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    ReelChanges Aims to 'Audience-Fund' Documentaries

    Knight 2007 News Challenge Winner

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    ReelChanges.org, a nonprofit venture that promises to herald an era of viewer-funded documentaries, launched May 1. Since that time, the site has gained considerable traction, partly driven by the  tenacity of its founder, Hal Plotkin (a former journalist at the San Francisco Chronicle), and partly because of the sheer power of the idea.

    Last week Hal wrote a post about the positive reception to the site in the documentary filmmaker community and the site's partnership with Spot.us, an even newer effort that aims for the audience to financially support community and investigative journalism. Spot.us founder David Cohn has written about the Knight Foundation-backed effort here on the IdeaLab.

    Here's a Q&A interview I conducted with Hal this week. 

    Q: ReelChanges.org is just getting off the ground. Where did the idea come from?

    A: ReelChanges.org is working to create a new business model that can financially support high-quality professional journalism. It's the first project of the Palo Alto-based Center for Media Change, Inc., the 501(c)3 non-profit I established last year with the help of some very talented and able colleagues, friends and associates. The primary mission of the Center for Media Change, Inc. is to enrich our culture by helping to democratize, decentralize and improve the news and information media, particularly its representative quality. ReelChanges.org is the Center for Media Change's first major accomplishment: the creation of a new online tool that enables direct financial relationships between professional documentary filmmakers and members of the public.

    This is something I've wanted to do, in one form or another, for a very long time. My friend, computer programmer Andy Hertzfeld, and I first started talking about using the Internet to enable public financing of different types of intellectual property maybe 15 years ago. As you may know, Andy was a key developer of the original Apple Macintosh graphic user interface. As a journalist, I covered technology and business issues during the PC and networking revolutions for a number of publications and news networks, including public radio and CNBC.com. Like a lot of people, Andy and I have always wanted to see these new technologies used in socially, economically and culturally beneficial ways. Even now, there remain so many untapped opportunities to close those gaps, the gaps between what is and what our new technologies make possible. This is one of those ideas.

    Q: How so?

    A: ReelChanges.org reflects some of what I think many of us hoped could be achieved once we had better technology. I don't mean to sound too utopian, but I think many of us born somewhere near the middle of the last century hoped that as more sophisticated technology came online over the last few decades it would enable more highly-evolved ways of living and of organizing our lives and our society, including greater empowerment of communities of interest and an overall decentralization of power. It hasn't quite worked out that way in all cases. But ReelChanges.org advances that overall vision.

    More specifically, ReelChanges.org constructively addresses the impact of the Internet on professional journalism, beginning with documentaries. The basic idea is much larger than just documentaries, though. It's about creating a new content-driven revenue stream to support professional journalism at a time when the old revenue stream is drying up. And, even more important, it's about helping the public find and develop its more authentic voice. It's about using the Internet to harness the power that like-minded individuals create when they act together, in this case to fund types and forms of media that may well differ in important respects from the media that pleases more conventional gatekeepers, such as network owners, advertisers and foundations.

    Q: You say you had this basic idea many years ago. What finally got it off the ground this year?

    A: About three years ago, I hooked up with Berkeley-based documentary filmmaker Yoav Potash. Yoav offered to take on an outreach role with other documentary filmmakers and to recruit some of them to help us build and test a new web-based application, with Andy helping to oversee it -- that would allow us to pioneer online public financing of documentary projects. Once we figured out exactly what we wanted to do, it took us a little over a year to obtain official 501(c)3 status from the IRS.

    Q: You often talk about "audience-funded media." What do you mean by that?

    A: I'm not sure if I invented that term. In fact, it may not even be accurate to call AFM a "new" category. After all, the public has been commissioning acts of journalism and paying for them in advance for hundreds of years, at least since the days of the first commercially published dictionaries. ReelChanges.org merely brings this time-honored business model into the current online networked era. In fact, to this day I remain surprised that no one really focused on doing this here in the United States before us. Not that it's an easy thing to do, it certainly isn't. But because it is so obviously necessary. I mean, how else are we going to change and improve the content of our media unless we can figure out how to pay for, how to finance, media that has the increased social and cultural utility we need?

