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Archive for the PACA Category

Of Orphans and unhappy faces

      In the footsteps of the United States senate, the UK House of Lords is about to pass a law regarding Orphan Works. The UK  law is very similar to the US one, besides a few key elements. Like the US, it is unclear what defines a reasonable search and how that will be proven. Unlike the US, it does call for the creation of a registry. However, it calls for the creation of a Middle man body that will collect funds ( unspecified also) for those images first though Orphan and finally reunited with its Parent. The UK government will also take a cut, leaving to the copyright owner… well …crumbles… Not sure why all these people have to get involved and get their cut, but they will. The trade association BAPLA who has more than 400 photo agencies as members ( take that PACA ) is actively trying to change and readjust this law. Unless if you do not license images in the UK ( why not ?), this law will affect you like a pie in the face.

In the same proposition there is also an anti paparazzi part. A rule “that in effect will prohibit photography in public places where anyone who’s in the photograph might be unhappy about being photographed.”. This law, of course, applies only to pro photographers, otherwise tourists would be prevented to take pictures, and that, my friends would not be good.

Not that most ever knew they were being photographed, but most of Cartier-Bresson subjects could have made his life a living hell with such a law, along with ours ( imagine a life with no CB images). Sure, everyone is tired of these hordes of photographers ( not sure if that is the right term, here) snapping a 35 mm lens in a celebrity’s face as soon as they walk out the door ( any door). Gets worse at night when it’s combine with powerful flashes. However, that provision is extreme and allows for incredible censorship. How will pros be able to take pictures of, let say, a terrorism attack? Most people will not be happy to be photographed in such an event.

In a time where rates are dropping, where photographers are begging for a Messiah, the UK Gov finds comfort in adding a couple of very strong nails in the coffin. The interesting part is that , once passed, these laws will affect you, in whatever country you are. Wether because your images could be used for free ( or pennies) or because your government will takes these legislation as a good example to implement in their territory. America, you have a sleeping ( not for long) Orphan Works legislation in the corridors of power. You might also get a similar anti pap law that will affect everyone. Should you look for help in tour favorite trade organization ? Be my guest. You should.

To learn more, please read this very good article.

It’s not a time to be Thankful

It’s right around the corner. Actually, you can already hear it’s footsteps. E-magazines are coming and coming fast. From Hearst Magazines preparing its own player to the formation of biggest coalition of magazine publishers, from the upcoming Apple tablet ( maybe) to the current Kindle, publication are pro actively preparing their full digital migrations. It’s not a fad but a survival issue.

Already the New York Times and the WSJ are available on the Kindle for a subscription. They will all use images. If the web traffic is any reference, photogrpahy is one main reason for traffic. So how are you going to price them ?

Will you be happy to license your image by file size ? Good luck. The digital version of these magazine will need much smaller size than print magazine, thus allowing them to feed themselves on your lower priced content.

Will you apply the pathetic rates currently applied for online usage. From $5 to $40, that will certainly not help your bottom line, unless if you want to reach it very fast.

Will you do a subscription deal a la Getty? Unlimited use for a flat fee. Good luck here too. As digital takes much less space and has a more rapid turnaround, they will have used most of your library for a miserable flat fee in less than a year.

Finally, will you continue to let them tear away all the IPTC information that you so painstakingly added to every single one of your files

So, what is the solution ? Well, for once, unlike with the web publication, you should have a strategy, and a very clear one. You should not react to people coming to you saying” It’s new, we don’t know if its going to work, we have no budget ” and let them have your pictures for a -low fee. Why ? because as it might not currently look like it now but for editorial, those E- magazine will become your main source of income in the next coming five years. And if you let them, they will put you out of business.

So, before you accept crappy prices because you think that “any sale is better than no sales” mentality or that you get lured into this “oh, but it is great publicity” trap, think about how what you agree to now  will affect you in five years

One solution is to  continue to price your images related to circulation. It is much easier to track circulation online or on a E device than on print. If they start with a low subscription, the license fee can be low. And as their circulations rises, your licensing prices should too. That is simple enough, no ? You share their effort and grow with them. Since your images are partly responsible for their growth success, its only fair.

Don’t wait for your useless trade association to help you with this as they apparently couldn’t care less. None of them have come out with any recommendation nor analysis. They just want you to pay your fees and collect sponsorship money.

Talk to each other : use Facebook, Twitter,  or the phone. Do not agree on pricing, because that is completely illegal. But agree on licensing models that make sense. Organise meetings, discuss, challenge each other. Ask your agency what they plan to do and how they plan to face this new pricing challenge. Make them think.

