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Wednesday, November 30, 2011
Urgent: Hillkirk is out as top editor at USA Today
Following is a memo USA Today General Manager Susie Ellwood just distributed to employees of the nation's No. 1 print daily and Gannett's most visible brand. Her reference in the second paragraph is to Dave Hunke. Both Hunke and John Hillkirk have held their jobs since April 2009.
From: USA Today Executive VP and GM
Sent: Wednesday, November 30, 2011 12:01 PM
Subject: Announcement
As many of you know, John Hillkirk’s passion for watchdog journalism runs deep. John, Dave and I have agreed that this is a good time to make a change in his role and he has expressed a desire to return to what he loves most about journalism, which is being engaged in the day to day creation of investigative journalism that has a positive impact on people and communities.
Today, John has been named the senior editor for investigative journalism and national enterprise reporting for USA Today. John will bring intelligence, analytical thinking, and his deep knowledge about business and how Washington works to one of the most critical areas of reporting for USA Today. He was the leading force behind the formation of our investigative unit so it’s fitting that he’ll now assume oversight of the investigative reporting team.
I know we are all excited about what John can bring to this important area of coverage for USA Today. We greatly appreciate John’s good work over the last 30 years, especially the last two years as editor during this critical transformation phase.
We will begin a national search immediately for an Editor-in-Chief for USA Today. In the interim, Executive Editor Susan Weiss will take over direction of the newsroom. Her focus will be on enhancing our capacity to deliver breaking news and coverage that engages our audiences across all of our platforms on a 24/7 basis.
In addition, Lee Horwich is being named Deputy Content Editor, overseeing Federal/Politics/Economics, and the Investigative Team. This will give us more management bandwidth and support our efforts to expand 24/7 coverage. It also allows him to continue oversight of our election plans, extremely crucial over the next 12 months, and to work with John and the investigative team on watchdog journalism.
We’ll count on you to pull together and continue to be the most innovative and preferred source of news and information that Americans know and trust.
Susie
From: USA Today Executive VP and GM
Sent: Wednesday, November 30, 2011 12:01 PM
Subject: Announcement
As many of you know, John Hillkirk’s passion for watchdog journalism runs deep. John, Dave and I have agreed that this is a good time to make a change in his role and he has expressed a desire to return to what he loves most about journalism, which is being engaged in the day to day creation of investigative journalism that has a positive impact on people and communities.
 |
| Hillkirk |
I know we are all excited about what John can bring to this important area of coverage for USA Today. We greatly appreciate John’s good work over the last 30 years, especially the last two years as editor during this critical transformation phase.
We will begin a national search immediately for an Editor-in-Chief for USA Today. In the interim, Executive Editor Susan Weiss will take over direction of the newsroom. Her focus will be on enhancing our capacity to deliver breaking news and coverage that engages our audiences across all of our platforms on a 24/7 basis.
In addition, Lee Horwich is being named Deputy Content Editor, overseeing Federal/Politics/Economics, and the Investigative Team. This will give us more management bandwidth and support our efforts to expand 24/7 coverage. It also allows him to continue oversight of our election plans, extremely crucial over the next 12 months, and to work with John and the investigative team on watchdog journalism.
We’ll count on you to pull together and continue to be the most innovative and preferred source of news and information that Americans know and trust.
Susie
USAT | Rudd Davis to head new Travel Media Group
[Updated at 3:12 p.m. ET.] Rudd Davis, USA Today's vice president of business development since August 2010, has just been made president of the newly-created USA Today Travel Media Group.
In a statement, the newspaper said: "Davis will direct the overall strategy and implementation of business tactics with USA Today's travel partners, offering the on-the-go audience a broader array of information, products and services as USA Today diversifies its business focus. He will be based in Los Angeles."
USAT didn't say whether Davis' business development post would be filled.
Prior to joining USAT, Davis, 31, was the founder and CEO of action sports site BNQT, which Gannett bought in January 2008.
My earlier post: USA Today has hired another vice president: Bill Cronin, a MasterCard executive, will be VP of marketing, responsible for overseeing strategic marketing, events, special projects, creative and project management, the newspaper said today.
It appears Cronin is taking the job held by Ed Cassidy, a longtime USAT employee whose July dismissal angered many Gannett Blog readers.
Cronin will be based at headquarters in McLean, Va., and report to Sandra Micek, senior vice president of marketing.
For those of you keeping track, Cronin joins Micek as at least the 21st senior executive hired or promoted since Publisher Dave Hunke reorganized the paper in summer 2010:
 |
| Davis |
USAT didn't say whether Davis' business development post would be filled.
Prior to joining USAT, Davis, 31, was the founder and CEO of action sports site BNQT, which Gannett bought in January 2008.
My earlier post: USA Today has hired another vice president: Bill Cronin, a MasterCard executive, will be VP of marketing, responsible for overseeing strategic marketing, events, special projects, creative and project management, the newspaper said today.
Cronin will be based at headquarters in McLean, Va., and report to Sandra Micek, senior vice president of marketing.
For those of you keeping track, Cronin joins Micek as at least the 21st senior executive hired or promoted since Publisher Dave Hunke reorganized the paper in summer 2010:
- Maureen Consavage, VP of advertising/New York
- Mark Pesavento, VP of content, Sports Media Group
- Peter Lazarus, senior VP, head of multimedia sales, for the Sports Media Group
- Dave Morgan, senior VP of content, Sports Media Group
- Laura Del Greco to the new position of VP of client solutions
- Scott Singer, to the new position of VP of business innovation
- Micek
- Christine Allegro, general manager of the Your Life vertical
- Susie Ellwood, newly created position of executive vice president and general manager
- Tom Beusse, to the newly created position of president of the Sports Media Group
- Jeffrey Wilks, to the newly created position of SVP of brand marketing; he lasted just seven months
- Denise Brodey, newly created post of general manager of Your Life vertical; she lasted just six months
- Jeff Dionise, newly created VP of product development and design
- Heather Frank, newly created VP of vertical development
- Steve Kurtz, newly created VP of digital development
- Ross Schaufelberger, newly created VP and general manager of the new USA Today Sports
- Rudd Davis, VP of a new position, business development
- Brad Jones, SVP of circulation
- Myron Maslowsky, SVP, group finance and administration
- Susan Motiff, VP for strategic planning, analysis and support
Will Martore share the furlough pain this time?
The top bosses of the U.S. newspapers division and Gannett Publishing Services will both take a one-week unpaid furlough during the first quarter, based on the criteria they laid out in today's memo to employees.
But what about CEO Gracia Martore? Her name is conspicuously absent from a memo and FAQ that were no doubt vetted closely by lawyers and others before they were released.
When newspapers division President Bob Dickey announced the last big furlough, in January, he said in a memo: "I will be taking a furlough during the quarter and Craig Dubow and Gracia Martore each will be taking a reduction of salary that is equivalent to a week’s furlough."
Maybe Martore is, in fact, joining the other 99% in reducing her pay by an amount equivalent to a week's furlough; that detail just didn't make today's communiqués. Or perhaps Martore didn't feel she needed to, since she already declined a raise when she was promoted to CEO last month.
It's a long shot, but maybe Corporate will weigh in on this. Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.
 |
| Martore |
When newspapers division President Bob Dickey announced the last big furlough, in January, he said in a memo: "I will be taking a furlough during the quarter and Craig Dubow and Gracia Martore each will be taking a reduction of salary that is equivalent to a week’s furlough."
Maybe Martore is, in fact, joining the other 99% in reducing her pay by an amount equivalent to a week's furlough; that detail just didn't make today's communiqués. Or perhaps Martore didn't feel she needed to, since she already declined a raise when she was promoted to CEO last month.
