Friday, September 11, 2009

Associated Press and PictureGroup Form Distribution Alliance

September 10, 2009 the AP places another feather in their cap as they sign a distribution deal with one of the leading music and entertainment photographers – Frank Micelotta – as he formally launches PictureGroup. AP is just ramping up their NFL deal that they spirited away from Getty Images (The Associated Press and the NFL, 4/15/09), as Micelotta, who left Getty back in January, now has launched PictureGroup with an AP Images distribution deal.

Micelotta brings not just his decades of talent and connections to PictureGroup as CEO and Chief Photographer, but he brings together decades of talent from across the country under one umbrella in PictureGroup.

It has been said by many industry leaders that Photo Business News has talked to about this, that Getty Images has such penetration into the marketplace because of distribution, that they would seem to be hard to beat., and PictureGroup would have an uphill battle in gaining traction.

(Continued after the Jump)

Micelotta, despite having many marquee companies and organizations like MTV, BET, Comedy Central, FOX, MySpace, Columbia Records, Jive Label Group, RCA Records and EMI, would have to convince the prospective buyer to actively visit the PictureGroup site in order to license material. Getty benefits from people already being on their site and performing searches, and while Getty is a known entity and image resource, PictureGroup is not. As such, the concern is that, for example, MTV might benefit from people looking for images specifically from one of their events, but could lose out on the exposure from an MTV image fitting the bill when a search is performed for a celebrity where the event didn’t matter. These searches can reasonably be called unintended-but-beneficial results.This is where the AP distribution deal is remarkably genius.

Under the deal with the AP, Micelotta says “I am also thrilled to be partnering with the world’s largest and preeminent news organization, the Associated Press, and believe that this alliance allows PictureGroup to provide a unique offering to the entertainment industry.” And the AP is equally effusive, “We look forward to working with all of PictureGroup’s photographers to expand AP’s entertainment content, while furthering the evolution of AP Images into a dominant provider of commercial entertainment assignment services,” said Dan Becker, AP’s Director of Entertainment Content.

In one fell swoop, concerns about the count of eyeballs on images vanishes. More than Getty Images, the AP’s AP Images platform has more searches performed, which will lead to more of those unintended-but-beneficial results for picutureGroup and the AP.

Micelotta is not alone in leading this endeavor. He will run PictureGroup with Paul Melcher, who, aside from most recently being the CEO of REX USA, was also was Director of North American Operations and Sales for Hachette Filipacchi Photo Group. Melcher will likely continue to pen his Melcher System blog with his candid thoughts about the industry, and we look forward to those insights.

Micelotta adds “one of the reasons I am doing this is that there is an opportunity in the marketplace that wasn’t being filled, and I was hearing that from my clients. I think it’s really nice that we can start a company like PictureGroup, and hopefully empower photographers a little bit more to be able to run their businesses as photographers again, and have a company that will support them. We plan on supporting our photographers with technology, and we plan on supporting their clients, all the while letting them still work with their clients. I think we have a little bit of a different approach.

Look to PictureGroup to be a most formidable opponent in the entertainment images arena.


Related:
10 Questions for Frank Micelotta, 9/11/09


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Ten Questions for Frank Micelotta

Frank Micelotta ranks among the legends of the entertainment photography community. After founding ImageDirect and selling it to Getty Images in 2003, Micelotta served as their Director of Entertainment, before leaving to launch PictureGroup, along with another industry veteran, Paul Melcher. In the late hours of September 10th, hours after the launch was announced on Variety (Micelotta Forms PictureGroup), Micelotta took the time to answer our 10 Questions.

1. How will you compensate photographers at PictureGroup? In the past, Getty Images required a copyright transfer/work-for-hire in order to earn an assignment fee, otherwise the assignments generally were on spec. So is PictureGroup going to follow that model, or return to a model where photographers keep their rights, earn their percentage of resales, and earn an assignment fee, which is much more akin to an agent/photographer relationship?

