Download Bluefield`s current classifieds solution is

Mission Statement
BDT Online is committed to the past, present and future.
We will provide accurate and relevant local content, creating a foundation to build a
better quality of life
~:~
Have Fun
Make Money
Do good work
Chris Kanemura, Honolulu Advertiser-Honolulu, Hawaii
Zella Evans, Post Register-Idaho Falls, Idaho
TABLE OF CONTENTS
Executive Summary ............................................................................... 2-4
Staffing Strategy..................................................................................... 5-9
Redesign Strategy.................................................................................... 10-13
Content Strategy ..................................................................................... 14-22
Banner Advertising Strategy ................................................................. 23-29
Obituary Strategy ................................................................................... 30-32
Classified Strategy ............................................................................... 33-39
Auto Vertical Strategy ............................................................................ 40-41
Real Estate Vertical Strategy ................................................................. 42-43
Circulation Strategy................................................................................ 44-50
Registration Strategy .............................................................................. 51-56
Health Vertical Strategy ......................................................................... 57-60
Economic Development Strategy ........................................................... 61-64
Paid Content Strategy............................................................................. 65-74
Archive Strategy...................................................................................... 75-77
Implementation Strategy ........................................................................ 78-82
Vendor Recommendations ........................................................................83
Acknowledgements ....................................................................................84
Budget ...................................................................................................... 85-94
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Executive Summary
Introduction
The evolution of the Internet has forever changed the landscape of business in the world,
newspapers are no exception. Resisting change will only prolong the inevitable and
increase the difficulty of gaining a foothold in the market. The Bluefield Daily Telegraph,
a community newspaper founded in 1893, recognizes the need to adapt and change to
ensure success. This plan outlines changes that can be made within the core competencies
of the newspaper that can help them thrive.
New breeds of competition are emerging from industries that were once not considered
newspaper competitors. Even as the dominant news organization in the BluefieldPrinceton, West Virginia area, the Bluefield Daily Telegraph is aware of the threats to
their business. Change also brings new opportunities. Online strategies bring the
potential of new revenue, enhanced content, improved customer service, interactivity and
increased reach/readership. The Bluefield Daily Telegraph’s web site, bdtonline.com,
boasts an average of 200,000 visitors per month, a healthy supplement to their 20,500
circulation. This plan provides strategies to help them secure their core business and
attain new revenue and maximize the potential of the web site.
The apple core used in our logo represents the focus on the most essential portions of
BDT’s online strategies. The Bluefield Daily Telegraph will focus on the competencies
they are best at: Newspaper reporting, advertising sales and community involvement.
Like an apple core, our business plan contains the seeds in which the roots of a successful
web strategy will emerge establishing a strong foundation for the site to grow upon.
Business Concept
The focus of this plan is to identify fundamental strategies that will create a solid
foundation for both revenue and readership. These strategies are deemed ‘core’ either by
newspaper industry standards or by the strength of the opportunity in Bluefield’s market.
Offered are different paths (options) the web site can take as it evolves. Registration and
paid-access models are examples of those paths. For our purposes core strategies include
topics regarding content, classified, advertising, design, circulation, customer service and
staffing. Local market opportunities that can be leveraged include an economic
development plan, a health vertical and advertising solutions to develop new classified
opportunities in both print and online.
Current Situation
The Bluefield Daily Telegraph is the dominant leader in the area for news today.
Bdtonline.com provides local news, top national news, editorials, obituaries and more.
Readers are engaged online with the feed back area. Various staff push content to the site,
which is updated once daily. The web presence is managed by the executive management
team.
Strengthening classified is critical in both print and online. Banner advertising appears
on most pages and generates modest revenue. Top Ads, a component of the classifieds
are on the web site currently, but are often left unpopulated.
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Factors to Success
Execution of the strategies recommended in the plan will determine the success of the
web site. Using the implementation calendar as a guide, the BDT management team can
gauge progress. Every effort to provide the data necessary for the decision making
process has been made. Only the BDT can determine which strategies most closely align
with the newspaper’s core competencies and in which strategic direction to proceed. The
timeline for each strategy is meant to serve as a guide to meet goals, each strategy can be
implemented at any time.
Year 1
The first step of the plan recommends the Bluefield Daily Telegraph hire an online
manager to oversee the web site operation. Redesigning the site will be the first priority
of the online manager. Design, technology and interactivity will be integrated to
maximize the potential and effectiveness of the web site. The new design will allow
bdtonline.com to take advantage of new banner ad standards that will improve
effectiveness of ad campaigns and increase revenue.
Obituary information will be enhanced using application service provider, Legacy.com,
providing new upsell opportunities. Obituary rates will be raised to reflect increased
value and to cover expenses.
By the end of the second quarter, the Bluefield Daily Telegraph will begin to reclaim the
classifieds market by leveraging the strength of its brand and the combined power of print
and online. Increasing assumptive sale prices will better reflect the value of the classified
product and add revenue. Classified ad placement will be available online 24/7/365. Top
Ads will be implemented site-wide to attract passive readers and extend advertiser
exposure.
The power of the Internet will be used to integrate the web site with the circulation
department. Print subscribers can manage their accounts any time of day, pay their bills
online and utilize subscriber services. This online service is to be heavily marketed.
Year 2
At the beginning of year two, the Bluefield Daily Telegraph will determine whether to
require readers to register or whether to implement a paid access model. This decision
will be made by management after answering questions and determining whether or not
various revenue goals can be met. The questions, benchmarks, pros and cons are outlined
in the plan. Implementing a registration model will allow readers to personalize content,
while the Bluefield Daily Telegraph will be able to collect demographic and behavioral
data that will be used for target marketing and advertising. The revenue plan and budget
for this business plan does not include the implementation of a paid access model.
Revenue attributed to verticals or open areas of the site will not be affected to the same
degree as banner advertising opportunities.
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With revenue projections on target, a sales position can be supported. A production
position will be added to assist with the online operations.
Real estate and automotive classified will be separated from the general classifieds and
placed into their own verticals. The strategy for both these verticals will utilize
applications that are customized to enhance industry specific classified categories,
creating new advertising and reverse publishing opportunities.
A tourism and economic development strategy will be utilized in the second half of year
two. This strategy addresses the role that the BDT can play in an effort to revitalize the
local economy. The BDT will work cooperatively with the Chamber of Commerce and
Economic Development Council to market the area as a destination. The content will take
the form of a tab in print and will run online in a tourism vertical with an emphasis on
history.
A health vertical will be implemented in the second quarter. A medical directory will be
included in both print and online. The Bluefield area has three hospitals and a strong
medical community. This strategy offers advertising solutions like advertorials as well as
traditional directory listings.
Near the end of year two, an archive system can be implemented allowing for the
purchase of news articles dating back to 2000.
Financial Situation and Needs
The budget recognizes a net profit of $59,159 in the first year, increasing by 341 percent
in the second year with an aggressive rollout of new auto and health strategies and a 14
percent increase in year three. Projections on both expenses and revenue for year three
were based on no additional strategy implementations. Expenses total $73,460 in the first
year, rise to $136,897 in year two and grow slightly in year three to $140,465
We realize our plan is aggressive and the implementation plan is tight. We also realize
markets change. We have presented a plan that offers options and ideas. It is our hope
that this plan sparks discussion and debate among the BDT management. Hopefully we
can inspire an idea or course of action that might serve them well. We extend our
gratitude for this opportunity and wish the Bluefield Daily Telegraph much success.
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Staffing Strategy
Synopsis:
An online manager will be hired to advocate and oversee the online division.
Reporting directly to the publisher, the ideal candidate will have
management skills and a strong understanding of the Internet and online
strategy. Though not required, web development/programming experience is
beneficial, but can be acquired on the job as part of the learning curve. A
person that has newspaper industry experience would also be a plus. This
position is important to the overall success of the online department in
implementing new strategies. The online manager will work directly with all
executive management to implement successful online strategies. This
position will pay between $26,000 and $30,000 per year. The online manager
will have a monthly bonus tied to making budget goals. An online sales
position will be added early in year two. This position will be a commission
based sales position. Budgets were set for an aggressive 10% sales
commission. A production position will be added 2nd quarter of the second
year to help with the implementation of aggressive sales strategies.
Job Description Online Manager
General Summary
Oversee and manage all online products and services and their budget.
Responsible for the strategic and tactical oversight of online ad sales. Coordinate
electronic sales efforts for both print and digital editions. Responsible for design
and maintenance of online products. Assist the circulation director in their
marketing. Direct changing and updating of site content. Help to coordinate
online customer service and classified sales training.
Essential Duties and Responsibilities
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Prepare and manage budget for all online products
Train staff as necessary to support all online products
Work as a content editor for links as well as vertical content.
Work proactively with the newsroom, communicating the value of content
packages and breaking news
Assist in gathering data for special sections or directories
Work with the ad director to coordinate sales efforts of online products, including
bulk sales of the online edition.
Design and implement permission email marketing campaigns sold by the
advertising representatives
Develop contests opportunities to drive registration
Utilize traditional circulation sales methods to reach potential new digital
subscribers
Assist the circulation director with all aspects of marketing online products and
take the lead role in all electronic marketing efforts for both print and online
subscriptions. Coordination with the circulation director on marketing projects
utilizing or pertaining to online services.
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Use various circulation reports to track retention rates and implement programs to
help retain online subscribers
Assist the circulation director in ensuring compliance with ABC rules for
counting online circulation. Help conduct routine checks of accounts for ABC
compliance.
Monitor state and federal laws pertaining to email marketing and permission
marketing
Work with the circulation office manager to conduct frequent customer service
training about online products. Continue to update and improve customer service
options contained within the online products
Serve as a liaison to other departments and assist them in their efforts to integrate
their products into the online products
Track statistics and provide monthly reports
Develop and implement new sales models and strategies
Attend senior management meetings
Qualifications
Must have a college degree or equivalent management experience. Strong
computer skills and in-depth understanding of the Internet and related software
and programming languages is desired.
Knowledge and skills competencies (can do)
 Knows how to set up, manage and monitor a successful online operation
 Knows how to manage projects from start to finish
 Knows how to create, communicate and implement short term and long term
plans
 Has a basic understanding of the newspaper industry
 Has a basic understanding of the Internet industry and of Internet technologies
 Knows how to create, develop and implement marketing strategies
 Knows how to gather and communicate statistics
Behavioral Competencies (will do)
 Creates solutions, not problems
 Willingly participates in a team environment and is engaged.
 Makes and keeps commitments
 Demonstrates a high degree of accountability for actions, commitments,
timeliness, deliverables, choices and interactions.
 Demonstrates consistent and reliable follow-through and is dependable
 Proactively deals with issues, challenges, obstacles and opportunities
 Works with and through others to achieve results
 Seeks out other perspectives and input
 Exercises good judgment
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Cultural Fit
 Is flexible, adaptable and responsible
 Has a passion for possibilities and what can be
 Deals effectively with and is energized by constant change
 Is results orientated
 Is customer focused
 Has a bias toward action and a healthy impatience for moving things forward
 Is a self starter
 Has a passion for achievement and performance excellence
 Has a passion for teamwork and building strong relationships
Job Description Online Sales Manager
General Summary
Responsible for sales of all online products offered at BDTOnline as well as the
vertical strategy solutions, meeting short and long-term revenue objectives. An
effective online sales manager will do what newspapers do best; put advertisers
and buyers together. A key responsibility is putting the mechanisms in place to
bring the voice of the ad customer back to production teams and translating
customer needs into actionable and feasible solutions. Represents advertising
customers during the creation, design and development of online products. Works
closely with print advertising managers to implement print-to-web and
print/online advertising solutions and programs. Experience in sales is required;
knowledge of new media and online sales would be an asset. The ideal candidate
would have a firm understanding of the Internet. This position will be based on a
generous 10% commission on sales with a guaranteed draw for the first two
months. This position would report to the online manager with strong support
from the advertising director. The ideal candidate would also possess the
following skills:
Essential Duties and Responsibilities
Responsible for online sales of banner inventory and sales of vertical products
like advertorials. Consistently meet sales goals. Communicating effectively with
the production staff and the advertising customer to establish successful
advertising solutions. Maintain current on the changes in online advertising sales
strategies. Maintain a creative attitude toward advertising solutions.
Experience
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Five years experience selling advertising products and services and
meeting sales goals.
Demonstrated success working in collaborative, cross-functional team
environments.
Knowledge and Skills Competencies (Can Do)
 Knows how to sell advertising products and services.
 Knows how to create, develop and launch advertising campaigns.
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Knows how to effectively use sales collateral and presentations to educate
advertisers and close deals.
Knows how to generate new business and find new sources of revenue.
Has an understanding of ad production and post-sale functions.
Knows how to manage projects from start-to-finish.
Has a fundamental understanding of the Internet industry and of Internet
technologies.
Behavioral Competencies (Will Do)
 Creates solutions, not problems.
 Willingly participates in a team environment and is engaged.
 Makes and keeps commitments.
 Demonstrates high degree of accountability for actions, commitments,
timeliness, deliverables, choices and interactions.
 Demonstrates consistent and reliable follow-through and is dependable.
 Works with and through others to achieve results.
 Seeks out input and other perspectives.
 Acknowledges and addresses problems in an up-front and non-judgmental
manner.
 Keeps relevant people informed and insures that there are no surprises.
 Exercises good judgment.
 Maintains a balance between focusing on results and building
relationships that work.
Cultural Fit
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Has a passion for possibilities and what can be.
Deals effectively with and is energized by constant change.
Is results-oriented.
Is persistent in overcoming obstacles.
Is customer-focused.
Is a self-starter.
Has a high-degree of emotional intelligence.
Has a high-degree of self-confidence.
Has a passion for achievement and performance excellence.
Job Description Online Producer
General Summary
Maintains content and provides ongoing design of the website, promos and ad
banners. Plans and reviews site architecture for new web site products and
features. Troubleshoots, tests and oversees the launch of new products. Monitors
site traffic and helps scale site capacity to meet traffic demands and optimize
performance. Improves the company's efficiency and designs the look and feel for
the site. Coordinates among departments to identify challenges, recommend and
implement solutions. Reports directly to the online manager.
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Qualifications:
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Requires a bachelor's degree or its equivalent and 2 years of experience in
the field or in a related area.
Excellent communication and interpersonal skills
Excellent writing and editing skills
Newspaper industry and/or journalism experience preferred
Strong problem solving skills
High level of creativity
Self-starter that can take the initiative
Has in-depth understanding of Internet concepts, technologies and
strategy.
Knowledge of XML, D/HTML, JavaScript, and other general web
programming languages
Proficient with design programs like PhotoShop, Quark, and Illustrator
Proficient with Internet development tools like Dreamweaver, Flash, and
Fireworks
Video editing experience a plus
Basic graphic design skills
Must be a team player, self-starting.
Strong typography; detail oriented.
Strives to continually build knowledge and skill level
Performs all duties with professional and courteous communication
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Redesign Strategy
Synopsis:
To maximize the potential and the effectiveness of the web site, the Bluefield
Daily Telegraph will carry out a redesign or site modification. A consultant
who can help implement design and navigation should be considered given the
ambitious sales strategy. A privacy policy and terms of use will be written,
consistent site navigation will be implemented. Policies for advertisers will be
established using IAB standards. The BDT will also implement policies for
gambling sites, dating sites and other sites that may be questionable to link to.
The consultant will work with and educate the online manager. This has been
budgeted in year one.