It's a long shot, but maybe Corporate will weigh in on this. Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.
Tuesday, November 29, 2011
Nov. 28-Dec. 4 | Your News & Comments: Part 2
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As corporate cultures clash, feathers get ruffled
[Screenshot of BNQT mobile site before photos disappeared]
Turns out that a USA Today subsidiary's "Poca-Hotness" photo gallery of nearly naked women may have been too hot for Gannett.
BNQT, an action sports subsidiary aimed at men, took down a series of photo galleries today that included one featuring women barely dressed as Native American "princesses." Other galleries that disappeared were devoted to "Cyber Monday Hotties" and "Thanksgiving Kitchen Hotties."
Links I posted here that once led to the galleries now take readers to a photo page with a brief message saying only, "unknown photo album."
The situation illustrates the challenges for a G-rated media company when it absorbs one publishing NC-17 material.
Of course, the reverse is also true: BNQT, founded by Rudd Davis -- now a senior USAT executive -- risked being homogenized when it was merged into the 105-year-old Gannett, an old-line newspaper publisher that doesn't want to offend a family-friendly audience.
This screenshot shows a now-missing photo from the Cyber Monday gallery:
Sponsors | This just in: $20 in gifts from readers
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Bulletin: First-quarter furloughs just announced; unpaid time off will be fifth big round since '09
As expected, Gannett just announced another round of unpaid first-quarter furloughs for most of its employees, the fifth such round imposed on the workforce over the past three years.
This will be the fourth consecutive time they've fallen in the first quarter, suggesting the company is now locked in a cycle of early-year furloughs as it struggles to deal with continued revenue declines.
The move was disclosed by the chief executives of the U.S. Community Publishing newspaper division and the recently created Gannett Publishing Services, which handles printing and distribution. "The furloughs will impact most USCP and GPS employees. However there is a minimum salary level set for implementation,'' Bob Dickey and Evan Ray said in a memo to employees.
The two divisions are believed to employ more than 20,000 of GCI's more than 30,000 global workers.
Furloughs have saved the company a combined $67 million since 2009, according to filings with federal securities regulators. (See chart, left.)
Dickey's $600K bonus
But the latest round is certain to renew anger over multimillion-dollar bonuses to Dickey and other top executives in recent years, awards that have eaten into the furlough savings and drawn sharp criticism in the national press.
Dickey, for example, got paid $3.4 million last year, including a $600,000 cash bonus. His total compensation jumped from $1.9 million in 2009.
Then, last month, CEO Craig Dubow resigned for medical reasons, taking with him a retirement and disability payout estimated at $37.1 million.
This year's first-quarter furlough was imposed widely across the newspaper division. But there were two more, in the second and third quarter, that were limited to about 1,000 highly paid division employees.
Today's announcement comes amid speculation among Gannet Blog readers that GCI may soon order more layoffs. The furlough memo didn't address that possibility. Rather, it said: "Furloughs . . . are the best option for USCP and GPS to help manage their costs in this uncertain business climate and to help us mitigate other cost reduction strategies."
Text of memo
Nov. 29, 2011
To: All US Community Publishing (USCP) and Gannett Publishing Services (GPS) employees
From: USCP President Bob Dickey and GPS President Evan Ray
This year we’ve made great strides in enhancing the ways we meet the needs of our consumers and business customers. We continue to adapt, evolve and redefine who we are and what we do to help propel the company forward. It is greatly appreciated by the entire management team.
However, we are all acutely aware the economy is not improving as quickly or as strongly as we wish and companies across America, and globally too, have had to respond to a difficult economic environment.
We need to continue managing costs and lowering expenses to align with revenue and invest in future growth opportunities. While USCP has been successful in finding new digital opportunities and building digital revenue -- which has been one of our primary goals -- this growth has not offset lagging revenue from some of our more traditional USCP advertisers. Those advertisers remain good, loyal customers of ours but their businesses are under pressure because of the economy and they have continued to reduce their spending.
Because of these challenges, USCP and GPS will institute furloughs generally beginning first quarter of 2012, ending Sunday, March 25. A small number of sites will have a different furlough calendar because of the seasonality of their markets.
Furloughs are difficult and Gannett’s management team does not take this action lightly. All of Gannett’s divisions are approaching these economic challenges in their own ways. Furloughs -- however -- are the best option for USCP and GPS to help manage their costs in this uncertain business climate and to help us mitigate other cost reduction strategies.
The furloughs will impact most USCP and GPS employees. However there is a minimum salary level set for implementation. Your supervisor or Human Resources partner will notify you if you will be impacted by this furlough. We are letting you know as quickly as the decision was made so that you can make plans as needed.
Non-union USCP and GPS employees in certain income brackets will be furloughed for five business days during the specified furlough time period. We will ask union representatives for their support of the furloughs as well. Exempt, salaried employees in certain income brackets must take one full payroll week within the pay period. Sales people and non-exempt, hourly employees in certain income brackets will also take five days at any pre-approved time -- although the days do not need to be consecutive. The attached FAQ should answer questions you may have.
We appreciate that everyone at the local level is focused on driving top line revenue growth. Please continue to support these efforts anyway you can. Your efforts are reshaping our division, our industry and our company as we steer through challenging times. Keep up the good work and we’ll keep building the future of our business together.
As always, please feel free to email us with any questions or ideas.
Regards,
Bob (rdickey@gannett.com) and Evan (eray@gannett.com)
This will be the fourth consecutive time they've fallen in the first quarter, suggesting the company is now locked in a cycle of early-year furloughs as it struggles to deal with continued revenue declines.
 |
| Dickey |
The two divisions are believed to employ more than 20,000 of GCI's more than 30,000 global workers.
Dickey's $600K bonus
But the latest round is certain to renew anger over multimillion-dollar bonuses to Dickey and other top executives in recent years, awards that have eaten into the furlough savings and drawn sharp criticism in the national press.
Dickey, for example, got paid $3.4 million last year, including a $600,000 cash bonus. His total compensation jumped from $1.9 million in 2009.
Then, last month, CEO Craig Dubow resigned for medical reasons, taking with him a retirement and disability payout estimated at $37.1 million.
This year's first-quarter furlough was imposed widely across the newspaper division. But there were two more, in the second and third quarter, that were limited to about 1,000 highly paid division employees.
Today's announcement comes amid speculation among Gannet Blog readers that GCI may soon order more layoffs. The furlough memo didn't address that possibility. Rather, it said: "Furloughs . . . are the best option for USCP and GPS to help manage their costs in this uncertain business climate and to help us mitigate other cost reduction strategies."
Text of memo
Nov. 29, 2011
To: All US Community Publishing (USCP) and Gannett Publishing Services (GPS) employees
From: USCP President Bob Dickey and GPS President Evan Ray
This year we’ve made great strides in enhancing the ways we meet the needs of our consumers and business customers. We continue to adapt, evolve and redefine who we are and what we do to help propel the company forward. It is greatly appreciated by the entire management team.
However, we are all acutely aware the economy is not improving as quickly or as strongly as we wish and companies across America, and globally too, have had to respond to a difficult economic environment.
We need to continue managing costs and lowering expenses to align with revenue and invest in future growth opportunities. While USCP has been successful in finding new digital opportunities and building digital revenue -- which has been one of our primary goals -- this growth has not offset lagging revenue from some of our more traditional USCP advertisers. Those advertisers remain good, loyal customers of ours but their businesses are under pressure because of the economy and they have continued to reduce their spending.
Because of these challenges, USCP and GPS will institute furloughs generally beginning first quarter of 2012, ending Sunday, March 25. A small number of sites will have a different furlough calendar because of the seasonality of their markets.
