Footnotes 2014

The Potential of Digital Publishing in Emerging MarketsJohn Wheeler

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Content DistributionNothing is Simple Anymore….

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Content DistributionThe World in our Hands…

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Content DistributionThe World in our Hands…

More handsets capable of browsing the web means more data usage.

By 2014, there could be over 5 billion personal devices connecting to mobile networks and over 400 million of those devices may represent the only means of connecting to the Internet that some people will have

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Content DistributionMobile Usage is Skyrocketing

According to a report from Stanford University and Kleiner Perkins venture capitalist Mary Meeker, three percent of all Internet traffic now comes from a mobile device, representing a four percent increase from just two years ago. In India, meanwhile, mobile Internet traffic has reached a whopping 60 percent, surpassing all desktop Internet traffic. And naturally, monetization of the mobile sector is growing at an equally impressive rate with an annual growth rate of 129% during the past four years.

Sales of mobile devices such as smartphones and tablets are expected to gradually increase over the next three years, moving more than 1.7 billion units in 2015. Meanwhile, sales of PCs and laptops are expected to remain relatively anemic with less than 400 million units sold. Furthermore, nearly 30 percent of adults in the U.S. own a tablet or e-reader, an impressive adoption rate considering that less than three years ago only two percent owned one of these gadgets.

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Content DistributionThe World in our Hands…

Smartphones will outstrip basic units in sales and growth

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Content DistributionThe World in our Hands…

Between 2012 and 2013 mobile data use doubled in sub-Saharan Africa and that figure is forecast to nearly double year-on-year over most of the next six years, according to Ericsson

Breaking it down by region, West Africa and Southern Africa account for the biggest portion of mobile users with Nigeria and South Africa the biggest countries for number of mobile subscriptions. The biggest increase in mobile users so far this year occurred in Nigeria, followed by the Congo, Uganda and Ghana.

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Content DistributionThe World in our Hands…

Most mobile connections — 62.7 percent, or almost two thirds — are basic 2G voice and SMS services.

Of the remaining third, about 27 percent have access to 2.5G for low-speed data, and just 11 percent have 3G access — never mind LTE or 4G.

As more and more infrastructure is built, however, data services and connection speeds are increasing.

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Content DistributionMobile Usage is Skyrocketing

Penetration rates are more healthy all over the world as well

Many regions – including those in the developing world – have penetration levels far in excess of 100%

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Content DistributionMobile Usage is Skyrocketing

When viewed through the lens of potential growth, Africa and South America are huge

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Content DistributionMobile Usage is Skyrocketing

Notice the difference in Urban vs Rural

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Content DistributionMobile Usage is Skyrocketing

Nigeria and South Africa are some of the most studied so good information and statistics exist for them

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Content DistributionMobile Usage is Skyrocketing

Nigeria and South Africa are some of the most studied, so good information and statistics exist for them

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Content DistributionNo End in Sight for Device Sales

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Content DistributionAndroid Remains the world Leader

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Content DistributionWhat Kinds of Content is of Interest?

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Content DistributionWhat Kinds of Content is of Interest?

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Content DistributionContent on Phones?

Key findings from “A Portrait of Today’s Smartphone User,” (OPA) include: 

Large smartphone app market: 96% of smartphone content consumers downloaded averaging 36 apps; 14% of all are paid.

Android leads iOS: At 46% continues to lead iOS (35%), with both platforms growing. Blackberry 16 and all other platforms 11%, declined rapidly compared to last year (25% and 14%, respectively, in 2011).

Smartphone users pay for content: 24% report that they have purchased content for viewing on their smartphones, with 22% having purchased video, 21% entertainment content, 21% books and 19% weather content.

Smartphone is the preferred media device for many: 54% of multiple mobile device owners prefer using their smartphone for at least one of a range of activities over PC/laptops and tablets.

Smartphone users watch plenty of video: 68% of smartphone users who watch video on their smartphones regularly watch short-form news and entertainment videos, which includes news, sports, TV show and weather clips; the next is user-generated content (e.g. YouTube), with 57%.

Smartphone users are cross-platform consumers: Smartphone users have strong cross-platform tendencies, with 84% identifying themselves as two-screen multitaskers (TV + mobile phone/tablet) and 64% identifying themselves as three-screen multitaskers (TV + PC + mobile phone/tablet).

Key findings from “A Portrait of Today’s Tablet User – Wave II”  (OPA) include

Tablets have become embedded in users’ lives with 74% using the device daily and 60% using it several times a day;Tablet users spend an average of 13.9 hours per week with their tablets;

92% of video watched on the tablet is short form news and entertainment -- which includes sports, weather, news and TV show clips -- followed by 64% viewing user generated content (e.g. YouTube);

Paid apps account for 23% of all tablet apps downloaded in the past year

The tablet app market has doubled with an estimated $2.6B spent in 2012, up from $1.4B in 2011*.

