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I would like to beginn my presentation with some numbers:
There are 1.7 billion global Internet users. This is more than the entire population of China
There are 126 million blogs online Over the course of a year, the blogosphere will grow by almost the equivalent of the population of Sao Paulo, or about 19 million.
There are 400 million Facebook users worldwide. In the last year, Brazilian Facebook users grew by more than 1000%. The latest count says there are 2.4 million Facebook users in Brazil
And over the course of one week, those users share 5 billion — that’s billion with a “b” — 5 billion pieces of content with each other on Facebook - That content could be anything from news articles, to music videos, book reviews, blog posts, to anything else they find online and want to share with their friends Numbers like these simply do not exist in the book publishing world Dan Brown’s The Da Vinci Code sold 80 million copies worldwide – but that took seven years Germany produced 47 million books last year Again: In one week, Facebook users share 5 billion pieces of content In one week they outpace the entire book industry
Brazil represents the third largest Twitter following, behind the US and UK In terms of cities, Sao Paolo is number 3 in Twitter usage Twitter users send out 50 million tweets per day - That means that EVERY MINUTE, there are 35,000 new messages on Twitter
EVERY MINUTE, Facebook serves 6 million page views
AND EVERY MINUTE, 24 hours worth of video footage is uploaded to YouTube Internet users are creating and consuming more content than the world has ever known before
People have started turning to the Internet FIRST for entertainment and for information Some of this online content comes from traditional media companies
Newspapers and magazines distribute their content digitally Television and radio stations are broadcasting their shows online 61% of Americans say they get news online It is not a surprise that news consumption thrives on the speed and convenience that the internet offers But then there are the non-traditional sources of content, like bloggers and social media users
The people making videos in their living rooms People writing about their travel experiences and uploading photos to Flickr and Google The Frankfurt Book Fair did some research about blogging and online writing in China We found that there are 47 million active bloggers in China Around the world, 42,000 new blogs registered every day Are people writing blog posts because their friends and coworkers said, “please, publish your unique and intelligent thoughts online”? Probably not. Online content isn’t just about creating something for everyone to read. It is also about self expression For book publishers, this could mean a boom in potential talent Chinese publishers are already tapping into the talent pool. Around 20% of China’s bestselling titles originated on the Internet The surge in creating and sharing content online is a global phenomenon
The tools for creating content are now free, easy to use, and only a few clicks away Anyone with an Internet connection can set up a blog in 15 minutes Anyone can upload their own novels to sharing websites like Scribd or Wattpad The technology and professional network needed for publishing books and selling written material, whether digitally or in print, used to belong exclusively to book publishers. Not anymore.
Wattpad is an online ebook community with strong participation from Southeast Asia, the US, and the UK. It offers over 100,000 free e-books from its user community Sites like Wattpad, like the literature portals in China, allow millions of people to connect to each other through writing [PAUSE] Instead of reading a book, someone can write and even sell their own book online
It depends on what people choose to spend their time doing. It all comes down to attention Attention is the new currency online because people have an overload of options Some of these options are of higher quality (like articles from major newspapers or professionally produced e-books) and some options are of lower quality (like uninformed blog posts or unedited book manuscripts) Nevertheless, the options exist People are not just deciding which book to read They are now deciding whether to read a book at all
I’ll give you an example Let’s say I am taking a trip to Canada and I want to learn more about what to do when I get there I could buy a travel guide. I could buy a novel by Canadian author Margaret Atwood, I could buy a book about the history of Canada. Or I could browse through a Canadian travel website or I could create my own Google map and ask my friends who have been to Canada to mark their favorite destinations and restaurants on this map OR, I could skip buying the travel guide and contact the author directly on Twitter Colleagues, this is a different world than the one we knew 5 years ago, even one year ago We are competing with every YouTube video, Wikipedia article, and MySpace page We are competing with everyone in this room who raised their hand and said they use Twitter or read blogs So where do publishers fit in a world with an overload of options? What will distinguish us is actually something we've been doing since the beginning of publishing. That is selecting the best content for our readers. Selection content in a world with so much content is so much more important now. And we have to do it online.
Our competitors are online, our customers are online and we as publishers need to be online too.