Furloughs are difficult and Gannett’s management team does not take this action lightly. All of Gannett’s divisions are approaching these economic challenges in their own ways. Furloughs -- however -- are the best option for USCP and GPS to help manage their costs in this uncertain business climate and to help us mitigate other cost reduction strategies.
The furloughs will impact most USCP and GPS employees. However there is a minimum salary level set for implementation. Your supervisor or Human Resources partner will notify you if you will be impacted by this furlough. We are letting you know as quickly as the decision was made so that you can make plans as needed.
Non-union USCP and GPS employees in certain income brackets will be furloughed for five business days during the specified furlough time period. We will ask union representatives for their support of the furloughs as well. Exempt, salaried employees in certain income brackets must take one full payroll week within the pay period. Sales people and non-exempt, hourly employees in certain income brackets will also take five days at any pre-approved time -- although the days do not need to be consecutive. The attached FAQ should answer questions you may have.
We appreciate that everyone at the local level is focused on driving top line revenue growth. Please continue to support these efforts anyway you can. Your efforts are reshaping our division, our industry and our company as we steer through challenging times. Keep up the good work and we’ll keep building the future of our business together.
As always, please feel free to email us with any questions or ideas.
Regards,
Bob (rdickey@gannett.com) and Evan (eray@gannett.com)
Indy | GCI adds 108 jobs; losses elsewhere unclear
In a three-paragraph story that reads like a press release right out of Corporate, The Indianapolis Star says today that Gannett plans to hire 108 employees in the area for existing divisions that serve other GCI newspapers.
The un-bylined story doesn't disclose the source of the jobs, which almost certainly are coming from elsewhere across GCI. Indeed, given recent consolidation efforts, the jobs added in Indianapolis and nearby Fishers will result in a greater job loss across GCI.
The Star says the jobs will be for the Gannett Imaging and Design Center, which produce advertising artwork and tones photos; the Digital Employment Sales Center, which handles help-wanted ads; and the National Shared Service Center, which provides financial services such as accounts payable for other papers.
The new hires will raise GCI employment in the metro area to 1,100 people, 10% more than in 2007, the Star says. Those figures are puzzling, however. In 2008, the Star alone employed close to 1,400, according to GCI records from that time.
Big tax breaks in 2008
GCI had 32,600 employees worldwide at the end of last year, according to the latest published reports. That was down a whopping 29% from 2007 -- the period measured by the Star.
In 2008, when GCI said it planned to add up to 200 jobs at the Indianapolis finance center, the Star reported the company could reap up to $935,000 in tax credits and other state benefits. Today's story doesn't mention any promised tax breaks or other giveaways, however.
The Indianapolis Business Journal, which published its own report on the new hires, said Publisher Karen Crotchfelt was out of town and unavailable to comment on specifics of the local jobs plan.
GCI also has an Imaging and Design Center in Des Moines. And it was to have a second finance center in Springfield, Mo., under a plan disclosed in 2008.
The Star says the jobs will be for the Gannett Imaging and Design Center, which produce advertising artwork and tones photos; the Digital Employment Sales Center, which handles help-wanted ads; and the National Shared Service Center, which provides financial services such as accounts payable for other papers.
The new hires will raise GCI employment in the metro area to 1,100 people, 10% more than in 2007, the Star says. Those figures are puzzling, however. In 2008, the Star alone employed close to 1,400, according to GCI records from that time.
Big tax breaks in 2008
GCI had 32,600 employees worldwide at the end of last year, according to the latest published reports. That was down a whopping 29% from 2007 -- the period measured by the Star.
In 2008, when GCI said it planned to add up to 200 jobs at the Indianapolis finance center, the Star reported the company could reap up to $935,000 in tax credits and other state benefits. Today's story doesn't mention any promised tax breaks or other giveaways, however.
The Indianapolis Business Journal, which published its own report on the new hires, said Publisher Karen Crotchfelt was out of town and unavailable to comment on specifics of the local jobs plan.
GCI also has an Imaging and Design Center in Des Moines. And it was to have a second finance center in Springfield, Mo., under a plan disclosed in 2008.
Ups 'n' downs: Facebook's offering vs. Groupon's
From a Wall Street Journal story in today's edition:
Inching closer to an initial public offering, Facebook is now targeting a time frame of April to June 2012, said people familiar with the matter.
The social network is exploring raising $10 billion in its IPO -- what would be one of the largest offerings ever -- in a deal that might assign the company a $100 billion valuation, a number greater than twice that of such stalwarts as Hewlett-Packard and 3M Co. (Gannett is valued at $2.5 billion.)
But Facebook could be heading for a nervous market. The most recent IPO, an $805 million float of discount-deal service Groupon on Nov. 3, has plummeted 42% in stock price in the past five trading days after surging in its first day of trading.
Groupon's investor retreat comes as GCI expands its DealChicken coupon site to 50 U.S. markets.
Inching closer to an initial public offering, Facebook is now targeting a time frame of April to June 2012, said people familiar with the matter.
Groupon's investor retreat comes as GCI expands its DealChicken coupon site to 50 U.S. markets.
Amid layoffs, media companies 'speak no evil'
Writer Paul Farhi, who also is a Washington Post reporter, includes Gannett in his examples. He writes: "Jim Hopkins, whose Gannett Blog tracks the nation's largest newspaper chain, says the newspaper industry has become rife with 'stealthy layoffs' -- cutbacks that are never reported."
Your Corporate brand identity system at work
[Updated at 3:22 p.m. ET from my iPhone. Readers are now reporting that these photo galleries have been taken down. It would be interesting to know who made that call.]
My original post: I doubt Corporate anticipated this "Thanksgiving Kitchen Hotties" photo gallery last spring, when it required the company's brand name appear on all Gannett properties.
The gallery was published by USA Today's action-sports subsidiary BNQT. In the following screenshot, my arrow points to the phrase "A Gannett Company," just below the site's logo.
One of my readers flagged the photo gallery yesterday. You can see it here -- but it's most definitely NOT SAFE FOR WORK!
BNQT (pronounced like its full name, "Banquet") has clearly gotten the memo on diversity in news coverage. Consider its Native American-inspired "gallery of Poca-Hotness."
The site is part of the fast-growing USA Today Sports Media Group. Gannett bought the company in January 2008. At the time, then-Publisher Craig Moon said: "USA Today's acquisition of Banquet is another example of the innovative ways we are trying to diversify our audience."
My original post: I doubt Corporate anticipated this "Thanksgiving Kitchen Hotties" photo gallery last spring, when it required the company's brand name appear on all Gannett properties.
The gallery was published by USA Today's action-sports subsidiary BNQT. In the following screenshot, my arrow points to the phrase "A Gannett Company," just below the site's logo.
BNQT (pronounced like its full name, "Banquet") has clearly gotten the memo on diversity in news coverage. Consider its Native American-inspired "gallery of Poca-Hotness."
The site is part of the fast-growing USA Today Sports Media Group. Gannett bought the company in January 2008. At the time, then-Publisher Craig Moon said: "USA Today's acquisition of Banquet is another example of the innovative ways we are trying to diversify our audience."
Sponsors | From Colo., Mich., and N.Y.: $48
- Reader donations: $534
- Advertising: $1,602
Monday, November 28, 2011
Nov. 28-Dec. 4 | Your News & Comments: Part 1
Can't find the right spot for your comment? Post it here, in this open forum. Real Time Comments: parked here, 24/7. (Earlier editions.)
USAT | At Sports Media Group, vertical or silo?
Sports has long been the most valuable franchise at Gannett's most visible brand: USA Today. Now, it's fueling a management hiring spree at the USA Today Sports Media Group, one that comes amid a pricey swelling of the overall executive ranks.
