Developing Bespoke Publishing Infrastructures is Expensive
What are the Real Costs?
THE INFORMATION TECHNOLOGY INFRASTRUCTURE REQUIRED TO MAXIMIZE THE ROI DELIVERED BY CONTENT is becoming increasingly
complex and expensive. Whereas a simple glossy magazine format might have been proven a sufficient content channel a
few years ago, say, now it might be supplemented by a dynamic website, eNewsletter,
syndication systems and RSS feeds, online forums, directories and classifieds, and in some cases
even mobile access interfaces for smart phones.
However, while many publishers know what systems would help them maximize their ROI, many have
found it difficult to execute technology plans that will develop them cost effectively. The main problem is
that cost and difficulty is routinely underestimated.
Some of the costs underestimated by publishers include:
- Extending Content Management Systems
Some publishers see the purchase of a content management system as an end in itself,
but later find that content management is only a small piece of the total functionality
that they need. For example custom code must still be written to build websites and handle requirements like
premium content, subscriber lists, advertising and marketing
(the phrase "System 7 content management
is already connected to the Web" comes from the fact that System 7
makes it possible to build websites from content without writing code).
- The Real Number of Systems Required for Successful Operation
The cost of developing or integrating additional systems for
advertisement serving, managing subscription databases, e-commerce, content syndication, traffic analysis,
Web marketing, user forums, voting, competition management, directories, list management and many often-required features
are omitted from many technology plans.
- The True Difficulty of Technical Maintenance and Administration
The long term cost of maintaining custom software code is often underestimated: Developer staff leave taking
crucial skills and knowledge with them, and third party products and services later turn out to be harder to
integrate than originally anticipated.
- Drain on Management Resources
Whereas management should be focusing on the business models and initiatives
required to generate ROI, they can be dragged into managing development process and
liasing between the users of publishing systems and the developers and third party suppliers.
- Opportunity Cost
Publishers often establish in-house "interactive" departments, which then become responsible for managing
their online publishing and/or cross media publishing technology. These departments are given a fixed budget providing
the impression that costs have been managed. However, in practice this is rarely the case. In large
publishers projects invariably queue up at the door of the interactive department. Political issues develop
and sometimes only baseline projects, such as the creation of websites for new publications, get executed.
Management become unable to respond quickly to market events with new initiatives or experiment with new
business and revenue models generating a hidden opportunity cost.
How System 7 Helps Control Costs
System 7 provides publishers with a revolutionary model where online and cross media publishing requirements
can be handled by a single turnkey engine. This is composed of ready-integrated components, which usually do not need to be customized
because they provide so much flexiblity and advanced features far beyond the reach of custom developed systems.
The System 7 engine solves the previously discussed problems as follows:
- The True Cost of Content Management Systems / SOLVED
Advanced cross media capable content management already lies at the heart of the System 7 online publishing engine, and is fully
integrated with its other components at the deepest level. No additional development is required to create
sites or implement advanced syndication and workflow strategies, and the engine is able to accept existing or
legacy XML content in its original form.
- The True Number of Systems Required for Successful Operation / SOLVED
The System 7 engine integrates hundreds of previously separate functions, enabling publishers to leverage
a turnkey architecture in which their needs are immediately met and different functions work together in harmony.
- The True Difficulty of Technical Maintenance and Administration / SOLVED
The System 7 engine provides a ready-integrated backbone for online operation, freeing the publisher from
the problems of integrating third party components and custom code devlopment. Furthermore, the engine is
supplied according to a monthly tariff, eliminating unpredictable software upgrade, maintenance and integration
costs from the equation.
- Constant Drain on Management Resources / SOLVED
A publisher developing their own desktop publishing software is unimaginable today, and with the advent of
the turnkey System 7 engine management no longer have to be distracted by the development and maintenance
of core online publishing infrastructure.
- Opportunity Cost / SOLVED
One of the most dramatic innovations System 7 delivers is provision of the means to implement different
commerical strategies online with just a few clicks of a control dashboard. For example, publishers can browse
into the control panels of their online publications and configure a wide variety of premium content tariffs
that become immediately operational and automatically integrate with access
control and subscription systems. The ability to launch new publications in days rather than months using
"skinning" technology and turnkey systems, and the ability to quickly configure, update and refine
sophisticated commercial strategies, enables management to capitalize on opportunities, eliminate
opportunity cost and drive ROI.
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