ILM ’08: Mark Canon’s Vision for Local Media

Mark Canon, President of New Media, [praized subtype=”small” pid=”133f6afd48025ab56a05c6d6f6dace27″ type=”badge” dynamic=”true”], had the opening keynote on Day 1 of the Kelsey Group ILM ’08 Conference.  He shared with us his “facts on the ground”, described the cultural anthropology of traditional local media companies and tried his hand at forecasting the future in local media (always a topic I like!).

In “facts on the ground”, he offered the following:

  1. Search engines are the new browsers. This means the local media industry has to get used to paying “taxes”.  Perry would call it “owning” the third page of search.  It’s also one of the reasons why search engine optimization has become such an important notion in local media in the last 12-18 months.
  2. Usage is agnostic and context is king. We have to learn about context and accept its limitations (ex: mobile device).
  3. Information is getting smarter. Local media should own the context, not the content. It should rent the framework (work with technology companies that understand context and that worry about specifics 24/7)
  4. Publishers will sell what they don’t have (ex: [praized subtype=”small” pid=”10764fab856fb75ccc92cc5055c1997f21″ type=”badge” dynamic=”true”] ad network). They need to create what they need but sell what they can.  They need to manage capacity, not scarcity and they should focus on conversion.

On a cultural corporate anthropology level, he explains that directory publishers (and other traditional media firms online I would add) have been working like islands (with restricted access, a lot of editorial control and bespoke ad sales).  Currently, the activity on the Web is more like archipelagos (with aggregated data, user-generated content, more open access, and ad networks).  He foresees a future where we operate in “ecologies” (with federated data, semantic context, fluid distribution, and ad ecologies).

And, according to Canon, what does the future hold in local media?

  1. Smart contexts, smarter content
  2. Voice search and navigation (Google’s voice search on the iPhone come to my mind)
  3. Socially mediated commerce (i.e. leveraging online word-of-mouth)
  4. Dimensional consumption (i.e. personalization)

Update: Phil from Wellcomemat.com sent me this link to a video of the presentation.

What it means: one of the most insightful presentations I’ve ever heard at a Kelsey conference. I’ve known Mark since his Switchboard.com years (YellowPages.ca was running on the Switchboard platform from 1999 to 2002) and he clearly showed his experience in search and local/vertical media.  I especially like the following insights: a) adapt to the context (the Web is not Print, Mobile is not the Web) b) rent the framework (work with experts) c) build a local ad network (increase your reach!) and d) embrace socially mediated commerce (I believe word of mouth is the great local search disruptor).

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ILM '08: Mark Canon's Vision for Local Media

Mark Canon, President of New Media, [praized subtype=”small” pid=”133f6afd48025ab56a05c6d6f6dace27″ type=”badge” dynamic=”true”], had the opening keynote on Day 1 of the Kelsey Group ILM ’08 Conference.  He shared with us his “facts on the ground”, described the cultural anthropology of traditional local media companies and tried his hand at forecasting the future in local media (always a topic I like!).

In “facts on the ground”, he offered the following:

  1. Search engines are the new browsers. This means the local media industry has to get used to paying “taxes”.  Perry would call it “owning” the third page of search.  It’s also one of the reasons why search engine optimization has become such an important notion in local media in the last 12-18 months.
  2. Usage is agnostic and context is king. We have to learn about context and accept its limitations (ex: mobile device).
  3. Information is getting smarter. Local media should own the context, not the content. It should rent the framework (work with technology companies that understand context and that worry about specifics 24/7)
  4. Publishers will sell what they don’t have (ex: [praized subtype=”small” pid=”10764fab856fb75ccc92cc5055c1997f21″ type=”badge” dynamic=”true”] ad network). They need to create what they need but sell what they can.  They need to manage capacity, not scarcity and they should focus on conversion.

On a cultural corporate anthropology level, he explains that directory publishers (and other traditional media firms online I would add) have been working like islands (with restricted access, a lot of editorial control and bespoke ad sales).  Currently, the activity on the Web is more like archipelagos (with aggregated data, user-generated content, more open access, and ad networks).  He foresees a future where we operate in “ecologies” (with federated data, semantic context, fluid distribution, and ad ecologies).

And, according to Canon, what does the future hold in local media?

  1. Smart contexts, smarter content
  2. Voice search and navigation (Google’s voice search on the iPhone come to my mind)
  3. Socially mediated commerce (i.e. leveraging online word-of-mouth)
  4. Dimensional consumption (i.e. personalization)

Update: Phil from Wellcomemat.com sent me this link to a video of the presentation.

What it means: one of the most insightful presentations I’ve ever heard at a Kelsey conference. I’ve known Mark since his Switchboard.com years (YellowPages.ca was running on the Switchboard platform from 1999 to 2002) and he clearly showed his experience in search and local/vertical media.  I especially like the following insights: a) adapt to the context (the Web is not Print, Mobile is not the Web) b) rent the framework (work with experts) c) build a local ad network (increase your reach!) and d) embrace socially mediated commerce (I believe word of mouth is the great local search disruptor).