The latest hires, disclosed only yesterday, suggest the Media Group is threatening to become a giant silo within the GCI organizational structure generally, and USAT in particular.
Silos, it's worth remembering, were supposed to be banished long ago out of fear they inhibit communication and cooperation across departments. They were identified as a major cause of USAT's Jack Kelley scandal seven years ago.
The Sports Media Group is led by the presumably well-paid President Tom Beusse, whose January appointment handed him business and strategy oversight for national sports initiatives across USAT, as well as GCI's other 81 U.S. dailies; 23 TV stations; and subsidiaries HighSchoolSports.net and action sports site BNQT.
Beusse reports to USAT Publisher Dave Hunke. And Hunke reports to GCI CEO Gracia Martore.
The Media Group silo lurched higher with more recent editorial appointments and business deals.
A former Yahoo executive -- Dave Morgan -- was hired last month into a new position: senior vice president of content and editor-in-chief. Oddly, the press release announcing his hiring didn't detail any of his responsibilities.
Then, in a memo yesterday, Morgan said two more Yahoo sports executives were joining the Media Group, effective today:
Silos vs. verticals
The Sports Media Group was designed to be a super vertical in last year's USAT reorganization. Verticals are subject-specific web operations designed to more closely align advertising and editorial.
But they look an awful lot like the USAT editorial silos that the exhaustive 2004 Kelley Report sharply criticized.
"Lines of communication running both horizontally and vertically among the sections (or 'silos') at the newspaper are palpably defective,'' the report said. "USA Today operates more as four separate newspapers in four separate 'silos' (some staffers used the word 'fiefdoms') than a single publication. Communications deficiencies promote turf problems among departments."
Whether it's a silo or a vertical, the Media Group's growth raises a number of questions.
What does it mean for USAT's traditional sports department, and those at the other 81 dailies and the 23 TV stations? Do sports editors there continue to report to their executive editors and news directors?
Or do they now fall under Beusse's operation, eventually and effectively making the Media Group a mammoth new operating unit within the whole of GCI?
The latest hires, disclosed only yesterday, suggest the Media Group is threatening to become a giant silo within the GCI organizational structure generally, and USAT in particular.
Silos, it's worth remembering, were supposed to be banished long ago out of fear they inhibit communication and cooperation across departments. They were identified as a major cause of USAT's Jack Kelley scandal seven years ago.
 |
| Beusse |
Beusse reports to USAT Publisher Dave Hunke. And Hunke reports to GCI CEO Gracia Martore.
 |
| Morgan |
Then, in a memo yesterday, Morgan said two more Yahoo sports executives were joining the Media Group, effective today:
- Mark Pesavento will be vice president of content, "overseeing broad areas of concentration in news, editorial, blogs, video and photo in addition to shaping our digital needs and execution."
- Gerry Ahern was named director of news content, "a broad network role encompassing core properties (USA Today, Sports Weekly, HighSchoolSports.net, Gannett dailies and Gannett TV) and core elements of reporting, enterprise, investigations and columns."
Beusse's domain has also bulked up with the purchase of two companies: US Presswire, a syndicator of sports photography, and mixed martial arts site MMAjunkie.
The Sports Media Group was designed to be a super vertical in last year's USAT reorganization. Verticals are subject-specific web operations designed to more closely align advertising and editorial.
But they look an awful lot like the USAT editorial silos that the exhaustive 2004 Kelley Report sharply criticized.
"Lines of communication running both horizontally and vertically among the sections (or 'silos') at the newspaper are palpably defective,'' the report said. "USA Today operates more as four separate newspapers in four separate 'silos' (some staffers used the word 'fiefdoms') than a single publication. Communications deficiencies promote turf problems among departments."
Whether it's a silo or a vertical, the Media Group's growth raises a number of questions.
What does it mean for USAT's traditional sports department, and those at the other 81 dailies and the 23 TV stations? Do sports editors there continue to report to their executive editors and news directors?
Or do they now fall under Beusse's operation, eventually and effectively making the Media Group a mammoth new operating unit within the whole of GCI?
USAT | With quotes, it's déjà vu all over again
Companies routinely massage quotes in press releases to make sure senior executives stay on message. What follows is an updated version of a post I wrote in August about newly named USA Today executives. The latest was announced today.
-- Maureen Consavage, in a press release today, on being promoted to vice president of advertising/New York, at what's now being called USA Today Media Group. Consavage replaces one of the advertising VPs let go two weeks ago.
-- Laura Del Greco, Aug. 29, on her appointment to the newly created position of vice president of client solutions.
-- Sandra Micek, June 20, on being named senior vice president for marketing.
"USA Today is an iconic brand with a heritage of innovation. I'm looking forward to being part of this dynamic team, providing our clients with engaging solutions across all our platforms."
-- Maureen Consavage, in a press release today, on being promoted to vice president of advertising/New York, at what's now being called USA Today Media Group. Consavage replaces one of the advertising VPs let go two weeks ago.
"USA Today is an iconic brand. . . . I’m looking forward to being part of this dynamic team committed to providing consumers with the best news and information anytime, anywhere."
-- Laura Del Greco, Aug. 29, on her appointment to the newly created position of vice president of client solutions.
"As one of the leading multiplatform media organizations in America, USA Today is focused on growing its iconic brand and I am looking forward to leading that effort."
-- Sandra Micek, June 20, on being named senior vice president for marketing.
Five newspapers, five paragraphs -- one good story
2. Spurred by aggressive promotions from retailers, American consumers opened their wallets over the holiday weekend in a way they had not since before the recession, setting records in sales and traffic.
3. Retail sales broke records during the Thanksgiving weekend, giving a needed boost to a long-suffering economy and raising retailers' hopes for the best holiday shopping season ever.
4. Retailers were cheered that their mix of deep discounts, early openings and website investment produced a strong start to the holiday season. Now, they're plotting more price cuts to keep wary consumers interested for the rest of the key retailing period.
5. Shoppers lured by deep discounts and early store openings sent sales over the four days starting on Thanksgiving soaring 16.7% over the same period a year ago to $52.4 billion, according to the National Retail Federation.
(Identities of the papers are revealed in the first comment, below.)
Which opening paragraph do you like best? Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.
Sunday, November 27, 2011
Nov. 21-27 | Your News & Comments: Part 5
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New York mag: 'Huffington will not be defeated'
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| Huffington |
Related: Charlie Rose interviews Huffington and Tim Armstrong, whose AOL bought The Huffington Post for $315 million in February.
Advertising | What banner ad do you see now?
Some of you may not know that advertisements served by Google's AdSense program to Gannett Blog are targeted toward individual reader demographics, as well as the content they're seeing. That's a reflection of how finely-tuned advertising has become across the Internet.
For example, I've recently been seeing display ads at the top of this site for Atlantis, a Los Angeles company that charters cruises for gay tourists. (Screen shot, below.)
What ad are you seeing in the top banner position right now?
Related: How to fine tune the ads you see on this site and elsewhere.
Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.
For example, I've recently been seeing display ads at the top of this site for Atlantis, a Los Angeles company that charters cruises for gay tourists. (Screen shot, below.)
What ad are you seeing in the top banner position right now?
Related: How to fine tune the ads you see on this site and elsewhere.
Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.
Cincy | Washburn on move to Facebook comments
In a column today, Cincinnati Enquirer Editor Carolyn Washburn reprises what Gannett has said in the past -- Facebook-driven commenting will help reduce the number of nasty posts by encouraging more readers to post under their real names.
She also acknowledges, indirectly, that GCI has lagged the industry in moving to Facebook, writing: "We watched as a couple of news organizations in the industry experimented with it and had good results."
