1. Customer Contact: How CCC Interacts with Rightsholders and Users
Presented at:
IFRRO 2010 Senior Managers Forum
Amsterdam
9 February 2010
By:
Edward Colleran Senior Director, International Relations Copyright Clearance Center

2. About Copyright Clearance Center
Created in 1978 by authors and publishers
Now represent tens of thousands of authors, publishers and other content creators from more than 180 countries worldwide
License rights to millions of books, journals, newspapers, Web sites, images, e-books, etc.
Founding member of IFRRO
Mutual agreements with sister RROs around the globe
Think of as an experienced & successful broker on content…
We broker Publisher and Author content with those Users who need to re-use content.
In short: We promote global digital commerce.
We license corporate employees in 180 countries
191 of the 192 U.N. member countries represented in database

3. About Copyright Clearance Center
We’re experts on rights licensing solutions
We empower content creators to share their work with those who need it
We provide tools to academic institutions and businesses to easily ensure they are lawfully using content
We’re creating a new generation of licensing solutions that promote the free flow of information
We work with academic institutions and businesses around the world to make sure they’re lawfully using copyright-protected content
Think of as an experienced & successful broker on content…
We broker Publisher and Author content with those Users who need to re-use content.
In short: We promote global digital commerce.
We license corporate employees in 180 countries
191 of the 192 U.N. member countries represented in database

4. The Shift from Print to Digital Reproduction
The world has changed in the last 15 years
1 Billion Internet users worldwide (up from 48 million in 1996)
161 exabytes (billion gigabytes) of digital content created and copied in (This is equal to 3 million times all the books ever written!)
Every minute, scientific knowledge increases by 2,000 pages
It takes 5 years to read the new scientific material produced every 24 hours
In the past, news and scholarly information was primarily consumed via printed media
Moral of the story: With our customers seeking information in digital format, we need to be working with Rightsholders to license and deliver reproduction rights directly to end users

5. Identifying Our Customers
Rightsholders
Authors/Creators
Publishers
Users
Corporate
Academic
Success is one of the biggest impediments to growth. It can reinforce a traditional way of doing things. A hit product can mask the brutal reality that more work needs to be done.
We may think we know what is best for customers – but are we listening to them in an unfiltered and unemotional way? Are we in tune with the customer experience.
We need to view things “outside in” as opposed to “inside out”.

6. The Value of Customer Interaction
Market research – “Listen” to what is on their minds
Product development – Design solutions that meet their needs, solve their problems, etc.
Continuous improvement – Enhance existing offerings in order to make them more valuable
Communications – Creates valuable channel for “touching” customers, reminding them of our products and services
We never stop listening to our customers. If it be at the beginning of “testing” a concept, thru product development, testing and rollout. And it doesn’t stop there. We depend on them for feedback when considering and implementing product enhancements.

7. Examples of Customer Interaction Channels
Annual Polling
How well are we meeting your needs?
Advisory Groups (User Groups; Publishers Group)
Ongoing communications with representative customers for feedback on products
Electronic Newsletter
Direct communication of timely information with response mechanism
Web
Portals to access latest tools for staff education; “Voice of Customer” internal site
One-on-One Contact
In-person visits to strengthen relationships with key customers
Advisory groups for academic, corporate and rightsholder customers
Approx 20 members each
Meet once a year in person to highlight what we are working on and what we are developing and thinking of developing
Look to them throughout the year for advice and feedback.
Have yearly account reviews with strategic customers
royalty reviews
Title reviews
Producy updates

8. CCC Products Shaped by Customer Input
Rights Central
A Secure, web-based portal providing:
• Royalty and content usage reports
• Tools for reviewing your participation in CCC programs
• Tools for updating your titles, rights and fees
Shaped by customers:
• Development included pilot program with key Rightsholders
• Product enhancements shaped thru ongoing feedback

9. CCC Products Shaped by Customer Input
RightsLink
A web-based licensing application that allows publishers’ customers to instantly license content and order reprints while they are online:
• Seamlessly integrates with
publisher’s workflow
• Transactions take place at the
publisher’s site
• Customized to reflect the
publisher’s licensing and pricing
rules
Shaped by customers:
• Building new user interface based
on Rightsholders’ input
• Piloting various marketing
promotions with select customer
segments
Ex. Marketed reprint offerings to past reprint customers

10. A Case Study: CCC’s Academic License for Higher Education
I. Situation
○ Licensing in the U.S. is voluntary
○ Academic institutions have historically secured permissions on “pay per use” basis
○ With the migration from print to digital content use, orders decreased and revenues began to flatten
○ Customers became more spread out across campus
○ CCC conclusion: must develop institution-wide license for use of copyrighted materials (in spite of previously unsuccessful attempts in and 1998)
○ 2004: Began market research and development
○ Board, Management and Resources all committed to development
We need to sign righsholders up for all of our programs
Customers became decentralized-not just receiving orders form copyshops or library-course amangement systems as an example turned professors into direct customers
Company committed to making this work

11. A Case Study: CCC’s Academic License for Higher Education
II. Solution
○ Connected with customers to size the potential market (number of institutions, students, etc.) and the revenue opportunity
○ Conducted formal market research: (1) Interviews with select Rightsholders; (2) Nationwide focus groups with 48 academic users; (3) Quantitative survey
○ Developed structure of the product for both Rightsholders and academic institutions – license, price points, revenue model and distribution process
○ Created CCC infrastructure and support teams to build inventory and administer license
○ Implemented pilot with Middlebury College (secured input from other institutions, such as Penn State and Johns Hopkins)
○ Finalized license offering and developed sales/marketing strategy
○ 2007: Launched CCC’s “Annual Copyright License for Academic Institutions”
Developed license In this order
4 focus groups comprised of 12 customers each-qualitative research

12. A Case Study: CCC’s Academic License for Higher Education
III. Results
○ Started offering with 99 publishers and 300 titles
○ Today, the license covers content from over publishers and 100 authors with more than 1.5 million titles represented
○ Rightsholders participating include Oxford University Press, Elsevier, Wiley, Taylor & Francis, Dow Jones, SAGE
○ Over 75 Academic institutions including University of Texas, Walden University and State University of New York
○ Communication cycle with customers remains ongoing
◊ New titles added based on user feedback and market data
◊ Continue to approach new Rightsholders to add value to license

13. In Closing
CCC has created a culture of customer interaction in order to help us accomplish dual customer objectives: (1) Sign Rightsholders; and (2) Sell to users
This dedication to customer interaction provides us with realtime market research, assistance with product development and a tool for continuous improvement
RROs can engage with their customers now more than ever in order to develop licensing solutions that work for all parties in the new world of digital content
Customers are looking for solutions now more than ever
Rightsholders-license content-increase revenue
Users-looking to license content as easily and seamlessly as possible-now more than ever
-content is accessed more quickly and easily
-Social media makes sharing more prevalent
-they are willing to try new licensing scheme

14. Thank You