Black Web 2.0 - Latest Comments in Black Media, Instead of Mimicking Blogs Why not just Acquire?

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Rod Robinson — Fri, 20 Nov 2009 22:30:39 -0000

Angela:

The issue you raise is a very good one. It is a question that I have often pondered relative to the lack to the lack of combination, collaboration and consolidation among black businesses (across various industries). I could take this discussion in so many different directions, but I will try to stay focused on the key question. Simply put, I think the key reasons for the lack of M&A activity among black media companies (and other industries) is fear of the unknown, an intense focus on holding the only keys to their kingdom's and lack of game experience. Despite the fact that key black media companies started entering the scene in the 1940's, mainstream media were in their second and third generation of family ownership by this time. Guys like Rupert Murdock and Ted Turner are the offspring of media moguls who grew up in the business. By the time they took over from their father's, they were in a much better position to take some of the risks that propelled their companies to new levels. Meanwhile, the likes of Johnson Publishing was still being run by their legendary founder who carried the burden of not only competing in an increasingly competitive industry, but also the burden of carrying the torch, pride of ownership....staying true to the vision for the community. If I were to liken this to a baseball game, black companies are only in the second inning. Black companies are still in that early phase where it's all about pride of ownership and doing it our way. However, there is a huge difference between creating a family business that you hope will last through multiple generations and developing a massively valuable asset that creates generational wealth. In the black community, there are several examples of the former, but very few examples of the latter (outside of Bob Johnson/BET). This needs to change and it will.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Wm_Tucker — Fri, 20 Nov 2009 19:35:25 -0000

Essentially, your question is about hiring the bloggers, not the technology. Until there's a blogger who demonstrates themselves as a viable commodity, e.g.; making $$$ with his blog, media companies aren't likely to view them as investments.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

marcellusalexander — Fri, 20 Nov 2009 15:19:02 -0000

Great Posting Angela,
I don't think traditional black media appreciates new black media enough to invest...Therefore it is black new media's job to get organized and make an EFFECTIVE pitch to old black media. It's time to make the case...i hate seeing black traditional media destroy the legacy that they created.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Angela Benton — Fri, 20 Nov 2009 07:43:13 -0000

LOL, Thanks! I look forward to being on the show as well. Will you be emailing details as we get closer to the show?

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Angela Benton — Fri, 20 Nov 2009 07:42:24 -0000

Thanks for the comment. I actually think the philosophy applies to all companies not just Black Media. If you are a majority owned company and you are trying to taget the Black audience via mimicking a blog the question still stands....Why not just acquire?

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Markus Robinson — Thu, 19 Nov 2009 11:20:14 -0000

If you read beyond the first three lines I think you will get the jist of the article. I believe the writer is pointing out the blatant imitation of black blogs by black targeted content sites. Instead of purchasing a black blog that has built a steady reputation and nice size community following, black media sites are creating their own and trying to compete. The article simply questions that philosophy.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

lfpe — Thu, 19 Nov 2009 00:55:33 -0000

None of the companies mentioned in the beginning of this article are black owned. So, what are we talking about here?

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

t.mill — Thu, 12 Nov 2009 13:42:05 -0000

Angela i truly enjoy your hard work and in depth dialouge. I look forward to having you as a guest on the show jan 11th, (lol i didn't forget.)

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Wm_Tucker — Sun, 08 Nov 2009 19:15:15 -0000

My short answer is a viable, stand-alone business model has yet to emerge for the blogosphere. As such, blogs and bloggers are seen as high-risk (read, 'poor') investments for already over-leveraged media companies. A preponderance of bloggers also reinforce this perception with their steadfast refusal to abide professionalism and common courtesy with their sites.

A more detailed hypothesis is 'Black'-owned media companies reflect either of two cultures: old school, 'Mom-n-Pop' ownership, or modern corporatism. The former seems complacent with reporting on the social comings and goings of the local Black establishment. The latter is fixated on making short-term profits above all other concerns. Both groups appear stymied by a lack of executive vision and political will within their ranks -- especially when it comes to integrating new technologies, such as Web 2.0.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Eric Easter — Thu, 05 Nov 2009 14:36:55 -0000

And I appreciate your criticism and listen closely. Nine times out of 10 I agree with it, as do the people on the mag side. It's always important to separate what decisions get made by the people holding the purse strings from those who are on the ground doing the work and pushing the ideas. The mag and the site have been sitting on substantial redesigns/functionality/content changes etc. for months as restructuring and other issues have pushed those efforts to the back. That's the case in nearly every major media company I know. I can happily - finally - say that those changes are about to be made and you'll start to see them across platforms soon, if not soon enough. And send me your info, I try to give a shot to everybody when I'm able.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

JS — Thu, 05 Nov 2009 14:22:21 -0000

I really appreciate your response. I wish you and Ebony/Jet the best. I was raised on the publication and have major respect for the doors you have opened and your legacy.

