The following report includes projected idea for the business department of The Hullabaloo, including changes in revenue, staff structure alterations and collaboration with neighboring media organizations. This report is under review by our managing editorial board and will undergo edits accordingly.
In order for the Hullabaloo to adapt to a new and successful business strategy, there are certain changes that must take place. Print advertising cannot be our sole form of revenue. Joint ventures will need to be undertaken in order to survive. In this report I will list what appears to be the most practical ways to keep us from being solely dependent on print media.
Currently, the business office is focused around solely selling ads in the print media and web outlets. This has to change. As we cut down the number of pages that we run, there is a high likelihood that national advertisers will cut down their number of insertions. While we treat them as a surprise, national advertiser revenue is a key backbone to our organization. Online media needs to become a much stronger selling point for the Hullabaloo. The website needs to offer not only the two ad slots but also video based advertisements and pop up ads. By offering video based advertisements we can open up our market as well as bring in higher amounts of revenue. This brings me to the next main issue: the business office needs to become a marketing department. The business office needs to serve as its own advertising agency, asking a client what it wants and how it wants to reach its audience and then perform the necessary tasks to get this done. The groundwork is already laid out for this possibility. The ads layout editor position is already an asset that we utilize to design ads. The ads layout editor designs house ads for the paper as well as creates ads for small businesses. Other media groups such as Tube and WTUL offer different media outlets for advertisers to reach as well as providing assets that the Hullabaloo does not currently have (video editing etc).
To properly go through this transition, the business office needs to rearrange how contracts are typically undertaken. The ads layout editor will now have to take a higher responsibility in terms of meeting and discussing with the client exactly what they desire. There is no need to use the ads manager as a middleman between the client and the designer. It puts too much strain and lag on both ends. The ads manager will now have to focus solely on creating the contracts. This will allow for more time and emphasis on this position. Also, the ads manager will have a self-appointed associate who is in charge of overseeing on campus advertising. On-campus advertising is one of the easiest forms of advertising to manage. This will allow the ads manager to focus solely on the local and national regions. The associate will report to the ads manager directly and the associate will have to have every advertisement approved through the ads layout editor (as is currently done) before it runs in print.
The structure of the business office as well as the paper will need to change. In order for the marketing department to be a possible venture, the business manager will have chief oversight of the marketing department. The Public Relations director will now solely be an entity of the business office. The PR director will be on the same level as the advertising manager and will report directly to the business manager. This will allow for a better understanding of how to best serve the client and their individual needs. This means that the PR director will now be a staff ed position.
The Business Manager will be the sole link between the Hullabaloo and the marketing department. The business manager will go to managing ed and staff ed. The business manager will retain most of the responsibilities that are already in effect; however, the business manager will no longer discuss content with The Hullabaloo. It is not the role of the business office to have input on these things and allows for greater separation between content and business. This will allow for better relations with our clients. It is also highly recommended that the personnel director position be made a managing ed position. The personnel director will be the link between staff, managing ed, and the marketing department and his/her input would keep everything running smoothly. The business manager will still be in charge of overseeing the depositing of checks, handling quickbooks, and invoicing as before.
The overall hierarchy of the marketing department will be as follows: the business manager has chief oversight, then the pr director, advertising manager, ads layout editor, and photo booth coordinator, followed by all ad associates and other associates. Eventually, there will need to be a video editor that is a member of the ads manager level but this will not need to occur until this has become a higher venture.
The photo booth is a highly marketable venture for the business office. The key to making this venture is beginning with an initial promo to the Greek community. The Greek community has a high budget to spend. The photo booth will have a set cost for the event. I believe that a reasonable cost will be $500 for coverage of the event. $200 of this should go to the photographer. The photographer’s main role will be to go and take between 1000-2000 pictures for the event. The photographer will then need to go through and edit them accordingly. The event sponsors will have full rights and access to the pictures; we will reserve the right to post them to our social media as we see accordingly. To properly advertise this venture we will have to offer promotional photo events. We will also have to recruit for this specific position; at this point neither Claire nor I believe that she has enough photographers on staff to handle the load. Photographers must be vetted and approved by the photography editor and then they must perform a promotional event free of charge as a form of audition. Once they have done this event they will be paid accordingly. They will be held under contract and in the event of inappropriate behavior (drinking at event etc) they will promptly be fired with payment for the event rescinded.