The survey also found that tablet users are increasingly becoming cross-platform consumers, with 32% of tablet users simultaneously using two screens for 3.1 hours per day and 29% simultaneously using three screens for 2.8 hours per day”. “The two and three screen audiences are also more likely to purchase a product after seeing tablet advertising, then the general tablet population, providing an incredible opportunity for cross-platform advertising campaigns.”

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Content DistributionWhat About Tablets?

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Content Distribution is Evolving -What’s the best Strategy?

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Content Distribution is Evolving -What’s the best Strategy?

The Challenge

‣ With the ownership of mobile devices (Tablets and Smartphones) skyrocketing, Publishers are seeking to reach the growing number of consumers want to access content on a mobile device.

‣ All of the major have one or more “Mobile Initiatives” in play and more importantly, we are fielding numerous requests from prospective customers looking for help with their mobile strategy.

‣ Publishers are looking for a partner who can provide an end to end

solution – creation, conversion, markup, enhancement, management and Distribution of content.

Content DistributionA Rapidly Changing Part of Our Business

Content DistributionA Rapidly Changing Part of Our Business

Replica digital editions

E-Readers

Smartphone & tablet apps

Website

53%

26%

51%

56%

46%

15%

22%

51%

Currently End of 2014

Other Android OS

Blackberry OS

Nook

Kindle

iPhone

iPad

3.1

2.6

2.4

3.0

3.4

3.4

Many publishers’ digital platforms are already profitable, and they expect profitability to grow significantly by end 2014

Publishers are producing many apps for many devices

Content DistributionA Rapidly Changing Part of Our Business

DISTRIBUTION

MANAGEMENT

ENHANCEMENT

MARKUP

CONVERSION

CREATION

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Content DistributionTraditional

Content DistributionFuture

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What’s the “Typical” Publisher Asking for?

“Low Friction”

• Make It SIMPLE

• Make It Work on Multiple Platforms

• Make It Low Risk

• Make It Global

• Make it Make Some Economic Sense

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Content DistributionVendors as Distribution Partners

Multiple Device formats– Apple– KOBO– Kindle– Nook

Content DistributionCompeting Formats and Displays

Multiple output formats– ePUB– .mobi– .prc– enhanced ePUB– PDF– HTML5

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Re - Flowable?Fixed Layout?

• Animation• Video• Audio• Interactive Exercises• Citations• Links• Footnotes• Maps & Geo – location• RSS Feeds

Content DistributionUp the Ante with Media Enhancements

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All with their own:• Production cycles• Programming needs• QA requirements• Applicability to specific Delivery Device(s) or Players

Who “Owns” the:• Production• Integration

• Imbedded• Downloaded from System

• QA• Graceful Degradation on Limited Devices

Content DistributionUp the Ante with Media Enhancements

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Content DistributionManaging Content & Media Enhancements

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Describe & Categorize

Control and Protect Assets for appropriate use

Search & Retrieve

Dynamic Assets – Assets used for multiple iterations and various platforms

Bulk Edit

From the perspective of the publisher there are a number of Business drivers to HTML5 for content distribution:

1) Multi-platform support - Because the application is pure HTML, there is no need to create separate applications for iOS, Andoid, Windows etc. The content can automatically resize to fit different screen dimensions. Different designs for Horizontal, Vertical, 1024, 960, 640, 480 are not required, and CSS3's media queries can be utilized to dynamically present the content based on actual screen dimensions.

2) Instant Updates - Because the content delivered to the Web application uses HTML, the publisher is not reliant on app stores to push out updates to their content

3) Restrictions – For Publishers that have complained about Apple's iTunes policies, guidelines and costs they can now create their own delivery model using HTML5 as the basis.

4) Pricing and Subscriptions - By forgoing the app stores, Publishers can control the pricing and subscription options. Cutting out the middleman means that the publisher no longer has to give up a percentage of their revenues to Apple, Google, Adobe or anyone else.

5) Mobile distribution: Every mobile phone, tablet, e-reader, and PC with a browser now supports enough HTML 5 to display almost any content. When you convert your content to HTML, you gain access to the entire mobile market without having to write a separate app for each platform.

 

Content Distribution - Leveraging HTML 5Business Reasons Galore

Technology Drivers:

According to the New York Times, “Engineers say the [HTML5] technology will make it possible to write web applications, accessed with a browser, that are as visually rich and lively as the so-called native applications that are now designed to run on a specific device, like an iPad or an Android-based tablet or phone.”

1. Less code. A common code base for web and mobile environments will reduce the amount of code that developers need to maintain, thereby decreasing the chances of errors that lead to broken links or other negative user experiences. IDG’s Consumer & SMB group, for example, is consolidating its PCWorld.com,Macworld.com and new TechHive.com websites around a common HTML5 code base – which Chief Technology Officer Aaron Jones estimates will be about 20% the size of the existing code base just for PCWorld.com.

