Don't underestimate the importance of small talk

The usual curmudgeonly complaint about online interaction is that it's banal: a bunch of bloggers (or Twitterers, or whatever) in pajamas (or whatever) blathering on about what they had for dinner (or whatever). But mark me down as one of those who's not bothered by occasionally reading a Tweet about something good to eat.

Consider the lowly business meeting, which -- regardless of whether it's purely internal, or features this week's cast of traveling salesdroids -- inevitably begins with a conversation about the weather. Or, if you live where I do, the pollen levels. (Or whatever.)

All of this whatever plays an important and necessary role.

Small talk is a mechanism for opening channels of communication. It's a tool for establishing social/conversational norms and overcoming our inbred distrust of anyone outside the tribe. Small talk says "I'm here, I'm nonthreatening, and we can go from there."

Where you go is up to you, but it's good to start down that road together, and not separately.

I've been building online communities since the mid-1980s, when I discovered dialup bulletin board systems and -- like so many others in that era -- wound up running one myself. As a system operator, I discovered that small talk is necessary for warming up to substantial conversation. When we discover what we have in common, we're much better prepared to face the places where we differ.

Over the years, the software has changed, the hardware has changed, the formats have changed, and we've gone from hundreds of users to millions. But the principles have remained the same.

In 1994, there were two trivial topics that were guaranteed to get people talking in a non-threatening way. One was to ask whether the toilet paper roll should dispense tissue from the top of the roll or from the bottom. And the other was to conduct a poll: Ginger vs. Mary Ann.

Today, I suppose, you'd have a harder time finding cultural commonalities (if I asked you "Starbuck vs. Caprica 6" would you know what I'm talking about?) but I'm fairly sure most of us still use toilet paper.

Notes from the unification

Perhaps there is a time and place for everything. The era of newspapers operating wholly separate online divisions clearly has ended, and the era of integrated newsrooms has begun. From that union we're all learning some things.

While preparing an internal company report, I put out a call last month: What have you learned from about newsroom convergence? I heard from dozens of veterans of this process, across the United States and in Europe. I also went fairly deep inside four Morris newspapers to capture learnings from "formerly all print" reporters, editors, photographers and "formerly all digital" producers. Here's what they told me.

Merging print and online staffs is the right thing to do. Regardless of print or online background, I heard strong consensus on this point. If anything, we all should have moved more quickly, more forcefully and more thoroughly. "We took too long to converge, allowing two separate cultures with very different ideas about how a converged operation should look, to hum along, ignoring each other," said one reporter.

Done right, it's a big win. "Convergence is, overall, a huge help to innovation," said one online producer. A senior editor agreed: "It's a monster plus. Convergence puts you in a position to succeed." But, he continued, it only opens a door, and you have to walk through it. "It doesn't guarantee success. That comes from leadership and teamwork. But it puts you in a far better position to head in one direction as a team."

Moving the chairs around isn't enough. "We need to adjust our management and reporting structure," said an online producer. If the newsgathering system still looks like it's built to serve print sections, that's what it will do. From a senior editor: "I should have rethought the entire system even more than I did."

Culture gaps are deep, persistent, and troublesome. The union of online and print units brings together people with very different points of view about how to do journalism. Expect conflict. "We had huge respect issues, on both sides," recalled one senior editor. "Online producers felt the newsroom had no idea what they did. And the newsroom felt online had no knowledge of journalism." The result was suspicion and hostility. "There were no saints on either side."

It's not a union of equals. Printies may outnumber onliners 10:1 or even more, and the editors with the most political power come from the print side. "We converged and began feeling treated like the JV squad," said one online producer.

There's a great danger of throwing away what we should have learned. At one western newspaper "a portion of the online staff was moved into the newsroom and simply shunned. Their experience was wholly ignored .... the newsroom brought in print editors over the online operation. New media people watched helplessly as these newcomers bumbled along like it was 1995." Said an online producer at another newspaper: "‘Too many people are retracing the steps (and the mistakes) already taken by online over the previous 10 years.’"

People don't know one another, and they make bad assumptions. In some cases, onliners assume printies are anti-Internet when in fact they've been extremely frustrated by organizational walls that kept them away from the digital side. In many cases, printies mistakenly assume onliners aren't journalists. "Many still see me as serving a tech services, rather than editorial, role," said one digital native with a journalism degree. Beware: This can breed bitterness.

People are confused by new structures and responsibilities. "Who's doing what?" asked one middle manager from the print side. "With roles changing on almost a daily basis, it wasn't always clear who had to perform a particular task."

