1. Lessons Learned: Findings and Recommendations from the SWXML Project Mike Shatzkin, Laura Dawson, Ted Hill and Brian O’Leary February 10, 2009

2. Overview of today’s discussion Project background and rationale Selected survey results ROI drivers How publishers are using XML Lessons learned: recommendations checklists

3. A changing environment Old channels atrophying or dying New channels rising A Copernican shift with IP at the center New requirements – Content agility – Lower transaction costs – Cost-effective digital marketing – B2C sales

4. The promise of XML workflows Far lower transform costs for varied outputs Web-ready content to drive broader and more targeted marketing efforts Tagged content that can be combined or chunked to create new products The opportunity to link rights and IP, lowering costs and unlocking new revenue

5. Relative process complexity Relative content agility Starting point – XML transition “Write once, read once” (single- format delivery) “Write once, read many” (supporting multiple formats and uses) From complexity to agility

6. The XML transition challenge An investment in new workflows Requires changes in processes, technologies and organizational structures and roles Requires advance planning Can somewhat constrain design flexibility (may be overstated, but not everything goes) Tool sets to create and deliver XML are still in development

7. That’s why we started “SWXML” A survey to understand pain points Research to identify trends, key players and best practices A hosted blog to foster discussion of the challenges and opportunities And a recent, one-day forum All of this work was made possible through the support of our sponsors: codeMantra, Klopotek NA, Publishing Dimensions/Jouve and the Book Industry Study Group.

8. Survey overview Conducted in concert with BISG An extended survey (41 questions) In the field for four weeks (Sep – Oct 2008) Asked about current digital practices, current production practices and the use of XML 165 participants (100 completed all questions)

9. Overview of survey participants

10. Weighted toward management

11. The importance of digital workflows

12. Current uses of XML

13. Downstream re-use of content

14. Expanded editions

15. Repurposing content

16. Re-using old content: a nuisance

17. Publishers see an ROI in XML

18. ROI drivers The investment: Shifting from process complexity to content agility The return: Both cost management and revenue growth Different models for different kinds of books

19. Making the business case Strategy Culture Future uses Markets ROI Business case components taken from “StartWithXML: Why and How” research paper, section 2.1)

20. ROI Cost management Revenue growth Appropriate use of XML

21. Direct CompositionHandling Conversion (other formats) Collateral Indirect Rework Staff, including rights and licensing

22. ROI Cost management Revenue growth Appropriate use of XML

23. XML IP Printed book Large printebooks Rights sales POD Annotated editions Digital marketing Custom publishing Content aggregation

24. ROI Cost management Revenue growth Appropriate use of XML

25. Many Few or none Frequency of or potential for reuse Travel and tourism Cookbooks STM Author or annotated editions Travelogues Tests Fictional series Historical fiction (opportunity to capture people, places, events) Novels “Chunks” Low High Religion (esp Bibles) Business Education Reference Scholarly monographs Estimating XML’s potential benefits

26. Many Few or none Frequency of or potential for reuse Travel and tourism Cookbooks STM Author or annotated editions Travelogues Tests Fictional series Historical fiction (opportunity to capture people, places, events) Novels “Chunks” Low High Religion (esp Bibles) Business Education Reference Scholarly monographs Estimating XML’s potential benefits

27. Many Few or none Frequency of or potential for reuse Travel and tourism Cookbooks STM Author or annotated editions Travelogues Tests Fictional series Historical fiction (opportunity to capture people, places, events) Novels “Chunks” Low High Religion (esp Bibles) Business Education Reference Scholarly monographs Estimating XML’s potential benefits

28. How publishers are using XML Tagging – what it is and how to do it What changes in a content-centric workflow Migrating to XML: best practices

29. Types of Tags FormatContent

30. Who Tags What When AuthorsEditorsProduction/DesignMarketingSubrights

31. How to Tag CarefullyConsensually

32. What Is Chunking? Travel Book: Europe ItalyRomePalermoFranceNice

33. How Low Can You Go? BookChapter Example Problem ChartChapterIllustration

34. When Do You Stop? Military History Book Chapter Description of Battle Capsule Bio of General Description of General’s Shrewish Aristocratic Wife Mention of G.S.A.W.’s Best Friend Mathilde Lengthy Digression on Mathilde’s Fashion Sense and Literary Salon Mention of Viscomte Bruno Heffendorf, interloper and troublemaker

35. Traditional Print- Centric Approach ContentStructureDesign Three Linked Elements Content StructureDesign Content-Centric Approach Content and Structure are Linked Design is Separate Tagging separates content from design Adapted from work by David Young and Phil Madans, Hachette Books