A site is generally broken down into three key pages: homepage, index pages,
and story level pages. General areas of redesign considerations are the
primary pages and the elements within. The elements considered for redesign
include: navigation, style, usability and advertising. Applying the following
suggestions will help improve reader experience and advertising results.
Audience Target Goal
According to the statistics from bdtonline.com the number of visitors per day is
averaging 7000; each visitor views approximately 5 pages and stays for an average
of 7 minutes. By implementing a redesign, adding (and marketing) additional user
features a realistic goal would be 10,000 visitors each day with the goal of
extending the length of the stay by 4 minutes. With increased local marketing an
additional 3000 visitors should be available in the market.
Redesign Consultant
A redesign consultant should cost between $7,000 and $10,000. 4 months have
been allocated for the process. This was budgeted in year one. As part of the
research, we spoke with Andrew Devigal who has worked on several newspaper
web sites. We recommend a consultant that has online newspaper experience and
who is current with the industry.
Navigation
The navigation on the top and left hand side of the pages is effectively laid out.
According to recent findings in Poynter’s Eyetrack III study, top navigation
performs the best compared to the left and right hand side. Consider folding the left
hand navigation into the top navigation as a second level submenu under the
primary top navigation, basically creating two decks. Having only a top navigation
will increase real estate for content. DHTML dropdown menus can also be
considered, but must be tested in multiple browsers and platforms for usability and
proper display issues. The order or priority of sections on the top navigation will be
changed, “classifieds” should be right after “editorials” and “reader comments”
should be last. A simple site search box should be located near the top or left hand
navigation of the page. According to usability expert, Jacob Neilson, “Search is the
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user's lifeline for mastering complex websites.” Search results should include
advance search options to help readers refine their searches.
The footer area of all pages also requires links to the “terms of service” and the
privacy policy to protect both the company and reader. A link to subscribe will also
be in the footer in the form of a rolled up BDT newspaper.
Advertising
The use of banner ads throughout the site is acceptable, but many of the ad
creatives are very distracting, especially the animated ones. It is possible to have
the ad only animate for a few seconds and then stop. When it comes to readership,
the quality of the ad creative does make a difference. As sales consultant Mike
Blinder of the Blinder Group puts it, “sell the impression, not the click-through,”
which means that the ad itself should be doing the selling. A move to use new
larger size ad standards is also recommended. In January 2004, the Interactive
Advertising Bureau (IAB) released a new standard for banner ad sized in order to
“reduce the number of ad sizes for the purposes of reducing the costs and
inefficiencies associated with the planning, buying and creating online media.” The
new “universal” banner ads come in four sizes: 728x80 (leader board), 300x250 (in
story), 160x600 (sky scraper), and180x150 (tile).
Top Ads and Top Jobs should be used or removed from the pages. It reflects
unfavorably for the site to advertise an empty area. When Top Ads are populated,
they should be placed throughout the site for maximum exposure to readers who
may be interested in a new job, but may not be actively seeking one.
Homepage
The current homepage makes a good effort at creating a sense of place using the
flag/masthead. The size of the masthead will be reduced to minimize use of real
estate above the fold. The background image is difficult to recognize by people not
familiar with the area. The banner ad for Four Seasons Country is a more effective
image. Against a plain colored background, the branding would stand out stronger.
With a reduction of the size of the masthead by a fourth or a third, an option is to
fill the open area with the weather “magnet.” The use of area labels is good, but the
current labels are distracting to the reader and compete with the headlines. Instead,
use neutral colors that are not distracting and stick with one font style for the labels.
Use colors like red or orange for major breaking news or impact messaging
situations. The labels need not include the word “headlines” for the section areas,
readers know how to identify headline links; the top story does not need a label, just
emphasize the headline by making it larger. Local weather can just be weather;
people already assume it is local (of course this does not apply if weather is used in
the masthead area). Labels are a navigational tool and need to be linked to the
appropriate page/section. The top headlines need to be increased by several points
for emphasis, while other headlines should also be taken up a size to make it easier
to read. The blurbs (synopses) need to be shortened to one sentence or paragraph
and should be written to entice the reader to click on the story. Minimizing the
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space between the headline and blurb by using a break versus a paragraph will help
tie the headline to its blurb, clean up the look and maximize real estate. The “full
story” link should also be in the blurb paragraph, on the same line after the period.
Font size on blurbs should be increased slightly for ease of reading. Implementing
an option that allows the changing of font sizes is another great feature.
Remembering that images are content, a photo on the homepage will give color and
depth to the page. The main image should be about 210x230 pixels; small pictures
that accompany the other stories can run 100x70 pixels. According to the Poynter
Eyetrack study, “larger photo size increases the percentage of users seeing photos
and the time they spend looking at them.” Poynter also observed that faces in
photos draw the most attention, the more faces there are, the more viewers are
attracted.
Index pages
Many of the same principles used for the homepage apply to the index or section
front pages. Use of labels and adding photos, font size and organization are key.
Stand-alone photos of community activities can be used to help create the sense of
place; people just love to see themselves. Again, Top Ads should be placed on the
index pages.
Story level page
The story pages have some great tools; print, email and comment features are
reader friendly. Bylines should be linked to email addresses or profiles to make it
easy for readers to communicate with writers. As you are aware already, reader
comments should be displayed on the story it corresponds to. TownNews should
be encouraged strongly to fix this. Given the value of photos to tell a story, large
photos should be posted whenever possible. Continue to use the large in-story
IAB (Interactive Advertising Bureau) ads, which according Knight-Ridder
Director of Sales, David Knight, are very effective.
Software solutions
In an effort to more easily move data from the newsroom, we recommend
implementing a software program that automates the extraction of data from
QuarkExpress®, used by the newsroom and includes an archive feature to manage
the content of the print edition over to the online edition. This software product
from XTI is called xtQ Extractor, allows for extraction of the data by the copy
desk into a TXT or XML format. XML is an industry standard language. This
will allow for pictures to be saved and optimized as well. The fee for this
software is $11,495 with an ongoing yearly licensing fee of $1300. The legacy
data that exists electronically back to January 2000 can be converted by XTI,
allowing for a searchable archive online for an extra fee. This should all be
implemented at the beginning of year 2. We amortized the software expenses for
the purposes of this plan for 10 months.
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The full solution includes an online model, a Digital edition and an archive solution.
XTI offers an additional product called xtWebEdition that also uses Quark and an
XML format along with the PDF version of the printed edition to build a digital
edition of the newspaper. The fee for this software is $23,490 we recommend looking
at the ROI on this solution in year 3. This could be offered as an additional paid
content model.
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Content strategy
Synopsis:
Internet use is gradually becoming integrated into everyday American life.
According to research conducted by the Pew Internet & American Life Project,
though still in the minority, Internet usage is increasingly becoming an everyday
ritual for many. The research by Pew has also found that getting news is the
activity users who habitually use the Internet is engaging in most often. Local and
breaking news are core elements to a successful news website. The MORI
Research Power User study states, “The strength of its audience development,
loyalty, reach and frequency depend on the content. More than anything else, this
means breaking news and weather.” In-depth local news coverage is one of the
online newspaper site’s key advantages over dotcom competitors who are trying
to expand their national dominance in attempts to enter the local marketplace. By
consistently updating the news and content, bdtonline.com can increase
frequency of visits and substantiate itself as the dominant local news and
information source online. When it comes to local news, Bluefield Daily
Telegraph’s dominant position in its local market already provides an advantage
over the competitors. Providing an improved breaking news process can help
with creating frequency of visits on the site.
Along with providing good news content, there must be utility, function and
features that will engage the reader. A World Association of Newspapers study
wrote, “The difference between Old Media and New Media is that Old Media
represented a combination of content and form, while New Media is a
combination of content and functionality.” As the web site matures, addition of
interactive tools will be necessary help readers make decisions, search and
organize information. Features like searchable events calendars and movie show
times are a few examples of ‘utility-related content.’ The Mori Research Power
User 2004 said it in this way, “The power of News, the promise of utility.” MORI
Research additionally found in its day part studies that these features were used
most often later in the day as readers began to plan their after-work activities.
Day parting is another strategy that can increase frequency of visits and
accommodate site user’s online reading habits. Though requiring more resources,
day parting can target reader’s interests as they change throughout the day, also
increasing reach and frequency.
Bluefield’s commitment to its community and its expertise in local information
needs to be reflected online through the provision of historical, public,
recreational, health, medical and other resources. Increase in news frequency
and an expansion of its online content will further help establish bdtonline.com as
the primary source of up-to-date information in the community and increase
advertising and revenue opportunities. Providing history, public information,
event calendars and other ‘utility-related content’ are just a few places to start in
Bluefield’s commitment to its community’s past, present and future.
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Market Opportunity
Breaking news/Frequent updates
Breaking news is critical in increasing frequency of visits to the site. MORI
Research also states that, “sites studied that were aggressive about posting
breaking news to the site were much more likely to have higher frequency and
interest levels on all news categories.” Breaking news is a necessary service to the
readers and a part of the commitment to the community as the primary news and
information provider. 92 percent of newspaper web site readers go online for
breaking news according to Mori research, indicating that it’s a core area of the
site. Breaking news will be marketed as a way to drive users to the web site.
Other content
Emerging market opportunities include tourism, education and health care.
Expanding information that applies to these areas can also help to increase the
reach and frequency of readers. This information is important in the mission to
revitalize Bluefield and its communities. As the dominant news organization with
a wealth of information, the Daily Telegraph can create awareness of the
opportunities and activities that Bluefield possesses. Though local information is
the focus, a realization must be made that the website extends the reach of the
Daily Telegraph globally.
History
Established in 1893, the Bluefield Daily Telegraph has recorded over 110 years of
history in Bluefield and its communities. A section chronicling the history of the
area would be a resource to students, educators, tourist and the general public.
The historical background can provide the sense of place and pride, and create
additional personality to the site itself. A regular column by a Bluefield history
buff (Bill Archer) would be ideal for a history section to keep it fresh. Tourism
may be a way to help the local economy grow and is a market opportunity for the
Bluefield Daily Telegraph to be a part of making Bluefield an attractive travel
destination.
Public information-Celebrations
Information that helps the public with making decisions in their lives is important
to have on the site. This could encompass standardized testing scores of schools,
parks and recreations info, government info, community forums, community
events, non-profits, and more. Some of this content exists for use or for linking to
government web sites, much of it is in the new “for the record” piece published by
the BDT. The online manager will work as a content editor with suggestions for
links as well as making decisions on content that is posted from any source but
the printed edition. Though not a revenue or traffic generator, links to other
online resources like government and education sites can also be a service to
readers. Providing movie show times, a popular feature that many newspaper web
sites have, is a feature readers would return often to read. Another important
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component is ‘citizen’s media’; content added by local citizens is of real value.
An area will be built for posting of local ‘celebrations’. Users will be able to add
a photo and a few tag lines. This important, ‘hyper-local citizen’s media’ area
will add valuable local content to the web site. This area, free to subscribers, will
be built by TownNews for a fee of $75.00 per hour, we estimate 2 hours of work.
If a paid model is implemented a fee will be assigned to this component for nonsubscribers, adding value to the paid model.
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Event and community calendars
Providing searchable event information online is a great benefit to readers.
According to MORI Research, a third of small market newspaper web site readers
use online event calendars. Allowing the community to publish their own events
can help populate the event database, make managing the listing easier, and
creates reverse publishing opportunities. Schools, churches and non-profit
agencies will be contributing valuable community content. The calendar will be
fully searchable by category. Events will be filtered for content and accuracy. An
existing application provided by Bluefield’s current vendor, TownNews, will be
implemented and then marketed as a community calendar solution. The set up fee
is $150 with a $20 monthly maintenance fee.
Day parting
Although bdtonline.com may not have the resources to implement a day part
program, it is still a good idea to look into the opportunities that day parting could
provide for the site. Traditionally, day parting is a method used by radio and TV
networks to time segment an entire day for broadcast programming and
advertising sales. The concept of online day parting is similar in that it follows the
changes in priorities of online users throughout the day in which targeted content
and advertising can be delivered. According to MORI Research, though the traffic
“prime time” for newspaper web sites is between 8 a.m. and 11 a.m, general
online usage is heavy during the night. News, weather, and finance information
are several areas that peak during the mid-morning hours, while leisurely topics
like movie info, games, travel, and events calendars peak during the evenings (6
to 10 p.m.). Personal shopping, job search and personals are also online activities
that are done at night. Frequency of content changes throughout the day to target
reader’s interests will potentially increase frequency of visits and boost readership
during the evening hours. This can also help create additional advertising
inventory and opportunities.
Competitive Analysis
Though not currently significant, Bluefield’s market contains several TV and
radio stations, which compete with them in providing local news. An emerging
threat is that of the national untraditional competition like Google, Yahoo and
Topix. These sites are trying to break into the local news market by providing
localized web searches and news aggregation in attempts to lure readers to use the
sites as primary means of getting all their information, both local and global. The
BDT is the current dominant news organization. By working with their
convergent partner, WVVA they are proactively combining the assets of both
organizations to protect their market. This relationship could be expanded to
better serve the web site. The online manager should carefully look at the
potential of this option. Agreements that would allow for shared content and
marketing could benefit both the newspaper and television station.
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“Go to Market” strategy
The goal of the content strategy is to get the audience to return more frequently.
Updating the site more often will enhance readership, create more advertising
inventory and add other revenue possibilities. Adding interactive and utilityrelated content can help increase stickiness and frequency. Moving or adding
elements to the site will eliminate content from looking stagnant.
The first step in this strategy is to concentrate on updating the site with breaking
news and updates throughout the day. The online manager will work directly with
the newsroom in a proactive role. By communicating the effectiveness of
breaking news to both online traffic and single copy sales, the online manager can
educate the newsroom to the value of breaking news. When done with frequency,
readers will create a habit of returning to the site throughout the day. An area at
the top of the homepage is a good location to add breaking news stories, creating
a visible change to the site. Breaking news stories are often the highest read
stories on web sites.
The second area to work on in implementing this strategy is to expand content
that can take advantage of market opportunities in Bluefield. Attracting tourism
and interest in the area can be accomplished by providing good content. Creating
areas of expertise like a history section is easy to implement since much of the
content is already produced and a wealth of knowledge already exists in the
newsroom. The easiest way of creating sections is through packaging or
repurposing of existing content, simply reorganizing content into related and
chronological parts. Much of this content will be evergreen. The same principles
apply to public information and to producing a good health and medical section.
These strategies can be implemented by the online manager as part of the overall
core strategy.
Implementing an events calendar can be accomplished by data input through
newsroom clerks and allowing the public to post their own events. Events posted
by the public will be checked for accuracy and language. The current vendor,
TownNews has an events calendar application. Reverse publishing opportunities
are possible with the online events postings. Events posted online can be exported
for use either as a calendar list in the paper or in various tabs. This will give the
BDT a place for all events to be posted. Some events which do not normally
appear in print will still appear in the online edition.
A day part strategy is a great idea for any newspaper web site including
bdtonline.com, but it does require some resources daily to implement. This isn’t
to say that implementation of part of this strategy would not be too difficult to do.
A few items concerning entertainment, events and other leisurely topics can be
moved up on the site during the evening, adding content relevant to the evening
reader. Another way to get readers to return during the evenings is to promote the
next day’s top stories or features in an “In Tomorrow’s Paper” section, which can
also help with single copy sales.
