Yes, even the Reader’s Digest …

Reader's Digest logoAs print magazines have been hammered by falling advertising revenues and as eyeballs have shifted from paper to PCs, the one publication one might think would be spared much of the fallout is Reader’s Digest. With its readership skewing older along with its strong popularity across the entire income spectrum — not to mention its 8 million domestic circulation — it would seem to be the media property best able to maintain a strong position in the current environment.

Well, you can burst that bubble. This past week, Reader’s Digest announced plans to shed some 2.5 million subscribers. It also announced that it is reducing its frequency from monthly to just 10 issues per year.

Plus, like other consumer magazines, Reader’s Digest is expanding its digital presence. Just listen to how Eva Dillon, Reader’s Digest president and group publisher, puts it (in florid language): “As one of the world’s largest producers of original content, we will continue our transformation into an innovative, multimedia brand by delivering content to users whenever and by whatever means they want, through expanded digital and print investments and the development of new mobile, video and multimedia applications.”

Translation: The print model isn’t working anymore, so we’re trying what everybody else is doing. We’ll see how it goes.

Of course, let’s not forget that Reader’s Digest is the world’s largest transnational magazine brand. When you add up its 50-odd country editions around the globe, its circulation tops 14 million.

So this brand isn’t going away anytime soon. But it is interesting to see that despite its unique (and enviable) position in the publishing world, Reader’s Digest is having to deal with the very same issues as everyone else in the industry.

This just in: The organization stinks. Now, what are you going to do about it?

I Hate People BookI’m in the midst of reading an interesting book with a provocative title: “I Hate People!: Kick Loose from the Overbearing and Underhanded Jerks at Work and Get What You Want Out of Your Job.” (Little, Brown Publishing, ISBN-10: 0316032298 … also available in a Kindle edition.)

I think this book takes some risks. It certainly bursts a few bubbles in the conventional thinking about organizations and how they work. If you read it, be prepared to discard some of those platitudinous notions about shared mission and vision, organizational behavior, teamwork, matrix management and all the rest.

Coauthored by Jonathan Littman and Marc Hershon, this book fearlessly tackles the thing many workers know but are afraid to say out loud: Every day they come in the office, people have to deal with colleagues who exhibit a host of traits they frankly can’t stand.

We’re well familiar with the types … and Littman and Hershon give us catchy names to describe them, such as:

“Stop Sign” — the person who always finds something wrong or unworkable with the latest idea/product/strategy/solution being proposed. (And isn’t it interesting how many of those issues would entail that person having to contribute a bit more time and effort of his or her own?)

“Switchblade” — be very careful of these people … they’re highly dangerous when you’re not looking!

“Happy Face” — you know, the folks who approach their work at the office the same way they circulate at a cocktail party or spend an evening at the country club.

Or “Time Waster” — there’s no explanation at all needed for this common specimen!

The idea of “teamwork” comes in for pointed criticism by the authors as well. In theory, teams are all about working together to achieve consensus and implement better programs or initiatives that everyone can support. Littman and Hershon remind us that too often, teams produce nothing more than mushy “group think.”

And the bigger the team, the more tepid the results. The authors contend that only a few team members carry their own weight; the others can get away easily with little more than just showing up at meetings. For this reason, we’re advised to join teams of no more than four or five people, where “hiding in plain sight” is far more difficult to pull off.

A good thing about this book is that instead of presenting a litany of problems and then just leaving the entrails on the floor, Littman and Hershon provide ideas for how to work around all of the mediocrity and the frustration. They sugggest practicing “solo-crafting.” What’s that? Basically, it’s taking it upon yourself to “just do it” rather than passing the buck or relying on others. Or, as the authors put it: Stop talking, stop acting, start doing.

The book is quick to point out that solo-crafting doesn’t mean becoming a loner or maverick. It also doesn’t mean becoming a peacock, screaming “Look at me, I’m so great!” — just the kind of person everyone loves to hate.

Instead, by accomplishing more while working within the orgnizational structure, Littman and Hershon contend that you’ll find yourself being recognized for your ability to actually accomplish what others simply give lip service to. And that will result in being asked to perform more key tasks, with more opportunity to be recognized and rewarded for a job well done. Solo, of course.

Hype and Hope: The Twittering Machine in Action

Twitter logoOver the past few days, we’ve heard reports of how the post-election demonstrators in Iran have been using Twitter as a means for organizing protests, moving crowds from neighborhood to neighborhood to keep one step ahead of the armed authorities … and to upload images and video clips of the demonstrations to broadcast to the rest of the world. Twitter has played an important (and successful) role in engineering a “grand workaround” scheme, thwarting a government-ordered news blackout.

