MWGblog

I forgot to pass this along. Here is an interview from my friends at Relevantly Speaking.

I have just returned from my 4th Podcast/Portable & now New Media Expo. Once again, a first class event. As most of you know, I have been involved with podcasting since before it even had a name. Having participated in it all along the way, this year’s Expo solidified many of the thoughts I’ve held over the last year. The items in this list are not fully developed; I could easily do a 30-minute podcast on each. These are more a summary of my stream of consciousness top ten take aways:

1. The Expo continues to enable us to re-connect with old friends. There is a real sense of camaraderie among the original podcasters. That was no different this year. Good times with lots of great podcasters.

2. The New Media Expo was once again a great opportunity to meet new people who are excited about podcasting. A lot of fresh faces this year.

3. Tim Bourquin (the show’s organizer) got some flack this year about the exhibit floor being smaller – not true. The show had the exact same exhibit space as in years past: 12,000 square feet. It was a much bigger venue, which affects the perceived size. Kudos to Tim for stepping up and making the financial commitment to lock in the Las Vegas Convention Center. That said, the exhibit space did not grow. In a “growth” industry that spells trouble. My take, one I shared with Tim at dinner this past week, was to lose the exhibitors and focus on the conference. (The conference sessions are where the real value lies in my opinion.) Tim is one of the most diligent and hard working people I know. If he can’t corral the exhibitors it is not for a lack of effort, it is a signal that they are not sold on the market potential. (Curious to see what he announces regarding next year.)

4. A schism is developing between “indie” podcasters and those they thought were focused on supporting them. I had conversations with CEO’s who are now clearly focused on large corporate clients; those with the resources they believe are capable of massive reach. They want to fulfill those companies’ production and ad sales needs. Think podcasts produced by TV networks, media companies and news organizations etc. This makes complete sense from a business plan and sales perspective, but is very different from what you heard from these same companies just a year ago. Some of the well-known employees of these companies have not yet come to terms with this shift. You hear one thing from them and something completely different from their “C” level management.

5. Many content producers have finally realized that if they want to monetize, they are on their own. You are your own best salesperson. Need proof? Look at who did not attend this year. If ad sales/aggregation groups were working as a market segment, they would have been the largest contingent of exhibitors. Most have vanished or “refocused” their business plans.

6. If you insist on trying to monetize your “indie” podcast (less than 50K downloads per episode) I stand by my previous advice: Sell your own ad/sponsor deals. If it is not in your blood – i.e. you don’t like selling/asking for money, my advice is to contact Todd Cochrane. Wow! Big surprise there. Many know that I have, at times, been critical of Todd’s collection of companies. But I also give credit where credit is due. With the shift of everyone else heading to the higher ground of corporate size distribution and budgets, Todd & Co. are the only folks left who passionately believe in the “indie” podcaster. I still think you can and should get more, but if you don’t like the work involved, Todd will give you a fair shake.

7. Passion is critical. Find something you love and podcast about that. Things seem to work out for those who are truly passionate about their content.

8. Corporate podcasting is alive and well. Just as with my presentations at this year’s CES and NAB conferences, companies and the folks they have charged with their podcast initiatives continue to come to sessions to learn how to produce compelling and interesting content. As I’ve said before, the real money is in consulting to these organizations, they have budgets: money to spend. If you carefully look to see who continues to come to NME events you’ll notice many of the monetization experts are in the podcast consulting business.

9. A common thread I heard during conversations with some well-known podcast figures was “I’m figuring out what I am going to do next” and “it was good while it lasted.” See #10 below.

10. I can’t help but end with this: My presentation last year was dead on – I gave everyone a full year’s notice. Don’t say I didn’t warn you.

UPDATE: 11. (How could I have forgotten 11? Everyone knows all good things go to 11.) Brian Ibbott did an amazing job with the Coverville 500. That took real planning, work and investment. I can’t tell you how impressed everyone was with the event. Brian put on a great show and was ably assisted by Dan Klass as the evening’s MC. Great job guys!