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Each of these new features will be marketed by clearly explaining the benefit to
the reader. In Mori Research’s Power Users Plus Report, September 2004 the
need for marketing the benefits of online features is made clear. Rusty Coats
outlined how newspapers are poor marketers to their own customers. In order to
increase frequency of use and reach, the marketing must give readers a good
reason to go to the web site. According to the research done at Mori, that reason
is not ‘more’ but for ‘benefits’ that will make their lives easier. Promoting the
site’s timesaving features and convenience is the most effective way of marketing.
Product overview
Utilizing the current infrastructure with TownNews and the effort of the online
manager the BDT will be able to implement most of the content strategies in year
one. The products can be built simply in HTML or through the use of an existing
application database provided by TownNews.
Sales strategy
Exactly like increased circulation, increase in frequency of use and reach will
increase the value of the site to advertisers. New revenue opportunities will
emerge as new areas of content are created. Establishing the bdtonline.com site as
a destination can attract activity vendors, restaurants, hotel and other travel
advertisers. As registration is implemented, even more opportunities become
available through targeting advertising. Specific sales strategies are outlined
separately.
If the site goes with a paid model (detailed in the paid strategy section of this
plan) revenues will be generated by the subscriptions.
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Banner Advertising Strategy
Synopsis:
The Interactive Advertising Bureau released new standard sizes in January
of 2004 in order to “reduce the number of ad sizes for the purposes of
reducing the coast and inefficiencies associated with the planning, buying
and creating online media.” The standard sizes will be implemented after
the redesign strategy is complete. The new “universal” banner ads come in
four sizes: 728x80 (leader board), 300x250 (in story), 160x600 (sky scraper),
and 180x150 (tile). A specific inventory of banner space will be laid out.
Every effort will be made to sell the inventory while maintaining the
flexibility to adapt for new sales opportunities. The online manager will
explore national banner sales and companies that deal in unsold ROS (run of
site) inventory. The advertising staff will sell the banner inventory as part of
their available advertising solutions. The Bluefield Daily Telegraph
advertising staff will be empowered with all of the online advertising
solutions; banner ads, sponsorship of breaking news, sponsorship of daily
headlines, email permission marketing and vertical advertising
opportunities. Armed with innovative, new advertising solutions and traffic
statistics the advertising staff is poised to strengthen their presence in the
market.
Market Opportunity
Current online banner advertising for the Bluefield Daily Telegraph is healthy.
The BDT has effectively priced the banners. The value of the banners and the
traffic statistics have been effectively communicated to the advertiser. There is an
opportunity for additional banner sales with the changes in sizes. The current
banner advertising list contains many car dealers and real estate companies. The
online manager will assist the advertising director and sales staff in sales by
empowering them with information. An example would be using information
from a study done by MORI Research, which found that 58 percent of online
newspaper consumers frequently bank online. This will empower the advertising
sales staff to approach and market banners to banks and additional advertisers.
There will be additional banner opportunities in the vertical products as well.
Competitive Analysis
The Bluefield Daily Telegraph has positioned itself as the informed agency of
choice. The television stations have the opportunity to compete in the market, but
they do not get nearly the traffic as the bdtonline.com site. When you combine
the site traffic with informative, impressive statistics and the expertise of the
advertising sales staff the competition pales in comparison. The BDT simply
needs to own this opportunity.
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“Go to Market” Strategy
The advertising staff will be given a list of banner inventory to sell. This list will
be given to them all at the same time, ideally in a sales meeting that the online
manager attends to present the sales opportunities, share data and answer
questions. The same commission will be paid for banner sales as for ROP
advertising. Ideally, the advertising director will include banner sales in the goals
and expectations for each sales representative. Banners will be sold with a full
year commitment whenever possible. Statistics will be watched by the online
manager and ad campaigns that are ineffective will be modified whenever
possible. Banner advertising will be bundled with ROP whenever possible.
Product Overview
The new “universal” banner ads come in four sizes and will be broken down by
page whenever possible.
 728x80 (leader board)
Located horizontally across the top of the page, this full page size
banner is long and narrow. This banner will be sold for a premium
on the entrance page and at the top of each section.
 300x250 (in story)
Located as an ad in the middle of the story, this banner will be sold
to sit within the pages of sections. An ad of this type would be
sold to sit within stories by content; sports, local, obituaries,
national news, etc.
 160x600 (sky scraper)
Located vertically along the side of the section front or at story
level, this banner will be sold on each primary section, in the story
level or within special sections and verticals. This banner is the
largest of the sizes and should command a premium price.
Skyscrapers are used to replace 4 tiles
 180x150 (tile)
Located as squares along the side of main page or section this
banner is the smallest and competes with other tiles for attention
on the page. The price point will allow smaller advertisers to
experiment with banner advertising.
Online advertising is big business and it is effective. The Internet Advertising
Bureau’s annual Advertising Revenue Report totaled 2003 online advertising
revenues at nearly $7.3 billion. Revenues saw a 20.9 percent increase ($1.3
billion) over the previous year (2002). It is the ability to strengthen brand that is
making online advertising so effective. Forrester research found that online ads
alone could boost brand awareness by 6 percent, while integrating online and
offline ads can increase brand awareness by 14 percent. An experiment done by
the Atlas Institute found that the “branding effect” from banner ads resulted in a
10 percent boost in overall sales. Had the advertiser not run the ad campaign, they
would not have recognized the sales. The study also found that 80 percent of the
sales were not made from immediate click-thrus, but received eventually from
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conversions on the advertisers’ web sites. Mike Blinder, media sales consultant
and founder of The Blinder Group had recognized early on that the effectiveness
of an online ad was in its impression and not necessarily the promise of a clickthru. Blinder’s sales strategy largely focuses on impression based selling and by
selling advertisers an advertising “solution” versus selling them the media or
technology.
Sales Strategy
Sales will be implemented by the advertising staff with a traditional contract.
Rates will vary by type of banner and location. Whenever possible the ads should
be sold on a year long contract. It is conceivable that most of the banner ad sales
will be completed within two week of when the inventory sheet is distributed The
advertising staff is responsible for following up with the advertiser with statistics
that will be provided by the online manager. In order to ensure effectiveness for
the advertiser as well as freshness to the pages, advertising should reflect changes
each month.
For budgeting purposes, calculations were made on selling 30 percent of the
available inventory for all components with the exception of tiles, which we
estimated sales at 60%.
Estimated Revenue
BDTONLINE.COM
All fees are monthly
728x80 (leader board)
Total potential revenue $7500
Budgeted amount $ 2250
Entrance page $1000
Bottom of page $500
Top story $500
Local news $500
Classified $750
Classified, auto $500
Classified, real estate $500
Sports $500
Editorials $500
Obits $750
Nation/business $500
Health $500
Financial $500
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300x250 (in story)
Total potential revenue $1750
Budgeted amount $525
Top story $300
Local news $300
Sports $300
Editorials $300
Nation/business $300
Health $300
Financial $300
160x600 (sky scraper)
Total potential revenue $7950
Budgeted amount $2385
Entrance page $800
Top story $600
Local news $600
Classified $600
Sports $600
Editorials $600
Obits $600
Nation/business $600
Health $600
Financial $600
180x150 (tiles) 4-6 available
Total potential revenue $2300
Budgeted amount $1380
Entrance page $250
Top story $150
Local news $150
Sports $150
Editorials $150
Obits $250
Nation/business $150
Health $150
Financial $150
Classified $250
Classified, auto $250
Classified, real estate $250
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REAL ESTATE VERTICAL
728x80 (leader board)
Total potential revenue $700
Entrance page $500
Bottom of page $200
300x250 (in story)
Total potential revenue $300
Front page $300
160x600 (sky scraper)
Total potential revenue $300
Entrance page $300
180x150 (tiles) 4-6 available
Total potential revenue $400
Entrance page $100
AUTO VERTICAL
728x80 (leader board)
Total potential revenue $700
Entrance page $500
Bottom of page $200
300x250 (in story)
Total potential revenue $300
Front page $300
160x600 (sky scraper)
Total potential revenue $300
Entrance page $300
180x150 (tiles) 4-6 available
Total potential revenue $400
Entrance page $100
HEALTH VERTICAL
728x80 (leader board)
Total potential revenue $700
Entrance page $500
Bottom of page $200
300x250 (in story)
Total potential revenue $300
Front page $300
160x600 (sky scraper)
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Total potential revenue $300
Entrance page $300
180x150 (tiles) 4-6 available
Total potential revenue $400
Entrance page $100
TOURISM VERTICAL
728x80 (leader board)
Total potential revenue $700
Entrance page $500
Bottom of page $200
300x250 (in story)
Total potential revenue $300
Front page $300
160x600 (sky scraper)
Total potential revenue $300
Entrance page $300
180x150 (tiles) 4-6 available
Total potential revenue $400
Entrance page $100
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Obituary Strategy
Synopsis:
The obituaries are one of the most highly read areas in both print and online.
Compared to large market/urban newspapers, online obituaries are a higher
priority for the small market/community newspaper reader. According to
MORI Research 31 percent of small market newspaper web site users read
the obituaries online. The Bluefield Daily Telegraph web site traffic stats for
the last 6 months (Feb. – Aug. 2004) indicate that the obituaries are the
second most read area of the web site after the homepage. On average, page
views for the obituaries index page, not including the daily obits themselves,
receives almost half of the traffic of the homepage. The popularity of the
obituaries online is an opportunity to provide additional services that can
benefit readers and also increase revenue. An obituary application that can
provide these additional services with little maintenance and administration
is required. We have determined Legacy.com as having a robust low
maintenance and low cost application that can provide enhanced customer
services and help increase revenue.
Market Opportunity
The Bluefield Daily Telegraph dominates the market in obituary information.
Readers are used to reading the obituaries in the newspaper and now read them
both in print and online because of their value. The BDT already charges a low
rate for obituaries to run online. With the implementation of the Legacy.com
strategy the BDT will provide additional online services to relatives and friends.
The cost increase is easily justified because of added value features like name
searches, guest books, and links to florists and funeral homes. For the reader,
advance search capabilities will make it easer to find obituaries, guest books will
allow posting of condolences and links will be provided for florists for added
convenience.
Competitive Analysis
Although there are no major competitors of obituaries in the local marketplace,
the BDT still needs to proactively offer services that will enhance the reader’s
experience. Web sites that aggregate newspaper obituary information do exist in
the national market, but they do not have footholds in most local markets. These
sites also require the newspaper obituaries be sent in order to populate their site.
The Bluefield Daily Telegraph will continue to be the primary online presence for
readers looking for obituaries. Feature rich product solutions like Legacy.com
will help the BDT solidify their online strategy.
“Go to Market” strategy
Recognizing the value of obituary information, the Bluefield Daily Telegraph
currently posts the obituary, death and funeral notices online. This strategy
maximizes the revenue potential and enhances the user experience. The BDT will
utilize a third-party application service provider, Legacy.com, to serve the
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obituary information. Legacy.com will work with BDT to implement and
integrate all aspects of the system. Setting up the application would require a data
feed that includes the obituary information that will be imported into the
Legacy.com system. The current rates charged by the BDT will be adjusted to
reflect the value of this new product as well as cover costs of implementation. All
the co-branded elements of the site will be set-up and be linked from
bdtonline.com, replacing the current obituary links.
Product Overview
Legacy.com is a co-branded application solution that hosts and displays obituaries
and services for The Bluefield Daily Telegraph. The BDT online can control all
the surrounding element of the page; header, footer, left and right rails along with
advertising and branding. Services and support which includes maintenance, site
development, adding features and reporting, are all handled by Legacy.com staff.
There are no start-up fees, monthly hosting charges or maintenance fees.
Obituaries can be enhanced to include guest books, funeral home information, and
links to florists and charities. Guest books are screened by Legacy.com for
appropriateness. The BDT will send a feed with the obituary information to
Legacy.com.
The current fee structure set by the BDT for obits will change. Legacy.com
receives $3.50 per notice with minimum of 150 notices sold or there will be a
$525 flat fee. Page views for obituaries will increase due to additional content
from guest books and other features and because individual obituaries will be
displayed on their own page. The maximum out of pocket for the BDT will be
$525 per month
Sales Strategy
An increase in pricing will be implemented to reflect the value of having the
obituaries online and to cover the cost of the Legacy.com application. Currently,
obituaries are sold for $60; $5 is allocated to online. Online pricing for notices
will be increased by $7.50 for a total of $12.50 per online notice ($72.50 total
print and online). On average the BDT sells 5 obituaries per day. This realizes
revenue of $16,200
150 notices (5 notices x 30 days) x $9.00 ($12.50 - $3.50 Legacy cost) = $1350
per month x 12 months in revenue. This will result in increased monthly revenue
of $600.
The Legacy.com application will allow The Bluefield Daily Telegraph to control
the advertising space on their co-branded site. The sales staff can pursue
sponsorship and/or advertising from advertisers like florists and funeral homes.
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Classified Strategy
Verticals: Jobs, Autos, Real Estate, Top Ads
Synopsis:
In the genesis of new media, traditional classifieds are seeing a revolution.
Consumers are migrating online to new digital realms. Being creatures of habit,
many consumers will use what they are familiar with. By making changes to
digitize and strengthen the classifieds, the BDT will dominate the classifieds
market, recognizing significant increases in revenue and readership. A proactive
approach of integrating the technology, collaboration of staff, understanding the
marketplace and how it relates to the online strategy are integral steps to
achieving success.
The classified verticals of jobs, autos and real estate are an integral part of the
core advertising products in both print and online. The Readership Institute
study reminds us that readers of newspaper products see classifieds as content,
with the same value as traditional reporting.
The combined power of online and print is easily underestimated and
undervalued. Media sales consultant Mike Blinder, of the Blinder Group states,
“Online has no value because it is perceived to have no value.” The online
classifieds capability is the key difference between the Bluefield Daily Telegraph
and their competitors. This asset must be leveraged immediately to take
advantage of the market share. Banner advertising needs to push online readers
to the classified section as well.
An increase of 75 cents in the assumptive sale price of each classified ad will be
implemented to reflect the monetary value of online classifieds. The classified
representatives will have a clear understanding of the amount of traffic and
interest is shown in the online classifieds. The classified representatives will be
able to clearly articulate the reach that is realized by the print/online
combination buy into a particular vertical. Monthly statistics of traffic will be
provided to the classified manager by the online manager as part of an ongoing
cooperative sales plan.
The BDT will enable the web site to be able to accept online classified advertising.
This will be accomplished through an e-commerce solution eliminating the need
for billing. Allowing customers to place ads online 24/7/365 will help increase
sales and decrease costs. Additional savings are realized in reduced errors and
fewer customer service hours. The BDT will implement an aggressive marketing
strategy with online and print campaigns that encourage online classified
purchases. The most important component of a successful online classifieds
component is a well designed user interface and e-commerce solution.
Content related to each vertical category provided by TownNews for no
additional cost will be leveraged to enable readers to make buying decisions and
increase the value of the site. When adopting this classified strategy, the Bluefield
Daily Telegraph will aggressively leverage its strengths and opportunities in the
classified arena. Barriers of entry for new competitors will be established,
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competitors will be challenged to maintain their marketplace and the BDT will
substantiate itself as the leader in the marketplace.