It would be nice, for once, to see this industry to be creative and pro active. Don’t you think ?

Google and your associations

How useless is your photo association? ASMP, PACA, NANP and others have been denied a voice in the Google book settlement . Why ? because they requested to be part of the class action suit much, much too late. According to court documents, the litigation regarding Google’s attempt to scan any and all books in existence had started back in September 2005 and these associations just recently requested to be a part of it.

The court probably felt that  the sudden arrival of photo association was more due to the agreed settlement ( or rather, the smell of money) rather than a real concerned about copyright issue.

So, next time you prepare to pay your dues, or you see your image used by Google, for free, thing twice.

full court document here: Photo Association Google Books

The Fall

Getty Images’s decision to close it’s wholly-owned production division is a clear signal to the commercial stock industry that the market has shifted forever. If producing  images that correspond to a market demand without having to pay any commissions and licensing them via the biggest distribution channel worldwide is not profitable anymore, than nothing is. Producing market research wholly-owned content was to be the new El Dorado of the commercial stock photo industry. It is now a ghost town.

Coupled with the announcement from Jonathan Klein that Istock has made $850,000 in sales in one day, then it  all becomes very clear. Even after paying commission, Istock, and thus microstock, is more profitable than traditional stock. No production fees, no market research, no  high end editing and post production generates more hard cash than all the talent of the world combined. If I had a traditional RM or RF operation right now, I would be very, very worried. If not desperate.

There not even a comfortable exit strategy for thousand of RM and RF companies worldwide. It is doubtful that any will be purchased anymore and its even too late to dump all their production into microstock. Even that is getting heavily saturated.

Getty also has a huge advantage by being able to safely mine both Istock and Flickr for new content for its traditional RM and RF offering at almost no cost. While anyone could source Flickr, no one has the time nor manpower.

From a recent internal memo released by John Harrington, Getty Images will also heavily invest in on-line automated sales in the upcoming years, taking a cue from Istock and trimming down on its operational cost. It is obvious that if RM and RF sales are going to decline both in volume and in price, it will be too expensive to have a full size sales force.

Once again here, smaller operation will not have that opportunity. They already function at minimum staff and have no room for downsizing with also losing revenue. They certainly do not have the extra cash to invest in automated sales.

From the same memo, we were told that Getty has made no overall revenue growth in 2008 and 2009 doesn’t look much better. Probably mostly because the fall in traditional RM sales was not compensated by Istock 35% growth. That is a huge statement, isn’t it ?

As for Corbis, they seem to continue their cutting cost approach to profitability. Every year now, for as far as the memory goes back, this has been their time to hit the headlines with another round of layoff. This year, London was apparently the most hit. Still no sign of profitability for the (very rich)  ugly duckling of the commercial stock industry. But as long as they are having fun, right ?

The recent melding of minds at the PACA conference in Miami should have been a funeral announcement. Most talks were oriented at escaping the commercial stock market for the hopefully more lucrative commercial footage. However, it’s more like choosing which cliff to jump from.

Finally, for those who really want to understand the current state of the industry, they HAVE to read Allen Murabayashi entry on the Photoshelter blog, it’s brilliant and right to the point.

About stock

So, as it reaches $200 million dollars a year in revenue, Istockphoto is pushing the production of stock photography to its rim. The traditionally strong categories for stock imagery, like Lifestyle, Health, Parenthood, Teens, Green, Business are all being more than very well covered by the astute production of 100,000’s very smart microstock producers. For traditional photo agencies, especially Royalty Free, continuing to produce images in these categories is pure suicide.

But there is not much space at the edges of the stock photography demand. If you are specialized in photographing snails, that is great, but lets face it, the market, even worldwide, cannot be  very big. Sure, you will still be able to command your prices but probably with clients that have little or no budget. So what is the point ?

Even almighty Getty is suffering losses within its traditional stock offering and is probably thinking to shift the whole thing to its new subscription based Jupiter Unlimited model. At least, for a business representing thousands of photographers, that would make sense. What you loose on per image sales, you win on the volume. For individual photogrpahers, it’s a complete loss.

Interestingly enough, the internet has not leveled the playing field. It is as difficult as it was 10 years ago for an image buyer to find the proper images outside of the 3 or 4 top stock photo agencies.  Volume and SEO are  two principal tools for worldwide marketing, both completely unrelated to image quality. Google Image, still being seen as the primary destination to find images is  completely counter productive for professionals as it doesn’t index IPTC ( Some still think it is  a standard) while it it privileges popularity over quality. Some tools, like the new Picscout IRC, are even helping Google Image to enhance its sad dominance over stock image licensing.