2. Better SEO. Responsive design eliminates the need for a separate mobile site, which will make it easier to maintain backlinks and redirects and optimize around one set of search criteria. Content contained in Native “apps” are not discoverable by search engines

3. Retention. HTML5 is a cool new playground for developers, which publishers can leverage to keep their best developers in the fold. “I want my folks to be working on what gets them excited, and HTML5 is where they want to be,” said Larry Chevres, chief technology officer at New York Media, which is transitioning its NYmag.com and Vulture.com properties to HTML5

Content Distribution - Leveraging HTML 5 Technology Impact

“Future Proofing” the Publisher’s effort:

According to a survey conducted among nearly 500 individuals in the publishing industry by Book Business magazine in August 2012, 31% of respondents said they are using HTML5 as a rich media format, compared to 25.4% using Flash (39 percent did not know).

All indications are that circumstances will bring the number using Flash down: 56.6% of respondents said that not having content supported on new media devices like the iPad was their main complaint about their current rich media format. Fifty two percent of respondents said they are considering migrating to HTML5, compared to only 9.4% who say they are not.

Publishers want to address the widest variety of devices possible, but can have difficulty knowing which channels to prioritize. Because there is not yet  enough good market intelligence to predict which e-reader formats will win and which will lose, publishers need to be on all devices with content that can be leveraged as needed – HTML5 is the first real step towards “Author once, Publish Anywhere” With mobile and e-book use rising rapidly, especially in the education and STM markets, the trends are unmistakable. The only question for publishers is whether to prepare now or play catch-up later.

Content Distribution - Leveraging HTML 5 The Wave of The Future

… EPUB 3's base content format is now based on the XML serialization of HTML5 (XHTML5) [ContentDocs30], whereas EPUB2 supported two basic content types: a profile of XHTML 1.1 and DTBook [OPS2] (a semantically-enhanced markup focused on accessibility concerns).

… The XHTML document type defined by this specification is based on W3C [HTML5], and inherits all definitions of semantics, structure and processing behaviors from the HTML5 specification unless otherwise specified.

… In addition, this specification defines a set of extensions to the W3C HTML5 document model that Authors may include in XHTML Content Documents.EPUB Reading Systems conformant with this specification are only required to be able to process a conforming EPUB Content Document.

Readium™, a project of the International Digital Publishing Forum (IDPF) is an open source reference system and rendering engine for EPUB® publications. The latest version, EPUB 3, is based on Web Standard technologies such as HTML5, CSS, JavaScript, SVG, and the DOM. The overall aim of the Readium project is to ensure that open source software for handling EPUB 3 publications is readily available, to accelerate adoption of EPUB 3 as the universal, accessible, global digital publishing format.

Content Distribution - Leveraging HTML 5 The idpf and EPub3

Content DistributionChanges in the Publishing Culture

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Embrace collaboration (Editorial, Digital, Technology). Unify Print & Digital

Product Planning (Digital & Print output to be a part of Unified Strategy)

Cultural Change for Print & Digital (Editorial group includes programming)

Communication & Review

Change Control Management / Governance

Develop a Pilot/Proof of Concept with Stakeholders and Sponsorships

Content DistributionNew Approaches in Developing for Education

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TEXT

ContentModules Pages Lessons Courses Curriculum

We’re not publishing PAGES, but publishing CONTENT as assets which are then organized by metadata dynamically into pages.

John O’DonovanBBC & Publishers Association

Manufacture

• Basic Content Production• Conversion(s)• QA• Upload• Device Specific Testing

Distribute

• Delivery Platform• Device• App Store(s)• e-commerce

• Purchase• Subscribe• Trial Usage• Discounts• Vouchers

Content DistributionWhat About The Money?

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‣ Apple iPhone/iPad (iOS)

‣ Android Tablets/Smartphones (Google Play)

‣ HTML5 ‣ Desktop

‣ Mobile

Content DistributionAvailable On All Of The Important Platforms

•Accept any content as PDF, XML or e-pub.

•Content can contain audio / video / hyperlinking / overlays

•Full bookmarking / footnotes / internal linking

•Distributes across a range of AppStores (Apple / Google / Windows)

•Integrate single user account across AppStores - content consumers are not locked into any single one device ecosystem

Content DistributionA Progressive Solution

Content DistributionA Progressive Solution

Support for Non European Languages

•Low Set – up Costs for Content and Customer Management

•Support in-App single and subscription purchases

•Support of out-of-App single and subscription purchases

•Future Proof in Platforms or Devices

•Each App is an online retail store to each Publisher

•Handle all money matters relating to online sales

•Full analytics on downloads and sales

Content DistributionA Progressive Solution

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Content DistributionMobile Usage is Skyrocketing

The Titans Know:

‣ There is a reason that these gents are on top of the world!