Market Opportunity
When combining the power of the print and online products to deliver readers, the
potential for classifieds growth and revenue is considerable. MORI research
estimates around 41 percent of the people in small newspaper markets have used
classified ads on a newspaper website. MORI Research has also found that 56
percent of people in smaller newspaper markets are very interested and 26 percent
are somewhat interested in having a print classified appear online. Analysis of
Bluefield’s page views stats show the classified verticals are the fourth most used
area online. Bluefield’s local market consists of approximately 60,000 people,
delivering an estimated 28,000 potential classified ad readers. The bdtonline.com
site is currently averaging 171, 000 monthly visits (Jan.-Aug. 2004), indicating
healthy online readership. Leveraging this advantage will create opportunities for
additional advertising revenues in both online and print.
A report by Classifieds Intelligence, LLC, listed several key advantages of using
an online ad placing system over a standard call center:
 Parsing an online ad and delivering it to multiple sites and front-end
systems is easier and faster than trying to extract it from a newspaper
front-end.
 Users can be offered the full-range of up-sell elements and, in a
WYSWYG what-you-see-is-what-you-get environment, can see what
those elements look like. Seeing is not only believing, but experience
shows it translates into substantially more revenue.
 Different features can be offered for the different media. More text or
multiple pictures for online ads, or for niche publications. "Virtual tours"
or even video clips for the online classifieds. Borders for in-column ads.
Extended job descriptions for online employment applications.
 There are far fewer make-goods.
 The cost of taking an ad online is significantly lower than going through
the classified representative.
Online classified ad placement is becoming standard and reverse publishing into
traditional print products has become part of mainstream strategies. Enabling
online ad placement creates several key advantages for newspaper classifieds
operations. Giving advertisers control over placing their ads will decrease costs,
errors, make goods, collection issues and customer service hours. Revenue
increases at the same time. According to the Newspaper Association of America,
“ads placed online tend to run longer than ads placed by customers over the phone
in the same category.” Some newspapers are seeing an average of over 50%
longer ads placed online. Another advantage is that ads can be placed online 24
hours a day, 7 days a week. MORI Research indicates that primetime Internet
usage for most classified verticals happen between 6 to 10 p.m., after the normal
close of business.
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Web service applications are being considered to allow data to become platform
independent, allowing diverse (and reverse) publishing capabilities. There is a
movement underway in the advertising industry to standardize ad data using XML
(AdsML). The Bluefield Daily Telegraph may not be ready to take the plunge of
investing in new technologies, yet by implementing this strategy they will
leverage their strengths and opportunities to protect and enrich their marketplace.
CNHI, Bluefield’s parent corporation will need to look at new web-based systems
for their properties, ones that can take online ad placements with web-centric upsell options and have the capability to publish on multiple platforms.
Competitive Analysis
Existing competition in Bluefield’s market include classified publications: Thrifty
Journal, Thrifty Nickel, and a garage-based classified tabloid which have been
eroding a substantial portion of the classified marketplace. The current competing
operations provide free classifieds and are subsidized by advertising. The
competition has no web site currently. Customer’s low perception of value seems
to have exacerbated the decrease of classified sales at Bluefield.
Other potential competitors entering their classified market include traditional
advertisers like auto dealers who are beginning to create their own online
applications to promote and sell their inventory, reducing their spending in
newspapers. Cable companies are using interactive television to tap into areas like
recruitment. TV and radio stations are establishing their own web presence with
competing classified verticals. Online only players, both big and small are
beginning to chip into the classified market. The national online players like
Google, Craigslist, Monster, and HotJobs are strategically moving their products
to target local communities, a market where online newspapers have traditionally
been dominant.
The BDT must be proactive in reestablishing the classified marketplace. The
strength of its brand identity, integrity, community cohesiveness, knowledgeable
staff, and the combined online and century old print presence are values that will
need to be leveraged to strengthen the classified business. Immediacy is critical in
creating barriers to entry in the online arena for both national players and local
competition. Every effort will be made to add classified ads to the print edition,
and by default, the online edition to reclaim the classified market.
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“Go to Market” strategy
Bluefield’s current classifieds solution is adequate enough in the short term to
execute its mission to reclaim leadership in the market. Bluefield will first need to
increase its rate structure. An online ad rate increase of 75 cents is recommended.
Ads will continue to be sold as an assumptive sell better reflecting the value
customers are receiving. Annual revenue estimate is approximately $14,400 (600
estimated ads per month X $2.00 per ad X 12 months) for an increase in yearly
revenue of $5400.
The classifieds will be marketed by proudly stating the reach and distribution of
the combination buy. This will enable the BDT to regain confidence of advertisers
and consumers in the classified market. Readers will be reminded of Bluefield
Daily Telegraph’s historic past, its integrity as an information provider and its
service to the community for over 111 years, a claim no competitor can make.
Online promotions and newspaper ads will convey the value of advertising with
the Bluefield Daily Telegraph and bdtonline.com. By using the “power of the
newspaper,” and customer success stories these ads will drive people to the
classifieds.
An aggressive marketing campaign encouraging the use of the online classified
options will be implemented. The web site URL will be promoted in all
marketing materials including location banners and during sponsored events.
Top Ads will be sold by classified and implemented online in the categories of
homes, autos and employment. Increased effort in selling online classifieds will
result in increased revenue. The online manager will work directly with the
classified manager and/or the advertising director to explain the value and
benefits of advertising in both print and online. Informational trainings will be
conducted monthly with the classified representatives.
A sales effort to reclaim the real estate and auto sales classifieds will be
implemented in 2006 that will include print and online components. TownNews
will provide support in dealing with local realtors and the MLS (Multiple Listing
Service). The Bluefield Daily Telegraph will leverage their relationship with the
auto dealers to provide an online and print strategy.
Product Overview
The application currently provided by TownNews adequately produces basic
online classifieds. As mentioned previously, a corporate investment is
recommended for a solution that can enhance the online ad placement and reverse
publishing process. TownNews currently has a real estate vertical application that
can be implemented. They will come to the market to meet with the local MLS
(Multiple Listing Service) to get them on the site. TownNews also has an
automotive vertical application that will allow dealers to post their used and new
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cars online. These vertical applications are searchable and are an improvement of
functionality for both reader and advertiser.
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Sales Strategy
The current classified staff will be the driver for both print and online sales.
Working with the online manager a monthly training session will ensure the
classified representatives have the information they need to effectively sell the
components. The BDT will continue the assumptive sell with a rate increase of
75 cents per ad, reflecting the value of the classified ad. Top Ads placed on the
homepage for 7 days will be up-sold for $10-$20 per ad. This will be
implemented immediately. Top Ads can run in any or all sections of the site for
increased value, rates may be adjusted as traffic and demand increase.
Online ad placement capabilities will be important in increasing sales. Online ad
placement is currently available via a secured web form. Although this strategy is
a good start for Bluefield, we recommended that CNHI, Bluefield’s corporate
parent, look into investing in a solution that will integrate web and print
technologies preferably within the next year for all their properties as mentioned
previously.
E-commerce strategy
The current online sales solution for classifieds is poorly executed. The classified
manager states that the classified ads are submitted through a ‘secure’ page,
spawning an email that is sent with the credit card number. Credit card
information sent via email is likely to be harvested by illegal means and used
fraudulently. The potential risk cannot be overstated, this should be fixed
immediately. This potentially puts the reputation of the Bluefield Daily
Telegraph at risk. Securing the e-commerce transactions is imperative. If
TownNews or CNHI cannot offer immediate secure online transactions another
vendor solution must be found. We recommend EZNet Tools which offers a full
turn-key ecommerce solution that has been proven. This would allow the BDT to
concentrate on their core competencies and ensure that the Secure Socket Layer of
security is in place.
TownNews has a solution that will enable the site for the sale of online classifieds
through a secure area called Town Ad Owl that will be out of beta testing soon.
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Top Ads
The Bluefield Daily Telegraph currently runs Top Ads, but not to its full
potential. Top Ads utilizes the combined strategy of both display advertising and
classified advertising. Display advertising targets the passive reader, while
classified advertising fulfills the needs of the active seeker. Top Ads can reach a
larger audience by putting advertisers in front of readers who may benefit from
the advertisement, but may not be actively seeking it. Top Ads can be sold across
different categories. The modules to be implemented and populated immediately
will be Top Ads, Top Jobs, Top Cars and Top Homes. The online manager will
track statistics and work with the classified manager to provide monthly reports
for informing the classified representatives. The online manager will ensure that
each of these categories are populated daily with random ads if necessary.
Top Ads will be sold for a fee of $10 per day, per ad for a liner ad and $20 per
day if it includes a photo or logo. Over 13,000 people visit the home page daily
and will see these ads.
Estimated Revenue
Top Ads ($10 X 300 per year / 12 months) $250 Monthly revenue
Top Jobs ($20 X 300 per year / 12 months) $500 Monthly revenue
Top Cars ($20 X 300 per year / 12 months) $500 Monthly revenue
Top Homes ($20 X 300 per year / 12 months) $500 Monthly revenue
Total monthly revenue $1750
Estimated Expenses
Top Ads is included in the monthly fee that is paid to TownNews. Classified
representatives will receive their standard commission on the total sold.
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Auto Vertical Strategy
Print/Online Combination
The auto industry is doing quite well in Bluefield and its surrounding counties.
The roadsides of Bluefield’s main thoroughfares between counties contained
dozens of billboards and noticeably many auto dealerships. According to sales
reports, auto dealerships are amongst the top spenders at the Bluefield Daily
Telegraph, yet online auto inventory is not represented well in the automobile
classifieds at bdtonline.com. There is potential for additional revenue from the
dealerships. The auto strategy includes adding content resources for car buyers
and empowering the dealers with a bulk classified buy. Giving the auto
advertisers a rate based on a bulk classifieds buy and empowering them to post
the information will increase revenue and populate the inventory. TownNews has
an automotive classifieds application that will allow dealers to post their new and
used vehicles. The best solution will include a print and online partnership.
Management tools will enable the BDT and auto dealers to easily control and
update the system. This strategy will enable the auto dealers to grow their
business by integrating the advertising with local automotive data. This online
solution creates an aggregate list of the total car market, adding strength to the
auto vertical. The BDT will add content resources for car buyers to help them
make buying decisions like Kelly Blue Book linked from the site. A fully
searchable database will be implemented for ease of use for buyers.
The automotive industry in Bluefield relies heavily on the expertise of the BDT
for advertising solutions. By addressing this need for the auto dealers the BDT is
substantiating itself as the leader in the marketplace. The Bluefield Daily
Telegraph will provide innovative, creative and effective advertising solutions
that will bring new revenue to them and the advertiser.
The auto vertical strategy includes a way for dealers to update their inventory
online. This inventory information serves to populate the database of cars, along
with the other auto dealerships in the Bluefield area. Cars will be searchable by
make, model or price point. Each dealer will have an advertisement that includes
their logo, name and number. An email responder will send questions or
comments to the dealer and a map to the dealership will be posted. An overall
email to dealers, telling them what kind of car the customer is looking for can be a
strong lead generator. Much like the Geico® insurance model, an email goes to
the dealers, they respond back to the customer.
In an effort to increase both revenue and reach, the BDT will offer a print/online
combination buy to their auto dealer advertising clients. The ads will be placed
both in the printed and online edition. Photos of the cars and detailed descriptions
will be available online, the print ads will include basic information; make,
model, miles and cost under the heading of the dealership. The dealers will either
post these photos or get the photos from their own inventory control database.
The online manager will be charged with pursuing this option with local solutions
or outsourcing to a vendor. The liner ads will be printed in the traditional
classified format once a week. The day these ads run will be a traditionally slow
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single copy sales day, hopefully driving single copy sales. TownNews will write
an interface from their system to work with the Ad Manager Pro classified system
for entry of liner ads from the database. Estimated programming time to build an
interface with the current classified system is 10 hours.
Estimated Revenue
This innovative way of advertising will be sold with a yearly contract for access
to the online advertising solution. The fee will be $300 per month for each dealer.
The liner ads will be posted for a fee of $2.00 per ad in a weekly classified
section. While bold, this reduced fee will enable the BDT to populate both the
online edition as well as begin the process of taking back the classified market.
Sales of Auto Solution to dealers $18,000
(5 dealers X $300 per month X 12 months
Liners will be 3 lines (1/2 inch each) X 20 inches X 9 columns for a total ad count
of 360 ads X 2 pages equals 720 ads
$ 1440 per week (720 auto ads more per week X $2.00)
$7260 per month (averaged through the year)
By implementing this strategy the BDT will realize additional revenue of $7260
per month. Additional revenue will be realized through banner advertising of
$1400 monthly. The location and scarcity of banner advertising inside this
vertical will ensure sold out inventory. There will be some switch of revenue that
takes place. Private party real estate and auto ads will continue to run in the
classified section as before. The amount of advertising currently running in the
BDT classifieds is not enough to abandon this strategy. This strategy is an effort
to assertively take back the classified market from the Thrifty Journal, Thrifty
Nickel and garage based business.
Estimated Costs
$1000 investment for set up
$300 monthly recurring charge for vendor support
Printing (estimate for two full pages of liner ads) of $110 per week
Expenses for printing belong in advertising but we booked them for the purposes
of this plan
Software Interface development @$75 per hour ($750)
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Real Estate Vertical Strategy
Print/Online Combination
Based on ad impressions and click-thru rates on the ads, interest in real estate is
clear. The second largest category in the classified section is real estate and
rentals according to web statistics outlining traffic, Jan. to Aug. 2004.
Nearly 200 homes for sale in the Bluefield area could be found on the Board of
Realtors web site. The Board of Realtors reports the average home value is 60
percent lower than the national average. There are opportunities for real estate
sales in the area.
Negotiation with the local Board of Realtors to get the MLS (Multiple Listing
Service) information would populate the database and provide increased
exposure. Revenue opportunities for the BDT would include up-sells like photos
of homes, agent profiles, featured homes, and of course, reverse publishing
opportunities. A partnership with the realtors would lead to additional classified
ads with the same model used as the auto vertical. The current classified in-line
real estate revenue is $8,750.00 per month. Realtors are advertising in other
mediums. A glossy print monthly magazine put together by Mercer and Tazwell
Counties Brokers/Owners contains 55 pages of pure advertising by realtors,
brokers and mortgage companies. By implementing a print/online real estate
vertical strategy the BDT can assertively take back lost real estate advertising
with a product that is innovate, creative and effective for the advertiser.
As with the auto vertical special programming will need to be written so that the
data from TownNews will flow into the Ad Manager Pro system. The time
estimated to do this is 10 hours at $75 per hour.
The necessary factors for a successful real estate vertical are in place in the
Bluefield market, enabling the BDT to take advantage of the advertising dollars
that are being spent. Implementing the TownNews Home Seller Real Estate
Vertical solution will enable the BDT to meet the needs of their real estate
advertisers. By breaking down the barriers of entry to online solutions, the BDT
positions itself to be the advertising partner of choice. TownNews’ real estate
vertical application offers searchable and up-sellable features that benefit both
consumers and realtors. Much like their SWAT Team, TownNews will come into
the market and meet with the local MLS provider to ensure success.
Estimated Revenue
This real estate vertical strategy will be sold with a yearly contract for access to
the online advertising solution. The fee will be $30 per month for each realtor.
The realtor then has access to update their portion of the web site and offer
information that wouldn’t be available by traditional means. The liner ads will be
posted for a fee of $2.00 per ad in a weekly classified section. While bold, this
reduced fee will enable the BDT to populate both the online edition as well as
begin the process of taking back the classified market. The real estate double
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truck will run on opposite days of the auto double truck advertising for increased
single copy sales.



