Convergence and profits

Knowledge Mushohwe
It was in the late 1960s and early 1970s when computers were starting to be “domesticated” that the notion of convergence was first applied to great effect.
During this time, Western governments were finding value in electronic storing and retrieval of information, both public and classified.
Later, in the mid 70s technology experts realised that if there is need for a variety of information to be presented to a diverse consumer base, there would also be need for radical transformation of the database.

The idea of developing one big information dissemination system was first inspired by the proliferation of computer technology and in Western countries, by the time the 1990s came around, partnerships across platforms were regular.

For instance, the Tribune Company in Chicago launched a 24-hour cable channel called CLTV that used media personnel and content from the Chicago Tribune, a newspaper.

In most European and American markets of the time, pairing between broadcasting networks and newspapers were mostly viewed as “win-win” since there was cross-promotion of each other’s content.

The cross-promotional pact has stayed in place and, 20 years after the Chicago Tribune deal, Sky News carries a segment on reviews of the following day’s content for its sister newspapers and others every night.

But convergence is still only just taking shape, and any new technological development is very likely to be “sabotaged” by the reluctance of the old and comfortable that will always say no to change.

Media convergence will certainly become a bigger force in the future but technological advancements will need to keep up with information gathering dissemination and storage techniques.

Experts expect several changes in technology in the next decade.
Firstly, the creation and widespread use of digital content management systems within media companies is widely seen as the stimulant needed for allowing relatively easy delivery of information, textual, electronic and visual, across a variety of networks.

Secondly, experts expect increase in wireless Internet access, through cellphone or localized wireless systems that will allow easier and more efficient electronic connection between media houses and their consumers.

Thirdly, technology experts see the television transforming and giving TV sets attributes similar to computers.
Convergence will likely expand should television sets attain the capacity to send, receive and store digital content.

Lastly, technologists are anticipating some form of electronic newspaper, light portable devices with long battery life, with above average screen resolution and good viewability in bright light.

But convergence, particularly if it also involves free online services, needs careful planning.
Newspapers are in business to make money and if all the information on paid platforms is also available for free on the Internet, the profits are unlikely to be high.

Traditional print newspapers make their money mainly through advertising.
And with advertising on the web still very low and infrequent, newspapers are faced with the dilemma —should they make editorial content as widely accessible as possible and risk losing money, or should they withhold some information away from the free platforms to encourage the “free-loaders” to participate in their income-generating projects?

The Sun, one of the UK’s leading tabloid newspapers, has shown that it understands how to make their business viable.
Last month, the Sun revamped and instantly became a pay-per-view newspaper that displays limited content daily and encourages readers to subscribe.

The Sun realises that presenting every bit of their news on the internet for free has its disadvantages.
In every country, readership and circulation of the traditional print newspaper continues to fall, and convergence can only be useful if there are new ways of generating money to go along with new techniques of presenting news.

There is a need for the three main forms of convergence, ownership, tactical and structural to work in tandem for a convergence model work for all stakeholders, including journalists, media owners, consumers and advertisers.

With ownership convergence, it is important that the media organisation concerned share ideology, beliefs and ethical practice for information to flow smoothly from one platform to another.

Tactical convergence falls into three main areas, namely  content,  marketing and revenue enhancement.
Ways of how to improve content across the platforms, policies on advertisement and developing each model as a potential income earner should be very important when setting up convergence involving various channels of information dissemination.

The platform that requires the most attention is the web, because it is probably the weakest source of income, and because it is the most rapidly developing news platform as readers take advantage of cheap internet and free content.

If the internet is the future, then newspapers are far behind in devising ways to remain viable if the falling sales of the print versions are anything to go by.

Convergence ensures that media personnel grow professionally as they develop skills for news gathering, presentation and storage across various platforms.

But if one of the platforms is the website, and all information available elsewhere is presented there, with no or little money being generated there, then a new approach may be needed to form the foundation of the future of a media house.