If the stock photo industry had any intelligence, it would create it own replacement for Google Image based on its  clients needs. A global image search that would read IPTC and classify images according to relevancy. That would privilege quality over popularity and volume. Sure, it would be a huge project and demand a lot of cooperation from competing businesses. Sure, it would demand cooperation rather than isolation, but the results would benefit everyone. It is probably the only solution the commercial stock industry has left until it disappears under the huge weight of  mass production.

Silence of the Lambs

While the industry is  going through its most radical change of its small and short existence, it seems that everyone is caught standing and staring at the incoming headlights. Many violent issues are affecting the way business is done today, with possible long lasting repercussions, yet it seems that all are taking cover under a “business as usual” blanket.

Google Book: The DOJ has just concluded that the current agreement is not fair. This would be a good time for the photo industry to jump in and make its voice heard. why ? Because scanning books and offering them under a digital format requires a new license for the images and Google is not offering to compensate anyone for those. They are offering to compensate the authors of the books, however. Furthermore, the images thus scanned and available on line might become another source of orphan work and a playing ground for those looking for “free” images. The biggest providers of images to Book publishers ( think Corbis or Getty) have remained very, very quiet on this. Are they making their own deals ? But the real scandal here is the complete silence and lack of action from those associations who claim to represent the industry. PACA, ASPP, ASMP, APA and so on have not taken one step to seriously address the issue and only recently a single lonely voice coming from Europe has dared to express their concern (CEPIC) . It is not going to be enough.

Metadata: At a pivotal time where more images are being used online than on print, there is still no agreement between the photo industry and publishers on how to carry and protect metadata. You would think, since it’s their livelihood, that the photo industry would have spearheaded an effort to make sure information would travel, and stay, in each and every image published online. No. Nothing. Images can and will be published online with absolutely no credit outside or inside the image. Actually, software companies like Adobe, will gladly help strip any information inside an image, even when it’s a clear violation of the DMCA.  There used to be an agreement, sometimes still in practice, in the editorial world that when an  image was  miscredited or not credited at all it would be billed at twice the amount. Out of respect for the creator. Guess that will not going to survive.

Pricing: The latest quote I have heard was $5 for editorial usage on a website own by one of the biggest publisher in the world. The funny part was that the photo editor quoting me this price was amused that someone had actually agreed to this. Photo agencies, these days, are their worst enemies. They even get scared of themselves when they see a mirror. Everyone agrees worldwide that the future of editorial, and commercial photography, is online. Most form of print magazine will die in the next five years and be replaced by an online equivalent. Yet, everyone charges pennies for licensing rights . How will that ever replace the print magazine market as a source of income? It baffles me and any four year old with a calculator.

Head against a wall

” Why did you go out of business ?”

” Me ? O well , for the price I was licensing my images, I couldn’t pay my bills”

“Mmm…brilliant !! What are you going to do now ?”

” I don’t know, maybe hit my head against a wall real hard. That sounds like fun too”

Getty and Corbis: One is using and abusing its dominance on the market to use and abuse photographers, and the other is playing unfair competition.  Yet, it doesn’t seem to bother anyone. I was recently having lunch with a commercial photographer from the New England area who mostly shoots travel and pharmaceutical images and who has a distribution contract with the oil company legacy company. He was proud to announce that he regularly sees, on his sales report, images licensed  to big companies, at $3. When asked why he accepted those prices, he said ” its better than nothing”. Needless to add that his overall revenue, from the same distributor, has dropped 40 to 60% in the last year. After taxes, those $3 images probably leaves him with a few bucks. I would not get out of bed for two bucks. Not only that, but Getty also pressures, threatens, blackmail and abuse contributing photographers on a permanent basis. Yet, no one seems to voice their concern. If that is not a monopolistic attitude, I wonder what is ? Next to them sits Corbis. Now, how many industries have a company that has not made a profit since their creation , 15 years ago ? How is that fair competition ? If Bill Gates likes loosing money so much, why doesn’t he open a car company ? Or bail out a few banks ? Why does the photo industry have to deal with a company that does not obey to the most simple and basic rules of business ? Sure, they are not a monopoly, although they could, but they are certainly unfair competition.

Trade Associations: Someone has to explain why the photo trade associations are so useless. Not one has any usefulness and all should be referred as clubhouses instead of associations. They do nothing to represent or defend their members. They mostly act as social organizers, as if nothing of importance was happening in our industry. Not one has a lawyer in Washington DC to help promote and defend our trade. Instead, they act as conduits for manufacturers and service companies, while receiving nice juicy kickbacks for their executive members.

