Innovation: Newspaper App's

Mondays session I gave a presentation outlining the innovation of newspaper apps and their impact in combating the widely speculated death of the newspaper industry.

In my presentation I explained how the newspaper industry had suffered with the advent of the internet, mobile phone technology, 24hr news channels and a failure to change their business models from being primarily based upon advertising revenue. I continued by explaining how the use of newspaper Apps has allowed the industry to challenge the image of purveying yesterdays news and had could be used to regain lost customers who preferred a digital output. Under the future technology I speculated on a metamorphic aspect to app technology, even if future versions do not copy the original, the one button aspect of Apps and the development of real time news are certainly aspects that will always remain and will hopefully bring about a continuation of the product. One question I was asked at the end of the presentation focused on the end to the print medium, to which i replied that I believe that the newspaper and print industry could become a luxury item however innovation and adaption to a greater desirability are necessary for this to succeed. 

Paperight

During a Skype call with Arthur Attwell we discussed his business, Paperight. We talked about how his business was founded and how it functions in South Africa. He offers a service which allows copy shops to print out chapters of books for people in rural areas where there are few book shops. It particularly targets students who need specific chapters for their studies. It is beneficial to those who live far away from bookstores and also those who cannot afford to buy a who book, made in the traditional sense (bound with cover). It helps publishers to grow their readership in areas that would have previously been difficult to penetrate. At the end of the call we discussed whether the business had any long term potential and also how the copy shops receive the manuscripts of the books they are able to copy, as we were unclear due to the lack of internet connection in rural areas of South Africa.

Paperight - Innovation through simplicity

On Monday we had a Skype session with Arthur Attwell, a young publishing Entrepreneur from South Africa, and we discussed his experiences with the ebook market and later his print on demand company Paperight.
It was particularly interesting to note that South Africa's ebook trend is very slow in comparison to other countries - the means in which South Africans access the internet is only recently changing and people are still looking for alternative and ultimately convenient ways of accessing what they need. Therefore, the print on demand service that Paperight provides is more logical than developing ebooks and selling them as such.
With Education in particular being in such high demand in South Africa, providing it in a cheap format is key, as is allowing people to access only the areas they require rather than buy the full expensive textbooks. Paperight's scheme also has some potential for people looking at buying books in serial format, particularly people in low-income professions.
My particular concern with Paperight is advertising - though the scheme has potential for funding from Universities and other educational establishments, it is difficult to introduce it to people outside of education. It may become a particularly narrow market, and thus Arthur may need to continue his research into the growing mobile phone market in South Africa - a potentially more lucrative area as many South Africans are using phones with internet access.

Paperight

On Monday, the seminar group was fortunate enough to have a Skype meeting with Paperight founder, Arthur Atwell. This innovative publishing service solves the problem of the lack of literature in the rural areas of South Africa. Paperight achieves this by using photo copying shops as a print-on-demand service, allowing customers to print sections of books which they want, whilst cutting out a lot of the logistical costs. Atwell explained that this service was particularly useful for students and that since its creation the company had sold over 1000 books in this format.

However as this company is a completely innovative venture there is nothing to compare its figures to, and therefore it is unknown if these figures relate to success or failure. In my opinion, I think that this business has firm foundations and can succeed not only with books but with other forms of media also, such as newspapers and magazines. Although I do not believe it will be an overnight success, I think that the British publishing world should take note of Paperight as I believe the high street bookstore with become a thing of the past.

Response to Monday's Seminar (18/02/13)

During a Skype conversation with media entrepreneur, Arthur Attwell, we discussed some of the projects he is currently undertaking in South Africa. The conversation particularly focused on a print on demand service which he has implemented in copy shops in some of the rural areas across the country, where it is often difficult to access a required text. The service is specifically useful for students who require all or part of an academic publication. It is also beneficial to publishers as it expands the readership for their books; to printers as it provides them with the opportunity to print content from over 40 publishers and to the consumer as it eliminates the cost of distribution which reduces the price of the book. However, we did harbour some concerns as to the longevity of the business: Arthur is concurrently working on another project which allows students to read textbooks on their mobile phones. If the cost of broadband internet were to become more affordable for the general population then physical books may become less popular.

