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Why we invest in digital innovation- Editorial media and modern PR tools

Oslo, 19 April 2012

NHST is a Norwegian business media group...

NHST Media Group

Employees: 728 (2011)

Sales: NOK 1.18 billion (2011)

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…that has also built a global audience based on global coverage of industry news

Growing newspapers are complemented by online coverage

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Established MyNewsdesk in Norway 2010

• Modern PR services for companies to better share their information with key influencers

• Company founded in 2003• 2010 revenues: NOK 42M / 2011: NOK 64M, 7% margin• Headquartered in Stockholm with 7 offices in

Scandinavia, Singapore and UK• 23 800 Companies from 30 countries using the services• >1 Million visitors monthly, including 24 000 registered

journalists, bloggers and other influencers registered with contact information to a further 800 000 press contacts. 

• Ranked an important media source with Pagerank 7 by Google

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2010 2011 20120

1000000

2000000

3000000

4000000

5000000

6000000

7000000

8000000

Revenues Mynewsdesk Norge

40 000 communicators use Mynewsdesk

Why did NHST as an editorial media group buy into MyNewsdesk?

• We took a majority stake in MyNewsdesk in 2008 (with the founders continuing to own the rest)

• What motivated a traditional editorial business news organization to buy into a PR technology business?

• Short answer: Because the world of news and information is changing and we needed to supplement our toolkit to secure our future position in that world

• Slighly longer answer:1) Changing ecology of news consumption2) Changing ecology of news production3) Money

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1) Ecology of news consumption is changing

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Editorial organisations

News Consumers

Online

Mobile

Tablets

Print Radio TV

News

1) Ecology of news consumption is changing

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Editorial organisations

News Consumers

News

Companies

BloggersAnyone with a

camera

Organisations

Print Radio TV

Online

Mobile

TabletsMyNews

desk

Website/ Blog

You Tube

TwitterFace-book

Google search

2) Changing ecology of news production is a result

• The social media revolution means editorial organisations have to change.

• A large share of the news flow is no longer under editorial control, but posted straight to non-editorial channels– The latest eyewitness report on developments in Damascus on Twitter– Information from a company about their latest deal or product model

• Whilst this development makes lazy editorial work redundant it provides great new opportunities for quality journalism.

• Less editorial resource and space will in the future be dedicated to simply rewiring information that is already effectively and extensively distributed through non-editorial channels.

• Instead, successful editorial organisations are learning to co-exist and play a value-adding role alongside and in interaction with the direct and social media channels

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Editorial media interact with social media

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Editorial organisations

News Consumers

MyNewsdesk

News

Companies

BloggersAnyone with a

camera

Organisations

Print Radio TV

Online

Mobile

Tablets

Website/ Blog

You Tube

TwitterFace-book

Google search

Implications of changing news production to those with a message

• Primary distribution of news is increasingly in your own hands as editorial media has to focus on where they can add most value

• Communicating in social media is about maintaining a continuing dialogue with your stakeholders / readers

• That may (should?) have significant implications to how you think about media strategies.

• Services such as MyNewsdesk help organisations and companies present their own version of the story straight to their stakeholders, whilst providing an effective channel to keep interested editorial media up to date.

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3) The money: MyNewsdesk is a profitable business and a good hedge

• MyNewsdesk is something as unusual as a cloud web business that is making money whilst growing rapidly – and we think it it is just a start...

• We have every confidence that there will remain a future market for quality editorial content of the kind provided by our publications, independent of the method of distribution

• Yet, MyNewsdesk provides us with a further avenue of growth that is not reliant on traditional subscription income and advertising revenues

• A business model based on providing a relatively low-cost platform for organisations and communication professionals to get their message out

– The type of service MyNewsdesk provide is increasingly necessary for anyone who wants to be heard

• Having a third leg like that can’t be a bad thing in an industry that is as fast changing and uncertain as ours...

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