The Enquirer will switch to Facebook a week from tomorrow, Washburn says. GCI disclosed its network-wide shift to Facebook at the end of October.
Related: the Enquirer's 10 frequently asked questions about Facebook comments.
 |
| Washburn |
The Enquirer will switch to Facebook a week from tomorrow, Washburn says. GCI disclosed its network-wide shift to Facebook at the end of October.
Related: the Enquirer's 10 frequently asked questions about Facebook comments.
Sheboygan | A belated goodbye to really Big Iron; dismantling press adds to shift away from printing
In its latest move toward an all-digital future, Gannett is dismantling the 188-ton Goss 5-Unit Anti-Friction press that printed The Sheboygan Press from 1956 until 1998, when printing moved to its sister paper at Fond du Lac. The remains are headed for the scrap heap, the Press says today in a story.
Fitting for the subject, the Press posted an abbreviated version of the story online, directing readers to a longer one in the print edition. Today's front page is dominated by a 1965 photo of the beast.
GCI has been winding down its printing operations for years now. By the end of last year, 68% of the company's U.S. community newspapers had outsourced printing to commercial printers or to other GCI and non-GCI papers, according to GCI's annual report to securities regulators. (In addition, 54% of the papers were being designed and paginated at centralized editing hubs, the report says.)
The report continues: "In the case of USA Today, 20 non-GCI printers were used to print the newspaper in U.S. markets where there are no company publishing sites with appropriate facilities. Non-GCI printers in 11 foreign countries publish and distribute an international edition of USAT under a royalty agreement. USA Weekend, Clipper Magazine and Gannett Healthcare Group are also printed under contracts with commercial printing companies."
GCI's commercial printing revenue, including from Gannett Offset, totaled about $254 million last year, down 2% from the year before and way down from $348 million in 2008. That was mostly due to due to "generally lower commercial printing revenue in the U.S. and U.K. and from the sale of a U.K. commercial printing business early in the third quarter of 2009."
Two months ago, GCI folded its printing operations into a large new division -- Gannett Publishing Services -- that also includes distribution and advertising artwork production and photo toning services.
GCI has been winding down its printing operations for years now. By the end of last year, 68% of the company's U.S. community newspapers had outsourced printing to commercial printers or to other GCI and non-GCI papers, according to GCI's annual report to securities regulators. (In addition, 54% of the papers were being designed and paginated at centralized editing hubs, the report says.)
The report continues: "In the case of USA Today, 20 non-GCI printers were used to print the newspaper in U.S. markets where there are no company publishing sites with appropriate facilities. Non-GCI printers in 11 foreign countries publish and distribute an international edition of USAT under a royalty agreement. USA Weekend, Clipper Magazine and Gannett Healthcare Group are also printed under contracts with commercial printing companies."
GCI's commercial printing revenue, including from Gannett Offset, totaled about $254 million last year, down 2% from the year before and way down from $348 million in 2008. That was mostly due to due to "generally lower commercial printing revenue in the U.S. and U.K. and from the sale of a U.K. commercial printing business early in the third quarter of 2009."
Two months ago, GCI folded its printing operations into a large new division -- Gannett Publishing Services -- that also includes distribution and advertising artwork production and photo toning services.
Saturday, November 26, 2011
Nov. 21-27 | Your News & Comments: Part 4
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Friday, November 25, 2011
Cincy | Post-layoffs, Washburn urges 'unique role'
From a recent post on the Knight Digital Media Center's news leadership blog:
As local news organizations have shed a third to half of their newsroom staffs, a fundamental new reality has dawned: Local news organizations can no longer be general news sources in either print or online.
Instead they must reassess their place in the information ecology and hone their mission, according to Carolyn Washburn, the top editor at The Cincinnati Enquirer since January.
"We think all the time about what our unique role is and what we can get from the community," she says. "This has raised the bar for our journalists, because they need to provide things that are more unique. Incredible storytelling. More investigative work. More data-driven journalism."
As local news organizations have shed a third to half of their newsroom staffs, a fundamental new reality has dawned: Local news organizations can no longer be general news sources in either print or online.
"We think all the time about what our unique role is and what we can get from the community," she says. "This has raised the bar for our journalists, because they need to provide things that are more unique. Incredible storytelling. More investigative work. More data-driven journalism."
Thursday, November 24, 2011
Nov. 21-27 | Your News & Comments: Part 3
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Here's my ulitimate marketing solutions gift guide
There's no better time for advertisers to flex their collective muscle in the
Today and throughout this weekend, for example, newspapers and TV stations have become product placement
Under a company-wide plan orchestrated by a department assigned to Banikarim, GCI sites in 15 markets are expected this month to showcase a combined 150 retailers that all accept Amex cards. And readers aren't being told about the Amex tie-in.
Here's a small sample of what I found today across the company's network:
Greenville, S.C., is publishing an "Ulitimate Gift Guide" on its homepage, a rotating carousel featuring 31 things to buy, each paid for "brought to you" by the very merchants selling the very products and services. (Example.) Editorial or advertising? You decide!
Denver offers a video interview with two retailers that prominently mentions American Express. We wouldn't be surprised if those two merchants accept Amex cards.
Des Moines has a marketing solutions two-fer on its homepage: links to its Shopping Main Street page and the Cold & Flu page paid for by "sponsored by" Swiss over-the-counter medicinal maker Similisan. (Screenshot, left.)
Everyone seems to have that same Shopping Main Street page. (Here's Cincinnati's.) The journalism-lite page incorporates local versions of the Amex merchant profiles, plus maps locating those merchants; an embedded shop local Twitter feed; and a promotion disguised as a story for Amex' Small Business Saturday special rebate deal solely for credit card holders.
Tallahassee | Exhibit A for lowering the paywall
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| Champion |
That's all according to Democrat reporter Jennifer Portman.
But I had to read a version of her story on USA Today's homepage because the Democrat can't seem to lower its paywall -- if only for all its hazing stories.
Other media, including The Wall Street Journal, selectively lower paywalls on stories of special interest. Doesn't the Democrat's technology allow the paper to do that, too?
Related: The Democrat's circulation is 32,673 on weekdays, and 46,138 on Sundays, according to the ABC's database.
Wednesday, November 23, 2011
Des Moines | Report: real reason debate canceled
Last week, The Des Moines Register said it had canceled its Dec. 19 debate for GOP presidential candidates, a rare move for a paper that's sponsored debates since 1980 -- events that made it a player in national politics.
The cancellation, the Register said in a story, "streamlines what had become a crowded debate calendar in Iowa."
But now Des Moines' City View says it's not that simple. "It was cancelled because the candidates — or at least most of them — decided not to show up," the weekly says in new story.
"Part of the reason," the story says, "is because some of those very conservative people, and their handlers and supporters, don’t particularly care for the Register, we’re told. Part is in fact because there are other debates scheduled. And part is because the Register and then-editor Carolyn Washburn made a mess out of the Republican debate four years ago."
The cancellation, the Register said in a story, "streamlines what had become a crowded debate calendar in Iowa."
But now Des Moines' City View says it's not that simple. "It was cancelled because the candidates — or at least most of them — decided not to show up," the weekly says in new story.
Tuesday, November 22, 2011
Nov. 21-27 | Your News & Comments: Part 2
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WUSA | GM Horlick to retire next year, memo says
Allan Horlick will retire as head of the Washington-area TV station early next year, he told employees in a memo this afternoon.
"The simple truth," he says, "is that while I love doing my job, there are so many other things that I want to do, and there's no time like the present."
Horlick was made the CBS station's president and general manager in January 2007. A search is underway for his replacement, he says.