The strongest resistance to change can come from the online side. This may be surprising, but it shouldn't be. Everyone with turf naturally wants to defend it against any move to redistribute power, authority and responsibility. For senior editors suddenly faced with supervisory responsibility for online media, this can be a very difficult challenge. "Converging different skill sets means taking on people who do work you don't understand," said one senior editor. "There needs to be a BS filter." Said another: "We let the online guys get away with too much because they knew more than we did about the tech side. Too much time was spent negotiating and not doing." Editors need help sorting fact from convenient fiction.

Understanding the online medium isn't just a matter of technology. Missing this point can lead to trouble. A veteran of a midwestern newspaper chain said his company's biggest mistake was "putting someone who's worked in print their whole life and is 'learning online on the job'" in a position to make key decisions about website vision and strategy. "It takes a ridiculous amount of hand-holding and reprogramming of their brain." A West Coast online veteran recalled how, "in one legendary moment, it was decided to place a disclaimer above stories with links in them to alert the reader that the 'blue, underlined words' were links to other sites. This was in 2006." But don't make the mistake of thinking this viewpoint is confined to digital separatists; I heard strong appeals for training in "online thinking" from longtime print reporters and editors.

Recognizing the dangers that come from unification is the first step toward mitigating them. Where there's been success, the veterans of these changes can point to some key decisions and actions that helped pave the way:

Involve the stakeholders. "All involved were taken into account and considered -- big points!" said one digital veteran. "Newsroom and digital leaders conducted visioning sessions to jointly lay out plans for online and print. The newsroom truly moved to a get-it-online-now mentality."

Communicate the strategic reasons. And communicate them again. "Top management explained, again and again, why we must go this way," said a digital editor in Germany. "The result: The staff got this message. And concerning print and online, we have quite a good team spirit now."

Recognize that on-the-job training is part of the newsroom tradition. Don't expect journalism schools to provide prebaked multimedia experts. And don't assume that a journalism degree is the only way to become a journalist. "I had French, engineering and theater majors -- and they were all doing journalism," a senior editor recalled, describing a formerly all-print newsroom. Hire -- and retain -- for aptitude and attitude.

Train for skills, and open the training to all. "We hosted video and audio training sessions and invited everyone in the newsroom to attend, no matter their position or role," recalled one digital manager. "Unbelievably, about 95 percent of our folks volunteered to train. It proved they recognized the necessity of this to advance their careers, and they fully embraced it. We just didn't meet the resistance I expected and was prepared for." Skills training isn't just for skills; it helps alleviate the fears many print journalists have when facing a transition to digital media.

Train for digital thinking as well. For example, one mountain state editor noted that "Social media goes both ways. Using Twitter and allowing readers to comment on stories and blogs is nice, but we need to establish that our journalists must respond back to those comments, and contribute to the discussion." It's not a one-way street any more. Keep in mind that most journalists are highly task-focused, don't spend a lot of time thinking about media theory and changes in the media landscape, and know relatively little about the business and commercial side of newspapers. Fill in the gaps.

Be absolutely clear about roles and responsibilities, and position digital journalists as significant journalism leaders. Publish the table of organization. "By creating the news director position, we really put a foot forward and proved how important this was," recalled one reorganization veteran. Face the "respect" issue directly, and reinforce the message. "Teach the print folk about online journalism -- and how it isn't the refuge of teenagers and pasty-skinned outcasts," said another. Publicly identify and respect competencies.

Across all my conversations and email interviews, one thing was clear: This is a journey, not a destination. Nobody thinks they have it right. Not everyone is going to survive the trip. But the ones who do will share a common trait: They want to come together as a team. That desire runs deeper in our newsrooms than many might think. Foot-dragging on digital media has become socially unacceptable in many quarters. That's a victory worth celebrating.

Let the bad ideas flow

With all the hyperbolic, ill-sourced and often self-serving End of Days coverage of the newspaper industry lately, we shouldn't be surprised to see any number of really bad ideas surfacing -- and I don't just mean paywalls.

I say: Let the bad ideas flow. Sometimes bad ideas spark good ones. Just don't drink the Kool-Aid.

Here's one that might smell good but bear poison: Maryland Sen. Ben Cardin's proposal to let newspapers dodge taxes by declaring themselves to be nonprofit charities.