I still believe a new redesign would really help the publication in more ways than one. I am sure those that are often mentioned on this site would be more than happy to help you and your team out, if you let them.

Again best to you.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

ebonyjet — Thu, 05 Nov 2009 13:54:44 -0000

You'll have to ask the conferences about that but my guess is that trying to turn around a battleship is always an interesting story. If you've really read my posts then they should answer your questions and give insight as to why digital teams at old media companies hit brick walls when trying to make real and effective changes (financial, legal, refusal to be decisive, etc..). Hopefully they are a guide not for what changes big media can make, but which mistakes you should not make as a growing entrepreneur, and which opportunities you have based on the fact that old media companies will almost by definition be slow to adjust and perpetually behind. If you're looking for any old media company to suddenly "get it" then forget that notion. As long as the bigger check comes from print that's where the focus will be, unfortunately.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

JS — Thu, 05 Nov 2009 12:17:34 -0000

EbonyJet - I am intrigued by all of your comments. Mainly because I feel Ebony/Jet does not get it, in print and definitely on the web. I have been over to your site on numerous occasions and the structure and layout of the site is just so..... (photo gallery setup/integration, related articles sidebar, home page layout, ad spaces, and your featured blogs have not changed in months. Sadly I could go on.)

My question to you is what is your property doing to lift up out of the dead pool. I really think instead of commenting you and the team should be taking some notes for a redesign and editorial direction shift.

And this post if not to be disrespectful, but I feel if you have some of the answers and commentary on others, why is Ebony/Jet in such a terrible situation.

I am also puzzled why you and the Ebony/Jet team are invited to speak at digital/bloggers conferences. When clearly you should be an attendant and not a speaker or panel participant.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

ebonyjet — Thu, 05 Nov 2009 11:27:07 -0000

Writer4life deals with another major issue. Blogs don't make enough to get sued for some of the things they do. Once you bring a blog into the Big House all bets are off in terms of use of copyrighted material. It would be the equivalent of putting a target on your back. Almost immediately you'd be talking about satisfying a $100 - 600/day photo rights expense based on paying AP or Corbis or Wire Image $35-50 per picture on top of whatever amount you pay to acquire. That adds up after a while. That's why "safe" big publisher blogs can be so boring, they have much less flexibility to use tools that make independent blogs more fun.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

writer4life — Thu, 05 Nov 2009 11:09:09 -0000

This one is easy. Owners of print magazines are typically dinosaurs who don't really get the internet, much less what makes blogs successful. The talented editors who help the dinosaurs are trained to go through a slow process of editing news, fact checking, getting photo credits for images, etc. This is what keeps mags from getting sued.

Bloggers don't think about any of that..Many of them don't have original content and it's a rip and run process. You're asking two totally different mentalities to come to some agreement, where the dinosaurs pay the hip bloggers to break every rule they've implemented since they entered the business. Not gonna happen. They'd rather create their own "safe" blogs.

Or maybe you want the dinosaurs to make hip bloggers rich and take over their operation. It's a recipe for disastor. And when you add the African-American element, you bring in entrepreneurs who see their magazines as their nest egg or legacy. Who'd jeopardize that for some kooky online experiment they barely understand and can't manipulate?

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

JJ Fad Crew — Wed, 04 Nov 2009 22:30:26 -0000

@elbert, I agree to an extent. I do think a lot of these media companies undervalue what makes a good blog good. Sometimes there's just a certain 'it' factor of a personality or writer, sometimes they build credibility that's hard to recreate, and sometimes they just have more passion and tenacity than someone who's hired to do something similar.