Sales of Home Sellers to realtors $7,200
(20 realtors X $30 per month X 12 months)
Liners will be 6 lines, with a photo when available
(1 inch each) X 20 inches X 9 columns for a total ad count of 180 ads
X 2 pages equals 360 ads
$ 720 per week (360 realtor ads more per week X $2.00)
$2880 per month
By implementing this strategy the BDT will realize additional revenue of $3480
per month. Again, the issue of switch in revenue can be addressed given the low
number of classified ads in the current print edition.
Estimated Expenses
$1500 investment for set up
$395 monthly recurring charge for vendor support in year one
Printing (estimate for two full pages of liner ads) of $110 per week
Expenses for printing belong in advertising but we booked them for the purposes
of this plan
Software Interface development @$75 per hour ($750)
Employment Strategy
Employment classifieds rank within the Top 10 most viewed areas on the website
according to BDT web stats, indicating that people are trying to find work in the
area or may desire relocation to Bluefield. MORI research found that 38 percent
of small market web site users are interested in online job listings or in posting a
resume. Online features like resume posting and detailed job descriptions are an
asset to readers according to a Belden study. The Daily Telegraph or its corporate
parent CNHI should consider partnering with a recruitment company that can
provide a robust application for employers and job seekers. Recruitment
companies like CareerBuilder, CareerSite, and Matchworks can offer interactive
services, added inventory, resume posting and other features that small newspaper
markets would not be able to provide alone. Detailed job ads combined with rich
information about Bluefield on the web site will attract professionals in fields like
medicine and education to work in Bluefield. The employment classifieds needs
to allow job seekers to communicate with recruiters, providing a means to send or
post resumes. Email addresses should be encouraged by the classified
representatives and hyperlinked so they are active. “Top Jobs” is an effective upsell opportunity that can spark the interest of readers not actively seeking
employment by placing the ads on high traffic locations like the homepage. The
online manager will work closely with the classified manager to develop new
employment strategies and partnerships as opportunities exist.
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Circulation strategy
Synopsis:
A successful strategy requires web-enabling the circulation department. This
model will directly integrate online business practices into the day-to-day
operation of circulation. The first priority will be constructing a model that
allows for payment of subscriptions, including signing up for auto pay and
interaction with subscribers. An online marketing campaign for subscribing
will be implemented on the site in the form of various banner ads or a
DHTML mouse-over box. Adding a paragraph encouraging readers to
subscribe at the bottom of the story template is an option that is easy to
change from time to time. The subscription component needs to be
implemented immediately. Simultaneously, a full ROP marketing campaign
will also be implemented, including rack cards and POP marketing. The
web site will be utilized as an extension of the customer service department,
providing another option for traditional subscribers to log complaints, stop
their paper, tip their carrier and pay their subscriptions. This will lead to
fewer circulation customer service calls and allow the reader to communicate
with the newspaper at their convenience, utilizing the power of the Internet
to do business with the Bluefield Daily Telegraph. Readers who
communicate via email prefer to be responded to in that manner. Covered
separately, an analysis of the overall circulation strategy will determine if the
paper’s content should be posted online for a fee.
Market Opportunity
By adding basic web-enabled tools you empower your subscribers to contact you
online 24/7/365. Subscribers will be enabled to pay for a subscription online, stop
their paper, and do vacation stops as well as donate papers to the NIE program.
This will save money by lessening customer service manpower. The ability to log
complaints online saves time and lessens the frustration of the subscriber. The
market for these cost saving tools include the entire population that has access to
the Internet. Site visitors who are local will be encouraged to subscribe online for
print delivery. Auto renew can be exploited as an option with all the forms
necessary for implementation posted online. Access to comparable data has been
difficult to obtain, the following information is from the Post Register, a 25,000
circulation daily. There are an average of 20 subscribers a week who sign up for
vacation stop/starts and 5-10 subscribers a week who log a missed delivery. The
average monthly subscription sign up or renewal amount is $1400 monthly.
Competitive Analysis
By harnessing the power of the Internet, the Bluefield Daily Telegraph has the
opportunity to have a virtual circulation customer service representative on board
24/7/365. Brand positioning can be accomplished with a successful ad campaign
explaining the benefits of using the online features. The BDT will position itself
as the local information provider using the latest technology to facilitate customer
service.
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“Go to Market” strategy
The Bluefield Daily Telegraph will build an online component in the first year,
using the TownNews forms that allow for complaints, starts, stops, vacation stops,
and donations to the NIE (Newspapers in Education Program) as well as paying
for subscriptions online. Marketing of the new alternative way of reaching the
circulation department will include rack cards, bill stuffers, ROP advertising and a
thank you email to each person who leaves an email address. This email is a
perfect way to encourage signing up for Breaking News, daily headlines, events
headlines, signing up for marketing email and especially signing up for auto
renew. Circulation will receive and process the orders and complaints using the
Internet. The need for this component is critical; therefore the Bluefield Daily
Telegraph will implement the solutions immediately using Town News, the
current provider of software solutions. TownNews will create a limited number of
online forms for no additional cost; additional forms will be $75 per hour. We
estimate the need for 2 additional forms. It will be necessary to e-commerce
enable the web site to facilitate paying for subscriptions online and making
donations to the NIE program or tipping your carrier. TownNews can assist the
business office in doing this in year one. This has been budgeted for October but
may be implemented earlier.
Recommendations are for the following:
 Pay for a subscription online
 Tip a carrier
 FAQ page on circulation issues
 A form for delivery concerns with simple to use radio buttons
 A form for vacation services along with a way to donate their paper to the NIE program
 A way to make a donation to the NIE program
The entire site should be built using a standardized “template” that includes a logo
at the top of each page and contact information at the bottom of each page,
including the phone number for customer service. Navigational links should be
on the left. Marketing should be done by utilizing the URL in all ads, with a
unified ‘theme’, an example of a campaign that includes ads using standard clip
art follows. The theme for this example is “It’s all about you”. Subscribers can
communicate when they want, in a way that is easy and convenient for them.
It is recommended that a corporate solution be explored as part of a year two
solution. Standardizing the web sites corporate wide and using an in-house team
that drives the decisions for all of the CNHI newspapers will enable all the
newspapers to deliver the same high quality solutions to their subscribers. There
are vendors available to serve as developmental resources. When the switch is
made to utilize corporate resources all of the interactive and support solutions
should be recreated. Vendor recommendations are covered separately.
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Product Overview
Immediate implementation will provide for increased understanding of circulation
issues as well as increased revenue. This strategy is critical and should be fully
accomplished in a 4-6 week time frame by the new online manager, working
directly with the circulation director.
Sales Strategy
An entire marketing campaign should be implemented once the circulation
solutions are executed. Theme based online banner ads should appear across the
web site with ROP ads of the same theme. Rack cards and POP advertising
should all include the benefits of using the online components. All advertising and
marketing should include the URL of the paper. The URL will be placed in the
masthead, on envelopes and on all the newspaper business cards. Working
directly with the online manager, the circulation director will be responsible for
the ongoing marketing of the bdtonline.com subscriber services area.
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Registration Strategy
Synopsis:
Requiring readers to register for full access to the web site will give online
newspaper operations insight to reader demographics beyond web logs, new
targeted advertising opportunities, and the ability to track reader habits.
Registration benefits to the reader include: personalized email choices,
automated entries of forms and access to the full archive. If implemented,
the registration strategy involves using email addresses collected through an
opt-in system for marketing and advertising opportunities via email.
Registration surveys can ask for and/or require a variety of information.
This information is then used to target a particular audience. Advertising
can also be included as a skyscraper or leader board banner or text note
inside of daily news briefs or breaking news announcements. If implemented,
the registration of users will be implemented within the first year. The
Bluefield Daily Telegraph will execute a marketing and sales plan for
newsletters, breaking news, daily headlines and special offers.
The key to a successful registration program is meeting the needs of the users
after they have given you their information and ensuring that the data is
clean. The BDT will implement the opt-in programs as the names are
harvested. The list(s) will be used for marketing both the online and print
edition. Ad campaigns and marketing opportunities will be evaluated
against the disruption of the email. Instructions for unsubscribing will be
posted at the bottom of each email. Each email will include a way of passing
the information along to another party with an opt-in option. There will be
clear statements as part of the privacy policy that the email list will remain
proprietary to the newspaper and not released to anyone. The online
manager will continue to reference state and national laws that pertain to
email marketing. The BDT will also clearly identify themselves as the sender
of the email. Email addresses need to be hidden from potential pirates. The
data gathered will be maintained and positioned to provide valuable statistics
to the online manager. The Bluefield Daily Telegraph’s privacy policy and
terms of service must be stated clearly and embedded as part of the footer of
the web site.
Market Opportunity
Newspapers are requiring registration as either a way to gather demographic
information or as a predecessor to a paid model. Registration leads to permission
marketing if the data and relationships to the registrant are managed properly. It
is imperative that the names and data be used for permission marketing as it is
gathered, not left to sit for long periods of time. It is also important to recognize
that a drop in traffic of 30% usually occurs by walling off the site and requiring
registration. The site will be locked down at story level, the main page and
section fronts along with other areas like classified will remain ‘open’. The BDT
Online is currently averaging 6000 users per day. Most sites realize a return of
traffic after a few months.
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Seth Godin, Vice President of Direct Marketing for Yahoo! says that permission
marketing is like dating. When you ask someone to give you personal
information about themselves, like a valid email address, it is like asking for a
first date. Each time you send them information via email, whether it is daily
headlines, breaking news or an advertising campaign you are expanding your
relationship with that reader—asking for another date. At some point you are
going to ask them to take the biggest step of all and make a purchase. If you
deliver consistently valuable information or offers to them, they will continue to
“date” you, if you deliver useless information or content they consider disruptive
you will get ‘dumped.” By delivering the daily news which people view as an
informative, useful interruption the BDT is strategically positioned to have the
best relationship with the registrant.
Online users do not like registration; it is clearly an invasion for most. The form
that the BDTOnline edition will use will ask for five pieces of information; valid
email addresses, zip code, their subscriber status, year of birth and which items
they want to receive via email. It will be clearly stated what the information will
be used for and what the registrant receives in exchange for the data. We
recommend only four pieces of information because in this market that will be
enough to justify and sell an email marketing campaign. Larger markets would,
of course, want to ask for more information in an effort to drill down to a more
specific demographic.
The target market for email addresses will include all visitors to BDT Online. By
asking for registration in exchange for access to the content and interactive
features on the web site you are also preparing the user for the potential next step
to a paid online site. Advertiser opportunities include all traditional advertisers
within the market. Email marketing offers six solid benefits; stamps are free,
frequency is free and printing is free, the speed of testing is one hundred times
faster, response rates are higher than direct mail and you can drive people to a
web site for more information. Innovative opportunities are present for the
advertising staff to sell permission marketing campaigns. Some examples: an
email sent out at 4:00 p.m. targeted with a coupon or special for dinner, grocery
specials that are good for only a few hours, special offers or amazing deals that
need a copy of the email to be validated. The list should include at least 1000
names for a successful campaign. Pricing of ad campaigns will be based on CPM.
In some markets, CPM rates range from $90 CPM up to $200 CPM.
Competitive Analysis
A successful registration model would aid in establishing BDTOnline as the
area’s technology driver with new and innovative ways of communicating with
customers. The BDT is uniquely positioned as a century old business with high
integrity, one that the public trusts enough to give their email address to. There is
no one else in the market that could as effectively establish and execute a
successful permission marketing campaign. In order to facilitate a successful
model, it is vital that use of the information gathered is identified early on,
successful use of the data is crucial to the decision on whether to implement a
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registration strategy. Gathering the names for breaking news, newsletters and
daily headlines can be done as a separate project if the sales opportunities for
permission marketing are not present, sponsorship could be sold for those
components alone. The advertising staff will be charged with selling permission
marketing campaigns in cooperation with the online manager. The permission
marketing strategy offers the benefit of being able to offer innovative, clever and
creative sales campaigns. The strategy also has its limitations, by requiring
registration and walling off the site, you are going to lower the traffic and page
views of the entire site. You also risk offending the very readers that have been
cultivated slowly through the past year.
“Go to Market” strategy
The product name to be used in internal and external marketing will be BDT
Alert. The Bluefield Daily Telegraph will exploit the home town feel and
friendliness that is predominant in the area to interact with the registrant. All of
the marketing, updates and sales pieces will incorporate a casual atmosphere in
the email. Advertising announcements will include a broad spectrum of
opportunities from “Rent one video, get two free at Bluefield Video” to “Save
$2000 off invoice of a new car”. The proprietary nature of the list will be strictly
enforced.
Strategy implementation plan
Town News can immediately implement a registration model if the decision to do
so is made. At a cost of $125 set up and $75 per month, the databases can include
opt in choices for breaking news, daily headlines, events calendar and specials.
According to Mori, 92% of newspaper web site users identify breaking news as a
feature they would use. Breaking news should be activated immediately. The
newsroom should send breaking news as often as possible. Mori identifies
breaking news by two types of stories.
Type I stories:
 Enterprise
 Investigative
 Exclusives
 Features/Living
 Opinion columns
 Profiles
 Capital-J Journalism Series
Type II stories:
 Breaking News
o Crime
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o
o
o
o

Traffic
Weather
Listings
Already reported elsewhere
Time Based Stories
o Press Conference
o Meetings
o Sports Games
Email containing daily headlines is the second priority and used as a way of
pushing people to the online edition and driving single copy sales. The obituary
information should be included in the daily headlines. If implemented as part of a
paid strategy, the daily headlines emailer will add value to the online subscription.
The events calendar can be an effective way to post everything happening in a
small community without printing it all in the traditional paper. Each of these
components has sponsorship opportunities.
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Product Overview
There are four separate products that will be available to sell; breaking news
leader board ads, daily headline leader board ads, event leader board ads and
permission email marketing campaigns. The leader board ad will appear above the
newspaper content, but below the BDTOnline logo. Breaking News will be
identified and generated from the newsroom. These banner ads offer a great
branding opportunity but no guarantee of frequency can be made on these ads,
they need to be sold to an advertiser without timely content.
Permission email marketing campaigns will be sold by the advertising
representatives, written and designed by the online manager. These campaigns
should utilize a common thread for familiarity. Using a hometown style, they
should be written as a way of giving your readers a bargain or special. Town
News can launch these campaigns year one, year two they should be managed and
maintained by the corporate solution.
Sales Strategy
Sponsorship of the breaking news leader board ad will be sold by the advertising
representatives for $75 per 1000. Sponsorship of the daily headlines will be sold
$25 per 1000. Sponsorship of events calendar weekly update will be sold for $25
per 1000. Sponsorship will be sold on a yearly basis for a reduced fee, banner ads
will be built by the production department. Implementation of specials sales will
be sold by CPM. The rate should be set at $50 CPM per ad campaign.