If you believe that the core problem of newspapers is that they have owners who demand profits, then you might think this is a good thing. But that's not the core problem. Owners may have been responsible for creating the current panic by borrowing too heavily to acquire more newspapers, but ownership ultimately is a minor issue in the long-term picture. If you're bleeding millions of dollars a month, a little help with your taxes isn't going to keep your obsolete metro monster alive.

The poison in Cardin's elixir? It effectively puts the government in the position of licensing these institutions. It attempts to define newspapers in some ways that are bound to backfire, and such newspapers would be banned from publishing opinion, a dangerous slope. Robert Picard has a thorough dissection of the proposal.

Another deadly idea is buried inside Silicon Alley Insider's 10 Newspapers That Will Survive The Apocalypse, which quotes "an investor who has already plunked millions into the industry and is in the process of spending much more."

This one is convinced that the path forward is "cutting newsroom bloat and R&D costs" and "stop 'spending on trying to find their way out' and 'instead run their current good business.' ... He says local papers should have a Web site run by two people that links to international and national news and keeps all local content behind a pay wall or off the Internet entirely."

That's just sad: Dining off the carcass of a rotting business.

Newspapers got where they are today by underinvesting in R&D, not overinvesting. The debt load didn't come from building websites. Newspaper companies borrowed to buy more of the past, not to build a future.

Newspaper ownership and the fourth generation syndrome

There are still a few family-owned newspapers in America, but only a few. Most were gobbled up by corporate consolidators -- newspaper chains -- decades ago. The reason, I think, has to do as much with the dynamics of a family business as with corporate finance and the peculiarities of newspapering.

There are four cycles in the life of a family business. Often they align with generations:

The pioneer founder. In newspapers, this role often was played in the late 19th century. The founder may not have actually started the business; he -- and it always was a man in those days -- may have stepped in and picked up one or two poorly run newspapers. The founder was unabashedly a booster, a city builder, a civic leader.

The empire builder. This generation may take risks to grow the business, perhaps acquiring other newspapers, perhaps starting related businesses. As broadcast licenses became available in the 20th century, many of this generation snapped them up (until the government ruled out "cross ownership."

The consolidator. This generation in some ways focuses on cleaning up the wonderful mess created by the previous one -- turning chaos into a focused, professionally operated enterprise. MBAs are brought in.

The wastrel. It's a cruel label, but how often have you seen it happen? Unlike the previous generations, this one didn't grow up working in the family business, but rather grew up spending the family money. By the time you get to four generations, there are too many heirs to coordinate, to manage, to employ. Most have little or no real interest in the business itself, but a great deal of interest in a Mercedes-Benz or a Porsche or a stable of race horses or even a yacht in Florida stocked with girls and cocaine. (I could, but won't, name real examples.) This is the generation that typically sells out to a corporate buyer.

It doesn't have to be this way, and sometimes it isn't.

Sometimes the founder is also the empire builder, like Hearst (although he started out with daddy's money). Sometimes the empire-building drive is weak, but the "well-run business" drive is strong. Often someone in the fourth generation loves and understands the business, and takes on the heavy burden of holding the company together and dealing with all the relatives. Some families have figured out how to handle the problem of too many uninterested heirs holding tiny chunks of the business.

But the cards are stacked against a family business holding together over time. And, as I said, it's not specifically a newspaper phenomenon; I could cite examples in family farming, consumer products and pharmaceuticals.

This story arc played out across America in a way that happened to feed the growth cycle of corporations like Gannett, which gobbled up individual family-owned newspapers and smaller, family-dominated chains in the 1960-1980 period. And it is one of many factors that led to today's problem: Giant highly leveraged, generally public corporations caught in an economic trap that could bring about the wholesale collapse of the newspaper industry.

Know your own business model

As I observed Friday, newsrooms are categorically blind to the underlying business realities of their own employers. This leads to needless shock and amazement when an overleveraged newspaper chain falls on hard times, a lot of pointless hand-wringing about the future of journalism, and a parade of kooky ideas about how "we" are going to "make them pay" for all the really great content that Google, et al, are "stealing."

But clarity isn't that hard to find. A couple of recent posts from Advertising Age columnist Nat Ives and NYU new-media theoretician Clay Shirky provide a reality-based framework for cutting through some of the clutter.

Let's take the easy one first. Ives points out that "newspapers got dangerously addicted to advertising long before digital came along." That's surprising language to see in the journal of the ad biz, but true.

We are deeply addicted, so addicted that the business of newspapers is advertising -- specifically, local advertising. They are one and the same. Many newsroom folk do not want to hear this, as you can see in the comments to my Friday post. We aggregate an audience, and then sell the attention of that audience to (mostly local) businesses.