We saw the same phenomenon play out in the Eastern European country of Moldova just a few months back.

Viewed from this perspective, Twitter seems to be living up to its billing — in spades.

But there’s also research that shows another side of the coin. A just-completed Harvard University study of 300,000 Twitter users has found a classic rule of behavior in force: just 10% of users are generating more than 90% of the content on Twitter.

It goes even further than that. The average Twitter user “tweets” about once every 75 days … or even less frequently. And the median number of tweets made per person is … One!

That’s right. More than half of the 300,000 people in the Harvard study have sent just one tweet ever. It was with dry understatement that Bill Heil, the Harvard Business School graduate who carried out the study, reported, “Based on the numbers, Twitter is certainly not a service where everyone who has seen it has instantly loved it.”

I have an additional explanation to offer: Perhaps most people haven’t (yet) figured out what to do with Twitter to make it meaningful in their lives.

It didn’t help that Twitter itself set the bar at a pretty low level right from the start by suggesting that users answer the question: “What are you doing?” How inconsequential is that?

As it turns out, the trivial isn’t where Twitter has found its true voice.

Indeed, ask the Iranians or Moldovans whether Twitter has been meaningful in their lives. You’ll get a life-and-death answer in the affirmative.

Risë Stevens: A Living Legend

Risë Stevens poses with a young Gen-Y fan, New York City (2006).
Risë Stevens poses with a young Gen-Y fan, New York City (2006).
Risë Stevens as Carmen, her signature role at the Metropolitan Opera for 20+ years.
Risë Stevens as Carmen, her signature role at the Metropolitan Opera for 20+ years.
Risë Stevens (c), honorary chairperson of the 2004/05 Career Bridges award program supporting promising young opera singers at the outset of their careers.
Risë Stevens (c), honorary chairperson of the 2004/05 Career Bridges award program supporting promising young opera singers at the outset of their careers.
This past week, a living legend in the world of the arts has celebrated a birthday. When Risë Stevens was born in Bronx borough 96 years ago, New York City was very much like it is today … the largest city in the United States, with a rich ethnic diversity including many first-generation immigrants. A city of amazing contrasts, from dirt-poor neighborhoods to districts of fabulous wealth and style.

Miss Stevens’ background was typical of many. Her father was a first-generation Swedish Protestant, her mother a second-generation Russian Jew. Growing up on the tough neighborhood streets of the Bronx, the bright lights of Manhattan must have seemed a world apart rather than just a few short miles away.

In her rise to the top of the billboards at the Metropolitan Opera, Stevens would have her share of luck – the onset of World War II in Europe gave American-born soloists their best chance ever to star in the limelight. But it also took years of practice, sheer hard work and “paying her dues” on provincial stages in places as diverse as Prague and Buenos Aires. Much of those early years are recounted in her biography Subway to the Met, published in the late 1950s.

Miss Stevens’ rich mezzo-soprano voice, coupled with her highly attractive physical appearance, made her a natural for several femme fatale operatic roles such as Dalila in Saint-Saens’ Samson & Dalila, Giulietta in Offenbach’s The Tales of Hoffmann and, most notably, the title role in Bizet’s Carmen. But early in her Met career, management seemed disinclined to cast her in this role, perhaps because several other stars were already filling the honors there. Not willing to accept this situation, Stevens did a true star turn, getting herself cast opposite Bing Crosby in the Hollywood blockbuster movie Going My Way in which, as Father O’Malley’s erstwhile neighborhood chum and now star of the opera, she sang the famous Habañera from the opera Carmen.

That seemed to do the trick, as the American public now clamored to see her sing the role. Dutifully, the Metropolitan Opera cast her as Carmen within the year, and for the next two decades, Stevens would practically own the role at the Met. (And it was as Carmen that Stevens made her last performance before retiring from the Met stage in 1961.)

The number of people who were introduced to the world of opera through Miss Stevens during the 1940s and 1950s is astonishingly large. Her compelling portrayal of Bizet’s cigar-factory worker temptress has been cited as THE defining catalyst for opera lovers in countless postings all over the web (you can read some examples here, here and here).

But beyond the limelight and the marquee board, there is another reason why Risë Stevens has been loved by so many: she has always been true to herself, and to her art. You can see that in how, despite the fact that she probably made more money starring in just three Hollywood films than she made in her entire career on the opera stage, she left Hollywood and returned to opera because it was her true love.

… You can see it by her loyalty in promoting the art of opera and her beloved Met Opera company. Even today, she remains on the board of directors of the Metropolitan Opera Guild, making her association with the company more than 70 years running.