 

Response to Mondays Seminar (Paperight)

During Mondays seminar we were fortunate enough, to be part of a Skype conversation with Arthur Attwell. Arthur is currently undertaking a project in South Africa bringing rural areas the opportunity to print their own books via copy shops. This innovation in publishing removes the difficulty of distribution and the subsequent logistics of storage and transportation of full, physical books to districts that are hard to reach. By allowing customers to choose what books they want and what proportion of book they require, this print on demand (POD) format allows for a cheaper overall product as the cost of binding and production is done at a basic level therefore reduces the physical price. 

Currently Paperight has sold over 1000 books in POD format, the advantage of this process to publishers is that Paperight acts as a mediator for rights acquisition, by leasing the rights to copy the text to printers, the publisher gets a percentage (with the ability to set their own costs) of the overall cost of production, with Paperight acting as mediator to generate finances. The growth and potential of this POD style book distribution is massive, IF a variety of publishers become part of the project. During the conversation it was revealed that the job section of the national/ local paper is rented in a physical manner, if this could be become part of Paperights publishing materials it is easy too see that this endeavor is destined for success.

Despite the apparent, ease of success, I possess some concern. The steady growth of broadband capability within South Africa could lead to E-book/ tablet,  magazines/books being more popular than printing a physical product. This combined with the continued decrease in price of such luxury items as E-readers and tablets could make them more obtainable and therefore reduce the amount of sought after printed literature. However I believe Arthur is currently undertaking a subsequent project into mobile phones being utilised as books/ e-readers. In my opinion this would be a more viable option as mobile phone technology has fully integrated with current lifestyles and possess the opportunity to be used anywhere and used in a variety of ways from education, entertainment, personal development etc.

Respone to Paperight Seminar

In Monday’s seminar we engaged in a Skype discussion with Paperight founder Arthur Attwell. This provided us with a fascinating insight into his unique publishing operation which seeks to address the problem of distributing books in rural areas and those lacking bookshops. It is remarkable just how clever Paperight’s solution to the problem is, particularly as it is one that is so simple and easy to implement. Instead of sticking with the old model and trying to figure out ways of getting standard print books to hard-to-reach customers, the company utilises what these rural areas actually have to offer and adapts the product and distribution method accordingly. In doing so, the business manages to benefit not only themselves and the publishers, but local print shops also.

It will be interesting to keep track of Paperight’s progress in order see if it can become a sustainable and viable business operation. I also think the while the same issues of distribution are not necessarily applicable to the UK, there could still be valuable lessons from Paperight’s experiences for UK publishers. In an era where the position of high-street bookshops is becoming increasingly tenuous, it is worth bearing in mind that any business with a printer and an internet connection can be turned into a bookstore.

Paperight

In Monday’s session we examined Paperight; an innovative Print on Demand company operating in South Africa.  We had the opportunity to ask the founder, Arthur Atwell, about how the company and its business model work, and got an insight into what is required for successful innovation. 

Arthur emphasised that his simple idea is based on streamlining the traditional business model, which cuts costs and therefore increases profit.  This suggests that a thorough understanding of how the traditional business model works is essential for successful innovation. 

Arthur told us about people in Ethiopia renting newspapers to read the job advertisements, which has inspired him to consider venturing into this area himself.  This demonstrates that an innovator must be aware of the potential problems in the market they can solve, must stay up to date with current issues, and must be constantly thinking differently about their business and its function in the marketplace. 

It is also important for a business to be aware of its competition and be well connected.  Underestimation of either aspect could cripple a business, as both are increasingly important in the current marketplace. 

Response to Monday's seminar

On Monday we discussed how business models are effected by radical and incremental changes through four different ways, paradigm, process, product/service and position. The paradigm of a business model can be changed to fit the needs of the consumer should they change through technological advancements etc. The process  of the business model can be changed by how the consumer receives the product, such as through electronic resources. The product can be changed completely or the service that it gives could be changed. The position of the business could change through a change in target consumer or their main outlet to consumers. These are all innovative ways of looking at a business model. Monocle is a good example of this; it is a highly successful business because it has been innovative in the way it communicates with its consumers. Starting off as a magazine, it quickly expanded into using apps and radio to create an exclusive community for its consumers. It then created shops to sell further exclusive content for consumers. The company is a world wide business that can be reached where ever you are in the world, making it an incredibly powerful company, with an incredibly powerful business model at it's core.