Marketing efforts which will include house ads should be implemented to drive
registration. The online manager will be tasked with developing contest
opportunities to drive registration. Sales will commence when the database
includes 1000 names. Potential sponsorship revenue is estimated as follows:




50 breaking news per year -- 50 x $50 = $2500
Daily headlines sponsorship-5 days a week—260 x $25 = $6500
Events calendar weekly update—52 x $25 = $1300
Special Sales or specials –25 X $50 = $1250
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Health Vertical Strategy
Print and Online Combination Solution
Synopsis:
A Medical/Health portion of the Bluefield Daily Telegraph Online site will be
produced and marketed as a vertical site online and as a traditional print tab
for distribution. A medical guide run online and in print tab format will
contain content along with traditional advertising. The online version will
include a medical directory and other advertising. The information for the
medical directory will be produced by the newsroom as a special section; the
online manager will assist in gathering the data for local medical
professionals. The medical professionals will be asked to purchase space for
a biography and/or practice description. Distribution will be as an insert to
the traditional print subscription and in the 3 local hospitals. A full-page,
full-color ad placed in the tab will be used as a marketing tool that will push
readers to the web site. Advertising will be sold by the ad reps into the tab
with an additional presumptive buy online component.
The medical guide directory will be supplemented with information provided
by TownNews. This online destination is expected to be a popular part of the
website and should serve as a popular advertiser location. This content
module will be implemented based on the success of the tourism/recreation
site as well as the market opportunities that exist in year three.
Market Opportunity
The Readership Institute found that 87 percent of newspaper readers want more
health news. The Bluefield Daily Telegraph is positioned to serve the community
and generate new revenue with at special section medical guide. Bluefield has
three hospitals and many doctors in the local area. Bluefield serves as the medical
community for a large geographical area. A medical/health vertical will serve the
local community and provide valuable advertising opportunities for local health
professionals. The BDT Online Health vertical will include a directory as well as
content provided by TownNews. In story banner advertising opportunities exist
as well as biographical information components. A relationship with the three
local hospitals will be mutually beneficial and should not be difficult to achieve.
Market size would be approximately the 100,000 combined populations of Mercer
and Tazwell Counties. This destination site should be coded carefully for ideal
search engine optimization. Visitors will come from around the area as well as
outside the market. Users will feel that they are interacting with a resource, not
with advertising. 20 percent of all online newspaper readers are interested in
receiving free health information updates via email. Mori research shows 46
percent of all online newspaper and 40 percent of small market online readers use
health information services.
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Competitive Analysis
The main competitor to this information would be the yellow page. By fully
maximizing the assets of the Bluefield Daily Telegraph a partnership can be
formed that will prove to be successful for all parties. The overall strengths of the
newspaper will all be used to produce this product. It will be done more
effectively and for less cost than possible by any competitor. There is clearly an
opportunity for the Bluefield Daily Telegraph to cooperatively benefit with a
relationship with area medical professionals and the three hospitals. The BDT
will also benefit the community by providing a robust medical/health directory.
“Go to Market” strategy
This medical/health directory vertical will be produced as a combination print and
online solution. Printed as a booklet, advertisers will have an opportunity to
advertise in a piece that will be widely distributed through traditional channels
and kept by local readers as a reference guide. As an online destination site, the
health vertical will provide a community health resource. It will help to build a
relationship with the health care community as well as serve the medical guide
advertiser in a non-traditional way. Using the data from previous medical guides
as a blueprint, the online manager will help procure the information necessary to
complete a medical directory of local professionals online.
Strategy implementation plan
Content will be gathered for the print medical guide in the traditional method of a
special section. The directory of information that already exists will serve as a
call sheet for advertising to contact the medical community. An article about the
health vertical online should be placed in the printed medical guide, along with a
full color ad pushing readers to the online directory. Sales will be accomplished
by the traditional ROP advertising staff with an online presumptive buy of a
bio/write up with the directory listing for $250, this fee would be added to the
price of the special section ad or instead of a special section ad. An electronic
form can be placed online for the medical professionals to fill out (and proof) as
well as an area to upload pictures, cutting down on production time. Doctors and
other medical professionals can write advertorial content as part of a special
advertising buy and marketed as an ‘ask an expert’ feature. The sales effort will
be for a two week time period. After proving the success of this advertising
opportunity, this will prove to be an area that advertisers will want to be able to
buy into, looking forward to it year to year. This content module can be built
using the current Town News technology and health content module. The
business directory will be built using the same vendor for a fee of $250 to set up
and a monthly fee of $50.
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Product Overview
The Bluefield Daily Telegraph will produce a booklet format publication done in
the style of a special section, with full color front and back and available color
inside. A complimentary web site vertical will be built with skyscraper banner
advertising as well as a directory of medical professionals. Distribution locations
could be an up sell opportunity as part of a sales package. The publication would
also be included as a welcome item to new starts that move into the area along
with a 2 week subscription for the purpose of increasing traditional circulation.
This is a year three project, with an emphasis to move up the project if at all
possible so the revenue can be realized earlier. The time frame for launch should
include a time table for content gathering, a sales window, production time and
immediate and ongoing distribution.





Content gathering 4-6 weeks
Directory information gathering 2 weeks
Sales-advertising and online tile ads- 4 weeks
Production time 1 week
Distribution time 1 week and ongoing
Sales Strategy
A recommended URL is www.bdtonline.com/medicalguide or
medicalguide.bdtonline.com unless the Bluefield Daily Telegraph or CHNI owns
a more appropriate URL. Sales strategy will require a 4 week window once a
year for sales by the traditional ROP salespeople. This unique combination
online/offline product will be sold the same as a special section with the addition
of an online bio/description area. The biographical information will be input
using a form online that feeds into the Town News directory program. Offered as
a presumptive buy for $100.00 the bio will stay online in the Health/Medical area
for a year. This area could also be sold as an advertorial. If advertorials are
posted they should be clearly identified as such. Each physician or medical
professional will be listed by name and phone number for free. Banner ads that
promote the medical area of the site will be produced and posted on the
newspaper web site.
The medical guide will allow health professionals to reach everyone in the
circulation area of the BDT. This informational piece is traditionally kept by
household as a reference guide. The online component will provide national
health information, updated regularly along with local health information. A
health dictionary with specific topic pages and a self-published calendar of
medical events will be in the area as well. The online directory will offer health
professionals a way of reaching potential clients outside of the immediate
circulation area.
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Estimated Revenue
Using the existing sales force and the same strategy used for other special sections
the Bluefield Daily Telegraph will sell traditional print ads with a presumptive
sale of a directory listing ad for a fee of $100. The estimated revenue for this
combined advertising component is $10,000. There are between 200-300 medical
professionals in the Bluefield area, sales to 1/3 of the market is a realistic
expectation for this online and print solution. The Bluefield Daily telegraph will
realize a gross profit of $10k in new revenue. This does not factor in production
or newsroom expenses, or traditional commission on sales.
Estimated Expenses
The estimated cost for printing 30,000 copies of the medical guide in a booklet
form is $3600. This represents the cost for 24 color pages, 50 pound e-brite
paper. Expenses for printing belong in advertising but we booked them for the
purposes of this plan.
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Economic Development
Print and Online Combination Solution
Synopsis:
A Tourism/Recreation portion of the Bluefield Daily Telegraph Online site
will be produced and marketed as a vertical site online and as a traditional
print tab for distribution. The content, run in a tab format, will be
assembled with the cooperation with the Chamber of Commerce (COC) and
the Economic Development Council (EDC). The “history” content discussed
in the content strategy will be utilized in this vertical as well. This will serve
as the predominant online solution in the fight for revitalizing the local
economy with tourism. Distribution will be as an insert to the traditional
print subscription and through traditional COC and EDC channels;
additional distribution channels may exist through traditional circulation
venues. A full page, full color ad placed in the tab will be used as a marketing
tool that will push readers to the web site. Advertising will be sold by the ad
reps into the tab with an additional presumptive buy online component.
The tourism/recreation content will remain ‘evergreen’, on the site
indefinitely. Utilizing the newspapers microfiche, electronic data,
institutional knowledge and staff expertise this vertical area will be
supplemented with weekly content containing historical information. Added
as robust content and utilized in the traditional print edition, this content will
utilize a reader feedback component for questions and comments. This
online destination is expected to be a popular part of the website and should
serve as an effective advertising location. This content module will serve as a
test for additional content opportunities and can be further expanded in year
two.
Market Opportunity
By centralizing the tourism and recreational information along with a niche
history component, a resource rich destination site can be built. This portion of
the site will not only contain evergreen content but also attract new visitors. A
relationship between the Bluefield Daily Telegraph and the local (COC) and the
(EDC) must be developed. This relationship will be a mutually beneficial one and
should not be difficult to achieve. Market size is indeterminate, given the potential
for tourism traffic, but local use and interactivity will add to the value of the site.
This destination site should be coded carefully for ideal search engine
optimization. Visitors will come from around the area as well as outside the
market. By using the tab as an information piece for the COC and EDC a market
will be reached that has already established itself as interested in follow up
information. The information will also work well as a rich resource for teachers
and students interested in the rich history of the Bluefield area and should be
utilized as part of the Newspapers In Education program. Users will feel that
they are interacting with a resource, not with advertising.
.
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Competitive Analysis
The main competitor to this information would be the COC and EDC sites. By
fully maximizing the assets of the Bluefield Daily Telegraph a partnership can be
formed that will prove to be successful for all parties through a winning
partnership. The COC currently has good information and is the only site that
shows on Google and like search engines using tourism search terms. The COC
and EDC could continue to maintain their sites while linking to the BDT content.
This would result in increased traffic for the BDT site as well as ready made
content for the COC and EDC. The content on the COC site could be reproduced
by the staff of the Bluefield Daily Telegraph. Because of the ability to run ROP
advertising at cost and the convergent relationship with the TV Station, the BDT
will be superior to other area sites for tourism. The overall strengths of the
newspaper will all be used to produce this product. It will be done more
effectively and for less cost than possible by any competitor. There is clearly an
opportunity for the Bluefield Daily Telegraph to cooperatively benefit in a
partnership with the EDC and COC. The BDT will also benefit the community
by providing a robust tourism site.
“Go to Market” strategy
This tourism content vertical will be produced as a combination print and online
solution. As a tab, advertisers will have an opportunity to advertise in a piece
that will be widely distributed through traditional circulation distribution channels
and by reputable organizations like the COC and EDC. Advertorial content can be
produced by advertisers wanting to be “experts” in particular areas or by
businesses expressing their historical involvement in the community. The
advertorial will expand the amount of content and can command a premium from
the advertiser. As an online destination site the groundwork has been laid for
evergreen content with valuable reader feedback and interactivity. This tab will
serve as the information piece for the COC and the EDC. The tab will be
distributed at local hotels, the COC office and used to fill requests for information
received at the COC and EDC. An information request link can be utilized online
with requests going to the COC or EDC. Additional distribution points will be
determined by the circulation director, leveraging established relationships with
distribution channels. BDT will produce these tabs and distribute them in
exchange for the anticipated cooperation with content from the COC and EDC
and potential advertising leads. The online manager will also help procure
content information that exists in digital form from state and federal government
agencies.
Strategy implementation plan
A relationship with the COC and EDC needs to be established at the publisher
level. The online manager will help to identify and gather content. The BDT
clearly brings the most recognized, most trusted brand to the table as well as the
largest market penetration. By working together, the Bluefield Daily Telegraph,
the COC and the EDC can begin a destination site that will help lead the
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community in a revitalization effort. The importance of the content to this strategy
will be clearly verbalized to the newsroom. Information will be gathered from
local, state, regional and federal sources and produced into a 16 page tab format
publication. Sales will be accomplished by the traditional ROP advertising staff
with an online presumptive buy of $250 added to the price of the ROP ad. The
sales effort will be for a four-week time period. After proving the success of this
advertising opportunity, this will prove to be an area that advertisers will want to
be able to buy into, looking forward to it year to year. This content vertical can
be built using the current TownNews travel content module. The cost is included
in the current monthly fee.
Product Overview
The Bluefield Daily Telegraph will produce a 16 page tab format publication in
the style of a special section, with full color front and back and available color
inside. A complimentary web site vertical will be built with banner advertising.
The web content will be ‘evergreen’, remaining year after year along with
information about local businesses that specialize in recreation, tourism or local
entertainment. Features will include an area to-do list, restaurant reviews, hotel
information and local bed and breakfast reviews. The tab will be distributed
through the COC and EDC with additional distribution done through retailer sites
like hotels. Distribution locations could be an up sell opportunity as part of a
sales package. The publication would also be included as a welcome item to new
starts that move into the area along with a 2 week subscription for the purpose of
increasing traditional circulation. Content can be harvested from previous
newspaper editions with tourism information or travel sections of the newspaper.
Additional valuable content will come from users who will be encouraged to post
local pictures and responses to the question “What is there to do in West
Virginia?” The newspaper’s photojournalists can use their pictures to make
wallpaper shots for screensavers with the newspaper or website logo clearly
displayed. While ‘evergreen’, the content will be proofed and updated on a
routine basis. Utilizing the expertise of Bill Archer, other staff and reader input a
history component will be built. Ongoing content will be produced for the
‘history corner’ in a weekly column. This will be partnered with the traditional,
100 years ago today or 50 years ago piece that would utilize the paper’s history
and legacy data.
This is a year two project, to be moved up if time allows. Launch should be made
in conjunction with the COC and EDC schedule. The time frame for launch
should include a time table for content gathering, a sales window, production time
and immediate and ongoing distribution.





Content gathering 4-6 weeks
Ongoing content with the history piece
Sales-2 weeks for tab and online tile ads
Production time 1 week
Distribution time 1 week and ongoing
- 64 -
Sales Strategy
A recommended URL is www.bdtonline.com/wv unless the Bluefield Daily
Telegraph or CHNI owns a more appropriate URL. Sales strategy will require a 2
week window once a year for sales by the traditional ROP salespeople. This
unique combination online/offline product will be sold the same as a special
section with the addition of an online skyscraper banner ad. The banner will be
sold as a TOMA or branding opportunity, not based upon a number of
impressions. Offered as a presumptive buy for an additional $250.00 the
skyscraper ad will stay online in the Tourism/Recreation area for a year. The
advertiser must purchase the online component in order to appear in the tab.
Banner ads that promote the tourism area of the site will be produced and posted
on the newspaper web site. Sales opportunities can be generated by known
advertisers as well as by doing searches for information online. This could be a
fun, competitive sales opportunity. Sales incentives should be put together in a
creative way for this unique sales experience. Testimonials and click through
rates should be utilized for the sales piece the following year.
Estimated Revenue
Using the existing sales force as well as the online sales person and the same
strategy used for other special sections the Bluefield Daily Telegraph will sell 60
traditional print ads at traditional special section rates with a presumptive sale of a
tile ad for a fee of $250. Larger online ads or premiere online real estate can be
sold at a higher rate. The estimated revenue for combined advertising component
is $15,000. The Bluefield Daily telegraph will realize a gross profit of $11,000.
Estimated Cost
The estimated cost for printing 60,000 copies of the recreation/tourism tab is
approximately $4,000. This does not factor in production or newsroom expenses,
or traditional commission on sales. Expenses for printing belong in advertising
but we booked them for the purposes of this plan.
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Paid Online Content
Overall Circulation Strategy
Synopsis:
After a year of building audience and establishing an online presence with
bdtonline.com, an option for the web site is to go to a paid access model.
There are obvious pros and cons to a paid model; this is an opportunity for
the BDT to explore those fully. In order to explore the possibility of a paid
site, the Bluefield Daily Telegraph needs to look at the long term strategy of
their overall operation. Online strategy must be a cohesive, integrated part of
the newspaper's overall long-term plan, not necessarily a way to make money
in the short term. The decisions that drive online strategy must be based on
the market, goals and long term strategy of the newspaper. There are pros
and cons to any long term strategy. Here are some questions that need to be
addressed:
Does this strategy align with the mission statement of the newspaper?