There has been a bit of fan-fare today regarding Wizzard’s press release about it’s Q2 2008 financial results. Both Paul Colligan and Podcasting News have highlighted the “bright” points of Wizzard’s press release. For those that think Wizzard is proof that podcast advertising is the answer I’d like to offer some context and thoughts:

• Wizzard reported gross revenues of $1,465,874 for Q2/2008 - how much is podcast advertising and how much comes from their original “core” business of speech technology? It is never defined. Don’t make the mistake of assuming it is all podcast related.
• Operating expenses for Q2 came down to $2,159,433 but things are still clearly in the red.
• Wizzard is a 12 year old company (founded in ‘96) loosing millions per year.
• Wizzard makes no mention of their original business of “speech technology” in the substantive portion of their press release, it is all podcasting. What does that tell you?
• Wizzard is a public company with only an estimated $6M in gross revenues - would you invest? (You Can: WIZD)
• 3% revenue growth over Q2 2007. That is the nail in coffin. If they were in a mature industry such as the steel, oil or auto business that would be great, but an “explosive” growth segment such as New Media Advertising? You do the math.
• A reported 1 Billion downloads last year and only 13 advertisers secured by their “sales pioneers.” 13! That is 1 advertiser per 76 million downloads.

I know a lot of people see $1.4M in a quarter and think wow - that is a lot of money, but given expenses of $2.16M it is not. If they were a new startup it is one thing, but this is a “mature” public company 12 years in the making. I know some of the folks at Wizzard - they are energetic, enterprising and I have high expectations for their future accomplishments. Just make sure you read their press releases with a bit of contextual balance.

UPDATE: I had a nice conversation with Chris Spencer, the CEO of Wizzard yesterday. We probably chatted for a good 20 minutes. I’m glad we got the opportunity to meet each other, and enjoyed our exchange. I’m still looking for explosive growth in the segment. We’ll see what the future holds.

I am off the New Media Expo this week. I have been asked to present: “Corporate Podcasting the Disneyland Way: Case Study from the Place Where Dreams Come True.” (Thursday 8/14/08 2:00 - 3:00PM) I am preparing a presentation that will blow the doors off how we have produced the Official Disneyland Resort Podcast over the last 3+ years. I’ll cover how it started, how it has evolved and where we are today. For Disney fans, podcast producers, consultants and people charged with corporate podcast initiatives I’ll present the information you need to know and the tips, tricks and techniques to ensure a successful podcast production. This is an opportunity to get a behind the scenes peak at how the longest running Fortune 100 company produced podcast is done.

As past attendees know, I have a habit of giving the audience the straight scoop. (This year will be no different.) Last year, I created a bit of controversy with my infamous “Podcasting is Dead” presentation. Given the events of the past year - big surprise: I was proven right! While it frustrates me that many people read that title and did not bother to listen to the substance of my argument regarding the business New Media producers are really in, I understand how things work and have accepted the predictable flack. As for my statements last year, I now have another year’s worth of “proof” points and some new predictions for the year to come but it has been suggested I hold them for a few days until the Expo starts - the reasons given make sense, so I will.

One thing to clear up is that I am bullish on podcasting - always have been. Heck, I authored two books on the subject. My critical statements often get misconstrued and misquoted by well meaning commentators but that is the bane of the eternal optomist. (If you don’t want to get continuously misquoted, don’t become a podcasting pundit.) I had hoped that podcasting would open up opportunities for everyone, that it would develop into a true industry. That never happened. That is not to say that there is no money in podcasting, there is, but it is not something the average person can count on. I have made a nice living as a Podcast Consultant over the last few years, but it is not a business the average person can enter and survive in like real estate or insurance etc. Podcasting is not an Industry, it is a niche and recognized expertise is required.

Meanwhile, I am contemplating a Smith & Wollensky’s or Nobu dinner in Vegas for Thursday evening. Interested? Shoot me an email or Twitter.

I first posted about the ADM on April 17th. They had just released their “Advertisement Unit Standards and Downloadable Measurement Guidelines.” I got a lot of heat for my “critical” comments. (My Post is here.) Interestingly, apart from 3 quick puff pieces on April 18, 22 & 23 the ADM has gone silent. If this was such a monumental achievement why have they gone quiet for 2 months?

Again, my criticism is simple, there is a lack of leadership in the ADM. They acquiesced to a bunch of Venture Funded companies who - given recent activity - can’t figure out exactly what they do - much less lead an industry trade group. I wonder where your $1000 or $150 went?

Some might say I’m against the ADM - not at all. I like the basic premise though I have to admit, a bit of “I told you so” comes to mind. Anyone who wishes to criticize my comments, make sure you first address the over 60 days of silence from this “game changing” trade group.

Update: For the record, I like those who are in management positions in the ADM, my honest opinion is they realize they need to focus on keeping their startups afloat rather than the trade organization. I am curious - given the anniversary, will most members be quick to pay this year’s fee?

