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Controlling and monetising press cuttings Ljubljana, 2011

Controlling and monetising press cuttings Ljubljana, 2011. Newspaper content is different from other content. Newspapers are low value, time sensitive, widely used Other content typically high value, long shelf life, specific users

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Controlling and monetising press cuttings Ljubljana, 2011

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  1. Controlling and monetising press cuttings Ljubljana, 2011

  2. Newspaper content is different from other content • Newspapers are low value, time sensitive, widely used • Other content typically high value, long shelf life, specific users • Usage concentrated in PR and communications businesses, through same day press review services • Delivery focused through Media Monitoring Organisations (MMOs) • Different models (self serve v MMO) in some other countries • Licensing MMOs is a highly effective route to market control

  3. Press Cuttings are widely used • Most corporate businesses around the world have a press cuttings service • Most services are provided by Media Monitoring Organisations (press cutters / clippings companies) • Press cutting services are: • Regular – newspapers are printed every day • Systematic - to a clearly define list of senior executives • Volumes are often high, large numbers of cuttings to multiple users • NLA Licenses both the • Primary Use by MMOs – copying, scanning, databasing, forwarding AND • Secondary Use by End Users – copying, forwading

  4. How RROs can license press copying • RRO licenses MMOs – “The key to the door” • MMOs must: • Disclose clients – who NLA contact directly to license • Report on transactional volumes • Only supply licensed clients, and cut off those who don’t • NLA, CFC, CAl & NLI operate similar licensing schemes • RROs require mandates from publishers to iicense MMOs • MMO licence covers primary use – • copies made by the MMO and supplied to the End Use • MMO Licence does NOT cover any secondary copying undertaken by the End User • MMO licence covers print and web

  5. NLA UK example • NLA offering is relatively simple • One licence for MMOs • One licence for End Users, fitted to press clippings usage, but also ad hoc use • NLA has issued over 9,000 End User licenses • far higher licensee count than many larger RROs • 90% corporate / govt, 10% academic – very different split • NLA End User licence allows general ad hoc copying to be licensed • Per copy fee press cuttings 45% revenue • General blanket copying licence 55% revenue • Net impact – compliance good, revenues high • 20% of NLA turnover from MMOs • 50% of End User revenue from MMO clients • 30% other (self serve users, ad hoc only, academic) • £25m pa collected

  6. Press cuttings – revenue collection and sharing • Usage and charging • Systematic copying amenable to simple charging models • Usage easy to measure by survey or online • Users complete annual ‘tally’ based on actual use • PCAs find easy to account – matches client charging • Revenue distribution • Simple measurement allows direct revenue share • Total copies can be calculated, broken down by publication • Total usage from user and PCA returns • Revenue divided by usage gives royalty • Simple and fair

  7. The press cuttings Licensing Model – Summary License press cuttings by: • License MMOs • Ensure MMOs disclose who they supply cuttings to • License the MMO End Users • Gather copying data to aid distribution to rightsholders Further data; www.pdln.info tchowdhury@nla.co.uk 44 1892 552811

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