… You can also see it in her compelling “up-from-poverty” personal story … and in her long and loving 65+ year marriage to her Viennese-born Hungarian husband, Walter Surovy.

And you can see it in the genuine interest she takes in people of all backgrounds and generations. Unlike so many stars who, once they are famous, become absolute personality horrors – full of arrogance and snobbery — Risë Stevens has never lost her connection to the “real world.” My own two daughters have carried on a correspondence with their “Miss Risë” for 15 years, who they’ve come to regard as a kind of special relative who lives far, far away and is larger than life in some respects.

From them, and from so many others: Happy Birthday, Risë … and may you celebrate many more!

Bing Search: Pike’s Peak … or Halley’s Comet?

Well, it didn’t take long for the marketplace to render its verdict on the Bing search engine phenomenon. Fueled by a multi-million dollar advertising rollout plus an aggressive PR push, web tracking service StatCounter has reported that Bing actually vaulted past Yahoo to become the #2 search engine … for one day.

That’s right. According to StatCounter’s data, on June 4th, Bing captured over 15% of the U.S. search share market, while Yahoo had only around 10%. By the next day, Bing’s share had dropped below 10% while Yanoo notched up a point to 11%. And by Day 3, Bing’s share had fallen still further to just under 7%.

Think it couldn’t get worse? The day after that, Bing was mired below 6% share.

Similar results were recorded worldwide.

What’s behind the primal shrug that Bing seems to have met in the marketplace? Certainly, all the PR hype was successful in getting people curious enough to click through and do a bit of tire-kicking. But it’s obvious that most weren’t particularly impressed by what they experienced, despite the fact that Bing does provide some user-friendly features not available over at Google.

But that’s not nearly enough for success. Google’s users are, by and large, quite satisfied with the search experience. It’s what they know. It’s comfortable. And unless there’s a compelling reason to switch — to change deep-seated habits — most people simply aren’t going to play ball … whether you put millions of dollars in advertising behind your pitch or not.

The folks at Google might have been shaken a least a bit on June 4th when their market share of search dropped to 72%. But they needn’t have worried. Four days later, Google’s share was back up to 80% — where it had been to begin with.

Next case, please?

More Action on the Search Engine Front

Bing logo designWolfram Alpha logoDespite the fact that Google has proven itself to be all but immune from threats posed by competing search engines, hope springs eternal. Within the past couple weeks alone, two new challengers have emerged, accompanied by much fanfare in the business press.

Microsoft takes yet another swipe at Google with its new Bing search engine. Based on an earlier one called “Kumo,” some industry observers — though not all — believe it is a pretty good competitor. Reviewers are particularly pleased with the presentation of refined versions of search queries. Bing also features a rollover display of each link’s content, allowing you to see how useful it will be before clicking through to the site.

The search engine also appears to index more recent “breaking news” items, whereas with Google, those results are not shown unless you click through to Google News — an extra step.

The big question is whether Bing will be able to wean web users away from their habit of searching on Google as their default choice. Certainly, Microsoft is putting some serious promotional dollars behind the launch — upwards of $100 million according to Advertising Age magazine. But based on the tea leaves, a wholesale change in search behavior seems unlikely. Search habits aren’t going to change dramatically unless there is a dramatic improvement in the effectiveness and speed of search activity. Fom what we see of Bing so far, we’re talking about improvements nibbling around on the margin rather than big sweeping change.

But “big sweeping change” just might be the recipe for Wolfram/Alpha, the other new entrant in the search engine sweepstakes. That’s because W/A isn’t actually a search engine in the classsic sense. Instead, its developers refer to it as a “computational knowledge engine” that uses complex algorithms to search databases to come up with answers to questions, rather than presenting a list of sources where the answer might be found. It can report some really cool factual results just based on the user typing in, for example, a date range, several city names, or an animal species.

The key difference between Wolfram/Alpha and Google is that W/A does not index web pages. Instead, it draws answers from a wide range of information-packed databases. So if you want to know the number and magnitude of hurricanes hitting North America in the past 15 years, you’ll get a specific answer rather than being presented with a series of web links wherein you might find the answer to be hiding.

Some observers see the potential for W/A and Google to team up rather than compete against one another. After all, what they do isn’t directly competitive, but in more respects complementary. And in an interesting twist, it turns out that Stephen Wolfram, the ~50-year-old computer scientist and developer who created the software platform upon which W/A is based (called “Mathematica”), once supervised a summer intern by the name of Sergey Brin — who would go on to develop Google with partner Larry Page.

Sergey and Stephen teaming up once again would be quite the coincidence … or would it really?