It's the person (or people), their ideas, and their passion that make a good product good, not just the technology or content alone and certainly not just a solid business plan alone. In my mind, all those are the things are worth paying for.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

JJ Fad Crew — Wed, 04 Nov 2009 22:21:04 -0000

Technology or IP Asset acquisitions in this arena are definitely lacking. Black or Urban corporates (or whatever) not only have trouble when it comes to M&A from upcoming bloggers and startups, but they also don't even bother attempting to acquire startups period. Why leave the Twitters and the Facebooks of the world to the usual suspects, there are a lot of interesting things that could be done with properties like that, if the right people make the right offers early enough. Not enough risk taking if you ask me.

At the same time, I think most of the black tech startups that have been attempted (*cough*BlockSavvy*cough*) fail because they try so hard to authentically 'black', 'urban' or 'hip'. You know why people use web apps? Because they're useful, not because of the 'swagger' of whoever made them.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

MyBlack — Wed, 04 Nov 2009 21:51:32 -0000

Just two quick thoughts:

1) There are standards of value and premises of value. By most traditional "standards," the barriers to entry are low and the market size is relatively small. The premises of value mentioned (e.g. authenticity, brand awareness and loyalty) are not necessarily uniquely competitive.

2) Why is a market ever under served? Smart companies never buy blogs. (BTW, I do not think BW 2.0 is just a blog, and I'm sure you don't either.) Instead, smart companies acquire businesses with proven business models and/or an obvious strategic fit. This means that real innovation often requires empirical evidence, time and most importantly, commitment. This is especially true where people are predisposed (or prejudiced) to see no value.

Elbert E. McQuiller
My Black Networks, LLC
www.MyBlackNetworks.com
Because MyBlack is the New Black

P.S. I'm sorry, but not really surprised about Essence.com The recent criticism on BW 2.0 outlined the problem. Poor strategy and execution is absolutely unforgivable in a tough environment.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Tanya — Wed, 04 Nov 2009 12:35:57 -0000

The reason it doesn't make sense is that except for MTO (and maybe Bossip although I doubt it), no blog has the traffic to warrant an acquisition. YBF, Concrete Loop, etc just don't have enough of a readership.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

haziz . — Wed, 04 Nov 2009 10:55:34 -0000

some people have claimed that there is low quality, but really that has is because that is what has been encouraged.

Do you remember a cat from a black network claiming that we were not Bossip, just because we do not have that sort of traffic. But it is easy to get that celeb traffic, the difficulty is keeping thae quality.

I do not know if you guys have seen ICANHASACHEESBURGHER and how they have used the acquisition to start other blogs similar to it. there is really room for using acquisition to leverage domination.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

@KevitoClark — Wed, 04 Nov 2009 08:33:57 -0000

That'd almost be too much like doing the right thing and sorry to say it, but folks don't want to invest in something that has the potential to eclipse their own situation. Call it crabs, call it stagnant thinking, I say it's just a stale environment.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

AB — Wed, 04 Nov 2009 00:02:33 -0000

I sit and often think the same thing. Thanks for putting this out there. Best way for them to establish authenticity online.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Kevin McFall — Tue, 03 Nov 2009 23:15:57 -0000

Amen to your final point. Rely on the professionals you hire if you hire those with viable knowledge and expertise. That is management 101. On your initial point, I think while you are not positioning BW2.0 for acquisition, I certainly see it as a lynchpin property in a collection of sites that would compliment one another by superserving the urban audience in an authentic and comprehensive manner. I continue to explore resources and methods to execute on my vision for a series of acquisitions in this space.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Angela Benton — Tue, 03 Nov 2009 20:05:16 -0000

"Another solution is to acquire, but I only caution that what people are willing to do for themselves changes when they are under someone's thumb. Acquisition targets have to be ready for acquisition and all that entails."

Yep! Markus and I were just talking offline about this and what an acquisition might actually "look" like and what that would really mean for the blogger. I think some blogs would be prime candidates for acquisition and some won't.

Re: Black Media, Instead of Mimicking Blogs Why not just Acquire?

Angela Benton — Tue, 03 Nov 2009 20:01:55 -0000

"I don't see many bloggers making strategic investments and partnerships with each other."

Very true statement, I agree this needs to change as well.

"When you write the post about bloggers (who are looking to sell) should operate more like business, please note that they should not be so hard to deal with directly. Especially when their inventory is available for pennies at the networks."

I agree with this also. Great points!