January 04, 2009 Archives

2009-01-04 19:40:38

The Business of "New Media" Isn't New

The Business of "New Media" Isn't New
By Michael J. Kellat

A Commentary
As Prepared For Delivery

Warning. This commentary in fact represents the official views, policies, and procedures of Erie Looking Productions. The same cannot be said of LISHost. Listener discretion is encouraged.

What does it take to put together a media production? Recently Identica creator Evan Prodromou wrote on his blog complaining about the NPR podcast of This American Life. Specifically Prodromou was uncomfortable with how they asked for money. In his post Prodromou noted multiple ways technology could be used to reduce costs.

While focusing on technology is something that even librarians do when it comes to new media, there is a problem. Without experience in the production of media, one might think that that is the biggest cost. In reality, it isn't. The biggest costs are human capital and fixed overhead. Oddly enough, media outlets do share that in common with most libraries out there.

Lining up stories is not as easy as it seems. Listeners only ever get to hear the end product. Blake Carver gets to share with my crew here in Las Vegas in the many defeats that happen every week when we cannot get interviews. Our biggest problem is that we make it look too easy. Interviews can sometimes take a month to arrange such as the recent one with Felicia Day. Some interviews never happen as it comes down to a couple tech people we couldn't find common ground with to talk after a week's back and forth.

Production takes time and coming up with pieces takes time. If you like high quality content, rarely is it thrown together at the last minute. It takes time to develop stories and get them together. This can run 8-10 hours per day at a minimum every day of the week for Stephen and to a lesser degree for myself. While most librarians really don't like to hear about the stories we're working, Stephen has to keep Blake in the loop with a somewhat complete picture of what I am producing. Occasionally we can sneak in a surprise but that is pretty rare these days.

In the published annual budget proposal for LISTen it runs $78,000. About $41,000 is set aside for labor costs. Split between two people, that's kinda barely above the poverty line. There are no benefits like health care or retirement figured in. All that does is keep a roof overhead and keep crew somewhat fed. A small dedicated facility would not even be covered by the remainder of that budget cost but we have a moving cost built-in in the event we have to go for such. An adequate sized facility would run about two thousand square feet and would cost at the least $1.25 per square foot per month not including utilities and other sundries. One must not forget the taxes owed to Caesar...regardless of which Caesar it is. Between the City of Henderson, Clark County, the State of Nevada, and the US Government there is quite a cost burden there.

Regardless of whether stories appear in print, on the radio, on television, or on an iPod you have to face the tremendous cost of human capital and overhead costs. These things do not come together by themselves. One of the greatest fallacies of the Amazoogle world is thinking that they do and that technical training as well as journalism school let alone experience is irrelevant.

Without the traditional means of funding such as classified ads and other advertisements, the only way to fund things short of going to a paid access model is to ask for support. It is very hard to advertise to a planetary audience when your potential advertisers are mainly local and the national advertisers won't talk to you as you're not big enough. The only business model that is viable right now is the PBS/NPR model of asking for money or finding someone to underwrite the operation.

Will you go forth in ignorance or instead be enlightened?


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