Yeah, well, that’s exactly the point. I think that luckily for us, I think that about 90% of the assignment work we do – the photographer still gets royalties. They get a share of the assignment fee and they also get royalties when the image is licensed. I think that we are making it an attractive place for photographers to work and I think that we’ll attract some really quality photographers. We also have a lot of announcements we’ll make between now and the end of the year.
(Continued after the Jump)
2. Getty images has certainly changed since they acquired ImageDirect from you back in 2003. What two or three changes are the most pronounced (or, alternatively, bad), since you came on board?
I think that not all the changes are bad. I think that they certainly increased their coverage and focus on entertainment. When I joined the company, it was certainly sports and news and entertainment was given very little focus. I think they’ve paid more attention to entertainment because that is where the money is. Conversely, I think that they’ve driven the prices down because of the premium access subscriptions, which I think are just not a good thing, and I think you’ve taken the one part of the editorial market that was still healthy, and I think damaged it by really lowering prices significantly. I think the other problem is that – you know they did the acquisition of ImageDirect, and later on WireImage and FilmMagic – I think they just have too much content. Too much content, too many photographers, and I think that’s a problem. I think it’s a problem for clients not wanting to see that much stuff. I think it’s just a little bit overwhelming.
3. Many of the talented team of photographers you had brought to Getty, I am hearing from them, and they are saying that Getty was trying to force on them a work-for-hire contract, when the contract you had with them was much more fair, with reasonable pay rates and 60/40 or 50/50 revenue sharing. Was Getty doing this, and if so, how did you, and your photographers handle this?
In our previous company, we really didn’t do work-for-hire, unless it was something the client wanted, and was paying for. In our current company, in PictureGroup, it’s the same way. We’ll do work-for-hire, but in a case where the client is paying a premium for that and usually even if it is a work-for-hire we’ll get – we’ll maintain – the editorial rights, which I think is really nice. I think that Getty does do work-for-hire with the majority of their assignments, and that’s their take on where they need to be with the business now. You know, they have a much bigger business to support than I do, so I think that at PictureGroup we can be a little bit more fair to photographers and if the client is hiring us and then it’s not a work-for-hire I think we can just pass that along to our photographer and share the revenue on the assignment with them, and then share the licensing or royalties with them.
4. A contact of mine at a major womens' beauty products corporation shared with me that when they hire a photographer to come cover a red carpet event, or inside, for a few hours, they are paying between $5,000 and $6,000 to WireImage/Getty, yet the photo editors are telling the photographers they only have $200-$250 to pay, and all the rights (including copyright) are a part of that fee. Can you explain how Getty/et al thinks this is fair, and why any photographer would accept such a deal?
I don’t know what – to be honest – I don’t know that much about that part of their business, only because when I was at Getty and had my assignment work going through Getty, I booked everything with the clients myself. So I never really had interactions with people – the sales people – that were handling that stuff. I don’t really know. I’ve heard the same thing, and I think if it’s true, then the photographers don’t really know about it. You know, unfortunately, when I started at Getty, there was a revenue share on assignments of 65/35 I believe, and it was my understanding that that was always the way it was. I don’t really know if – when there’s a policy in place now of just paying them as little as possible, or what. I just don’t know. If it is the case, you know, I don’t think it’s a very good deal for photographers, and I think they really should question it.
5. ImageDirect clearly was a profitable business before Getty bought it from you, and Getty primarily bought WireImage to keep them from impacting their bottom line (oh, and for the WireImage contracts) but now it appears, with the race to the bottom, that the market for celebrity images has been slashed to within an inch of it's life. Can you explain how this happened?
Yeah. I think there’s a lot of people that have participated in the race to the bottom for the editorial entertainment market. I think that everyone has their right to lower prices, but I t hink when you see companies – when you see agencies willing to give away photos fpr $5, for a photo for online use. I just think it’s a very bad strategy. Getty has premium access subscriptions that has lowered prices significantly, but there’s a lot of smaller agencies that I see and they’re either trying to match the prices or they’re just offering images at really – at rates that you cannot run a business on. So, I don’t know, I don’t see these businesses – I don’t see their pictures published that much, so I don’t know how much they’re making, but I think when you have a small agency, with just a few people running it sitting in an office, they’re just trying to sign as many deals as they can for $500 or $1,000 a month for unlimited use. I just think that’s a really short-sighted strategy. I wish they would think a little bit more about the long term, but I also think that these people are not going to be in the business long term, so maybe that’s why they just are trying to take the easy way out right now, and offer these really low rates. It’s not profitable and you can’t run a business on those rates, so I don’t really understand the continual lowering of prices.
6. It is remarkable to me that the editors at Getty think it's reasonable to pump out 3,000 images from an LA red carpet event, when prospective clients like US, Entertainment Weekly, AOL, etc, each will likely use 10 to 40 images, and usually very similar ones. Why do these editors think that forcing their clients to wade through the haystack to find the needed "needles", is making their clients happy? Or, is this a pump-and-churn mentality forced upon the editors by senior management?
I think there’s too much content coming from almost everybody. I don’t think – it’s easy to look at Getty because they have three brands and they have so many photographers. It’s easy to look at them and the amount of images they put out. At the same time, I think that in certain ways they are stuck with the situation where they have a lot of photographers that they have contracts with and they have to support all those photographers contractually. So, they’re stuck with a certain volume. I’m not sure they can really take their volume down very much even if they wanted to. Again, I think there are a lot of smaller agencies that are putting out a lot of photos just because it’s digital, and just because it’s easy, and doesn’t cost any more to send 1,000 photos, then to send 100. I think if it cost them money to send more photos, you’d see the amount of images drop drastically. So, I’m not saying that’s something that people should do, you know, charge for the amount of images we submit, but, I would say that a little bit of editing goes a long way. When we met with all the magazines, what we talked to them about was returning to a reasonable edit. So, do a job, do a reasonable edit, make sure the event was covered, and that everybody was represented, and all the good pictures made it to the site, and to the magazines.
7. So many people talk about how clients are requiring work-for-hire contracts, yet that's not really the case, is it? I mean, while a corporate music client may want an extremely broad span of rights, and you can't license commercial rights anyway without releases, you surely are able to continue to license your editorial rights forever, right?
Right. I mean, the way we deal with work-for-hire is – my main objective is that we have the editorial rights. If we have to give up some rights on the other end, we don’t usually have a problem with it. I understand the realities of business now and we do a lot of music. The record companies are having a tough time financially, so our rates for a lot of the record companies have come down a little bit, and they need to have ownership of certain things we do for them. But, if they want ownership, but will give up the editorial rights, then we’re fine with that. Really, the editorial rights are all we have anyway, unless we negotiate the commercial rights, but they still come back to us when they want to license a picture for a CD single, or some other use, other than publicity, which is what we’re hired for. So, there are ways around it. There are ways to make sure it’s still a good and profitable business for both parties.
8. Why do you think photographers are so willing to believe prospective clients when they force a work-for-hire contract on them, and pay them a pittance, when the work is really worth much more? I know that people might think that your opinion will be based upon the fact that you are at the top of your field, but what advice would you give aspiring photographers about keeping rights and about being paid equitably for assignments and earning resales down the line?
I think that we have to look at the realities of the marketplace. That budgets have come down for quite a lot of work. I know it has for entertainment. It’s probably true for news and sports as well. I think if you have a combination of a reasonable rate for an assignment plus the ability to license it and generate royalties – I think you have to just balance it. Find a balance with your client that’s going to let you accept an assignment and feel good about it. I mean, we’ve very open with our clients. I’ll talk to them about things. Sure, we can shoot that for this rate, even though it’s lower than we would like, if we have the right to license the pictures and make up some of the difference. So, as long as they’re open to that, then we’re open to it too. I tend to not really want to walk away from an assignment – especially from a good established client – and if I have a relationship with a client for five years, or ten years, or, you know, 20 years, almost 25 years as is the case with MTV. When they need something, I’m going to take care of it. If the rate is down, or they’re at the end of their fiscal year, and they don’t have much money in the budget, I’m still going to take care of them because it’s in my own best long term interests. I think it’s a bit of a balancing act now. I think in particular, the way the economy is, the publishing market has been hit pretty badly. I think as photographers we need to look at that, and just be a little bit more intelligent about both the way we quote prices to our clients, and what we’re willing to accept from a client. I think a little bit of negotiating can go a long way.
9. Morale, from the people I am talking to, seems to be very low amongst the Getty editing staff. Do you think they are seeing the end-game, and realizing that their contributory role as "editor" in producing a quality product has become more of an image processor that is devoid of any real "editing"?
Well, I think that if you look at the way editing is done at big events, we’re all racing to move as many pictures as we can as quickly as we can. I think that for that reason, a lot of editors feel like they’re just pumping images out. Not really editing, as much as they are just being part of the workflow that moves images from the camera to a website. I think at some point that will have to scale back a little bit as well. These things are all connected. The amount of images, the amount of photographers, the larger file sizes coming out of the cameras all sort of command more work on the back end, so I think the business in general is stuck in a cycle where we’ve had to increase production on the back end due to all these other factors. It’s very costly to have editors, and we’ll have six editors at the video awards for MTV this Sunday, and that’s a pretty costly expense to have. I would like to be able to scale back on that as well, as I am sure others would. I’ve got to think that at some point we have to all find a more economical way of handling that workflow.
10. We have written separately - Associated Press and PictureGroup to Form Distribution Alliance – about your launch of PictureGroup and your distribution deal with the AP. What can you share with us that wasn’t in the press release?
I would say that we are working on a lot of other things both on the client side that will hopefully happen between now and the end of the year as well as on the photographer side. We have just begun this relationship with the AP, and we’re going to work very closely with them in the next few months to implement the workflow and make sure it works efficiently. I think probably the things I am most excited about are things that will happen in the next six months or so. We’re working on some deals that will be very big. Very good for Picture Group, and good for the photo industry as well.



