot think of anyone in Danish media who dares to pick a fight with her,” said a journalist who has worked with Knudsen but did not wish to be named.

“But her journalistic integrity is above reproach. She is a journalistic champion.”

Online Journalism Scandinavia: Here come the Web 2.0 docusoaps

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Swedes are getting so hooked on social media that for many web-crazy young things reality-TV has all but moved online.

Last night Twingly, the Swedish web company that supplies a blog trackback functionality to newspapers world-wide and last week launched its international spam free blog search engine Twingly.com, aired the first programme of its new reality-series on YouTube: The Summer of Code.

YouTube reality-show
“We have recruited four ambitious interns and given them six weeks to develop a visual search engine for blogs; Twingly Blogoscope,” said Martin Källström, CEO of Twingly.

“Everyone can follow what happens in the project via daily episodes on YouTube.”

The episodes will be uploaded Monday to Friday at 6 PM GMT (10 AM in San Francisco, 19:00 in Stockholm) and the first programme aired last night.

“Openness in this project is a way to show the daily life in the office,” said Källström.

“Generally people are not familiar with the stimulating working atmosphere in a start-up. Hopefully Twingly Summer of Code will inspire more people to join Twingly or other start-ups.”

Media increasingly about conversation
Last week, Twingly launched its search engine Twingly.com to track 30 million blogs all over the world.

Despite this global scope, Källström said Twingly will concentrate on being number one in Europe, working with several different European languages.

“Google has not improved its blog search for more than two years,” he told Journalism.co.uk.

The company has teamed up with newspapers in Spain, Portugal, Holland, Sweden, Denmark, Norway, Finland and South Africa, to show blog links to the news sites’ articles.

Källström added that his hope was for Twingly to be able to take on both Google and Technorati by providing more functionality and driving traffic to bloggers via its media partnerships.

“Media is more and more about the conversation between media and its readers. We see a very strong synergy between mainstream media and bloggers and try to provide a bridge that can improve this synergy,” he said.

Blogs have replaced docusoaps
Twingly’s target group for The Summer of Code will no doubt draw an audience of uber-geeks but a young Swedish reporter recently admitted she was addicted to a very different sort of ‘web docusoap’.

Madeleine Östlund, a reporter with the Swedish equivalent of Press Gazette, Dagens Media, claimed the country’s fashion blogs had replaced docusoaps (link in Swedish).

She confessed she found it increasingly difficult to live without her daily fix of intimate everyday details and gossip from the country’s high-profile fashion bloggers, a phenomenon Journalism.co.uk has described here.

“It is not their blogging about clothes that draws me in, rather it is the surprise and fascination with which I read about these young girls’ private lives. Surprise and fascination about how much they often reveal,” she wrote, citing posts about broken hearts, hospital stays, what they had for breakfast and descriptions of a caesarian birth.

Roll on the Web 2.0 docusoap about dashing media journalists, I say.