Is the BDT a news and information provider or just a newspaper? There was a
time when the citizens of our country had to decide if they wanted trains or they
wanted transportation. If we had only focused on rail transportation, where
would we be today?
Going to a paid model will directly impact the circulation strategy. Is the
circulation strategy the priority for the overall newspaper operation?
What amount of growth are you looking to realize?
Do you currently “own” the news market?
What is each subscriber worth in advertising revenue? (Current revenue
divided by total number of subscribers)
How much online advertising revenue are you going to be giving up?
Is there a long term gain to be realized by reaching out of area subscribers?
Is the potential subscriber pool large enough to sustain an acceptable level of
growth?
Are there potentially other ways to monetize the site that need to be
explored?
People will be angered by having to pay for online content, is the BDT
prepared to deal with the consequences?
Does the BDT have the support of internal and external
decision makers in realizing this agenda?
If you have “assumed” sales in classifieds or obits, can you
sustain those prices with a drop in website usage?
How much traffic reduction can you afford?
Will you allow print subscribers to access the site for free?
Will you put classified verticals behind a pay wall?
If, after answering these questions and taking a hard look at the answers the
BDT chooses to move forward with a paid content model, we offer the
following recommendations:
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Paid Scenario:
The BDT will allow access to the site by subscription only, access will be
granted by a required username and password. The online edition will be
free for 7 day print subscribers. Non-subscribers to print will need to pay in
order to access all of the features and content on the web site. Access will be
gained by a username (current email address) and a password that can be set
by the user. A mechanism will be in place for the user to change their email
address and password through a web based user interface. By using the
current email address and emailing the password, you are guaranteed a valid
address. Email billing can then be facilitated for both the current online
subscribers as well as print subscribers who use the online edition.
Circulation staff will gather email addresses for all subscribers, even if they
don’t use their free online subscription so that billing can be done via email
as well as through traditional channels. A full marketing campaign will be
launched in conjunction to going live with the paid access site. The NIE
program can help promote the benefits of the web site to educators who use
newspapers as teaching tools in the classroom. An online password will be
provided to teachers who use the newspaper in their classrooms as a teaching
tool, charged to the NIE program. Additional personalization components
will add value to the online edition. These will include; breaking news, daily
stories sent by email, access to post comments and celebrations as well as a
personalized email sent with the current daily news.
Our research shows paid sites realize an increase in circulation of between
0.6% to 7%, the average was 2%. With an increase in circulation of 2%, the
BDT would add 410 subscribers. If the 2% goal of online circulation is met
for a year, the BDT would realize an increase in circulation subscription
revenue of $5000 at the $4.00 rate. Those subscribers translate indirectly
into $70,000 of advertising revenue, when the rate you can charge as a result
of the paid circulation is taken into account. As the online circulation grows,
the cost associated with increased circulation does not grow at the same rate,
growing your online paid subscribers will result in increased revenues.
Market Opportunity
There are several newspapers in the U.S. who have implemented a paid content
business model. Many Canadian newspaper web sites operate under this model.
The Audit Bureau of Circulation has ruled that newspapers can charge for online
content as a separate edition if a particular criterion is met.
The following is from the Audit Bureau of Circulation web site, updated
November, 2003.
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Statistics from other newspapers
Daily and some weekly paid models include:
Pendleton, Oregon (eastoregonian.com) [9.57%]
Moline, Illinois (qconline.com) [7%]
Paducah, Kentucky (paducahsun.com) [7%] not ABC compliant
Astoria, OR (dailyastorian.info) [6.3%]
Marinette, Wisconsin (eagleherald.com) [4.4%]
Enterprise, Oregon (wallowacountychieftain.info)[4.39%] weekly
John Day, Oregon (bluemountaineagle.info( [4.19%] weekly
Grosse Pointe, Texas (grossepointenews.com) [3.5%] not ABC compliant
Cedar Rapids, Iowa (gazetteonline.com) [1%-3.25%] online not ABC compliant
Chanute, Kansas (chanute.com) [2.9%] online not ABC compliant
Long Beach, Washington (chinookobserver.info) [2.85%] weekly
Idaho Falls, Idaho (postregister.com) [2.5%]
Moscow, Idaho (dnews.com) [2 %] not ABC compliant
Fort Walton Beach, Florida (nwfdailynews.com) [2.5%]
Panama City, Florida (pcnh.com) [2.5%]
Columbus, Ohio (dispatch.com) [2%]
Albuquerque, New Mexico (abqjournal.com) [1.5%] not ABC compliant
Madisonville, Kentucky (the-messenger.com) [1.5%] not ABC compliant
Mesa, Arizona (eastvalleytribune.com) [1.4%]
Lewiston, Idaho (lmtribune.com) [1.1%] not ABC compliant
Rochester, Minneapolis (postbulletin.com) [1%]
New Bedford, Massachusetts (southcoasttoday.com) [1%]
Keene, New Hampshire (keenesentinel.com) [1%]
Wenatchee, Washington (wenworld.com) [1%]
San Angelo, Texas (SanAngeloStandardTimes.com) [1%]
Salem, Oregon (capitalpress.info)[.94] ag weekly
Nashua, New Hampshire (nashuatelegraph.com) [ .0016% ]
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www.accessabc.com/members1/n_electronic.htm
Qualifying Electronic Editions as Paid Circulation (Updated Nov. 2003)
Product Identification
It is the option of the publisher to determine if a newspaper's electronic product is to be identified
as an “edition” of the newspaper with the intent to claim copies sold as “paid” circulation. An
electronic edition is defined as a newspaper delivered electronically that is consistent in
content with the print version of the same newspaper. For a no-cost review of your electronic
edition , to insure compliance with the consistency requirement, please forward a copy of your
print edition PLUS access to your electronic edition to , Director, Publisher Relations, at ABC.
If the electronic product is an “edition” of the newspaper and sales of this edition are to be
claimed as paid circulation, then all qualification rules for newspapers shall apply including -.
A qualifying amount of at least 25% of the basic home delivery or single copy price must be
collected.
Delivery of the edition can be fulfilled by one of two distribution methods, “push” or “pull”. An
example of the “push’ method would allow subscribers to be notified via an e-mail, detailing the
current issue is now available for downloading. An example of the “pull” method would allow
subscribers access to the electronic edition by logging into a secured website.
With the “push” method of delivery, “bounce backs” or undeliverable editions must be accounted
for and removed from paid circulation. Copies identified as delivery issue “Bounce backs” may be
included in qualified circulation for a limited time frame provided the delivery problem associated
with the bounce back is rectified, or the subscriber is purged from the subscriber file in accord
with the following scale:
1. Daily - 10 issues (days of service)
2. Weekly - 4 issues (days of service)
Qualification for Electronic “Editions”:
Qualifying prices for an electronic edition shall be based on the print product's basic prices for the
same term, frequency, and ABC defined zone.
If a solicitation is for the sale of only one subscription of a newspaper (electronic or print), then
a qualifying price must be paid for the one subscription (25% of basic print home delivery price).
If a solicitation is for the sale of both a print and an electronic edition of a newspaper and
only the print subscription is intended for inclusion in paid circulation, then a qualifying price
must be paid for the single print subscription (25% of basic print home delivery price).
If a solicitation is for the sale of both a print and an electronic edition of a newspaper and
both the print and electronic subscriptions are intended for inclusion in paid circulation, then a
qualifying price must be paid for as a multiple subscription sale.

In the U.S., Bureau rule , shall govern the sale. The rule states that if a consumer
purchases two subscriptions of the same newspaper (albeit one print and one electronic
or two electronic), the publication must collect a minimum of the full basic price for one
subscription and not less than 25 percent for the second. Provided this minimum is met,
both copies shall be considered sold at 50 percent or more of basic prices.
- 69 -

In Canada, Bureau rule shall govern the sale. Rule C 10.1 requires a minimum of 1 cent
per publication be collected.
o If the publication collects a minimum of 100 percent of the basic price for one
subscription, plus 25 percent for the other subscription, then the circulation
associated with both subscriptions will be reported as “Sold at half of basic price
or more."
o If the publication collects less than 125 percent, then the circulation for both
subscriptions will be reported as “Sold at less than half of basic price.”
Electronic Edition third party sales user licenses may be purchased by business organizations
and libraries. Each license may count as one subscription.
Colleges and universities may purchase licenses to allow registered college students access to
the electronic edition. Each license may count as one 'circulation' unit.
Reporting of Electronic “Editions”:
Circulation averages for electronic editions must be reported as a separate line item in
Paragraphs 1B and 2 in Bureau reports for U.S. newspapers and in Paragraphs 1 and 2 for
Canadian newspapers. Circulation distribution for electronic editions must be reported as a
column in Paragraph 3 of the Audit Report.
Paragraph 1 would state a line item titled “Home Delivery & Mail - Electronic Editions” or "Single
Copy sales - Electronic Editions" (whichever applies) in each appropriate transaction and price
category. The line item would disclose the circulation averages associated with this type of
circulation.
Paragraph 2 would state a line item titled “Home Delivery & Mail - Electronic Editions” or "Single
Copy sales - Electronic Editions" (whichever applies) in each appropriate ABC zone category and
would disclose the circulation averages associated with this type of circulation.
Paragraph 3 would have a separate column titled “Electronic Editions” and would disclose the
distribution quantity under the appropriate counties, towns, and/or ZIP Codes.

The electronic edition should be placed in the appropriate geographic area utilizing the
identified billing address of the recipient.
ABC Rule C2.4 Separate Editions has been updated to include language relative to electronic
editions.
Should you have any questions regarding the qualification of your electronic edition please call
your Publisher Relations Manager at 847-605-0909.
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The Bluefield Daily Telegraph owns the news market and has the added content
opportunities with their convergence partner, WVVA, Channel 6. The newspaper
content will be behind a password, the classified verticals and tourism vertical
will remain in a free area allowing for growth in those areas. The market size is,
of course, wider than the immediate circulation area because of people who want
to remain in touch with their local hometown paper after moving away. Our
research shows that most markets have a split of subscribers who are in the area
and who live outside the delivery area for the paper, the split usually runs 60/40.
Based on the success of other markets a challenging, yet achievable goal of 2%
will be set. Mail subscriptions should be encouraged to change to the online
model and a ‘sunbird’ strategy should be set. As email addresses are gathered,
billing can be accomplished through email, encouraging users to pay online with a
credit card and opt-in for auto renewal.
Competitive Analysis
Online strategy must be a cohesive, integrated part of the newspaper's overall
long-term plan, not necessarily a way to make money in the short term. The BDT
is the dominant player for news content in the Mercer county area, this helps
ensure the viability of a paid online newspaper website. By charging for access
you are protecting the franchise in three primary ways; circulation, advertising
and newsroom. The Bluefield Daily Telegraph serves a market of approximately
63,000 in Mercer County and approximately 45,000 in Tazewell County. The
current circulation is 20,500. The ability to reach an unseen audience would place
them in an advantageous position. Newspapers who have implemented this
business strategy have experienced a stop in circulation slide; people no longer go
to the website for free instead of subscribing to the print or online edition.
Advertising CPM is lost with each subscriber who opts out of the print edition for
the free online edition, by charging for your online edition you are protecting
advertising as well as circulation. By putting a value on your local content you
are also protecting your newsroom with the assertion that the content that they
produce has an inherent value, especially local content. The fact that you can sell
advertising around the content is also a way of placing value on their work. The
BDT will be saying that what they do; deliver and produce high quality local
news is valuable. Competitive strengths include the rural location of Bluefield; a
paid online edition will enable delivery to areas that are cost prohibitive to deliver
print editions. The BDT effectively owns the daily news market with a 52.7%
market share. The convergent relationship with Channel 6 positions the BDT to
compete with the TV news channels; TV web sites offer the biggest threat to the
bdtonline.com site. A paid site will allow TV sites to ramp up and take traffic.
Advertising representatives will not be responsible for selling online banner ads
except for verticals as part of special section opportunities.
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Impact of paid model
KEY ISSUES
CONS
By asking readers to pay for online information the BDT will be demanding that
readers pay for something they are used to getting for free. It is a bold initiative
for a newspaper to take. All users who are used to the free online edition will balk
at having to pay. You will get angry email. The risks of losing branding
opportunities and readership are real. Advertising revenue will drop; the BDT
will realize a loss, if not complete disappearance of online advertising revenues.
A paid model demands a different way of thinking about online advertising. As
part of the ABC compliancy, traditional ROP advertising will be required to
appear in the online edition. This may cause additional work in the production
process. Additional banner ads can still be used as a TOMA program, but
realistic expectations for the advertiser must be set out. Advertising, other than in
house marketing, is less effective given the reduced traffic. Advertisers will not
realize the type of results they are used to with a free model.
Most newspapers are currently actively seeking readers in the elusive 18-34 year
old age range. Mori research shows that users who are 18-34 are less likely to
visit a paid newspaper site than users who are older. Readers in this age range are
more likely to visit Yahoo! and Google for their news. Considerations must be
made to the value of that demographic versus the addition of subscribers.
Online traffic will drop, potentially stunting the growth of new products and
online initiatives which rely on heavy traffic for success. The BDT may miss out
on development opportunities while protecting the core product too strongly.
Emerging technologies potentially bring new opportunities.
Revenue lost from advertising will potentially be recouped by increasing the ABC
Audited Circulation base. Traditional classified verticals will not be affected by
the loss of traffic as they will continue to be online for free access.
PROS
The most effective way that the BDT can meet its goal of helping to revitalize and
serve the community they call home is to be a profitable, successful business. By
charging for access to the online model, the BDT is protecting one of their most
valuable assets, the newspaper content.

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
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

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Immediate increase in ABC compliant circulation
Increase in print subscriptions lost to free online
Added value for current 7 day subscribers
Increase in circulation revenue
Increase in advertising revenue
Solution to difficult to reach subscriber areas
Solution to mail subscription and snowbird subscriptions
No dead trees; not affected by increased newsprint costs
Aggressive, long term online strategy
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Measurable goals and objectives
In order to facilitate a paid online model and meet the requirements the following
objectives need to be met:
100% of all content online, including ROP ads, comics and photos
Secure, e-commerce enabled web site
** Desired but not required**
Breaking news component
Daily headlines component
Celebrations component
“Go to Market” strategy
The online edition will be a fully searchable, complete copy of the print edition.
As content is added, it should be archived with full access to subscribers made
possible. With the addition of email, personalized content and interactive
features, the online edition will serve as a viable alternative to the print edition.
The online product will need to have a total marketing plan in place in
conjunction with launch. The publisher, as well as the entire staff should be
prepared to answer emails regarding this strategy. A canned response should be
available if needed. The benefits of the online product should be clearly outlined
in ads and posted in a letter from the publisher on the site. The circulation staff
will need to be trained to answer questions. An information page will need to be
posted, along with a letter from the publisher. The online edition should be
marketed heavily in the area, as an alternative to the print edition. By fully
utilizing the talk back postings and adding the ability for people to add their own
photos and celebrations, valuable local content to the web site is added with no
additional cost. Timing of the paid content strategy should be adjusted to most
benefit from the publication of ABC Audit Fas-Fax information.