Related:
Associated Press and PictureGroup Form Distribution Alliance, 9/11/09

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Tuesday, September 8, 2009

Re-Stating The Value of Copyright

All too often I hear photographers justify giving away all the rights to their work, suggesting the images are worthless or next to worthless. Like grains of sand, over time, they can become a beach. How big of a beach? That depends.

Photo District News has done a great job of following Annie Liebovitz's trials and tribulations (Is the Leibovitz Archive Really Worth $50 Million?) and asked the question that a photographer who does not own their own images could never ask of themselves because the answer is obvious.

When you give up the copyright, or all the rights, the answer is $0. So, say you're not Annie, what is your work worth?

(Continued after the Jump)


Enter Manuello Paganelli. "Pag" spent many years in the Washington DC area before moving to Los Angeles to make his mark. Manuello has been a stalwart defender of photographers rights (and his own) for as long as I have known him. Manuello can take a great photo - he's a solid photographer to be sure. Pag isn't, however, Annie, Salgado, Avedon, or Newman. I'm not telling him anything he doesn't already know, but I am making the point that you Pag could be you.

He posted an interesting story about his experience generating $20,000 from images he made on assignment. The story is here - Done Deal Three Images Licensed for 20K, and is well worth the read, including checking out the photos, which he links to.

The point here - is that your archive - when you own all the rights to the work, is valuable. Just a few months ago, I did a portrait for a magazine, and the subjects' organization (a non-profit by the way) is looking to license the work - for the usage they are looking for, the fee that has been agreed to is $2k.

Copyright, and your ability to control what does - and does not - happen with your work is what separates you, the photographer, from a day-laborer. There's nothing wrong, of course, with being a day-laborer, unless you are creating images that other people are licensing and re-licensing and profiting from, and you are not a participant in that revenue stream.

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Saturday, September 5, 2009

The Vendor-Client Relationship (Redux)

This video is worth watching frequently to remind you of how ridiculous it is when the client dictates the price and how much less than you quote the assignment for. (RSS readers click this link to view the video.)

(Comments, if any, after the Jump)


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Tuesday, September 1, 2009

Image Warehouse to Cease Operations September 30, 2009


Image Warehouse, started just over 2 years ago, by Carroll Seghers, is ceasing operations, effective September 30th. I was approached by Seghers following a presentation I made at the Professional Photographers of America in January 2007 about this idea. I knew then that the field had one too many players, and both Digital Railroad and PhotoShelter had premium products already in place. Last year, Digital Railroad failed in a massive flameout that left many photographers high-and-dry, some literally crying over lost images. It seems that Seghers is trying to give more notice, and be more responsible, in this letter that just went out to supporters and users of Image Warehouse:

(Continued after the Jump)

Dear Image Warehouse Supporter,

In mid – 2007 we went online offering our service as a favorable option for independent stock photographers who wanted to offer their images for use licensing to the global stock market. Uniquely positioned as a “full service agency”, we provided photographers with the ability to select images for sale, set the terms & prices and then publish the image into our online searchable database.

By January 2008, we had attracted a good bit of support in the photographic community and were adding photographers and images quite rapidly. Unfortunately, we were well into 2009 before we realized that we had failed to anticipate the pervasiveness of the “annual subscription” pricing plans that had been put in place by the major stock agencies, which now control a substantial portion of the commercial advertising agency business.

This situation, along with the growing share of small-to-medium agency and editorial business being taken by royalty-free micro-payment stock agencies, means that the “available market” has been significantly eroded, due in large part to the recession’s overall impact on ad budgets.

We are therefore providing you with 30 Days Advance Notice of our intention to cease operations on September 30, 2009.

This is so everyone can easily initiate whatever actions they prefer regarding their existing accounts and image files.

Your options are:

1. Sign into your account, access your images and individually delete them (this could be tedious for those with many images)

2. Respond to this email requesting that we delete your images, which we can do in “bulk” process and close your account.