I've posted the entire memo in the comment section, below.
 |
| Horlick |
Horlick was made the CBS station's president and general manager in January 2007. A search is underway for his replacement, he says.
I've posted the entire memo in the comment section, below.
DealChicken | Facing rivals, Groupon shares dive
[Updated at 6:20 p.m. ET.] Stock in the No. 1 daily deals site plunged 15% today, closing at $20.07 -- nearly at the company's $20 initial public offering price -- on investor concerns about growing competition.
Today's trade was the second consecutive day of tumbling: GRPN closed yesterday at $23.58, down 10% from $26.19 on Friday -- the highest closing price since the Chicago company's Nov. 4 IPO.
Hundreds of daily deal startups have flooded the market over the past year, including Gannett's DealChicken, which launched nationally in July and is now in about 50 U.S. markets.
Hundreds of daily deal startups have flooded the market over the past year, including Gannett's DealChicken, which launched nationally in July and is now in about 50 U.S. markets.
As layoffs rise, stock buybacks eat cash, NYT says
With the U.S. battling unemployment, big companies are dipping into record levels of cash to buy back shares -- "neglecting to lay the foundation for future growth by expanding into new businesses or building new plants,'' The New York Times says in a story today.
"It’s an extraordinarily unimaginative way to use money,” former Clinton Administration labor secretary Robert Reich told the newspaper.
After diving in the wake of the financial crisis, the NYT says, "buybacks have made a remarkable comeback in recent years, with $445 billion authorized this year, the most since 2007, when repurchases peaked at $914 billion."
Gannett is no exception, according to filings with securities regulators. It had $196 million in cash and cash equivalents at the end of the third quarter -- more than double the amount in 2007, when the economy was slipping into the Great Recession. (See table, left.)
Since doubling the dividend and announcing resumption of buybacks in July, GCI has spent $28 million on share repurchases. It said it planned to buy back up to $100 million in stock over the next 12 months.
Meanwhile, although GCI is doing limited hiring, its overall employment almost certainly continues to fall. Its last official workforce count was 32,600, at the end of last year. It was the fifth consecutive year of falling employment. The workforce last plateaued at 52,600, in 2005.
"It’s an extraordinarily unimaginative way to use money,” former Clinton Administration labor secretary Robert Reich told the newspaper.
After diving in the wake of the financial crisis, the NYT says, "buybacks have made a remarkable comeback in recent years, with $445 billion authorized this year, the most since 2007, when repurchases peaked at $914 billion."
Since doubling the dividend and announcing resumption of buybacks in July, GCI has spent $28 million on share repurchases. It said it planned to buy back up to $100 million in stock over the next 12 months.
Meanwhile, although GCI is doing limited hiring, its overall employment almost certainly continues to fall. Its last official workforce count was 32,600, at the end of last year. It was the fifth consecutive year of falling employment. The workforce last plateaued at 52,600, in 2005.
Monday, November 21, 2011
Nov. 21-27 | Your News & Comments: Part 1
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Wayback | Layoffs, the Red Carpet, and bounties
Posts from a year ago this month that drew extra-big traffic:
- Jackson, Miss., reports unusually large job cuts
- At USA Today, politics vs. the Red Carpet
- For top executives, a bountiful layoff bounty
Sunday, November 20, 2011
Nov. 14-20 | Your News & Comments: Part 6
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Romenesko: Why that marriage couldn't be saved
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| Romenesko |
That’s a long story, but let’s start on July 6, with this e-mail . . .
Saturday, November 19, 2011
Nov. 14-20 | Your News & Comments: Part 5
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Tech 101 | Take my CCI NewsGate -- please!
 |
| Youngman |
- "You know it's worth it because now twice as many stories disappear twice as fast." Bada-bing!
- "The system is so complicated that we now have to be nice to the interns because they're the only ones who understand it." Bada-bing!
- "Instead of clicking on a little icon to create a story, there's now a 13-step 'process.' Forget just one step and you're hosed." Bada-bing!
- "The system is called NewsGate -- and not to be cynical or anything -- but you would think people who bought it would know that nothing good ever ends in the suffix 'gate.'" Bada-bing!
In an efficiency move, GCI spent at least $15 million on NewsGate so newspapers could seamlessly share stories online and in print. It's crucial to operations of the five News Design Studios building pages for virtually all the 82 newspapers.
[Photo: Henny Youngman, the master of one-liners]
Friday, November 18, 2011
Norwich | Laid-off reporter rips Bulletin job cuts
James Craven worked for Connecticut's Norwich Bulletin, which Gannett sold to GateHouse Media in 2007. Now, he's written a blog post on the paper's website headlined, "Goodbye Norwich," where he tears into GateHouse management for deciding "to cannibalize the newspaper."
Take that! Craven wrote that the "most recently ordered layoffs will sap the Bulletin of nearly 20% of its newsroom staff. That will, of course, allow the president of Gatehouse Media to follow up on his $750,000 bonus to himself with an equally staggering and incongruous gratuity this year. Merry Christmas Mr. President."
And guess what? The newspaper pulled his post.
But media blogger Dan Kennedy has the full story today on what happened next.
A little history
In May 2007, Gannett sold four newspapers to GateHouse for $410 million: the Norwich Bulletin, the Rockford Register Star in Illinois, the Observer-Dispatch in Utica, N.Y., and The Herald-Dispatch in Huntington, West Va.
Earlier: Laid-off N.J. sports editor sneaks a column into print that bashes Gannett. And: In GateHouse vs. GCI, damning GCI with faint praise.
Take that! Craven wrote that the "most recently ordered layoffs will sap the Bulletin of nearly 20% of its newsroom staff. That will, of course, allow the president of Gatehouse Media to follow up on his $750,000 bonus to himself with an equally staggering and incongruous gratuity this year. Merry Christmas Mr. President."
And guess what? The newspaper pulled his post.
But media blogger Dan Kennedy has the full story today on what happened next.
A little history
In May 2007, Gannett sold four newspapers to GateHouse for $410 million: the Norwich Bulletin, the Rockford Register Star in Illinois, the Observer-Dispatch in Utica, N.Y., and The Herald-Dispatch in Huntington, West Va.
Earlier: Laid-off N.J. sports editor sneaks a column into print that bashes Gannett. And: In GateHouse vs. GCI, damning GCI with faint praise.
DealChicken | War's been declared in the barnyard
[Today's special: turf and . . . turf]
Who knew chickens were carnivores?
But it's true, according to DealChicken's first national deal: discounted packages of meat from Nebraska's second most-famous business, Omaha Steaks.
"Millions of customers," the ad copy says, "have served their flocks tasty, flavorful meats from Omaha Steaks since the company's founding in 1917."
I learned about this best-in-class offer when a reader forwarded me the following e-mail sent to employees this morning. Here's the text:
Hello everyone.
Today, DealChicken reached a new milestone – our first national deal. In all 57 Gannett/DealChicken Markets, Omaha Steaks is offering six packages at up to 58% off. I invite all employees to check out today's deal at www.DealChicken.com
DealChicken
Raj Mohan
Social Commerce Gannett Digital
Thursday, November 17, 2011
Nov. 14-20 | Your News & Comments: Part 4
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Here's the job description for Pence's replacement
It's for vice president, corporate communications in McLean, Va. -- the position Robin Pence held from July 2009 until recently; Corporate has yet to publicly confirm her departure. The job was posted yesterday on LinkedIn.