Even John Q. Public doesn’t believe newspapers are going to survive …

It’s not just inside observers who are predicting the demise of the printed newspaper. The “Great American Public” seems to be well clued in to the problems of newspapers also. In fact, a poll released by Rasmussen Reports on May 12, 2009 reports that fully two thirds of adult Americans believe daily papers will disappear within the next ten years.

Even more dramatic, nearly one in five respondents think that it will happen within three years.

When two thirds of all adult Americans predict daily papers will go the way of the dinosaur within the coming decade, that’s big news. No longer is this just a discussion among industry insiders … it’s crept into the popular culture. That’s yet another big danger signal for the papers.

All of this is underscored by Rasmussen’s findings that a majority of Americans (56%) purchase a paper once per week or less — and 37% rarely or never buy a print version of their local paper.

In a possibly related development, Rasmussen’s surveys report that the credibility of newspapers and other media has declined in the public’s eyes. For example, only about one in four respondents has a favorable opinion of the New York Times. That may be a new low for a paper that likes to think of itself as America’s #1 print news source.

The most recent Newspaper Association of America’s financial figures are showing that newspapers have lost a whopping $18 billion over the past three years in their print operations. And while many papers have been counting on their online operations to counterbalance all of this red ink, total Internet revenues over the same period amounted to ~$9 billion — not nearly enough to erase the losses on the print side.

Of course, as this is 2009, the story would not be complete without government officials coming to the rescue, offering their share of interesting proposals. But how does the public feel about these efforts by politicians to save the newspapers? Nearly 40% favor federal government subsidies to keep newspapers in business … but slightly more than half feel it’s better simply to let them go out of business.

It will be interesting to see what the federal and state legislatures actually end up doing — whether it be turning newspaper companies into not-for-profit entities as Senator Ben Cardin of Maryland has suggested … or providing special business tax breaks for the industry as has been proposed by Washington’s governor Christine Gregoire.

Whatever is attempted, my prediction is that it won’t have nearly the positive effect its proponents hope for. The sweep of change in the communications arena is simply too broad and deep for that.

Loyalty? … What Loyalty?

Godiva's newly announced customer loyalty program is a yawner.
Godiva is a late entry in the customer loyalty program sweepstakes.
Godiva Chocolatier has just announced its first-ever loyalty program for customers. It promises to ply chocoholics with all sorts of goodies — from free in-store confectionery gifts to free shipping on online orders. Anyone over age 18 is eligible to sign up with no obligation to purchase … and for those who activate their loyalty membership before June 13th, there’s even a chance to win a complimentary “chocolate party” for up to 25 friends at their nearest company-owned Godiva boutique store.

How wonderful. Now, pardon me while I stifle a big yawn.

For a program that seems pretty decent actually, how come it all sounds so predictable … so mundane? That’s because everybody’s doing it. (And Godiva is really, really late to the party.)

A recent report issued by consulting firm Colloquy contains some interesting statistics about loyalty programs. With more than 1.8 billion loyalty memberships on the books, the numbers have never been higher. (This translates to a whopping 14 loyalty program memberships per U.S. household.)

These stats underscore the fact that loyalty programs have migrated well beyond the original airline frequent flyer and hotel frequent stayer programs to encompass seemingly every corner of consumer activity today.

But according to Colloquy, fewer than 45% of all loyalty programs are actually active, in that they’ve had at least one instance of activity in the preceding 12 months. “The relative ratio of active to inactive loyalty program members suggests that more than half of all program memberships are merely names in a database,” the report states. “The implication for marketers is clear — the era of growing membership rolls just for the sake of growth is over.”

What this suggests is that companies have done a better job of signing people up for loyalty programs to begin with … but not nearly enough to keep them engaged as regular customers over time.

Could it be that the single most popular tactic — offering a one-time 15% or 20% discount on purchases as a “sign on” incentive — has attracted customers who cheerfully take advantage of the special activation offers, but have no compelling reason (or even any intention) to participate over the long haul?

If that’s the case, the loyalty is only skin deep … and the current economic conditions will likely spark even more instances of lax participation.

But what if companies tailored loyalty programs to individual customers based on their unique profile and actual purchase history? Would better customer conversion result — along wth improved ROI?

It’s more challenging to run a tailored loyalty program … and it requires more focus and attention than many marketing department personnel are willing to devote to it. Moreover, there’s no guarantee that consumers won’t simply “take advantage,” without spending any more on merchandise than they would have done without the loyalty program being offered in the first place.

But with the sorry participation rates currently being experienced with loyalty programs … it’s certainly worth a shot.