In this new media world there are different rules and marketplace dynamics I am not throwing out these huge numbers about blogs and Facebook to intimidate you or to say that the competition online is too much for book publishing Quite the opposite is true While our competitive field is suddenly much bigger, so is our potential audience
We can sell books to people in Asia and Europe, around the world. Distribution is no longer a barrier You don’t have to convince a bookseller in Japan to order 100 copies of your Portuguese book. You don’t have to send 100 copies of the book to Japan. You can now sell the e-book online directly to people in Japan who read Portuguese We can make such scenarios a reality by finding out where our potential audience is online
Which online users are talking about books in Portuguese or talking about your authors? What are these people clicking on? What are they already reading? We have to learn how to read and analyze the digital footprint that our target audience leaves behind when they surf the Internet. We have to find out what they want from our products, and how to deliver what they want. We have to get this information because our competitors already have this information and may already be using it
However, the good news is that you as publishers and business leaders have already done some of this before:
you’ve been in competition before you’ve produced content that sells and you’ve already identified your target audience
The better news is that the Internet, this same Internet that brought us all this competition, also provides the tools we need to read this digital footprint
To develop and deliver better products, faster, through more distribution channels, to more people Or as Tim O’Reilly said in his keynote presentation at the Tools of Change conference, publishers need to be good at the “boring stuff” like “production, distribution, channel management, marketing and sales” It is an interesting paradox that the Internet gives everyone the tools to publish books, and also gives publishers the tools to do the “boring stuff” better
So what exactly are these new tools? What kind of technology are we talking about? We are talking about tools that bring you closer to your customers and bring your customers closer to your products. One of the first way to do that is with web analytics ranging from Google analytics, a free service, to extensive tools from web service providers. We can measure exactly who buy our books, what other books those bought, which websites they visit and what books they are searching for. Why can Amazon recommend selected titles to me? How does Google know which ads to display when I search for something? Using analytics tools and web tracking they know where I've been online, what I searched for, what I clicked on and what I bought. Knowing this about your readers means you can adjust things like marketing copy, cover designs and website experiences. You can tailor these things for your customer and ultimately sell more books to them.
Another tool you can use to connect to your customers is social media: it’s free, it’s fast, it's measurable and you are probably already using it, but maybe not taking full advantage of its business potential.
Twitter and Facebook are being used by more and more businesses to connect to their customers Dell Computers estimates that it has generated $6.5 million in sales through Twitter They offer their Twitter followers exclusive promotions and customer support The VP of Dell’s online department said that Brazilian Twitter users spent $800,000 with Dell in 2009. This $6.5 million is only a tiny fraction of Dell’s overall revenue – they reported $60 billion in revenue in 2008 But Dell’s investment in its Twitter community has earned the company a good reputation and provided valuable market research — again, for free But social media is not just about sales and marketing It is about relationship building. Why did so many Brazilian Twitter users spend their money with Dell instead of someone else? Because Dell took the time to build a relationship with them online Social media allows us to directly interact with our customers We can ask them what they want or what they think and they will answer us!
Paulo Coelho asked his readers — through his blog, Facebook and MySpace — what they thought the main character in his book The Witch of Portobello looked like He asked them to submit videos that would eventually become part of his film project called “The Experimental Witch” Over 6 thousand people sent in videos Coelho was able to crowdsource a new product made up entirely of user generated content Creating such a film on his own would have been expensive and time consuming The project connected Coelho to his readers and connected his readers to the book [PAUSE]
Building relationships with your online community also creates the potential for your customers to market your product for you The Twilight books by Stephenie Meyer are a great example of this The series has now sold over 85 million copies worldwide When the first book came out, there was only one official Twilight website with some basic information about the book and the author Now, Twilight fans have created a huge collection of online content based on the books There are lexicons, fan page directories, Facebook groups and videos According to one directory there are 378 English language fan websites A fan in the UK made videos of her reactions while watching the Twilight movie trailers She uploaded these videos to YouTube They show a girl going crazy, screaming, all the things that teenage fans do. You might be asking yourself who would want to watch a video like that Well each video has been watched more than half a million times (and yes, I was one of those people who watched these videos) Viral marketing effects, like what we see with Twilight, seem to be fan initiatives But the motivation and building blocks come from the marketers, from the publishers This is a give-and-take relationship
Social media relationships are actually a lot like dating someone You can invite your date to dinner and only talk about how great you are, about what a great personality you have and how good your shirt looks on you But if you only talk about yourself you will end up eating dinner alone. You have to tell your date that she looks good, that she is interesting and funny, you have to ask her questions and listen to her answers That is how you get a second date! But are you only dating your customers? And are your customers only dating you? No! You are dating authors as well. And your customers are dating authors. Everyone is dating each other. So we have sort of love triangle here. But luckily none of these relationships are exclusive.
And once you’ve been on a few dates, you’ve gotten to know each other, and you have an idea what your customers want, how do you implement their feedback into your business? What if your customers say they want to read your novels on their computers at home, or they want your dictionary as a searchable mobile application?
