eReading Services- evolution or revolution

Helene Juhola, Director R&D

Viestinnän Keskusliitto (Finnmedia)

eReading project – why?

In 2011 half of the 2,1 billion internet users are using other devices than traditional computers (IDC)

eReaders and tablet computers are potential mobile media devices

Publishers have to rethink their position in the content value chain

Source: Suomalainen Kirjakauppa

- USA Q4/2010

eBook market in US 8,7 % at the end of 2010

Similar development in Germany, two years’ delay

Low prices, unprofitable revenue share

In Europe publisher’s role is more relevant:

• fixed prices

• small markets

• distinct languages

Aalto / Econ

eReading objectives

To accelerate the new emerging horizontal market for paid contentservices

• by involving most important players in the media sector

To create a content and consumer driven model for distributing paid media content to different devices

What is needed and studied?

Superior media and purchase experience

New product and advertising concepts with value addingfeatures and services

New content based businessmodels and earning logics –new revenues

Advanced technological enablers, standards and transparent horizontal user interfaces

Trials, demos, user testing

Open platform tablet paperHBL + Mederra

eReading Services business models

International bencmarking (concepts, pricing, collaborative platforms)

Four main models:

• Digital replica of printed product – closed platform

• Applications – closed platform

• Digital replica of print content – open platform

• Web based (HTML5) – open platform

Survey on copyright issues

Growing importance of interactivity and social media

Media ExperienceeReader Devices, Software & eBooks

Insights:

Users

Devices

Software

Content = eBooks

Improvements Needed:

Devices: Light-weight, few but clearly marked buttons, fast screen refresh

Software: Navigation & Menu, Visual Bookshelf, Typeface

eBooks: Navigation, Cover Icons, Spacious Headlines

913.4.2011NEXT MEDIA - A TIVIT PROGRAMME

Typical Users:

Mobile reader

Literature enthusiast

Multimedia user

Aalto SAD

Media ExperienceContent Types & Presentation Style on news

Factual Newsmore interesting, important for oneself, and trustworthy

Entertainment news more pleasant and understandable

Presentation: News with text & audio are more arousing than text only or audio only

News with text & audio creates highest satisfaction, only text or only audio less

1013.4.2011NEXT MEDIA - A TIVIT PROGRAMME

Aalto CSI, Econ/CKIR

Emotion

Cognition Behavior

eBooks in the cloud

E-kirjat ostetaan verkkokaupasta Ostetut e-kirjat tallennetaan

järjestelmään käyttäjän omaankirjahyllyyn

KIRJAVARASTO

Kirjahyllystä kirjat voidaannoutaa PC:n avulla…

…lukulaitteille

Tai langattomasti…

…älypuhelimiin…tablettitietokoneisiin

E-kirjoja voi myösostaa mobiililaitteilla

E-kirjat ostetaan verkkokaupasta Ostetut e-kirjat tallennetaan

järjestelmään käyttäjän omaankirjahyllyyn

KIRJAVARASTO

Kirjahyllystä kirjat voidaannoutaa PC:n avulla…

…lukulaitteille

Tai langattomasti…

…älypuhelimiin…tablettitietokoneisiin

E-kirjoja voi myösostaa mobiililaitteilla

eReading research platform

Enables new concepts based on evolving future standards for

• content creation

• publishing and aggregating

• consuming and sharing

search

contentrepository

HTML5

iAppindexer

serverclient

DRM

ads

userstats

accesscontrol

VTT, Metropolia

HTML5-based reader for tablets

HTML5/CSS3-based electronic news service realized for a case newspaper – Helsingin Sanomat

Single source base for multiple device platforms

Near native like functionality

Search services

Newspaper1

Article 1 - n

Header 1 – n

Id-numb

er

Section

category

Images

….

XML description

Devices with html5-

compatible browser

Editorial system

VTT, Metropolia

Other impacts

Knowledge on a new level

6 master’s theses, 6 doctoral theses interlinked

Tailored training and courses on graphic design

Collaboration – ”like on family”

Positive publicity and visibility

International interest – EU FP8 initiative

Legislation

- Digital VAT

- Online piracy

Standards

- ePub

- DRM

- Onix

Publishers

- Content availability

Retailers

- Multichannel stategy

Common PPP issues in Europe –book business

Modified / Original source Random House, 7.4.2011, Paris

Target - Business concept development

Common Service

Platform

”Kiosk”

News Publisher

A

Software provider

Service provider

A

Payment system

provider

News Publisher

B

Magazine

Publisher

A

Book Publisher

B

Service provider

B

Editorial

Systems

Content

Mgmt.

Publishing

Digital

Store

Content

and

packaging

Payment

accounts

Customer

CareApps Device Connectivity

Advertising Networks

Content and

Commercialization

System

Developer,

software

Publishing

Copyrights

Advertising

Store and

Digital

Marketing

Customer

identification

Revenue

sharing

Customer

Data

Mgmt.

Apps

Development

And

Production

Apps

in use

by

Consumer

Telecom

Networks;

Operators

And the partners