    Hal Plotkin Fortunately, the basic ReelChanges.org concept is already working in at least one other country, South Korea. That's another reason we think it can work here, too. Just last month, South Korea's popular OhMyNews.com service raised $130,000 from 34,000 people in 10 days to pay for a live webcast of protests about a controversial trade deal. The corporate-owned media in South Korea wasn't giving the public the news and information they wanted, so the Korean public got on the Internet and paid for it themselves. That's the basic model. To give the public a workaround so they can obtain high-quality professional media without ceding all the decision-making power about the content of media to big corporations that can have narrow or even undisclosed interests in the stories being covered. Or not being covered.

    At present, as an industry journalism is suffering its worst slump in history. Newspapers are rapidly downsizing or closing entirely. Broadcast bureaus and even entire divisions are being shut or decimated. We hope that over time the ReelChanges.org business model, applied initially to documentaries, might also help breathe fresh life and new resources into the larger profession journalism itself as senior decision-makers within the media industry come to understand the basic idea ReelChanges.org demonstrates: that if you do it right, the public will pay to be involved in the decisions about what the news and information media industries cover. Also, we think it is likely the content and focus of coverage will shift in important, socially beneficial ways when the public is invited to become more deeply involved in helping set the agenda.

    Continued: Click here to read the entire interview.

    Further Reading

    Q: How does ReelChanges work? Who selects the programming that appears on the site?

    A: Filmmakers submit projects, they are screened for quality and then, if accepted, published on the site where tax-deductible donations are solicited and accepted on their behalf. Currently, I am the site's content editor but expect to share that responsibility with others down the line as we expand and as we begin to accept ReelChanges.org "showcases" on the site. A ReelChanges.org showcase is essentially a channel, where the content options are determined by the owner of the channel, for example, a specific public television station. I'm also happy to report that my old friend and mentor, public radio legend Jim Russell, is taking on a new role as a Consulting Executive Producer at ReelChanges.org. Jim was the first executive producer of All Things Considered and he also created Marketplace, public radio's long-running business news program, where he was kind enough to hire me as one of his first editors some 20 years ago. It's great to be working with Jim again. I'm hoping to rope Jim into more of the content selection and content improvement decisions over time.

    And one other key thing to note here, which is one of the more important fundamental differences between the ReelChanges.org funding model and the traditional documentary funding model used, for instance, by most foundations. Foundations routinely turn down proposals from documentary makers that they wish they could fund. They just don't have enough money to support every good project they see. We don't have that problem. We don't have to turn down any good ideas. We can promote any and all worthwhile documentary projects and then let the public decide which ones they want to support. So that is one of the big pluses in our model. Our other rules and procedures, some of which are still evolving, can be found on the ReelChanges.org website in the FAQ and the Guidelines for Filmmakers

    Q: What's the ultimate goal -- what do you hope to accomplish with ReelChanges.org?

    A: To build a new revenue stream that supports the production of high-quality, standards-based journalism, starting with documentaries. The steady and continuing destruction of journalism's old business model poses very significant threats to our democracy, whose very lifeblood is the free flow of information and ideas. This increasingly dire situation demands some innovative and novel responses to securing public support for public media. Frankly, I just got tired of hearing people talking about this problem and thought the time had come, and that my friends and I had a chance, to do something meaningful about it. If the old business model that supports vital acts of public service journalism was breaking down, and might not be repairable, then we simply have to create a new one, or at least give it a good honest try.

    Q: What problem are you solving? What are the limitations of the commercial media in showcasing these kinds of works?

    A: I think acclaimed documentary maker Ken Burns summed it up best in the letter of support he penned for ReelChanges.org before we had the site up: "This is a very important moment for the documentary arts," he wrote. "The recent advances in broadband technologies have turned the Internet into a new highly accessible pipeline for the distribution of audio and video. There is, however, currently no similarly distributed funding mechanism that can support the emergence of high-quality productions through and on this increasingly important communications conduit."