While one of our partners was off in New York accepting our James Beard Award, the rest of the GrapeRadio crew attended Auction Napa Valley 2008. This is the wine event of the year in Napa and GrapeRadio is pleased to be able to cover it for the 3rd year in a row.

This event is put on by the Napa Valley Vintners and as their website states: 700 Guests, 500 winery owners and winemakers, 250 auction lots, dozens of parties, all to be enjoyed within 68 hours. Once again, it was an amazing event!

As far as working conditions go - this is about as good as it gets! Non-stop parties and some of the best food and wine in the world. We worked hard gathering tons of interviews and the highlight, as always, was the gala auction event on Saturday evening. Jay Leno served as host again this year and it included a moving tribute to Robert Mondavi who passed last May.

We made sure to get interviews with all the movers and shakers attending including even Oprah. I’d like to thank everyone who welcomed us but the list is long, between the group we probably attended over 20 separate events hosted by countless wineries. That said, special thanks goes to Departures Magazine and American Express who allowed us unprecedented access as well as the Tudal Family Winery who graciously hosted us at their enormous vineyard home. (We lived like kings, this place is incredible!)

I’m convinced I’ll be sweating pure Cabernet Sauvignon all week during my workouts. Best of all, $10.3 Million was raised for local Napa charities! Thanks again to all. Can’t wait for next year!

Mark Ramsey points to the newest Edison Research report from Tom Webster on Podcasting which was presented at PodCamp NY last month. Once again, some good info for the Poderati to pay attention to. Mark, a well known radio consultant, points out that radio stations need to be producing their content as podcasts. I have been harping on this for years! As my friend Eric Rice once said, “13 year olds are doing this in their basements - what’s your excuse?” I could write a long post but I’m a talker, it’s why I like podcasting. Instead, here is a roughly 50 minute presentation I gave to a private group of radio and television executives in Minneapolis back in August, 2006 discussing the need to “jump in.” (Click the image below.)

I have often referred people to the Common Craft video explaining Twitter. Now they have published an episode for podcasting:

After much anticipation the ADM (Association for Downloadable Media) has released two proposed guidelines and standards: Advertisement Unit Standards and Downloadable Measurement Guidelines. Both documents (available here) weigh in at just 3 pages and are open for public comment. If the new media advertising space is important to you I suggest you pay attention, the ADM presumes to speak for you. That said, I have to tell you, I read them both and wondered where was the rest - the important part? Looking at the “Downloadable Measurement Guidelines” I can sum it up in three words “use Apache logs.” We’ve always know that, what a let down.

What the ADM completely avoided (and it appears this is intentional) is the huge elephant standing in the corner of the room: what counts as a listen/view? Does 33% file delivery count for delivery of a pre-roll? 60% for a mid-roll? Is 100% file delivery required to count as a “complete” view/listen? How are automated downloads counted, i.e. what discount metric is used for iTunes subscriptions to determine a consumption metric over delivery? How are multiple requests from a single IP address counted? All of that, the important part, is left up to the company or producer you are dealing with. Put simply, we are exactly in the same spot as before: use your Apache logs.

When I see “standard” and “guidelines” I expect just that but these documents completely miss the mark. I don’t know if they expect the producer community to provide the important part via the comment period or if they will just completely avoid it.

This is a simple leadership issue. There are some smart folks at the helm of the ADM, but I was surprised that they allowed these documents to be released as their first “official” step into the arena. The ADM has been terrific at PR, but that is not their core responsibility, this stuff is. Bottom line, the ADM needs to take a stand, put up with the flack and develop a complete standard. It won’t be friendly, people will have cross words and it might upset some of the “Board of Advisors” and “Committee Chairs” who have proprietary approaches but that is the real work that needs to be done. When it comes time for the heavy lifting - the ADM can’t drop the ball like this.

Now granted, I’m not a member and I didn’t run for the board. When asked, I chose not to, only so many projects I can do at one time. I take this stuff seriously and only agree to participate when I know that I can give something the attention it deserves. Believe me, this stuff is important. I know in some sense I’m being critical when I could have contributed. But to be plain, these documents are open for public comment - I hope they’ll consider mine.

I’ll be at the Podcasting Summit this weekend. If you are there stop by for one of my sessions:

• Growing Your Audience
• Making It: Lessons Learned on the Path to Podcasting Success

I plan to drop by both the Disney & the Content Creator parties on Sunday night and I’ll be on the show floor Monday. Look me up or follow on Twitter.