It will not be long for us to see more closing, bankruptcy and  maybe a Ponzi scheme or two. It is not a surprise. As long as those who work in this trade think silence and apathy are the best tools to increase business, nothing will change.

Brave Clarice. You will let me know when those lambs stop screaming, won’t you? ” _ Hannibal Lecter_

Worth a thousand words ?

The PACA is about to release their stockphotofinder. Or at least a Beta version of it. For those who do not know, PACA stands for Picture Archive Council of America and regroups hundreds of RM and RF commercial stock agencies.

They have recently decided, in committee, to create a photo portal for all its members to be included and released this preview video:

Pacasearch

 

If you can get passed the crooner, late-at-night, crackling, I-want-to-be-sexy voice, of the commentator, you will see how a committee can destroy a potentially good idea. Where should we start? Oh well, the idea in general.

Between Newscom, Stockphotfinder, BrightQube and many others, such portal exist already, and for a long time. So you would think this one would bring something new, something compelling. Well, actually, it doesn’t.

It actually bring you back to 1990’s : a search will return…a list of agencies that have the existing keyword in their database. Not only that, but instead of returning the relevant images, it will classify the result with the agency who has the most result with the keyword you entered on top. Meaning that its not about the quality of the image but the quantity available. Does that mean that PACA favors agencies with the most pictures? Seems like it.

Paca result

If you do not like that, you are offered another list. This one classifies the results by the proportion of the keyword relevant to the total size of the archive..mmm..who thought about that one? The claim is that this list will bubble up the agency who are specialized in the pics you are looking for. Maybe, but it will also highlight those with just a lot of images too . Again, no pictures here.

If you want to see the actual results with thumbnails, you have to click on an agency link. and then another one. If you use a Safari browser, one of the least-used browser on the internet, you can even open multiple tabs, if you twist your fingers on the keyboard a little bit .

Up to now, if you are not completely disgusted by the experience, you still have major hurdles left. Let say you like an image on one of the tabs you have open. well, you are now on your own and have to go register to that agency to license it. Great, how is that helpful ?

You also have to fight your way through so many exact similar that you might never license an image ever again. Some of these agencies represent each other content and if you add Newscom, or Stockphotofinder, who are  already portals , you might see the same image 10 or 20 times on different site. And probably at different prices.  Also, for some reason, DigitalRailroad appears as result option. Either this Beta is more than a year old, or someone forgot to tell PACA they are out of business. No sign of Photoshelter, by the way.

Maybe if you find the right image, they send it to you via messenger ?

We could go on and on with more comments. For picture professionals to regroup and to come out with a product like this is shameful. It clearly shows what is terribly wrong with commercial stock distributors who seem to have no clue on how to properly service their clients. It’s a monument to PACA’s archaism and its members complete ignorance of their market.

Unapologetic Friday

Here are a few of the most revolting persistent aspect of the photo Industry:

- Blogs that get people fired

- Blogs or magazines written by people that have never ever worked in the Photo Industry yet consider themselves experts on all it’s aspects.

- Photo agencies that do not pay their photographers.

- Photo Agencies that license images under cover of a “Research or Service Fee”.  They simply take images, usually offered for free, and sell them with absolutely no right to do so.

- People that confuse easy to copy with free. It’s not because you can download an image easily that you can use it for free.

- People that use images without asking first.

- Geeks that launch microstock companies every minutes because they can.

- Hackers that spend their days breaking in photo agencies databases and stealing hundreds, if not thousands of images.

- Photographers that think they are photographers because they learned how to properly light a scene.

- Photographers that think they are good because they have been in business for a long time. Persistence is not a measure of quality.

- Photo agencies and photographers that price their images with their feet. The photography business is like driving a car, if you don’t know what you are doing, you are a danger for the rest of us. Please step out.

- Corporations that beleive they can control everything. They can’t.

- Corporations that hire non photo people and bring them in this industry. They wouldn’t survive a minute, and they don’t, if they were not working for these companies.

- Companies that have been loosing money for 20 years and are still in business. Why not use the money for useful purposes instead of feeding useless “corpocrates” ( that is an invented word for : Corporate and Bureaucrats).

- Photographer and Agencies that beleive in Say’s Law : production does not automatically create demand. Quantity is not the motor of success. The Photo agency business is not a freakin Lottery.

- Photo consultants that tell you they have the key to success and tell you to take better pictures and charge you for that. Duh !!