The ads layout editor will now also have the opportunity to earn a paycheck. We would like to now offer advertisement design for both our own publication as well as for the advertiser to use as he sees fit. For this to happen we have to require a set cost for the advertisement. For an ad to be designed, several factors come into effect (time, size, difficulty level, etc). For this type of graphic design, the ads layout editor will have the responsibility of meeting with the client and determining these factors. For rush orders, a surcharge of up to $100 can be added onto the overall cost, of which the majority will go to the designer for his/her added efforts. If the ad is to be used within The Hullabaloo, we will offer free ad design service still. For companies who just want a graphic designed for their sole use, 50% of the revenue will go to the designer for the first $300, after this point they will receive an additional 25% of any additional costs (ie. For a $500 dollar ad, the designer will make $200). A minimum cost for any graphic design will be $250.
The video design will be handled by Tube. A contract must be settled between both The Hullabaloo and Tube, stating how costs will be split. It is my recommendation that we purely sell their services and are not part of the design process whatsoever. I also recommend a split of 70% revenue from video design going to Tube. This will make it worthwhile for them and profitable for our very small efforts. In order for this to be successful, A Tube representative must have weekly meetings with the business manager in order to inform him/her of any contracts that are open and outstanding. As the ads layout editor is responsible for meeting with advertisers and quoting for a design, the video designer will also have the same responsibility. It will be the role of the advertising manager to initialize the contract but the overall cost will come based off of a quote from Tube. Due to the added difficulty and costs of filming, revenue can be very high. Payment of Tube employees will occur to the discretion of the Tube business manager, the only role of the Hullabaloo will be to advertise their services and to deposit their revenue. An initial 50% deposit will be required for all video design efforts.
Radio inserts are an additional venture that needs to be properly discussed with WTUL. Their advertising department is very weak and, like Tube, could take advantage of our advertising department to promote their product. Quotes will be based off of the on air time requested. Show sponsorship will also be an option for customers. These costs will be at the discretion of Tube to decide. Revenue will be split 60% /40% with WTUL retaining 60% of the costs. This is the case because WTUL will not have to put in much effort into designing the on air campaings. As with TUBE, the only connection with the Hullabaloo will be through the depositing of revenue as well as the selling of this on air time from the advertising manager.
Weekly business meetings have to occur in which the heads of each respective department meet with the business manager and inform him/her of what is occurring in the respective department. This will include the representatives from TUBE and WTUL, the ads manager, the ads layout editor, the PR director, and photo booth coordinator.
It will be the role of the PR director to meet with new clients along with the advertising manager to help understand the scope desired by the client and their campaign goals. The PR director will aid the client in understanding how to best reach the customers desired audience. It will also be the goal of the PR director to help market the Hullabaloo as well as the marketing department. It will be his/her role to organize representatives from the Hullabaloo to appear at every FAQ, handle Friday Donut handouts, and any other promotional event that is requested by the Hullabaloo. It can be considered that the Hullabaloo will be on retainer with the PR director; however, the PR director will now also offer a business presence.
The marketing department will remain a distinct entity of the Hullabaloo, but the Hullabaloo will have to be treated as a client. By this, I mean that when the Hullabaloo requests a certain type of ad/video/web design created, the action must be treated as a clients request. If they request a house ad to be designed, it will be sent to the ads layout editor to be designed. There will be no costs for graphic design because this department will still be retained by The Hullabaloo. For video design, a quote will be developed that represents the sole costs to Tube. This costs will have to be approved by the advertising manager, business manager, and editor in chief.
The business manager will have to oversee all of these different entities and will answer any sort of logistical question. It will be the role of the business manager and any assistants to handle invoicing for all campaigns, tracking collections, and overseeing the general well being of the Hullabaloo.
Below is a hierarchy for the structure of the office:
The ads manager will continue receiving the set $100 stipend per issue. Ad Associates will receive a 4% commission for any ad sold while the On-Campus Ad Associate will receive a stipend of $70 per issue. The Distribution Manager will retain his $70 stipend per issue delivered as well. The Ads layout editor will also run on commission, as described earlier.
A joint long term venture with Loyola is a distinct possibility, but specifics have not been negotiated with Loyola and will take most likely a fiscal year to be implemented.
The recommended schedule of implementation will be as follows:
- Meet with WTUL and Tube to discuss and see if they are interested
- Begin recruitment for next years ad associates
- Meet with Loyola media advisor to check on interest
- Hold elections for all positions – highly advertising the openings in the business office
- Brief all new members on their roles for the upcoming year
- Continue discussions with Loyola
- Survive finals
- Have PR department begin design of a summer ad campaign for the upcoming launch of the marketing department
- Have a revamped rate card that includes all of the new offers
- Have the ads layout editor create a few house ads for the on campus departments and off campus restaurants to show our abilities
- Distribute designed ads to gain interest from said organizations
- Summer Issue
- Begin discussions for the upcoming year with the second tier of the marketing department
- Check on PR departments work on the fall marketing department campaign
- Full implementation of the business strategy for the marketing department
- Weekly meetings begin
- SJE starts