Marabel Chanin: A Symbol of a City

Marabel Chanin, speaking to reporters outside her home in Detroit's North End in summer 2008.
Marabel Chanin, speaking to reporters outside her home in Detroit's North End in summer 2008.
One of the sadder stories to hit the television airwaves in recent days concerns Marabel Chanin, an elderly woman living alone in an urban “ghost” neighborhood. When Marabel, a single woman, moved to Detroit’s North End back in 1964, the area, adjacent the Palmer Park Golf Course, was a beautiful, established Detroit neighborhood graced by roomy, circa 1920s single-family homes and lush landscaping.

Moving forward some 45 years later, Marabel was the last person on her block of Robinwood Avenue, living in daily (and nightly) fear of break-ins, gunfire, or worse. Complaints to police went nowhere, so her phone call to the local Detroit Fox News affiliate TV station (WJBK’s Problem Solvers) was a last-ditch attempt to find a solution to her dilemma.

Marabel’s story, profiled by the station last summer, brought the issues of crime & grime, urban decay and danger down to the most personal level and struck a nerve with viewers across the Detroit viewing area. The story ended up on the Internet, where I viewed the news clip on YouTube while researching my blog entry on the city of Detroit’s decline. It was so moving, I felt compelled to contact WJBK-TV, hoping to hear a good end to the story.

Unfortunately, as was chronicled in a follow-up report by the station broadcast last week, there was no good end. In fact, Marabel passed away in her home right around Christmas and was discovered days later. And now, five months on, her body remains at the county morgue, claimed by no one. Because of severe budget shortfalls, there are no funds to bury her or the nearly 100 other unclaimed bodies that are being kept there.

A story like this is gripping enough on a purely personal level … but it is also powerful in a larger context. To what degree does someone like Ms. Chanin — a single person of middle-class means but without close relatives — bear the blame for allowing herself to become the last person living on her city block in a trashed neighborhood? Or are there also larger forces at work that overwhelm the ability of someone of modest means (and elderly as well) to figure out a solution and act on it?

It was the southern agrarian writer Andrew Lytle who wrote in an essay years ago about the potentially dehumanizing effects of urban living. Lytle believed people were meant to live in smaller communities, where folks know each other and look out for neighbors in need. He also warned against large-scale industrialization, arguing that economic downturns lead to massive unemployment and thus dislocation of workers, whereas people who work the land usually can get by in a bad economy.

Of course, Lytle did not anticipate the advent of “industrialized agriculture” and the effect that would have on small farmers. But when you consider the economic landscape in 2009 and its effects not only on Detroit but also communities like Elkhart, IN, Lytle’s essay suddently takes on a very contemporary significance.

And what of Marabel Chanin? WJBK-TV has established a fund to provide a burial ceremony for her — and to do the same with some of the others unclaimed at the morgue. Tax-deductible donations to the “Marabel Chanin & Friends” fund are being accepted c/o National City Bank/PNC (First National Bank Building, 660 Woodward Avenue, Detroit, MI 48226). Reportedly, community response has been strong.

A mobile society? Maybe not so much.

The United States has long been known as one of the most mobile societies on earth. Throughout the history of our nation, Americans have seemingly always had a major collective case of wanderlust.

This was especially true during World War II when hundreds of thousands of servicemen and women found themselves posted to places far away from home. Getting a taste of unfamiliar and interesting locations — so different from what they knew growing up — many people elected not to return home from the war.

My father, who was stationed in Alaska during World War II and was mustered out of the Army Air Corps in San Francisco/Oakland, tells of acquaintences who opted to take a small cash payout and stayed in California, rather than accept free transport back to their homes in New York, Pittsburgh, rural Alabama or wherever.

In the 1950s and 1960s, the population growth of the Mountain and Pacific States plus plentiful manufacturing jobs throughout the Midwest sparked dramatic population migrations from South to North and from East to West. Families took annual vacation road trips of 1,000 miles or more, fueled by cheap gasoline and the brand-new Interstate highway system.

Today, things look much different. According to a just-released Rasmussen poll, 90% of respondents report that they have lived in the same state for at least the past five years. And nearly three-fourths report that they’ve lived in the same state for more than 20 years.

This news comes hard on the heels of the U.S. Census Department reporting that only ~35 million people changed where they lived from March 2007 to March 2008. The Census Bureau noted that this was the lowest number recorded since 1962 — when the United States had 120 million fewer people.

More recent stats for the comparable 2008-09 period aren’t yet available, but I suspect the numbers have declined even further. If so, it will represent a big change in one of America’s most unique and defining aspects — its mobility. I wonder … is another one of America’s trademark characteristics now becoming more a myth than reality?