An open letter to the Newspaper Licensing Agency (by Kevin Taylor / CIPR)

Picture 17 Kevin Taylor is President, Chartered Institute of Public Relations. [Twitter]

I seem to have stumbled into a parallel universe…  not only do I find myself writing for a
PRWeek blog; I’m also in a world
where reading my morning newspaper on the internet incurs a daily charge.  In fact, if you are reading this in my
parallel world you’ll soon receive my invoice for £1.50.

Or at least, that seems to be the world that the Newspaper
Licensing Agency (NLA) wants us all to embrace.

Some background – the NLA is not some government-backed
Quango operating with all the force of Parliamentary law.  It is purely a commercial body, owned
by some of the newspaper publishers, which uses copyright law as the
opportunity to levy fees on commercial and public organisations, suppliers and
the PR industry in general for reproducing news content.

Originally the justification for NLA fees was that potential
sales of physical newspapers were lost when one person or organisation bought
the paper, cut out all the relevant articles, photocopied them and sent them to
a whole bunch of potential customers of the original product.

The notion that actual paper sales are important to a
newspaper’s business has long since disappeared with the rise of free
newspapers – it’s readers that matter because that’s what attracts advertisers.

Of course, cut-out pieces of a newspaper without their
adjacent adverts doesn’t really help the newspaper business model and therefore
some compensation for the loss of a potential reader of the advertising is an
argument that might have some merit.

Hold that thought for just a moment.


Up until the recent announcements by the NLA (well covered
in
PRWeek) one way for an
organisation to avoid NLA charges was for it to forward links to coverage
rather than actual cuttings.

Providing a link sent potential readers to the original
source of the story and its adjacent advertising, added to the web hits of the
site itself, which pleases advertisers, and of course the material is provided
on the site free of charge. 

Seems like a perfect solution.  Imagine a local authority press officer who receives an
article from his cuttings agency on transport policy in a national newspaper
and forwards this as a link to 20 people in the transport planning team, to all
60 councillors and 20 of the council’s most senior managers.

The web site in question receives maybe 100 extra visitors
from that authority alone – and that situation gets repeated in the press
offices of just about every local authority in the country. Wonderful,
thousands more readers, lots of web hits to drive those traffic numbers up and
please advertisers.

And then along come our friends at the NLA from their
parallel universe who say: “No, that’s covered by copyright law and we need to
charge you for providing that link.”

“But the content on the site is free to read,” you foolishly
argue. 

Apparently that’s not the point. It’s their site, not yours.
If you think it is good for your business to send people to their site, then
you must pay.

“But your site depends on readers for its revenue.  I’m effectively sending you customers,”
you plead.

But, according to the NLA, you are doing it for your benefit
not theirs, therefore you must pay.

It is an absolute
nonsense.  If I call someone and tell them a web address – no charge (at
least not one proposed yet).  But if I send them the web address by email
– that requires an NLA licence and, depending on how I acquired the link in the
first place, it could well incur a per-event charge as well.

If instead of sending the link, I send a link to the Google
news search that includes the link – no charge.

You see Google news has been exempted from NLA charges.  If the NLA attempted to charge Google
one of two things would happen:  with
deep pockets for litigation Google could mount a legal challenge to the
ridiculous charges; or it could simply drop the newspaper titles concerned from
its search engine – causing a massive drop in web visitors to those sites and
subsequently a loss of advertising revenue.  Because you see, in the real world, forwarding links to the
sites is good for their business.

I want newspapers to be successful and profitable. I want
good standards of journalism and I’m prepared to do my bit: buy a quality daily
newspaper and not rely on the free sheets.  I hope advertising and online revenues pick up and our best
newspapers survive and thrive.

But these latest proposed NLA charges are not the way to
fund the newspaper industry. They are nonsensical.  The Government needs to be strong enough to stand up to the
newspaper owners and impose some regulation on the NLA. 

They are simply a commercial organisation trying to make a
living – but they can’t invent a parallel universe in order to justify their
charges.

Kevin Taylor, CIPR
President

Still perplexed by the
NLA’s proposed new web licence? The CIPR has updated its guidance on the NLA to
explain the changes and how these will affect its members. If you have any
queries, please contact CIPR Public Affairs Officer Emma Hamilton at
emmah@cipr.co.uk because, well, that’s the way they want it!

  • http://www.nla-web.com David Pugh

    Kevin,
    These changes are aimed only at a tiny part of newspaper website audience – those who get a direct commercial benefit from using website material in their businesses; users of paid monitoring services and monitoring companies themselves. The traffic generated is barely measurable – these services account for merely 0.1% of the total newspaper web audience. However, they generate revenue over £10m per year without paying anything to the owners of the content. We are asking only for a small fraction of the total on behalf of the publishers (without whom there’d be no content to monitor). See http://www.nla-web.com for details

  • http://www.thecadenceteam.com DANIEL DOHERTY

    Kevin
    Thanks for the leadership
    Two things…one, driving people to content and showing how influencial a publication/website is, is great PR for these sites etc and also I wonder if they remember where this free content comes from in the first place…PRs.

    When the NLA works with the PR sector instead of against it everyone will win.

    David’s answer refers to monitoring services and their users, ultimately this is a tax on PR and a disincentive to providing free content for media outlets.

  • http://www.twitter.com/munkyfonkey Paul Armstrong

    Great comments gents – thanks for posting them. I think paying for content has a place in the model but it will be a brave man or woman who says that it is what will save paper media. Personally, from speaking with a number of people in the industry at various levels and…gasp… regular people, I’m not seeing the potential some are – all models I have seen this ‘work’ in have been highly established brands with somewhat critical/market moving aspects to them. Perhaps those that are willing to pay will sustain the free for the rest but there’s this niggling feeling about ‘the average user’ willingness to pay for news. It just feels like history repeating itself…

  • http://www.ccgrouppr.com KEVIN TAYLOR

    David – while I can understand the desire to charge the online monitoring companies for the business they are making from newspaper content; your proposals include double or even treble charging for the content – licence fees will apply to the monitoring company, the receiving PR agency and to the client company or organisation receiving the link. That’s three charges to view one piece of free content.

  • FRANCIS INGHAM

    The PRCA and the CIPR are absolutely united on this -the NLA’s proposals are fundamentally unfair, monstrously unreasonable, and -legally- highly dubious at best. It’s important that the industry is unified in opposing this back-door tax on knowledge.

    That’s why we hosted a webcast from the NLA, so that our members could express their anger and opposition -and invited CIPR members to log-in too. At our request, the NLA will be taking part in a series of meetings with the industry. We’re organising them and meeting the cost -if people would like to take part, just email me at francis.ingham@prca.org.uk

    Francis Ingham, PRCA Director General

  • http://www.twitter.com/munkyfonkey Paul Armstrong

    Great debate and looks like a great event Francis. Keep me / the readers posted.

  • http://www.prca.org.uk FRANCIS INGHAM

    No worries Paul