3. Download a copy of your files to your computer for future use, and then follow up with either #1 or #2 option.

4. Do Nothing – Which will lead to your account information and image files being deleted by us after we have ceased operations.

We greatly regret the need for this action, but believe that it is best to provide advance notice to all, with sufficient time to smoothly wind down our business operations. All monies due to photographers and other Image Warehouse suppliers will be paid through September 30, 2009.

We sincerely appreciate your past support and wish you continued success in your future endeavors.

Best regards,

Carroll C. Seghers

Image Warehouse LLC

7 Woodhollow Road, Suite 2G

Princeton Jct., NJ 08550-4907
Early on, Image Warehouse offered ASMP members discounts, and the ASMP website showed this information about the company:
Looking for a stock agency that is really an agent and works for you? that takes no more than an honest sales commission? that doesn’t demand exclusivity? that is photographer-friendly?

Take a look at Image Warehouse, a startup company run by ASMP member Carroll Seghers.

Image Warehouse, a photographer-driven image archiving and stock picture sales agency, provides standard agency representation for a fee of 15%, and it offers a one-way transparent email negotiating system. It also provides a customizable e-Postcard application that enables you to do unlimited free “broadcasts” of your latest and best money shot with personalized text & graphics, or email a LightBox-SlideShow with multiple shots. And there are more user-friendly promotion tools under development.
Seghers' LinkedIn profile describes his role at the company as:
Lead visionary and architect of a Web 2.0 digital image archive & stock photo sales agency that provides sale representation and other services to professional photographers & illustrators targeting the $2.5B U.S. market for their creative output.
Seghers had stints at Leica USA, Konica USA, and Nikon USA, and other marketing jobs, before starting Image Warehouse, according to LinkedIn, in October of 2005. A search of the ASMP membership database returns no members with Seghers as a last name, so either he is no longer a member, or he is not a member photographer.

More as we learn it.

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Monday, August 31, 2009

** UPDATED ** How to rip off 1,000 Photos


UPDATE: Kathryn Ellison, who was the author of this book, writes in her comments below "...The book has been cancelled, the site has been taken down, all images have been deleted from the server...", and you can read more about her position on this blog posting in her comment. She has also deleted her authorship of this book from her LinkedIn profile.

Rip Off: - noun. exploitation, esp. of those who cannot prevent or counter it.


If you wanted to get yourself 1,000 free photographs that are royalty free, and a printed catalog for ease of browsing, what would be the best way? Why, call it an "opportunity" to be published in a book, and pitch it to unsuspecting students. When submiting "up to five photos" to the proposed book "Stocked Up: 1,000 Royalty Free Photographs" you grant royalty-free rights for the "privilege" of being published. So goes the idea that author is proposing for a book being developed for How Books and Rotovision SA.

"if I could...would ya..." So begins the scam that began on used car lots and now reads like "if I could promise your photo would get published, would ya give me all rights to it....". Kristin Ellison (LinkedIn: Profile) essentially is making that offer, because she wants to sell a photography book. And, if you want to sell a photography book, what better way to maximize your sales than to give everyone who buys the book a free DVD with 1000 high resolution photographs, including an unlimited worldwide license to commercially exploit each photograph?
(Continued after the Jump)

Don’t have 1000 good photographs to include in your DVD giveaway? No problem. Just sucker a bunch of photo students into sending you their best images and granting you unlimited usage rights and sublicensing rights in exchange for “exposure” and a grand total of $0. At least, that’s the genius gameplan that “author” Kristin Ellison and her publisher How Books and Rotovision SA schemed up for their new book. Ellison, on behalf of How and Rotovision are canvassing the photo schools and encouraging photo students to submit their 5 best photographs for inclusion in the book and DVD. The sad part is, they will probably receive far more than 1000 submissions, from students who don’t yet understand that by granting unlimited rights to Rotovision, they are injecting their images into the global marketplace forever, and are forfeiting any possibility of issuing exclusive licenses in those images. Rotovision also requires that each contributor indemnifies Rotovision from any liability associated with the photographs. Meaning that if any one of the adults or children appearing in the photographs sees their likeness in an advertisement, or for example, on a Nazi web site, and sues Rotovision, the student photographer is solely liable to the models.

Further, the website that promotes this endeavor is misrepresenting things to the unsuspecting contributors. When they write
"Please note: Contributors maintain all rights to, and ownership of, all images submitted. Contributors are granting RotoVision the right to publish their images in the book and on the DVD to be used by readers in any manner they choose."
This is a definitive contradiction. You no longer own any exclusive rights to your work. You don't have the right to license exclusive use to any client, and you have no right to preclude someone from doing something objectionable with your work. The list goes on.

Here's the sales pitch, that went out to educators worldwide:
I am the author of the upcoming book “Stocked Up”, a collection of 1,000 photographs. The book will be published next year in the US by How Books, and in the UK and abroad by RotoVision SA. I am writing to you because I am in the process of soliciting images for inclusion from all types of photographers, but especially students. When I was a photography major I submitted my work to a contest and was featured in the resulting book. This was an extremely empowering event for me and gave me confidence in my work. It was a professor who let us know about the contest and made one of our term assignments be to shoot images for submission.

I would be thrilled if you would share this opportunity with your students. It is free to submit work and anyone may submit up to five images via my website www.stockedupbook.com. The website contains all the details and necessary forms, but if you have any questions please do not hesitate to contact me at any point.

Thank you so much for your time and consideration.

Sincerely,

Kristin

Kristin Ellison
Author
Stocked Up: 1,000 Rights-Free Photos
www.stockedupbook.com

So, who exactly is Rotovision, and How Books? It can't be that this is the same How Books that publishes The Photographers Market book each year, or The Graphic Artists Guild Handbook of Pricing & Ethical Guidelines, or The Designers Guide to Marketing and Pricing, can it? Rotovision SA also has published a number of respectable books too, so it is surprising that they would be involved in something like this.