That addiction comes with dangers, and we can see one manifesting itself right now. When employers aren't hiring, they don't run employment ads. When car dealers can't line up financing to sell cars, they don't run car ads. The dependency on advertising makes the newspaper company highly exposed to economic cycles. At a planning meeting back before the storm struck, one newspaper association executive said newspapers are a leading indicator of a down economy, and a trailing indicator of recovery. Think about that.

Back when Joel Kramer (founder of Minnpost) was publisher at the Star Tribune, he led an effort to raise circulation pricing and shift the economic model toward the relative stability of reader revenue. First thing McClatchy did after taking control of the paper was to blow that away and leap back into the kettle of discounting.

Ives asserts that newspapers don't really have a paid content model for print. He actually understates the case. Over the last few decades, changes in auditing rules allowing hotel distribution and other bulk sales, and long "grace periods" of delivery to canceling subscribers, have rotted out whatever claim to a paid content model newspapers may have had.

The second post I want to recommend is Clay Shirky's wonderful essay "Newspapers and Thinking the Unthinkable."

It's getting a lot of online buzz right now. In particular, these two paragraphs resonate with increasingly bitter online folks inside the newspaper industry (and those who've already bailed):

"Revolutions create a curious inversion of perception. In ordinary times, people who do no more than describe the world around them are seen as pragmatists, while those who imagine fabulous alternative futures are viewed as radicals. The last couple of decades haven’t been ordinary, however. Inside the papers, the pragmatists were the ones simply looking out the window and noticing that the real world was increasingly resembling the unthinkable scenario. These people were treated as if they were barking mad. Meanwhile the people spinning visions of popular walled gardens and enthusiastic micropayment adoption, visions unsupported by reality, were regarded not as charlatans but saviors.

"When reality is labeled unthinkable, it creates a kind of sickness in an industry. Leadership becomes faith-based, while employees who have the temerity to suggest that what seems to be happening is in fact happening are herded into Innovation Departments, where they can be ignored en masse. This shunting aside of the realists in favor of the fabulists has different effects on different industries at different times. One of the effects on the newspapers is that many of their most passionate defenders are unable, even now, to plan for a world in which the industry they knew is visibly going away."

If necessary, print it out and leave it on your boss' desk.

Please stop calling print the 'core product' (explained)

I twittered an offhand remark yesterday: "Please stop calling print the core product." It was retweeted quite a bit, and I received some "please explain" queries. Here's my explanation.

If you're still thinking your core product is a newspaper, you're misleading yourself and maybe even killing your business.

Your core business is not print.

And this may dismay the online news crowd, but your core product isn't news.

In fact, you need to stop thinking that advertising supports news and start thinking about how news (and other content) supports advertising.

Your core business is helping others sell their goods and services.

That's been true since the middle of the 19th century, when the industrial revolution transformed newspapers from subsidized journals aimed at the political class into commercial mass media aimed at everyone, or at least everyone who could read.

Newspaper offices became large-scale factories, churning out hundreds of thousands of copies that were sold at a pittance, sometimes even at a loss, in order to build a deliverable audience for advertisers. This was called the "penny press," and it revolutionized journalism as well as the business model that supported it.

Your core product is a commercially relevant audience, gathered through multiple print channels (daily paper, weekly free TMC, free specialty products) and now also through multiple digital channels (web site, "moms" and other specialty sites, mobile, email, and now even distributed behavioral advertising networks).

What I'm saying shouldn't be new. The original Innosight NewspaperNext report clearly advocated a "new core" concept. It was urging us to learn to think about innovating outside that core, but it seems to me that most of us don't even understand our own core business. Not if we keep identifying print as that core.

What have you learned about newsroom convergence?

For an internal report, I'm interviewing various people at work in an attempt to identify what we've learned from our efforts to combine print and online staffs into unified content teams.

But I'm also interested in hearing tales from outside the company, so here are a few questions. You can reply anonymously if you want, or just send me a private email at steve(at)yelvington(dot)com.

* What are the 3 biggest mistakes made in your newsroom in the convergence process? How would you avoid them, if you could do it all over again?

* What are 3 things done right in your process?

* What are your 3 biggest ongoing frustrations?

* Do you feel like you have the skills you need to deal with the changes?

* Is this convergence a help, or a hindrance, to innovation? Why?

* What other innovation barriers do you see?

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