Trying to force a printed book into a computer or mobile phone doesn’t work BUT converting an already digital file into various formats DOES work It keeps the content flexible Technology and formats appear and disappear all the time You wouldn’t invest all your money in an experimental new format that could only be read by a few people with a specific device And nor should we tie ourselves to print that way The key to remaining flexible and being able to change with the market is to start with flexible content, like XML
A digital XML file contains both content and structural information. It allows us to create an e-book, multimedia reading experience, a printed book, a searchable online text, or whatever new formats may come along By starting with raw digital files, we can try out that crazy experimental format that only a few people can read, because maybe it is the next big thing But we aren’t tied to it You can position yourself to sell your Portuguese books to those few customers in Japan — in a format that works in Japan, be it cell phone books, various e-book formats, or PDF
Flexible content is important to many types of publishing businesses Several new non-profit foundations now provide open source educational material to students around the world. They need f lexible content because the needs of each market are very different. Ck-12, for example, is foundation that uses open source textbooks. They provide online texts, printed books and e-books. The content comes from author donations, licensing partnerships, and university collaborations. All the writing is published under the Free Documentation License, which allows the distribution of the content in any form and at any price…including free.
Traditional publishers like O’Reilly also rely on flexible content in order to offer their books in a variety of formats For a single price, customers can buy a content package that includes the print book and the e-book in 3 formats
If we take the idea of flexible content a step further and detach the book from any kind of format, it is no longer a written narrative It becomes an idea We can then take this idea and transform it into a television show, a movie, a video game, an online experience, or any number of things In doing this, publishers can extend the value chain of their intellectual properties
In 2008, Scholastic launched The 39 Clues. It is a book series, web experience, card game, online game, mobile application and educational tool. And it will soon be a movie as well. The book series has 10 books total, each written by a different author. Scholastic also provides online educational resources for teachers who plan to use The 39 Clues in their classrooms. The online game component has over half a million users. Since the launch of the 39 Clues, other publishers have been quick to follow with multimedia brands of their own, including The Warrior Cats from HarperCollins and The Amanda Project from Fourth Story Media. This goes beyond using multimedia for promotion. Each experience, whether the book, the game, or the online videos, offer a slightly unique experience but are all an essential part of the overall story. This is called transmedia, and you will hear more about it tomorrow from Jeff Gomez
By thinking about books this way, distributing across multiple platforms and selling rights for a variety of mediums is not as big a leap as it once was Mobile app stores, e-book retailers, telecommunication companies, online platforms and databases — these businesses can be potential distribution partners for you They want content just as much as you want distribution In the new golden age of publishing, everyone is looking for content, both to consume and distribute And you have lots of it!
And this brings us to something that book lovers sometimes have a hard time believing: books are no longer physical objects. Publishers know better than anyone that books are experiences which transcend paper and ink But books do not necessarily need to be paper and ink objects anymore That doesn’t mean you should ignore the print side of your business or that people won't still buy the print version. But there are also people who want the digital version and that group of people is growing. We are competing with YouTube, online newspapers, and bloggers We need to give ourselves more options for reaching people, not less Go to book fairs and tech conferences (I would especially recommend the Frankfurt Book Fair – wink wink), meet new people, find new partners, exchange ideas with them I say that not just as the Director of the Frankfurt Book Fair but because I truly believe that innovation and opportunities come from meeting people face-to-face, from exchanging ideas and learning from one another
Book publishing is no longer an isolated industry. We are not alone. We are now in the content business, along with all the traditional media companies, the bloggers and social media users The content business is moving online, it’s becoming a technology-driven business
Colleagues, we need to be just as tech-savvy as the rest of the media industries The tools and information to do this are available to us It’s up to us to truly make this the new golden age of publishing. And we can start here, today, at this conference.
THE NEW GOLDEN AGE OF PUBLISHING
THE NEW GOLDEN AGE OF PUBLISHING 1st International Congress of Digital Books 29 – 31 March, Sao Paulo, Brazil www.book-fair.com
$ 6.5 Mio 1,573,484 followers <ul><li>Measurable results </li></ul><ul><li>sales </li></ul><ul><li>customer growth </li></ul><ul><li>Relationship building </li></ul><ul><li>customer service </li></ul><ul><li>customer loyalty </li></ul><ul><li>company reputation </li></ul>
19.592 views > 6.000 videos <ul><li>Measurable results </li></ul><ul><li>views </li></ul><ul><li>crowdsourcing </li></ul><ul><li>Relationship building </li></ul><ul><li>interaction </li></ul><ul><li>personal connection to the content </li></ul>
85 million copies 378 English language fan sites … <ul><li>Measurable results </li></ul><ul><li>sales </li></ul><ul><li>fan websites </li></ul><ul><li>web traffic </li></ul><ul><li>new products </li></ul><ul><li>Relationship building </li></ul><ul><li>defined community </li></ul><ul><li>viral marketing </li></ul>
Online relationships work like real relationships… talk & listen