The contract you are required to sign reads, in part:
1 - I hereby assign and grant RotoVision permission to reproduce at any size the image/s submitted by me for inclusion in the Work, in all editions, co-editions, revisions, and reprints of the Work...The sole consideration for granting these rights shall be the promotional benefit to me of inclusion in the Work.

2- Contributors will not recieve complimentary copies as a result of their images being included in the book.

3 - Rotovision will have no liability over users of the DVD...Rotovision can take no responsibility for any pirating and onward sales of the images...
This, and the rest of the contract, is just plain wrong. The home page pitches you thusly -
"Just think, your work could ultimately be featured in a magazine, in a work of art, or on a greeting card, the possibilities are endless!"
Actually, the one possibility that does not exist, is for you to actually get paid by someone who sees your image, because it will be free to them. So, when it comes to earning money, the possibilities actually end - the buck does not stop here.

Interestingly enough, give this idea they propose on the website some thought:
"The more images we get to chose from the better the book will be. A better book will mean greater publicity for it (and your work) and wider distribution around the world. So tell your friends about it and get them to submit work as well."
If you're not really thinking at all, you'll tell everyone, and that would be a consistent thought process with agreeing to do this in the first place. The fact is, for every person you tell, you diminish your chances of being in the book. The "author", Kristin Ellison, is also the Editorial Director of WOWIO, having left RotoVision as Executive Editor before even a years' time, only to take up the title "author" for the first time when she was successful in pitching "Stocked Up". Ellison remains also as Editorial Director at WOWIO, who's slogan is "Free Books Free Minds". Among the books they are offering for free reading online is Susan Sontag's On Photography; Aerial: The Art of Photography from the Sky, and several black and white books by Terry Hope. Outreach to some of the authors and publishers whose material is listed online for free have not yet been returned to confirm these free offerings are legitimate or not.

So, what to do about all this? Why, write to the author and publishers to voice your displeasure. The "Author", who is better ascribed the title of either editor, or, well, you pick a colorful title, is {redacted} . RotoVision's publisher, whose name is at the bottom of the contract you must sign is April Sankey (LinkedIn: Profile) can be reached at: {redacted} . Their Commissioning Editor Isheeta Mustafi (LinkedIn: Profile) can be e-mailed at {redacted} as well. HOW Books, is a part of F+W Media, so let's start at the top with them. David Nussbaum (LinkedIn: Profile), the Chairman and CEO can be reached at {redacted} . David Blansfield (LinkedIn: Profile), the President can be reached at {redacted} . Also listed as a President is Sara Domville (LinkedIn: Profile), who can be reached at {redacted} . Stacie Berger (LinkedIn: Profile) is their Director of Strategic Communications, and can be reached at {redacted} . While it looks like RotoVision will be doing the distribution outside of the US, HOW looks to be involved in the US, and you might want to let them know how you feel about this idea that HOW Books would promulgate such a bad idea upon under-educated and ill-advised students who are ripe to exploit and have few or no tools to counter such a bad idea. Pressure from the top down on whomever is in charge of the HOW Books division might change their minds.



NOTE: We have redacted the e-mail addresses in this updated post for the author and publisher contacts, since the book has been officially canceled, and there is no longer a need to write to them.

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Sunday, August 30, 2009

Getty Images Splitting Sales With Celebrity Subjects on the "DL"

It seems that Getty Images may be playing fast and loose with the ethics of photojournalism these days. Getty is sharing in the sales of images of certain celebrities with the celebrities themselves, for example, in a little-known maneuver where they just happen to be in the right place at the right tim to catch a celebrity doing something, paparazzi style. They are, unfortunately, doing this on the down-low, and that's where the ethical problem comes in.

Back in March, Photo Business News wrote - Getty Images And Paparazzi Pictures (March 9, 2009) where Getty is using different brands to distinguish between "respectable photography" and "paparazzi". Since Getty and WireImage are seen by most publicists as a "white hat" wire service, equal to the AP and Reuters, Getty/Wire doesn't want to sully their reputation with gotcha paparazzi photography so they use another of their brands to take the reputation hit.

When an image is provided to the Associated Press, for example, from someone other than their staffers or as the result of a freelance assignment, their caption is clear on the source "In this handout photo provided by AEG, pop star Michael Jackson..." begins the caption for this photo, because AEG provided to all news outlets that photograph (which, interestingly enough is also a Getty Images image but AEG had the right to distribute because they were one of the contracting parties) and they do the "in this handout photo..." all the time.

When a photographer starts a fire, and then, oh, just happens to be first on the scene to make great photos, that's called a crime. However, when a celebrity says something like 'I'll tell you where I will be so you can photograph me but you have to share all the money you get from the photos with me', and then does not disclose this arrangement in the course of their "reporting", that's bad ethics.

How is this happening?

(Continued after the Jump)

Getty LA Entertainment staff Photographer Frazer Harrison may well not be in on the game, but here's how it works. Harrison is a staff photographer, and the photo credit for a staff photographer is "Fazer Harrison/Getty Images" or "Fazer Harrison/WireImage". In this example "Kim Kardashian And Kourtney Kardashian Go Shopping", the credit reads "Frazer Harrison/KA/WireImage", where the "KA" is the change in the credit that makes it possible for Getty to track the sales properly so that Kim KArdashian gets paid. Further, she can see exactly where "her" images appeared since they will be specially credited. How do we know that this particular revenue sharing is with Kim, and not Kourtney?
Why, because Kourtney has her own revenue sharing code "KK", as shown here - Kourtney Kardashian And Scott Disick Go Baby Shopping. "But how can you be so sure?" you might ask? Because if you check this link, you'll see that before they headed off to be "surreptitiously" photographed by the photographer, they had a portrait session with him using the same "KK" code. Harrison's images, however, are not the only Getty content where this is happening. When Getty's Florida staffer, Gustavo Caballero just happened upon a "sighting" of Kourtney and Khloe, his credit has the same code "Gustavo Vaballero/KK/Wire Image" - Khloe Kardashian And Kourtney Kardashian Sighting In Miami - June 18, 2009, and in this case, further, this image is billed as an "**EXCLUSIVE**", and further notes "(EXCLUSIVE, Premium Rates Apply)". Clicking this link it looks like Gustavo had to spend the whole day with Kourtney and Khloe doing "sightings".