36. Content StructureDesign Using style sheets, any number of designs can be applied to the content. Structural components of the work are identified and connected to the content Disengaging design increases flexibility Book Large print eBook PDF Adapted from work by David Young and Phil Madans, Hachette Books

37. XSL-FO Processor XSL-FO Processor XML Document XSLT Processor XSL Stylesheet XSL Stylesheet XSL-FO EPUB Print PDF Web PDF HTML.Mobi Style sheets are applied in many ways Adapted from work by Andrew Savikas, O’Reilly Media

38. Adapted from work by Rebecca Goldthwaite, Cengage Learning Stylesheets Simple = $550 Moderate = $1500 Complex = $2500 Highly complex = $5K - $10K Composition $.50 - $4.25 Style sheets lower per-page costs

39. The payoff is volume-related Adapted from work by Rebecca Goldthwaite, Cengage Learning

40. XML also introduces new tools EDITORSTOOLSTECHNOLOGIES XMLSpyXML ValidatorsXML StylusStudioDTD ValidatorsXSLT DreamweaverConverters - XML to DTDXPath EditiXConverters - DTD to XMLXSL-FO oXygenESBDTD XMLWritereBook ReadersXML Schemas LiquidEtc…XML Namespaces Adobe InDesignXQuery Etc…EPub PDF ODF RSS SOAP Adapted from work by Steve Waldron, Klopotek NA

41. Solution providers can help here Acquisition and developmentManagementDistribution ERP Title management Contracts, rights and royalties Content conversion XML tools Production management Workflow management Digital asset management Content management Archiving content Digital asset distributors Content aggregation Search Various solution providers offer consulting services in all three areas.

42. Migrating to XML: Best practices Acquisition Contracts & agreementsEditorial Production editorialOperations Marketing & sales Author guidelines Word using XML functionality Keywords (book, chapter) Work with editor to tag and “chunk” Integrate rights information with content With authors, tag for meaning Confirm additional downstream uses Develop author guidelines Version control Apply style sheets Manage and apply transforms Work with solutions providers to render content Use tags to help target audiences Title-specific SEO/SEM

43. Publisher lessons learned Begin with the end in mind Commit to sustained change – Vision, purpose, execution, refinement It’s not (just) about XML

44. Begin with the end in mind … PlanningImplementation  Establish and evaluate end-user requirements  Assess your processes across functions and handoffs  Model both current (operational) and future (strategic) benefits  Solicit senior-level support for sustained change  Determine the point at which you want to “start” with XML  Obtain and maintain operating buy- in, support and dialogue  Rank your key business benefits and measure progress openly  Plan for early wins, ideally spread across multiple functions  Exploit the value of prototyping  Capture and share deep editorial knowledge  Foster and communicate objective measurements  Capitalize on the value of new, downstream uses

45. Commit to sustained change … PlanningImplementation  Establish and evaluate end-user requirements  Assess your processes across functions and handoffs  Model both current (operational) and future (strategic) benefits  Solicit senior-level support for sustained change  Determine the point at which you want to “start” with XML  Obtain and maintain operating buy- in, support and dialogue  Rank your key business benefits and measure progress openly  Plan for early wins, ideally spread across multiple functions  Exploit the value of prototyping  Capture and share deep editorial knowledge  Foster and communicate objective measurements  Capitalize on the value of new, downstream uses

46. It’s not (just) about XML … PlanningImplementation  Establish and evaluate end-user requirements  Assess your processes across functions and handoffs  Model both current (operational) and future (strategic) benefits  Solicit senior-level support for sustained change  Determine the point at which you want to “start” with XML  Obtain and maintain operating buy- in, support and dialogue  Rank your key business benefits and measure progress openly  Plan for early wins, ideally spread across multiple functions  Exploit the value of prototyping  Capture and share deep editorial knowledge  Foster and communicate objective measurements  Capitalize on the value of new, downstream uses

47. Steps for getting started Needs analysis: establish your current capabilities, needs and long-term goals Gap analysis: identify the gaps between where you are and where you want to be Vendor evaluation: Review the various products and services on offer and map to your needs Request for information: Solicit more detailed information about vendor capabilities and costs necessary to accurately determine the scope and budget of your StartWithXML project

48. Useful Links http://startwithxml.com http://www.bisg.org mike@idealog.com laura@ljndawson.com ted.hill@thaconsulting.com brian.oleary@magellanmediapartners.com