Friday, November 13, 2009

What's a publisher to do?

With such media fragmentation a publisher must adapt and see the opportunity in the revolution.
Is it possible to truly publish one-to-one. Yes. Let's look at direct mail first, where the last decade has shown that a personalized message can double response rates from 1 percent to 2 percent. But you need to ask yourself: Is that the best I can do? Or can I do even better than direct mail.
In most American markets the money spent on direct mail passed the money spent in newspapers in 2001 and since then the gap has widened. In 2001 the newspaper was a $42 billion business and so was the direct mail business. By 2004 the direct mail business had grown to be a $60 billion business and the newspaper business was a $46 billion. You get the picture.
So if newspapers could learn to personalize they might begin to reduce that gap, perhaps in a major way.

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