Breaking news will be available for free to everyone, via email with a push to
read more online or in the print edition.
The monthly fee will be $4.00 a month, allowing for the 25% ABC rule.
Subscribers will be able to choose from a 1 month, 3 months, 6 months and full
year subscription. The online manager will be responsible for the implementation
of the site and its features. Customer service of the online accounts will be
handled by the circulation department. Working cooperatively with the online
manager, the circulation department will drive the marketing of the online
product. The user name will be an email address. This will enable the BDT to
use a valid email address as a means of billing for the print edition.
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In order to facilitate online sales for circulation and classified ads the BDT will
need to have a merchant account that can transact real time sales. Town News has
a solution that offers a $250 sign up fee and a fee of $60 monthly for up to 1000
transactions. Merchant accounts vary in price by bank; the business office should
help make this decision. Town News will build the forms necessary to facilitate
the online sales for a fee of $75 per hour.
Product Overview
BDT Online will be a paid access site with free access to classifieds on the day
they are printed. The online paper will be positioned as an alternative to the print
edition and as a solution for mail subscribers, snowbirds and people from out of
town who want to keep in contact with their home town newspaper. One week of
classifieds will be available for access to subscribers. Access to verticals will
remain free. Evergreen content, like the tourism area will remain open.
Additional products, like wallpaper or search archives will go behind the
password. Access to the current edition will require a password. The online
edition should be updated shortly after the newspaper is on the press. Breaking
news, email of specified sections, addition of subscriber celebrations and a talk
back feature will be built as personalization tools. All ROP ads will appear
online. Ideally the ads would be searchable and linked to the advertiser’s web
page. The ads can appear in PDF form to meet the qualifications of ABC.
TownNews has a solution for this that would allow for search ability, that is
utilized with a per ad fee. Additional content like comics, games and syndicated
content can be posted online without retribution if the content is subscription
based. Access will be given to 7 day print subscribers at no charge.
Sales Strategy
The sales and marketing strategy will be implemented by the circulation director.
It is important that the bdtonline.com URL appear on every piece of marketing
possible including the masthead of the newspaper and in each house ad. Examples
include business cards, sponsorship logos and letterhead. Online subscriptions
will be sold for $4.00 per month. This fee will ensure that the subscriptions will
be ABC Compliant. Seven day subscribers to the Bluefield Daily Telegraph will
receive free online access. Ads should appear daily in the newspaper, point-ofpurchase displays should be produced, rack cards and billing inserts should also
be used. A theme campaign should be written with the 18-34 year old market in
mind. Sales for the online edition will be facilitated primarily through the web
site. The circulation staff should be familiar with the online edition and trained to
start new online subscriptions. The Newspapers in Education program will also
offer the online edition to teachers, with the fee coming from the NIE program.
A secure commerce area will be set up, acquiring a merchant account in year one
and a corporate solution year two. This web site area will offer the 1, 3, 6 and 12
month options, with a clearly written explanation of the auto-renew option along
with the necessary forms allowing for opting in. The marketing pieces will all
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clearly identify the URL bdtonline.com and explain all of the options available to
online subscribers only; access to post feedback, archive access, access to post
celebrations, classifieds will be archived for one week, personalized updates and
email options, early online access availability, ease of use and use at work should
be promoted.
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Archive Strategy
Synopsis:
The Bluefield Daily Telegraph will build an electronic archive in an effort to
monetize its legacy data. The electronic archive will include all the news
content published in the print edition. The current online archive contains
content dating back to January, 2000. This archive can serve as a revenue
stream for previous issues or as a value added proposition for the online
edition. If the BDT chooses not to offer a paid online edition the electronic
archive will be offered for a per article fee. If the BDT chooses to offer a
paid online edition, the archives will be positioned as a value added
proposition. This should be implemented early in year two, either in
conjunction with the paid model or as a separate business strategy.
TownNews can help implement the paid archive strategy immediately using a
shared revenue model. This solution can be done at no financial risk to the
BDT, our recommendation is to utilize the search area built by TownNews
and collect the revenue through the e-commerce solution. This will require
some additional programming.
The most dynamic archive will exist in a format that can be used across
different platforms. Using XML technology and a database solution will
ultimately be the best solution. TownNews can facilitate conversion of text to
an XML version. If CNHI decides to maintain this information as part of a
corporate strategy in year two or even later the XML database will facilitate
an easier changeover and the ability to share data between properties.
It is our recommendation that this is done by corporate as soon as possible
and that all of the CNHI properties statewide post their archives in one
central location.
Market Opportunity
The Bluefield Daily Telegraph currently posts all of their electronic archives
online for free. Archives represent an opportunity for new revenue. Obituaries
and legal notices are among the most accessed newspaper electronic archives. We
have recommended that the BDT obtain a merchant account of their own for
online transactions. Using this account along with additional specialized
application development the BDT can implement a paid access model. Searches
can be implemented for free with a fee of $1.95 for each article that is
downloaded. The overall audience for this particular product is untested. This
strategy will position the BDT as the information leader with an established value
for the electronic archives.
Competitive Analysis
The BDT will be establishing a value to its legacy data by charging for access to
the archives. At a fee of $1.95 per article the projected revenue is estimated at
$50-$100 per month. If the BDT chooses to move to a paid content model, the
archive feature would be available for free, driving additional circulation and
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value to the online product. The electronic legacy data that was produced and is
owned by the BDT is of inherent value to the community as well as researchers.
A negative effect of posting the data behind a password is that the amount of
traffic to the site will be minimized and search engines will be unable to ‘crawl’
through the data. Some libraries are offering access to their database offerings to
anyone with a library card. (Editor and Publisher, May 29, 2002)
When you combine the strength of all of the CNHI legacy data into one database
you strengthen all of the products implemented under this strategy.
“Go to Market” strategy
The Bluefield Daily Telegraph will partner with TownNews for implementation
of the archive strategy early in year two. TownNews will provide a search
interface for the site, all of the fees will be processed with the merchant account
set up at the BDT. The online department will retain the revenue and expenses
related to this strategy. This will be implemented at the end of year one or early
in year two. Legacy data from CNHI that is combined will give additional
opportunities for sales within each search. The fee for each article will be $1.95
with a price break for additional articles, 5 articles for $8.00. This feature will be
marketed online and through customer service at the newspaper.
TownNews can implement the archive search and access. The archive exists on a
server housed at TownNews and will need an interface built for search and pay
capabilities. The fee for this component would be approximately $200.
A corporate solution would tie all of the papers together. TownNews can
convert the data to XML when necessary for a fee of $100 per hour, a
programmer at the corporate level would be able to convert the data for less.
Once the content from each property exists in a standardized XML format,
searches can be made of the collective data. Each individual property will receive
the revenue from the legacy data they have posted.
Product Overview
Seven days of online content will be out from behind the password with a free
model, with the rest of the content protected for sale. With a paid online model,
none of the traditional newspaper content will be available for free, with the
exception of consideration for current obituaries. The archives will be featured
prominently on banner ads on the entrance to the web site and the archive page
will be coded in a search engine friendly manner. TownNews will serve as an
immediate vendor and strategic partner with this strategy falling under the
corporate umbrella as soon as possible. In order to move forward with this
strategy the site will need to be e-commerce enabled and a decision will need to
be made on whether or not to implement a paid model.
The following issues will need to be solved by the online manager as the strategy
for the BDT online paid archive version moves forward:
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•
•
•
•
•
•
Establish a pricing strategy
E-commerce enable the web site
Decide where the revenue/expenses will fall
Build a user search interface for the TownNews server
Build marketing tools
Implement the strategy and marketing tools
Marketing Strategy
The BDT Online archive will be positioned as a research tool. Marketing
objectives will include reaching users interested in genealogy or history research.
A banner for the archive should be placed in the history section of the online
edition that will be posted in the tourism/recreation area. ROP ads should be
produced and placed in the print edition as a compliment to the history question
and answer area. The projected audience for this strategy is relatively small; the
more important step the BDT is doing is protecting and adding value to the legacy
data.
Sales Strategy
Tile ads and banners will drive customers to the search archive. Promotional
filler ads for the archives will also appear in the print edition. Questions and
customer concerns will be handled by the customer service representatives in
circulation or by the online manager. Projected revenue for this strategy is low,
estimated number of articles sold per year is 150-200. Revenue generated would
be approximately $500-$600 per year. If the online strategy is converting the site
to a paid model, the archives would be a service of their paid subscription.
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Implementation Strategy
Synopsis:
This is a basic outline of the recommended timeline. Each strategy must be
accessed, prioritized and implemented based on the Bluefield Daily
Telegraph’s overall strategy. Each strategy has been assigned an aggressive
time frame which can be adjusted and includes components for successful
implementation.
Staffing Strategy
4 week timeline
Post ad
Interview
Hire
Training
YEAR ONE
Redesign Strategy
YEAR ONE
8 week timeline
Possible interruption for implementation of Content Strategy
Content evaluation
Decide on whether or not to implement xtQ extractor software
Punch list of requirements for improvements written
 Posting of feedback on story, not in separate area
 Improve Search capabilities
 Add photos
 Implement Celebrations
 Community Calendar
 In Tomorrow’s paper
Punch list of requirements for content components written
 History Corner
 ‘For the Record’
 Breaking news
Implement Content Components
Marketing plan developed
 Breaking news
 Improved search
 Public information
 Community calendar
 In tomorrow’s paper
 Content changes
 Celebrations
 Photos
Advertising areas evaluated
Punch list of requirements for advertising written
 Ad sizes
 Ad locations
 Ad inventory
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Advertising areas implemented
Advertising areas sold
Marketing plan implemented
Top Ads Strategy
YEAR ONE
2 weeks to implement-ongoing sales
Punch list of requirements for implementation written
Implement Online Solution
 Top Jobs
 Top Cars
 Top Homes
 Top Ads
Classified training
Production process reviewed
Sales
Banner Ad Sales
4 week time frame-ongoing
Review pricing
Evaluate inventory
Sales
YEAR ONE
Obituary Strategy
2 week timeline
Contact Legacy.com
Implementation schedule
Marketing plan developed
Raise fees
Marketing plan implemented
YEAR ONE
Classified Strategy
YEAR ONE
4-6 week timeline
Establish merchant account
Establish SSL
Increase ad cost
Training for classified staff
Punch list for requirements for implementation written
Program the ‘post your ad online’ component
Marketing plan developed
Place ad online
Top ADS program
Implement marketing plan
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Circulation Strategy
YEAR ONE
6 week timeline
Establish merchant account
Establish SSL—required for multiple strategies
Punch list of requirements for implementation written
Build forms
Training for circulation staff
Marketing plan developed
 Starts/stops
 pay bills online
 vacation stops
 donate to NIE program
Implement marketing plan
Registration Strategy
LATE YEAR ONE
4 week timeline
Punch list of requirements for implementation written
Build form
Conduct contest for entries for names
Sell advertising
Implement sales strategy
Real Estate Vertical Strategy
YEAR TWO
4-6 week timeline
Punch list of requirements for implementation written
TownNews software solution for reverse publishing solution
Implement online solution
TownNews component
Contact the MLS
TownNews in to work with realtors
Sales
Marketing plan
Implement print solution
Implement marketing plan
Auto Vertical Strategy
YEAR TWO
4-6 week timeline
Punch list of requirements for implementation written
TownNews software solution for reverse publishing solution
Implement online solution
TownNews component
Contact the auto dealers
Sales
Marketing plan
Implement print solution
Implement marketing plan
Tourism/Economic Development Strategy
YEAR TWO
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4-6 week timeline
Partner with COC and EDC
Content development
Implement TownNews tourism content
Gather content
Advertorials
Sell ads
Build the print piece
Build the online component
Marketing plan developed
Add history piece and talk back features
Production and distribution of printed piece
Implement marketing plan
Health Vertical Strategy
YEAR TWO
4 week timeline
Content development
Implement TownNews health content
Gather content to populate directory
Advertorials
Sell advertorials and directory listings
Marketing plan developed
Build the print piece
Build the online component
Production and distribution of printed piece
Implement marketing plan
Paid Online Strategy
EARLY YEAR TWO
8-12 week timeline
Make decision on implementation
Decision on implementation of xtQ extractor software
Punch list of plan for implementation written
Meet ABC compliancy requirements
Senior management support
Write letter to readers to post online
Post announcement online
Marketing plan developed
Train circulation customer service
Train front desk customer service
Implement marketing plan
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


Archive Strategy
Rack cards
Billboards
ROP
POP
Bill stuffers
LATE YEAR TWO
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4 week timeline
Convert legacy data
Implement TownNews search interface or build search interface
E-commerce enable site
Sales
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Vendor Recommendations
CareerBuilder
Ph.: 866-438-1485
CareerSite
Ph.: 888-314-5873
E-mail: [email protected]
Legacy.com
Contact: Kimberly Vander Velde - Director of Newspaper Affiliates
Ph.: (847) 570-4379
E-mail: [email protected]
TownNews
Contact: Diane Amato - East Region Accounts Executive
Ph.: 866-419-6890
E-mail: [email protected]
Whitlock Portals
Bill McInnis - Director of Sales
Ph.: 804-355-7112
E-mail: [email protected]
XTI (eXperience Technology Inc.)
Contact: James Mackintosh - VP Business Development
Ph.: 416-925-3164
E-mail: [email protected]
EZ Net Tools
Contact: Kip Nield, Sales Manager
Ph: 208-356-8361
E-mail: [email protected]
Devigal Design
Contact: Andrew Devigal
Web Consultant
www.divigal.com
Ph: 510-410-7172
E-mail: [email protected]
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Acknowledgements
We would like to acknowledge the following people and/or organization for providing us
with the research, information and assistance we needed to complete this business plan.
Special thanks goes to the Newspaper Association of America, especially MiChelle Duke
and Jackie Richardson for coordinating the logistics in the NAA New Media Fellowship
Program. Thanks also to the Bluefield Daily Telegraph staff for this opportunity to
provide them this plan. We’d also like to thank our mentor Kelly Dyer for her support
and assistance.
(In alphabetical order)
 AdsML
 Diane Amato, East Region Accounts Executive - TownNews
 Atlas Institute
 Audit Bureau of Circulation (ABC)
 Mike Blinder, President - The Blinder Group
 Bluefield Chamber of Commerce
 The Bluefield Daily Telegraph
 Bluefield Economic Development Council
 Rusty Coats, Director of New Media – MORI Research
 Community Newspaper Holdings, Inc. (CNHI)
 Andrew Devigal, Devigal Design
 MiChelle Duke – NAA
 Kelly Dyer, General Manager – NewsOK.com
 Howard I. Finberg, Poynter Institute
 Forrester Research
 Seth Godin, Vice President of Direct Marketing – Yahoo!
 Beth Harrell
 Interactive Advertising Bureau (IAB)
 Brian Kirlik, Vice President – Nando Media
 David Knight, Sales Director – Knight Ridder Digital
 James Mackintosh, VP Business Development - XTI (eXperience Technology Inc.)
 Bill McInnis, Director of Sales – Whitlock Portals
 Mercer County Board of Realtors
 MORI Research
 Jacob Neilson
 Newspaper Association of America
 Pew Internet & American Life Project
 Poynter Institute
 The Readership Institute
 Jackie Richardson – NAA
 Stacy Simonet, Circulation Director – Post Register
 Kimberly Vander Velde, Director of Newspaper Affiliates – Legacy.com
 World Association of Newspapers
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