Reflection of the Seminar

The seminar this Monday explored how innovation is essential to the ever changing business world. However, innovation does not always mean a complete overhaul of a business, it can happen in smaller, less drastic ways and still be as effective. Innovation has to produce value in order for it to work. It has to be researched and tested so that a business can sustain and survive.

Bessant and Tidd identify in their chapter, four ways in which innovation can be used. Product innovation, which is creating a new product or service. Process innovation, changing how products are made. Position innovation, changing how the product is put on the market and moreover who the actual market for the product is. Paradigm innovation, which is a change in the values of the company itself.

Innovation can happen in many forms and although the word is often used to describe a drastic change in a business, a simple change in how businesses behave can be just as innovative.

Innovation - Determining What Is Wanted

The success stories of innovative ventures are often heavily outweighed by the failures - determining the factors behind the failures is how companies advance and entrepreneurs spot the opportunities available.

Many success stories come from companies that didn't look at innovation as being a dramatic and radical change - or in some cases, what they saw as radical was something others saw as outdated. 

For example, in our seminar we looked at the magazine Monocle. In an era where many magazines saw the future as being firmly located in e-content, Monocle looked instead at the consumer market and determined a target audience - in this case, a wealthy, well-educated, middle-class, business-focused audience. To appeal to this market, Monocle funded itself with partnerships with groups that would appeal to this audience, and also considered multiple formats, including the physical copy. To add to the value of each format, they were made unique - different articles and designs in each one, and things like a 24/7 radio station for the online service.

The inclusion of an expensive physical format is something that is generally considered a backwards step for the magazine industry - surely devoting resources to the online format would be best. However, Monocle has managed to take this format and change it into an experience - something that its target audience would pay money for. The lifestyle and culture is what was key here in shaping the magazine's success - not merely rushing to the 'next big thing'.

Ultimately, innovation can come in many forms - in our seminar we looked at Product/Service (creating a new product or effect a product has), Process (changing the way the product is made/service provided/company is run in), Position (finding new and alternative target audiences and consumers), and Paradigm (changing the company's identity, aims and market). It is far more than a mere case of looking for 'The Next Big Thing'.

Reflections on Seminar

Innovation is key, and is necessary for the changing marketplace.  This idea is particularly relevant to booksellers, who must come up with an innovative way to refine their business model and compete with Amazon, and to the evolving publishing industry. 

Bessant and Tidd have outlined four key areas in which a business can innovate if the market demands it; they can change their product, the process by which their product is delivered, their product’s position in the marketplace, and/ or the paradigm of the business itself.  There are many examples of publishing businesses that have succeeded in innovating in one or more of these areas, for example Paper Lantern Lit but, equally, many have not. 

After the seminar, I now understand that any innovation must be thoroughly researched and entirely appropriate for the marketplace, as well as sustainable, or is it sure to fail.

Response to Monday's Innovation Seminar

Monday’s seminar explored the issue of innovation and enabled me to gain a broad perspective on this increasingly important aspect of the business world. Whereas previously I would have always associated the term “innovation” with massive change and breakthrough inventions, I now appreciate that innovation can come in many different guises.

Innovation is about creating value in new ways and this does not solely mean a radical product breakthrough but instead can include change on a much smaller scale such as a minor product update. A business also does not have to focus its innovation efforts on the product itself but can find new opportunities by also looking at the way the product is made or distributed or how it is positioned in the market.

However, what is key at all stages of the innovation process, whether it is a product, process, paradigm or positioning innovation and whether it is radical or incremental, is that one takes account of the big picture and pinpoints what the purpose of the change is. If a business is unable to adequately determine what they are trying to do, then this will make it ever more difficult for the innovation, and thus the business, to succeed.

Response to Seminar Discussion (on 11/02/13)

During Monday’s seminar, we discussed four ways in which innovation can be applied to a business model in terms of incremental and radical changes: an entrepreneur could create an entirely new product or update or improve an existing one; they could alter the process by which a service is brought to the consumer; change their demographic (or position) or alter the paradigm of the model to suit consumer behaviour and technological developments. We then looked at a real life example of an innovative business model: Paper Lantern Lit is an intermediary service between a publisher and an author. It aims to solve problems within publishing by hiring the best new authors and taking them step-by-step through the novel writing process. They generate all the ideas for their novels in house, by researching what the market requires, and then give the writer specific instructions as to how to write the book.