It has certainly been a busy week for award related announcements at GrapeRadio. This morning it was revealed that GrapeRadio is a recipient of the 2008 American Wine Blog Award in the best podcast or videoblog category.

Just as with last week’s announcement of nomination for the James Beard Foundation Award, my congratulations once again go out to my hard working partners at GrapeRadio. Great work guys!

For the second year in a row GrapeRadio.com has been named as a finalist for the prestigious James Beard Foundation Award. To put it in perspective, this is kind of like finding out the Academy of Motion Picture Arts and Sciences likes your “little” movie. We have been selected this year in the category of Video and Webcasting for our short documentary: Stewards of the Land.

The credit for recognition such as this belongs to my partners in the enterprise: Brian, Jay and Eric who do the day to day heavy lifting that makes GrapeRadio what it is.

Before I start, so as to avoid any confusion or misrepresentation, I feel it incumbent upon myself to once again clarify: I am bullish on podcasting. I’ve published two books on the subject [1,2], run paid live training events, presented as a speaker countless times, become a “go-to” podcasting pundit for major media, built and sold podcasting technology, run the oldest podcasting network in existence and made my entire living from podcasting since early 2005. I am among podcasting’s biggest proponents. The opportunities in podcasting are alive and well. That said, I also don’t wear rose colored glasses. I call things as I see them.

Podcasters, it is time you face the facts. If you are waiting for a podcast advertising service to ride in on a white horse and rescue you from your monetary woes, let me help you: start looking elsewhere.

This all started because of a conversation I had a few weeks back where I had the unique opportunity to have podcasting explained to me. The fellow who was running through the monetization options made advertising through ad sales networks sound like a guaranteed no brainer - an easy way to monetize. The whole time I sat there, knowing what I know, thinking this is like telling people to cash in now on garage sales while the gold rush is on.

Read more…

If you’d like to keep up to date with everything going on please follow me on Twitter. When I first set up my blogs I spent a bunch of time setting up “Asides,” basically short quips and interesting facts I could easily post to the sites. In recent months Twitter has emerged as the superior vehicle for micro-blogging and replaced my need for Asides here on the sites. So what should you do? Follow me.

I attended a conference this past weekend and had the unique opportunity to have podcasting explained to me a few times by fellow attendees. Since having sold the GigaVox production platform to Podango last fall, and now that our third child has arrived I am on the hunt for what I will do next. As part of my investigation I ponied up $3,000 to spend 3 days immersed at an industry conference in one of the businesses I’m researching. I did not know a single person at this conference nor did they know me or have any idea of my background, connection to, or involvement with podcasting.

As is usual with conferences, you learn a lot, but the real action is in the halls and cocktail lounges. I joined a group of about 10 in one of the lounges and the subject of podcasting came up. Two of the folks present were hot on the topic and went on to explain it to the entire group. Where they felt podcasting worked, where the opportunities for marketing and monetization were and how to best use the medium. It was absolutely fascinating! Even better, it happened a few more times throughout the conference.

I learned a lot about how people who are new to the podcasting medium view it as opposed to those of us who have shepherded it along since the late summer of 2004. While intellectually I have always understood some of these ideas, I have never had them explained to me as “fact.” If you think about it, most of the conferences I go to, people are talking to me after I’ve given a presentation or been on a panel, etc., their comments and questions are shaped by the dynamic established by the conference: “presenter - attendee.”

I have never been in the position to have anyone be the “expert” and explain podcasting to me. As a result of what I learned this past weekend I have modified some of my presentations. Clearly people new to the podcasting game have a very different approach to podcasting, and while I was definitely on the right track for connecting with them in my presentations, it is now crystal clear to me where I can better refine my presentations. My goal when speaking/presenting is always to connect with the largest segment of the audience possible and give them the take away value they deserve. Whether or not I pursue the business I was researching at the conference, the information I gathered and how it can improve my own presentations on podcasting and new media was well worth the price of admission.

So the lesson for podcasting experts and consultants: when given the opportunity to discuss podcasting among folks that don’t know your background, hold your tongue! Everyone will be duly impressed by your expertise and credentials, etc., by the end of the conversation, but you get the real take away value by waiting and quietly listening at first.

So what did I learn? Well, that cost me $3,000, so I’m going to hold on to it for now. I can tell you that it reaffirms the things I’ve been thinking about regarding where this is all going and it has definitely helped to crystalize how I can best communicate it to people who have little or no experience with podcasting and new media.