    In other words, we've had this incredible revolution in communications technology. And yet, the business model that supports the creation of professional media, and by that I mean media with professional standards and production values, is basically the same as it was when we had three big T.V. networks 50 years ago. If you don't count bloggers in their underwear, it's still pretty much all top down. And no, I am not among those who think bloggers in their underwear will replace professional journalism. I think professional journalism will replace professional journalism. It's just a question of how we pay for it.

    Now, if the advertisers won't pay for it, and the networks can't pay for it, then the money will have to come directly from the public. But for that to happen, public needs and interests must be better represented, reflected and served. In most cases today, however, the public has virtually no role whatsoever in the process of determining what the media covers. It's just like walking into a restaurant and being told by the waiter what you will be eating. How many other types of businesses would stay alive with an autocratic business model like that?

    Right now, virtually all the major media-related content production decisions in this country are made by about 0.001 percent of the American public, primarily news directors, big advertisers, network bosses, and a few foundation officials. Now, I suppose it's possible this tiny group always gets it right. But we don't think so. ReelChanges.org exists to give the other 99.9 percent of us a place where we can be heard, and where we have a real voice and influence over professional media production decisions. We don't expect everyone will want to participate. But over time even if only five or 10 percent participate, it will lead to big changes at the headwaters of our national conversation. Changes that more accurately reflect what we care about and who we are as individuals and as a country.

    Q: What kind of response have you been getting from documentary makers?

    A: The response from filmmakers has been tremendous. ReelChanges.org has drawn praise from dozens of documentary makers. It took just a few weeks to fill up our homepage with great projects. Most filmmakers immediately understand the utility of using a website to aggregate high-quality documentary projects and match them with people inclined to support those projects. They also appreciate the fact that we enable these connections with the public without charging filmmakers an arm and a leg, and without attempting to interfere with their intellectual property rights in any way. What's even more amazing is that so far all the filmmaker participation on our site has been entirely on a word of mouth basis, filmmaker to filmmaker. We've haven't done any paid advertising yet. It's just spreading virally at the moment.

    Q: What types of video productions has ReelChanges been attracting? And what's popular with viewers?

    A: We're still just getting started but we've already been attracting pretty serious stuff from accomplished filmmakers, people who have produced and directed at major networks. Jonathan Gruber, for example, whose work has appeared on A&E and the Discovery Channel, has a project about a new history of Germany's infamous I.G. Farben company; UCLA Research Scholar Jennifer Abod has a neat project about African American dance innovator Angela Bowen; Yoav Potash's Life on the Inside examines the current conditions faced by growing numbers of women in prison. One of our more unusual early submissions is the compelling story of Kuki in Iraq, by Jennifer Jo Utz, whose film revolves around a gay Iraqi refugee living in Damascus, Syria. Jennifer's work has appeared on ABC World News Tonight and CurrentTV, among others. We get more great projects like that every week.

    Some of these are "orphan projects," others are just seeds of an idea, floating out there in hopes of gaining momentum. ReelChanges.org has been accepting contributions for just a few weeks, so we are in the early stages of data collection. But we do know that contribution response rates go way up when filmmakers find and direct interested persons to their ReelChanges.org project pages. So we are working on ways to improve those connections, including through cross-promotions with public television stations and other media outlets.

    Q: What do documentary makers get on ReelChanges that they can't find on a site like YouTube?

    A: It's what they get and what they don't get. On ReelChanges.org they don't get their serious films placed alongside some nutcase falling off a skateboard. We curate the site. And we pay attention to issues of quality. Also, qualified filmmakers get a cash register, we call it their "box office," where they can collect tax-deductible contributions. Filmmakers also get a project page designed to help them build an audience for their film. We're 100 percent zeroed in on building direct relationships between serious and dedicated documentary filmmakers and members of the public inclined to support their work. In addition, filmmakers also appreciate our superior online streaming qualities, which create a much better online video experience, and our high-quality open source video player. Also, we respect copyright rules.

    Q: This kind of business model is a bit of a shot in the dark. What kind of backing have you had to get this off the ground?