- Big Companies threatening photographers if they work for a competing agency.

- Photo Festivals that are just an excuse for someone to cash in some nice sponsorship money and have their hands kissed like a G~d for a week.

- Those endless photo competitions that are really just an excuse for a company to make money.

- Slides shows online that don’t work or are badly done.

- Websites from Big Publishing companies  that say they have no budget for photos.

- People that say ” Well, everyone else has accepted that price”. I really couldn’t care less how dumb other people can be. And, last thing I want to do is be associated with them.

- Photo Associations that rack up as many members as they can so they can get sponsorship money. Yet, they do absolutely nothing to help their members.

- Organizations that try to create standards and end up creating extremely useless and complicated monsters. They never use what they preach on a daily basis , so why would they care?

- Photo Galleries that exhibit the same photographers or photographs over and over again.

- People that beleive that Google will save them.

- Software that are not even compatible with each other.

- Iphone Apps. Enough already. Not everything needs to end up as an Iphone App. It’s just not that cool anymore.

- Geeks that think they know better.

- Exact Image Search websites that return no result for images, although you have seen the image a  hundred times. And they don’t even crawl photo agencies, which could be useful for people looking to license an image.

and finally, I have to stop somewhere, those photographers that pollute our visual space with their crap.

If all the people of goodwill would only….

This is important for many reasons ( more in a later post)  :
THE YOUNG PHOTOGRAPHERS ALLIANCE DEBUTS IN CHICAGO,
ALAMY FIRST TO PLEDGE SUPPORT

MAY 6, 2009, PAVILION, NEW YORK: The Young Photographers Alliance (YPA) (www.youngphotographersalliance.org) made its debut in Chicago at Picturehouse’s 4th annual event held on Thursday April 16, 2009 at the River East Art Center.

YPA is the creation of Jerry Tavin, co-founder of IC Worldwide (www.icworldwide.com) and Deborah Free, President of Picturehouse Marketing US/Visual Connections (www.picturehouse-us.com). Both are widely-recognized as advocates and leaders in the photography industry. Founded as an international not-for-profit educational foundation, YPA is focused on bringing disadvantaged students opportunities for advancement in photography.

With the elimination of art education in public schools and the ever-increasing cost of a college degree, these barriers are more difficult then ever to overcome. This lack of support directly affects photography students and could prove to have a long-term negative impact on the future of professional photography.

Amid these concerns, YPA was created to inspire and support the next generation of image makers through college scholarships, mentoring programs, internship opportunities and educational seminars, internationally.

“We are pleased that YPA was so well received after our announcement. The enthusiasm and support was immediate, both at the Picturehouse event and the PACA Annual Meeting held in Chicago,” said Jerry Tavin.

In addition to two scholarships already provided by Jerry Tavin and Picturehouse, Alamy (www.alamy.com), pledged a third scholarship for the 2009 recipients.

“We think the Young Photographers Alliance is a great concept, and we’re excited to be involved at this early stage.”
Alan Capel, Head of Content, Alamy

YPA is also pleased to announce the position of Erin Moroney of Axiom Photographic Agency (www.axiomphotographic.com) as their European Liaison. “I’m delighted to be part of YPA.  In this current climate, it’s very easy to be cynical about the industry.  It’s refreshing to be involved with an organization that is so committed and passionate about nurturing new, young photographic talent.”

YPA is receiving endorsements from various organizations as well. ASPP Executive Director, Cathy Sachs states, “The American Society of Picture Professionals is very pleased to add its support to this wonderful new initiative.  The mission of the Young Photographers Alliance dovetails very well with our own educational and mentoring programs.  In addition the whole photography community has an opportunity to come together to share the passion of these disadvantaged young photographers, and create a nurturing environment for them.”

In New York on October 13, 2009, the evening prior to Picturehouse, a reception to announce the first Young Photographers Alliance scholarship recipients will be held at the Metropolitan Pavilion. In addition, a Silent Auction of the work of many of the scholarship applicants as well as professional photographers will be on display. All proceeds will be divided between the scholarship funds of the students and YPA’s various projects. More information about YPA’s programs and events will be available in the coming months.

#######

Be involved or die…

Your business as a multi-layered cake

In five years? Maybe the only stock businesses are companies that add value by scouring the web for the best work within a genre….sort of back to photo research services.Ellen Boughn

When the great Ellen Boughn speaks, the world of photography listens : read the whole interview here :

http://learnaniche.com/blog/2009/04/22/ellen-boughn-and-the-future-of-stock-photography/