It's one thing, for example, for Brad Pitt to use Getty as the distribution channel where everyone knows that he's getting money from it (and best that he donates it to charity) when they are the first photographs of his child, however, for Getty to put these images in their "editorial" category is ethically dubious, at best, without disclosure of the deal.

Getty, however, knows how to do a proper credit. When they decided not to cover the 2009 International Indian Film Academy Awards, they used the same credit style as the AP does for the images that were essentially a promotion for that organization, with Getty serving as the conduit (and picking up all the licensing fees for the ones they distributed at the same time).
 
 

Is this phenomenon new? No. Do other celebrity photo organizations do it, sadly, yes. The key is to disclose these things and be up front about them. You might suggest that this isn't "photojournalism" so who cares? Well, when the subject is a politician (like the many Congressmen) or a businessman (like Maddoff) who is marched in and out of courtrooms and photographed on the streets, we call that photojournalism, but then when a celebrity is photographed on the street, it's not the same? They are the same, and they should be subject to the same ethical guidelines and disclosures. The only real difference is that when a politician or a businessman breaks the law, or a celebrity is out for the day on the town, it is a difference between "need to know," and "want to know."

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Saturday, August 29, 2009

Not Out-Gunned, Devalued

Everytime I post something or read somewhere where something is written that is critical of amateur, pro-sumer, volunteer, or free photographers, whether these folks are in credentialed positions, getting a magazine cover or photo in an ad or newspaper, I hear some variation of "...you pros are just worried about getting out gunned...". Honestly, nothing could be further from the truth.

A pro knows the value of their work, and, as a result, the value of the effort they bring to the assignment. Product shot on white seamless? Seems simple, but it's not. What about transfer edges? Highlight shapes? Angle/perspective, and so on. This is one of a hundred examples I could provide. Case in point - I recently had a client drive a long distance to come to my studio for a product shot. At the conclusion of the shoot, he commented that he had no idea how much went into doing a shoot to get superior results. He expected it to take an hour for four products. It took seven hours (frankly, much of that time was product-build time). Afterwards he recognized what was involved, and definitely pleased with the results.

When someone sells a commodity for $10 that everyone else is selling for $100, it devalues that commodity. If the commodity was easily selling for $100, why would someone - anyone - sell it for $10?

(Continued after the Jump)

Photography is, however, not a commodity. Just because some people choose to devalue it to that point, treat it as such, price it as such, doesn't make it so.

Some organizations have chosen to price images, for example, by the pixel dimensions alone. This does not take into account so many things, it's just rediculous. The image of the hindenberg engulfed in flames or JFK being shot cannot be priced by the pixel. Doing so devalues the work because it does not take into account the content of those images.

Consider, for a moment, that an inventor created a product, and it costs that inventor $10 in materials and overhead, per product, to manufacture it. Following common business practices, that product will wholesale for $20 each. Following again common business practices, that product will retail for $40, and likely sell on the street for around $30. Understand, this is an example and these are generalizations.

With those figures in place, the company decides to spend $250,000 for ad space (online and in print) to market the product. It is to be your photograph, of the product looking so cool and so amazing, that is the entire ad, with a tag line "Buy it and be cool". As a result, the client sells 250,000 products. That means that the client spent $2.5M in raw materials, and netted $2.5M in profit. The retailer too grossed $2.5M as the middleman for the product, providing retail shelf-space. How much are you, the creative mind behind the image that convinced the buying public to actually buy, due? 1% of the profits? 5%? How about just 10% of the ad buy? What if your single image were one of four on the page, would you be due 0.25% or 1.25% of the profits, or 2.5% of the ad buy?

A photographer brings to an assignment an understanding of the subject and their quirks. Whether it's a sporting event, where you know how a particular player will likely act, a portrait where your subject has a duration they will be willing to sit for before their unhappiness at being photographed shows in their expressions, or food photography, where the concoctions that photograph like, say, ice cream, are almost inedible despite looking great through the cameras lens, all assignments have challenges. Can any given photographer stumble into a great photo? Sure. Even a blind squirrel finds a nut once in awhile. The pro however, must get it right at a level of expectation for success that approaches that of a surgeon. The problem is, unknowning clients look at the bottom line and then ascribe equality to an amateur's work and that of a seasoned professional. In the end, the client is unaware of the risks, however, the damage of devaluing photography has been done. The client will just blame the photographer when the shoot fails, not themselves for hiring the photographer without a proven track record of success.

The collateral damage of the client choosing on price, is that photographers will feel pressure from clients to lower their prices, and some will. Then there will be more pressure, and more lowering of prices. Please understand, I am not writing this as someone who has lowered their prices (I have not), but as someone who is watching as photographers' sales reports that used to show average per-image licensing of upwards of $600 now showing those same images for similar uses averaging under $100. Further, photographers who used to earn $2,500 off an original assignment and several thousand dollars in re-sales licensing over the years are now being expected to sign away all rights (and thus all future resales) for $1,000.

In the end, not only are you devaluing your work, and those of your colleagues, you are doing damage to a profession that is a passion for most in it, and you are leaving a lot of money on the table.

I know of no photographer who feels the young upstart photographer, the amateur photographer, or even the pro-sumer will "out gun" them, but almost all of the photographers I talk to about this know that these same folks are devaluing their work. Interestingly enough, that means that the pro sees quality, capability, and talent in the images produced, and knows they are worth much more than they are being given away for.