Reporting to Gannett’s SVP & Chief Marketing Officer, this position will be responsible for leading corporate communications efforts for Gannett, including USA TODAY. This executive will strengthen the company’s competitive positioning, formulating and communicating the company’s strategic position by leveraging the communications functions as a powerful tool to drive growth and meet business objectives. Key to this role is the understanding of strategic communication, crisis management and internal communication. This role leads, develops and executes communications for the company as a whole, all its major divisions and its key executives in order to create a cohesive communication strategy across the organization. In this capacity, this leader will provide advice, counsel and support to all senior leaders regarding all communications-related issues. This individual will serve as chief spokesperson and be responsible for developing and maintaining relationships with key media that cover the span of Gannett’s interests -- newspapers, broadcast and digital. This is an exciting opportunity to help build and motivate a high performing, integrated, best in class, corporate communication function at one of the largest and highly respected media organizations based in McLean, Va., Gannett’s headquarters. Ideal candidate must work for a current media company.
Of special interest
I note the following among major responsibilities in this job:
"Develop and implement a strategy of open communication with Gannett’s employees ensuring they receive timely and accurate information about the company -- its goals and accomplishments through all available channels including direct communication, the corporate intranet and company blog."
"Company blog?" Corporate registered www.gannettblog.com on April 21, 2006, but has yet to use it publicly.
My early advice for Pence's successor: Don't repeat this mistake.
Earlier: the 2009 job description for former publicist Tara Connell's replacement.
Reporting to Gannett’s SVP & Chief Marketing Officer, this position will be responsible for leading corporate communications efforts for Gannett, including USA TODAY. This executive will strengthen the company’s competitive positioning, formulating and communicating the company’s strategic position by leveraging the communications functions as a powerful tool to drive growth and meet business objectives. Key to this role is the understanding of strategic communication, crisis management and internal communication. This role leads, develops and executes communications for the company as a whole, all its major divisions and its key executives in order to create a cohesive communication strategy across the organization. In this capacity, this leader will provide advice, counsel and support to all senior leaders regarding all communications-related issues. This individual will serve as chief spokesperson and be responsible for developing and maintaining relationships with key media that cover the span of Gannett’s interests -- newspapers, broadcast and digital. This is an exciting opportunity to help build and motivate a high performing, integrated, best in class, corporate communication function at one of the largest and highly respected media organizations based in McLean, Va., Gannett’s headquarters. Ideal candidate must work for a current media company.
Of special interest
I note the following among major responsibilities in this job:
"Develop and implement a strategy of open communication with Gannett’s employees ensuring they receive timely and accurate information about the company -- its goals and accomplishments through all available channels including direct communication, the corporate intranet and company blog."
"Company blog?" Corporate registered www.gannettblog.com on April 21, 2006, but has yet to use it publicly.
My early advice for Pence's successor: Don't repeat this mistake.
Earlier: the 2009 job description for former publicist Tara Connell's replacement.
USAT | Post-Banikarim, elitist news in McPaper
Chief Marketing Officer Maryam Banikarim famously said USA Today's readers aren't trying to be snooty -- unlike those at The Wall Street Journal or The New York Times.
"The person who reads USA Today is quite successful and affluent, but they’re not focused on being elitist,'' she told industry trade paper Adweek in September.
And yet I continue seeing more news from those elitist-focused rags in USAT. Here's some today from the NYT.
[Photo: well-known snobs Thurston and Lovey Howell III. If they were stranded on a desert island, what's the one daily they'd want?]
 |
| Howells don't read USAT |
And yet I continue seeing more news from those elitist-focused rags in USAT. Here's some today from the NYT.
[Photo: well-known snobs Thurston and Lovey Howell III. If they were stranded on a desert island, what's the one daily they'd want?]
DealChicken | GCI doubles down on coupons
Gannett and seven other media companies are launching a digital shopping platform called Find n Save that includes a daily deals service. It's "tailored to local audiences, offering digital coupons, daily deals, digital circulars, and other advertising products,'' the consortium said today in a statement.
Other partners in the joint venture are Advance Digital, A. H. Belo Corporation, Cox Media Group, Hearst Corporation, MediaNews Group, McClatchy, and the Washington Post Co.
Find n Save arrives as GCI and others are competing with daily deals leader Groupon, which raised $700 million earlier this month in a closely watched initial public offering.
GCI launched its own deals site, Deal Chicken, in July, and it has now spread to nearly 50 U.S. markets.
Find n Save arrives as GCI and others are competing with daily deals leader Groupon, which raised $700 million earlier this month in a closely watched initial public offering.
GCI launched its own deals site, Deal Chicken, in July, and it has now spread to nearly 50 U.S. markets.
How Amex got the GCI news coverage it wanted; document reveals ties that papers don't mention
Gannett newspapers in 15 U.S. markets this month will publish short profiles of up to 150 small retailers, in a holiday shopping series sponsored exclusively by American Express.
But the stories published online so far are vague about the credit card company's involvement -- showing the nation's biggest newspaper publisher is once more testing the limits of Journalism 101 Ethics.
At papers in Asbury Park, N.J.; Brevard, Fla.; Louisville, Ky., and Phoenix, readers are told only that the stories are "presented" by American Express.
However, they aren't told the retailers are all supposed to be those accepting American Express cards, according to an internal GCI document provided to me by a reader.
The stories at the four newspapers all have the same one-paragraph format and cheery, upbeat tone. (See examples, below.)
Banikarim's version
The series is being coordinated by Gannett Custom Media, the advertorial shop that was turned over to Chief Marketing Officer Maryam Banikarim earlier this year.
Banikarim didn't offer many details when she described the series in her most recent monthly On the Road newsletter. She wrote: "Gannett is working with American Express on a cross divisional campaign to promote its Small Business Saturday initiative."
But the document, a guide for photographers working on the series, is much more explicit.
"In a deal with American Express," it says, "Gannett Co. Inc., is producing a sales campaign around Small Business Saturday called Shopping Main Street. The two-week campaign starts Nov. 23, a couple of days before Black Friday and will feature local small businesses that are American Express merchants in 15 Gannett markets."
'Trusted news' vs. advertising
American Express merchants are those retailers that accept its credit cards. The Shopping Main Street campaign is designed to drive shoppers toward small retailers on Nov. 26, the day after Black Friday, the traditional start of the holiday shopping period.
Although American Express is a major sponsor of the event, scores of other companies and organizations have signed on, too. It's part of a broader movement meant to support small, local businesses, according to USA Today.
In her newsletter, Banikarim points to the tricky task of balancing reader and advertiser interests where the company operates. "We not only provide trusted news and information," she says, "but seek to actively support the businesses and people in these communities as well."
The Amex campaign suggests she's now pushing for an even more active support role.
During the Nov. 26 event, Amex will give its card users a $25 credit for any $25 or more they spend at qualifying small businesses nationwide. The offer is limited to the first 100,000 card users who register to be eligible.
How were retailers picked?
The Amex campaign with GCI runs for two weeks starting next Wednesday, according to the photo guide given to me. Each participating paper is to publish two stories featuring five businesses in each one: a total of 10.
It's unclear how GCI reporters are to find Amex-accepting retailers. It may be as simple as hunting for merchants selling interesting stuff, then making sure they accept the card. On its website, Amex provides a database of merchants search able by Zip Code.
Among journalism ethics transgressions, this isn't the end of the world. Still, it violates a long-standing rule designed to protect a media outlet's credibility: Reporters don't favor businesses in order to please advertisers.
Plus, imagine you're a retailer that doesn't accept Amex. Aren't you going to feel like the credit card company bought publicity for its merchants without disclosing that information to readers? Seems unfair to me, and it does little for a paper's image at a time when public opinion of the media is already tanking.
Last spring, Banikarim was given control of the custom content portion of what had been ContentOne -- the old Gannett News Service, shrunk down and renamed. I'm fairly certain that "custom content" is the same as advertorial: puff pieces written with a particular advertiser or advertisers in mind.