    A: Well, it's actually more than a wing and a prayer. To date, the underlying technology has been paid for and developed by ReelChanges, LLC, a for-profit entity. I currently own somewhere between 1/3 and 1/4 of the LLC. The rest is owned by a team of successful software entrepreneurs based in the U.S. and India who've made this ongoing investment with the expectation they will drive profitability over time through further development and marketing of the ReelChanges.org platform and by providing value-added services. In addition to having its technology costs underwritten in this manner, ReelChanges.org has also benefited from the generous financial support of some of its founding board members, including prominent San Jose attorney Richard Alexander, who established the annual John Alexander Award for Excellence in Documentaries, which is promoted on and available via ReelChanges.org.

    In the beginning, I used a zero-percent interest cash advance on my personal credit card, among other creative if not always ideal sources of funding. We have lots of plans to expand what we are doing when more funding becomes available, but at present we run the operations of our still-volunteer organization on a shoestring, which keeps expenses down. And we've also been helped by lots of generous friends of our project, for example, www.ourmedia.com, which graciously offered ReelChanges.org overflow bandwidth on an as needed basis. [Disclosure: I arranged this with Hal.] Looking forward, ReelChanges.org is seeking funding from individuals, organizations and foundations to fund its full three-year business plan, which is designed to enable organizational self-sufficiency.

    Q: You used to work at SFGate.com, which is owned by the San Francisco Chronicle, and CNBC.com, which is owned by NBC. How do you see traditional media such as newspapers or television networks responding to the plethora of creative content coming from individuals and small operations today?

    A: It's like watching a whale trying to tap dance on dry land. They don't get that this is a bottoms-up kind of revolution. So they flail about trying to change what they are doing into whatever they think the public wants at that particular moment. But what the public wants is to eliminate the corporate hammerlock on information flows and to replace it with more authentic news and information. If the traditional media could figure out how to do that they would really have something worthwhile. But for that to happen, they'd have to drop their old, paternalistic top-down business model, where a few bosses make all the big decisions, and turn over more of that power to the public. My guess is the .001 percent of our population who make those big decisions now are unlikely to give up or voluntarily share that power in any real ways, so I expect to see their power and influence continue to wane and in that vacuum, which is growing very fast now, the public will increasingly find new and better ways to satisfy their individual news and information needs using sites like ReelChanges.org. That's all to the good, I believe. It's in all our interests to see the public develop those types of muscles.

    Q: Do you see ReelChanges as competing with public television and cable TV, or complementary to it? Are your producers looking for distribution deals on larger platforms?

    A: We are already deep in negotiations and, in one case actual development, of a promising joint venture with major public television and other media outlets. I'm pleased to say that some pretty sharp people within PBS and elsewhere have already understood the power of the content-driven donation model we champion. Several stations are working with us now to develop showcases and new revenue streams with very low, in some cases almost negligible, up-front costs. We expect to make announcements about the debut of some of these new relationships by or before Nov. 1, 2008. ReelChanges.org is also exploring a variety of distribution deals we may offer on a voluntary basis for projects on its site. We already enable filmmakers to raise money for distribution, including rentals of theaters or other venues, with viral marketing widgets for social networking sites such as Facebook in development.

    Q: As a nonprofit how do you generate income to sustain your operations?

    A: We are currently operating in beta mode as we seek financial support from individuals, organizations and foundations to fund ReelChanges.org's full three-year business plan. The developing revenue model envisions ReelChanges.org continuing to enable individual filmmakers to raise funds for their projects on the site with little or no commission charged. Later on, we will charge a reasonable commission, based on common practices of organizations that provide fundraising services, when ReelChanges is used by organizations such as broadcasting outlets to raise funds, after successful beta test implementations. ReelChanges.org also expects to offer additional revenue generating features on its site in the near future.

    Q: How can regular people who support independent documentary making support your project?

    A: ReelChanges.org is working to build a new way to make great public media happen. Please help if you can by making a tax-deductible contribution today at http://www.reelchanges.org/commons/about

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