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Thursday, August 27, 2009

US Presswire "Steps In It" With MLB and Getty Images

As the boys of summer were just getting into the swing of things, US Presswire hired an unemployed Peter Toriello after he was laid off from Getty four months prior where he was in charge of the Getty's MLB relationship. USPW announced Toriello's hire as "Director of Global Sales and Business Development" on March 4, 2009. What they didn't announce was that in addition to Toriello's physical capabilities, they also obtained a valuable knowledgebase of information about how Getty was handling the MLB contract. With Getty losing the NFL to the AP, the MLB deal becomes that much more important to Getty's cache. What is in question is what potential proprietary trade secrets might Toriello have taken and/or shared with US Presswire, if any?

Not surprisingly, Toriello knows the financial cycles of the MLB teams, and he also had inside knowledge of just what Getty Images was charging MLB teams for asset management services. Each team has their own collection of wholly owned content that not only do they want marketed for revenue generation (that Getty would get a piece of, of course), but also for team uses - everything from billboards to brochures. Getty had an asset management solution that was one-stop shopping for both image licensing, but also asset management.

Was it a timing coincidence then, when Toriello contacted the teams in his new role at US Presswire, and what exactly was he offering them?

(Continued after the Jump)

Rewind a few months, and let's look at Toriello's first mis-steps. He wasted no time in demonstrating his lack of business accumen by using a quote from Michael Madrid of USA Today in his marketing materials to all of the people on his e-mail list. Below is a portion of the brochure he, as as USPW's "Director of Global Sales and Business Development" sent out:
As you can see, USA Today is quoted as saying:
“Week after week we have been continually impressed with the quality of images and their dedication to posting those images as quickly as possible. More often than not, we have found USPRESSWIRE has better quality images than the AP, Reuters or AFP… We trust their news judgment and appreciate the fine quality of photographers they have brought to their team.”
-- Michael Madrid, Photo Editor
There are three problems with the above quote, even if Madrid actually said it (which remains in question). Problem #1 is that even if Madrid did say it, he did not grant permission for it, or his name to be used in an endorsement of USPW. Problem #2 is that USA Today has a very clear policy about endorsements, and doing this violated those policies. Problem #3 is that not only did Toriello/et al use the USA Today logo in their brochure, but they also used the trademarks and implied endorsements by CBS Sports, ESPN, and others, as shown below, in that same brochure:
That brochure was accompanied by a friendly letter from Toriello:
Hello all.
I hope you’re all doing well and retaining as much of your partner base/ success as you recognized in better economic times.

I wanted you all to know I landed at a GREAT agency and have begun to make strides in developing our client base, content, marketing initiatives and partner relations. I am thoroughly excited to be a part of US PRESSWIRE and the close knit family of 250 photographers we work with.

I will be looking for any and all possibilities of where we can work together again. The corp address is Atlanta, as you can see, but I am working out of my home in NJ. It would be great to see you again. PLEASE keep in touch and please send updated contact info.
MLB was quick to object to this, and advised clubs of the MLB/Getty relationship.

This brings us up to date.

Now, just last week, Toriello again wrote to MLB clubs and offered US Presswire asset management, and MLB and Getty images were very quick to react. In response to the USPW solicitation, the MLB apparently sent out an email again reminding all the teams that Toriello is no longer with Getty, and is, in fact, with a competing entity, and encouraged each team to utilize the Getty asset management solution and reminded the teams that Getty is "the ONLY source approved for commercial use of photography."

Toriello wrote to the clubs:
Based on our earlier conversations, I'd like to get the ball rolling with our Asset Management solutions. Attached is a doc you can feel free to send around the Twins organization as budgeting time is upon us all. The numbers below are scalable to your needs. I would like to make myself available to the process of discussing this at length & how this can be an asset. The Club has some exciting opportunities ahead with the new stadium, and some of this increases the reason to look at this service, but please keep me informed of any feedback among your Club colleagues.
º Costs [twelve month contract minimum]

Set-up
º $2,500 one-time fee
º Graphical interface 'skin' customization included
º Initial ingestion of wholly owned images included*
º Training included
º On-going support included
º Unlimited Users
Hosting Base Package (Up to 250G)
º $750/mo. ($3/G)
º Initial storage = approx 250,000 1MB images
º Each additional gigabyte of storage = $2.50/G (1,000 1MB images)
*If already digital w/ keywords and captioning completed

Peter W. Toriello
Director, Sales & Business Development
Fortunately, this time, Toriello didn't make the same USA Today mistake he did the first time around. Once again, MLB reminded people of the Getty relationship in a letter that was apparently sent out to all the clubs.

What Toriello is missing from all of this, is that the US Presswire access to MLB games is (or certainly was in the beginning), in large part, based upon the relationships that US Presswire President Bob Rosato had with MLB teams and executives which was, in turn, based upon his longstanding tenure as a senior photographer at Sports Illustrated. Rosato traded on that to get US Presswire off the ground, and USPW is a commercial venture that receives access only while in the good graces of the MLB.

With Getty, who pays a substantial amount of money for the exclusive commercial rights to MLB images, and who also expends a great deal of money covering MLB games, this is a colossal mistake by USPW. Getty likely will, in short order short-circuit USPW's access to many games, as MLB's good graces evaporate like dew on a hot August morning.

As the fractional revenue that USPW is generating is likely diminishing, bringing in Toriello seems like grasping at the straws of success, only to wake the sleeping giant of a Getty/MLB contract issue. I understand that Toriello was unemployed, but you don't board what looks to many like a sinking ship as the dock lines are crowded with traffic in the opposite direction. Coming from a place where atleast Getty paid $250 a game, he must have known that USPW wasn't even covering photographer expenses (in almost all cases).

While I can't support a work-for-hire deal for Getty freelancers, and think that those who accept such assignments are penny-wise and pound-foolish, they look like geniuses compared to those that partake in what amounts to free sideline fantasy seats that they justify by shooting during the game, pretending to be "one of the boys". In reality, the landscape is littered with the dashed dreams of those that were lured in by US Presswires' siren song, only to crash onto the shoals of revenue losses when no payments for months on end were forthcoming, and "promotional" giveaways of their images resulted in no revenue-positive sales in the first place.