ILM '08: Mark Canon's Vision for Local Media

Mark Canon, President of New Media, [praized subtype=”small” pid=”133f6afd48025ab56a05c6d6f6dace27″ type=”badge” dynamic=”true”], had the opening keynote on Day 1 of the Kelsey Group ILM ’08 Conference.  He shared with us his “facts on the ground”, described the cultural anthropology of traditional local media companies and tried his hand at forecasting the future in local media (always a topic I like!).

In “facts on the ground”, he offered the following:

  1. Search engines are the new browsers. This means the local media industry has to get used to paying “taxes”.  Perry would call it “owning” the third page of search.  It’s also one of the reasons why search engine optimization has become such an important notion in local media in the last 12-18 months.
  2. Usage is agnostic and context is king. We have to learn about context and accept its limitations (ex: mobile device).
  3. Information is getting smarter. Local media should own the context, not the content. It should rent the framework (work with technology companies that understand context and that worry about specifics 24/7)
  4. Publishers will sell what they don’t have (ex: [praized subtype=”small” pid=”10764fab856fb75ccc92cc5055c1997f21″ type=”badge” dynamic=”true”] ad network). They need to create what they need but sell what they can.  They need to manage capacity, not scarcity and they should focus on conversion.

On a cultural corporate anthropology level, he explains that directory publishers (and other traditional media firms online I would add) have been working like islands (with restricted access, a lot of editorial control and bespoke ad sales).  Currently, the activity on the Web is more like archipelagos (with aggregated data, user-generated content, more open access, and ad networks).  He foresees a future where we operate in “ecologies” (with federated data, semantic context, fluid distribution, and ad ecologies).

And, according to Canon, what does the future hold in local media?

  1. Smart contexts, smarter content
  2. Voice search and navigation (Google’s voice search on the iPhone come to my mind)
  3. Socially mediated commerce (i.e. leveraging online word-of-mouth)
  4. Dimensional consumption (i.e. personalization)

Update: Phil from Wellcomemat.com sent me this link to a video of the presentation.

What it means: one of the most insightful presentations I’ve ever heard at a Kelsey conference. I’ve known Mark since his Switchboard.com years (YellowPages.ca was running on the Switchboard platform from 1999 to 2002) and he clearly showed his experience in search and local/vertical media.  I especially like the following insights: a) adapt to the context (the Web is not Print, Mobile is not the Web) b) rent the framework (work with experts) c) build a local ad network (increase your reach!) and d) embrace socially mediated commerce (I believe word of mouth is the great local search disruptor).

Breaking News: Infospace Sells Online Directory Business to Superpages

Just bumped into a friend while checking in at the hotel of the Kelsey Group Conference. He tells me Infospace has just sold Switchboard.com to Idearc (Superpages). Turns out Infospace has sold its whole online directory business to Idearc.

Excerpts from the Reuters article:

InfoSpace Inc said it agreed to sell its online directory business, including Switchboard.com, to Yellow-pages directories publisher Idearc Inc for $225 million in cash.

“What we did here was pick an asset that really the market was not valuing at all and turned it into real cash,” Bellevue, Washington-based InfoSpace’s CEO Voelker said by phone.

The 47 employees in the directory business are going to be offered jobs in Idearc, Voelker said.

The online directory business contributed about $17 million to the company’s first-half 2007 revenue of about $157 million.

The Kelsey Group blog has more info.

What it means: traffic consolidation. Superpages.com continues to build its online reach and frequency through this acquisition.

Insider Pages Acquisition May Be Announced Next Week

According to TechCrunch, InsiderPages has been sold to a public company. They add: “Our understanding is that the acquisition price is more than the total capital raised by the company, but not by much.”

SFDaddyo commented that “Rumor has it that they were for sale for less than $10 million”.

Peter Krasilovsky adds on The Kelsey Group’s blog: “I would speculate that possible purchasers are probably CitySearch, Yellowpages.com, or RH Donnelley. Theoretically, Yellowpages.com and RHD would have the most to gain from such an acquisition, since they could use the 600,000+ reviews as a building block for their own review archives. Yellowpages.com, in fact, has just rolled out a review feature, and it is going to be tough to ramp it up quickly. They could also use Insider’s crack tech team. But some people’s money would actually be on CitySearch as a buyer. While CitySearch wouldn’t incorporate the technology, it would like to get ahold of the 3 million+ unique viewers that come to the site every month. It could also gain from SEOing all the businesses that are covered. I bet there isn’t even ten percent overlap with CitySearch. Theoretically, City could also integrate “Insider Advice,” a Yahoo Answers-like feature. Still….$9 million or so is a lot for what are –basically– aging reviews.”

What it means: I had tried last week to do a “back-of-the-envelope” valuation model (based on the Switchboard.com acquisition by InfoSpace) which put their value at around three to four times the total raised by the company. If TechCrunch is right (and they’re usually pretty good!), my model was faulty as it looks like they we will be sold for a little
bit more than $10 million. Which might mean that the original investors will not get much out of the transaction (there were two investment rounds). I’m not sure Citysearch would get much out of Insiderpages though. I suspect the acquirer might be one of the big three US directory companies (YellowPages.com, RHD or Superpages).