GCI hired Banikarim in March for a new position where she's expected to identify more advertising revenue streams, after years of flagging ad sales that have driven down the company's stock price.
Which is which?
Following are examples of retailer profiles from each of the dailies that have published them so far. Note how similar they are; except for obvious references to geography, I bet you'd have a hard time matching the story to the newspapers: the Asbury Park Press in New Jersey, Florida Today in Brevard; The Courier-Journal in Louisville Ky., and The Arizona Republic in Phoenix. Hyperlinks take you to the published story.
Chunky knits are this season's hit, according to Amy Yount, owner of Amy Inc., 7144 E. Stetson Dr. No. 140 in Scottsdale. She's seen them on celebrities and seen them flying out the door. "It's more casual," Yount says of the sweater versus a jacket. "We're so casual here, so it works." She carries the folklore shawl ($308), seen recently on Katie Holmes, and stocks handbags from Nicole Richie's line, House of Harlow, ranging from $220 to upwards of $600. And, she's in love with the Camilla jersey scarves, embellished as if with jewelry ($345).
Coming up with gift ideas for that serious businessperson in your life can be tough. Not to worry. We found the perfect gift at Mary Beth O’Bryan’s 8-year-old shop, Luna Boutique, 1310 Bardstown Road, next to Avalon, the restaurant her husband operates. You don’t have to be for or against the Occupy Wall Street movement to like the handsome wood and metal bear and bull bookends ($139).
You’re never too old to giggle over Zibits miniature robots that obey your commands (via remote control) and have their own line of accessories ($14.99 to $70) at Toymasters, 62 White St. in Red Bank. In the 27 years that Denise Zappoli has owned Toymasters, her three children have worked there, as have various other relatives, including nieces and nephews. “It’s a real family business,” Zappoli said.
Whether it’s feathered or beaded evening handbags by In’s ($10.95-17.95) or handmade pineapple wall plaques in hot tropical shades ($10-$30), gifts are all about bling and color at Debi Malone’s Pink Pineapple, 802 E. New Haven Ave. in downtown Melbourne. “This makes you happy when you walk in,” said Malone, who enjoys finding products she knows customers will love. “It’s a comment I always hear from everybody.”
Earlier: This post isn't presented by American Express.
Are these papers crossing an Ethics 101 line? Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.
At papers in Asbury Park, N.J.; Brevard, Fla.; Louisville, Ky., and Phoenix, readers are told only that the stories are "presented" by American Express.
However, they aren't told the retailers are all supposed to be those accepting American Express cards, according to an internal GCI document provided to me by a reader.
The stories at the four newspapers all have the same one-paragraph format and cheery, upbeat tone. (See examples, below.)
 |
| Banikarim |
The series is being coordinated by Gannett Custom Media, the advertorial shop that was turned over to Chief Marketing Officer Maryam Banikarim earlier this year.
Banikarim didn't offer many details when she described the series in her most recent monthly On the Road newsletter. She wrote: "Gannett is working with American Express on a cross divisional campaign to promote its Small Business Saturday initiative."
But the document, a guide for photographers working on the series, is much more explicit.
"In a deal with American Express," it says, "Gannett Co. Inc., is producing a sales campaign around Small Business Saturday called Shopping Main Street. The two-week campaign starts Nov. 23, a couple of days before Black Friday and will feature local small businesses that are American Express merchants in 15 Gannett markets."
'Trusted news' vs. advertising
American Express merchants are those retailers that accept its credit cards. The Shopping Main Street campaign is designed to drive shoppers toward small retailers on Nov. 26, the day after Black Friday, the traditional start of the holiday shopping period.
Although American Express is a major sponsor of the event, scores of other companies and organizations have signed on, too. It's part of a broader movement meant to support small, local businesses, according to USA Today.
In her newsletter, Banikarim points to the tricky task of balancing reader and advertiser interests where the company operates. "We not only provide trusted news and information," she says, "but seek to actively support the businesses and people in these communities as well."
The Amex campaign suggests she's now pushing for an even more active support role.
During the Nov. 26 event, Amex will give its card users a $25 credit for any $25 or more they spend at qualifying small businesses nationwide. The offer is limited to the first 100,000 card users who register to be eligible.
How were retailers picked?
The Amex campaign with GCI runs for two weeks starting next Wednesday, according to the photo guide given to me. Each participating paper is to publish two stories featuring five businesses in each one: a total of 10.
It's unclear how GCI reporters are to find Amex-accepting retailers. It may be as simple as hunting for merchants selling interesting stuff, then making sure they accept the card. On its website, Amex provides a database of merchants search able by Zip Code.
Among journalism ethics transgressions, this isn't the end of the world. Still, it violates a long-standing rule designed to protect a media outlet's credibility: Reporters don't favor businesses in order to please advertisers.
Plus, imagine you're a retailer that doesn't accept Amex. Aren't you going to feel like the credit card company bought publicity for its merchants without disclosing that information to readers? Seems unfair to me, and it does little for a paper's image at a time when public opinion of the media is already tanking.
Last spring, Banikarim was given control of the custom content portion of what had been ContentOne -- the old Gannett News Service, shrunk down and renamed. I'm fairly certain that "custom content" is the same as advertorial: puff pieces written with a particular advertiser or advertisers in mind.
GCI hired Banikarim in March for a new position where she's expected to identify more advertising revenue streams, after years of flagging ad sales that have driven down the company's stock price.
Which is which?
Following are examples of retailer profiles from each of the dailies that have published them so far. Note how similar they are; except for obvious references to geography, I bet you'd have a hard time matching the story to the newspapers: the Asbury Park Press in New Jersey, Florida Today in Brevard; The Courier-Journal in Louisville Ky., and The Arizona Republic in Phoenix. Hyperlinks take you to the published story.
Chunky knits are this season's hit, according to Amy Yount, owner of Amy Inc., 7144 E. Stetson Dr. No. 140 in Scottsdale. She's seen them on celebrities and seen them flying out the door. "It's more casual," Yount says of the sweater versus a jacket. "We're so casual here, so it works." She carries the folklore shawl ($308), seen recently on Katie Holmes, and stocks handbags from Nicole Richie's line, House of Harlow, ranging from $220 to upwards of $600. And, she's in love with the Camilla jersey scarves, embellished as if with jewelry ($345).
Coming up with gift ideas for that serious businessperson in your life can be tough. Not to worry. We found the perfect gift at Mary Beth O’Bryan’s 8-year-old shop, Luna Boutique, 1310 Bardstown Road, next to Avalon, the restaurant her husband operates. You don’t have to be for or against the Occupy Wall Street movement to like the handsome wood and metal bear and bull bookends ($139).
You’re never too old to giggle over Zibits miniature robots that obey your commands (via remote control) and have their own line of accessories ($14.99 to $70) at Toymasters, 62 White St. in Red Bank. In the 27 years that Denise Zappoli has owned Toymasters, her three children have worked there, as have various other relatives, including nieces and nephews. “It’s a real family business,” Zappoli said.
Whether it’s feathered or beaded evening handbags by In’s ($10.95-17.95) or handmade pineapple wall plaques in hot tropical shades ($10-$30), gifts are all about bling and color at Debi Malone’s Pink Pineapple, 802 E. New Haven Ave. in downtown Melbourne. “This makes you happy when you walk in,” said Malone, who enjoys finding products she knows customers will love. “It’s a comment I always hear from everybody.”
Earlier: This post isn't presented by American Express.
Are these papers crossing an Ethics 101 line? Please post your replies in the comments section, below. To e-mail confidentially, write jimhopkins[at]gmail[dot-com]; see Tipsters Anonymous Policy in the rail, upper right.
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