Toriello seems to have accelerated MLB's need to address what US Presswire is getting for free, when Getty Images paid a princely sum for the rights contract. Look soon for US Presswire to be less present at MLB games moving forward.

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Tuesday, August 25, 2009

The SEC, The AP, and Gannett Clash Over Rights

The Southeastern Conference (SEC) is in a clash with the Associated Press and Gannett over the rights to images and narratives of their sporting events. Lets start out with a few things first - The SEC is a collegiate athletic league that holds sporting events on their campus, usually in closed arenas or stadiums, where a price is paid for admission to what is easily argued is "entertainment". The Associated Press is a newsgathering cooperative that works for its members to cover the world, spreading the cost of that coverage over the multiple members who get images and text that they can then publish in their papers, drawing readers. Gannett is a for-profit corporation that does the same thing for each of its individual papers.

Each entity has a profit motive. While the AP's profits may be returned to the company to cover other costs, the member schools of the SEC are looking to grow revenue for their own betterment, and Gannett is looking to grow revenue to inflate their profits.

The problem is, as outlined (here) at Editor & Publisher, is that the AP and Gannett don't like being told what/where/how/when and why they can, and can't sell pictorial depictions or narrative descriptions of the SEC entertainment events. This is not the first time that sports entertainment entities have clashed with media conglomerates and cooperatives over profit-making masquerading as entitlement "news coverage" of these entertainment events.

What, though, should a photographer learn, or take away, from this clash?

(Continued after the Jump)

The individual photographer should realize that if reuse/resale/repurposing rights weren't of value to these outlets, they wouldn't be insisting that the individual photographers give them away for every assignment, and they wouldn't be fighting so hard to keep them so they can resell them at a later date.

In the runup to this seasons' college football season, The SEC has imposed new rules on the use of content that covering media conglomerates may make for free. Let's get one thing really clear here - the AP and Gannett (and others) are paying zero dollars to the SEC to cover these events, from pre-game to post-game. In an era when there was no cable television, and all sports scores and highlights came from the newspaper, all sports entertainment had to give a free pass to those who were making pictures and writing stories. That era is over.

In August of 2008, ESPN paid $2.25 Billion for whatever TV rights CBS did not already have, for 15 years. Just prior to that, CBS paid $800 million for a 15 year deal. $3 billion dollars for 15 years equates to $200,000,000 per year in valuation, much of which is attributable to the SEC football valuation.

Thus, when you're paying $200M per year, it would stand to reason that you would object to a newspaper posting their own video and audio game highlights on their own websites, especially when those websites make it less likely for a fans eyeballs to visit the ESPN or CBS websites. It would also stand to reason that you would be objecting when newspaper reporters are liveblogging the game, which would also diminish the likelihood of people listening to CBS or ESPN radio, or getting their own ad-driven blog feeds.

Further, photographs are being restricted from being sold beyond day-to-day coverage needs. In other words, covering media conglomerates can send a photographer, and provide those images to their papers, subscribers, or member newspapers regarding coverage of that game. However, these same conglomerates can't cut into the control and resale possibilities that the SEC would have of images from a particular game by selling images or stories themselves.

Another interesting point is that, in exchange for the AP/et al getting free access to generate intellectual property (i.e. images) for distribution to their members, the SEC need not fully employ a photo staff to cover each game since they are requiring the rights to use the images from all covering entities (AP/Gannett/etc) for whatever they want. Thus, if you are an SEC school photographer, you will likely not need to travel with the team as much, since every photographer/organization who signs the contract will be the reason you aren't going.

Once again, let's return to the freelance photographer. I want to make sure you get this point - when you're covering any assignment, and you justify to yourself why you signed away all your rights to images from the assignment, remember that when the AP was told that they could cover and use the images the next day for stories on the game, but that they could not resell as stock those same images you made for them and gave them the rights to, they said no. They objected, because they know that your images you gave them are valuable to resell and repurpose.

What about audio and video value? I know of many a colleague who has been asked by publications across the country "hey, can you get me some audio when you're not shooting, and also, since you have that camera that can shoot video, please shoot me some wide stadium video too." And then when you ask for additional compensation for that, they say "hey, it's just audio for the slideshow online..." or "we just need some video for the opener of your still gallery" and then suggest that they are already paying you, and thus it's really not worth any more, that, maybe, it actually IS worth more. Heck, it makes the galleries more engaging. Oh, it makes you feel like you were there! Hey! Isn't that what ESPN and CBS paid $3,000,000,000 for?

The networks make money off the commercials, just as the newspapers make money off the ads that are adjacent to the sports photos. The fact that newspapers got a free ride for this long is remarkable. The SEC (and every other sports league) has put up with free "news coverage" for as long as it suited their needs for free publicity. Now, they are not beholden to the AP/Gannett/et al, and media conglomerates are paying for the right to distribute the content that is created at these events.

Let me be very clear here though, I am not saying that anyone should sign away what the SEC is demanding. No organization should give away the intellectual property they create at these events any more than the individual freelance photographer should sign away their intellectual property rights when working for these organizations. Just as I would suggest to a freelance photographer that they not sign these bad deals and walk away, so should these organizations. Or, perhaps these organizations could enter into a licensing deal with the SEC to share a portion of the resale proceeds, just as they should fairly do for their freelancers. What's good for the goose is good for the gander. Any organization that demands all rights/work-for-hire from its' independent contractors with the intent of repurposing/profiting from the content produced, shouldn't be so surprised when other entities insist on the same from them.

At a time when the AP is not completely prepared or ready to take over the NFL contract from Getty Images, this could actually work out to their advantage. They were already going to be understaffing the NFL games, so perhaps the planned cadre of SEC photographers can be dispatched to the NFL? For AP photo-wise, this could be a good thing.

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