“It’s the only way forward”: Damian Radcliffe on why media organizations must diversify revenue streams

Renowned media commentator and analyst, Professor Damian Radcliffe (University of Oregon’s School of Journalism and Communication), will participate as an interviewer at Revenue North America in Austin, TX, on October 9th. In advance of the event we asked him to introduce himself as well as get his views and insights on current media trends.

A key interviewer at Revenue North America will be c one of the most distinguished analysts in world media. A three-time Knight News Innovation Fellow at Columbia University’s Tow Center, an Honorary Research Fellow at Cardiff University’s JOMEC, and a Life Fellow of the RSA, Damian also served as a Visiting Fellow at Oxford’s Reuters Institute for the Study of Journalism.

In advance of his appearance in Austin, TX, we caught up with Damian to learn more about his current role as well as garner his take on the latest media trends.

 

Could you tell us a little more about your personal background, where you live, and what you do in Eugene and the UoO School of Journalism & Communication?

I’ve been a journalist and media researcher for over two decades, with experience spanning newsrooms, regulators, academia, and the industry at large. Originally from the UK, after a stint in the Middle East, I moved to Eugene, Oregon, in late 2015 to join the University of Oregon’s School of Journalism and Communication. There I serve as a Professor of Practice and hold the Chambers Chair in Journalism. I am also very lucky to have multiple affiliations with other parts of campus and other institutions on both sides of the pond!

My research and ongoing journalistic work is focused on business and revenue models, digital trends, local news, and changes in journalism practice. Where possible, this is also weaved into my teaching, which focuses on areas like social media, podcasting and reporting, as well as the business of media. I don’t believe that anyone should graduate from journalism school without understanding the landscape that they are moving into; and the implications of this for the type of work that they will do.

Living in Eugene continues to be a wonderful experience, offering a balance of a vibrant academic environment and the natural beauty of the Pacific Northwest. Within 90 minutes drive you can be at the coast, or 5,000 feet up in the mountains. That’s pretty awesome! 

The only way for media to survive commercially now is through building diversified revenue models. Could you briefly explain to what extent you agree/disagree with that statement and why? 

I agree that building diversified revenue models is crucial for the survival and growth of media organizations today. Hopefully, that’s something that every media company “gets” even if turning that aspiration into a reality is not without its challenges.

The traditional advertising model has become increasingly unsustainable, especially with the dominance of tech giants like Google and Facebook and their impact on advertising markets. Yet, as I’ve seen with the annual World Press Trends report that I have written for the past three years for WAN-IFRA, advertising remains the leading revenue source for many publishers.

Despite this, media companies must more actively explore various revenue streams to remain financially viable. This could include subscriptions, memberships, events, branded content, and philanthropy, among others. This is a topic I’ve been writing about for some time, including the most recent edition of 50 Ways to Make Media Pay (which came out in 2021) and a giant hyperlinked listicle that I produced at the height of COVID which outlined 231 demonstrable revenue ideas.

Diversification not only helps mitigate the risks associated with reliance on a single revenue source but it also allows media organizations to be more resilient in the face of economic uncertainties. For instance, during economic downturns or ad market fluctuations, having multiple revenue streams can provide a buffer, ensuring that a drop in one area doesn’t spell disaster for the entire organization. The sudden impact of COVID-19 and shifts in tech algorithms have shown the risk of putting all of your eggs in one revenue basket. However, it’s also clear that ongoing digital transformation – and the culture changes required to make this work – are also difficult. That’s a topic I’ve also written extensively about!

Nevertheless, diversification, IMHO, is the only way forward. And I’m excited to hear at the conference about how different outlets are navigating this and their strategies for success.

What media organisations do you feel today are impressing you with regards to revenue strategies, and why? 

It’s impossible for me to not talk about The New York Times, because its transformation over the past decade (and the leaked innovation report) is remarkable. Of course, it helps that they have deep pockets and a marquee brand, but that’s no guarantee of anything! The Atlantic continues to go from strength to strength – both in terms of its reporting, but also events, subscriptions and other efforts, and it’s great to see that The Guardian has been able to prosper without introducing a paywall and instead relying on a voluntary contribution model. 

Semafor and Puck are interesting as relatively new players in a very busy market. I suspect they’re always going to be quite niche, but that enables them to cater really effectively for their audience.

Having also worked in B2B (for a time I was the Editor of the now-deceased TheMediaBriefing) Industry Dive always grabs my eye. And talking of niches, Skift is always one to watch.

That said, it’s interesting to see how Industry Dive, and other single-focused sites like The Points Guy, have been gobbled up by the likes of Red Ventures (disclaimer, I freelanced for them and their ZDNet vertical for nearly a decade) and Informa. The M&A discussion – as a tool for revenue growth and diversification – is one I’d like to see more about at industry events.

Looking at the future, how do you see Revenue Technologies shaping revenue growth and profitability in the media sector? 

Revenue Technologies are poised to play an even more significant role in shaping revenue growth and profitability across the media sectors. Innovations in artificial intelligence and data analytics are the areas I am most interested in, specifically in terms of opportunities for monetization, content diversification and operational efficiency.

I am curious to see how this impacts personalization and also opportunities for publishers to move into new spaces, as we’ve seen with FAST channels, for example. 

Additionally, given that what’s old becomes new again, It’s fascinating to see how micropayments and bundles seem to be on the table once more. Can technology support these efforts, by providing more flexible options for consumers? Paywalls and subscriptions often feel so rigid, and I sense there’s real subscription fatigue, so we do need to look at revenue technologies as a way to help us do things differently.

At Revenue North America in Austin, what conversations would you be interested in having with fellow delegates and speakers? What topics are front of mind?

At Revenue North America in Austin, I’m particularly interested in case studies and examples that tie into some of my current projects. That includes the latest annual World Press Trends Study (your readers can participate in the survey that underpins it here), as well as  the role of philanthropy and public funding in media, particularly at a local level.

I am also in the process of creating a new cross-cutting mass-lecture class for all of our journalism, advertising and public relations students. This will look at the Business of Media, diving into media economics, issues of digital transformation and ensuring that students in all three majors learn from one another. These silos are increasingly irrelevant in creative environments like newsrooms and agencies, so we need to replicate that in the classroom too. I am fascinated to hear what knowledge and skills industry leaders believe our students should graduate with, and what would enable them to stand out from the crowd.

Beyond that, I am always interested in hearing about success stories and innovations, especially in the realms of AI, audience engagement, partnerships and revenue diversification. This stuff fascinates me and I’m constantly looking to learn new things, not least so I can feature it in the teaching, training, research and journalism that I do!  

Anything else we missed?

I love to meet new people and hear new ideas. So, I am excited to be in Austin later this year! Although we face many challenges in the media industry, I remain eternally optimistic about the future. There is always lots of ongoing innovation and experimentation taking place and it’s great to be able to shine a spotlight on this, and to learn from it. 

Yes, we have to have honest conversations about the state of our industry, but it’s not all doom and gloom. This conference will, I am sure, challenge this negative narrative and offer a more nuanced and inspiring picture of where we are at, and where we are headed.

 

Meet Damian and your peers tasked with monetising media at our Revenue North America summit in Austin on Wed, 9th October. Find more information and sign up here. We hope to see you there!