Countdown to Revolution: WordRates to launch Oct 19th

The journalism business is about to change forever.

On October 19th at 8:00 a.m. WordRates.com will bring transparency to the publishing world by allowing freelance journalists to compare rates between publications, review contracts and rate editors, magazines and websites. Called “a Yelp! for journalists,” WordRates will give writers a crowdsourced periscope into the industry in order to help them better target their stories to publications and negotiate competitive rates for their work.

In addition to the ratings database, WordRates will also launch “PitchLab,” which uses a revamped literary agency model to represent feature writers to magazines. PitchLab will pair writers and their story ideas with “mentors” who will sell those stories to mainstream magazines. The mentor team features award-winning writers from The New York Times Magazine, New Yorker, Vanity Fair, Wired, Rolling Stone, and Bloomberg-BusinessWeek, including Trevor Aaronson, Vince Beiser, Erin Biba, Charles Graeber, Jonathan Green, Jon Lackman, Robert Levine, Jason Miklian, Luke O’Brien, Neal Pollack, Paul Tullis, Joel Warner

WordRates was made possible after a successful Kickstarter campaign in May raised almost $10,000 from 246 freelance journalists around the world. These journalists, and others like them, have noticed that for the last 20 years pay to freelance writers has remained stagnant. Despite the internet’s promise to level the playing field for content, and potentially allow anyone a chance to find an audience for their work, the profits, by-and-large, have stayed within the large publishing houses.

According to their own figures, magazine publishers like Conde Nast and Wenner Media pay less than 2% of the revenue they make from advertising to their writers. Meanwhile, publishing contracts have gotten worse and made it increasingly difficult for writers to get fair terms on the film rights, reprints, translations and book deals that have long been important revenue streams for creative professionals. WordRates envisions that a little transparency and some healthy competition will change that.

There has been a lot of anticipation in the media for WordRates in the last few months. Here are a few of the highlights: Continue reading…

One Week to WordRates!

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After almost five months of development after a successful Kickstarter campaign I am pleased to announce that WordRates & PitchLab will go live on September 8th, 2015 (barring any unforeseen last minute design SNAFus) at WordRates.com.

If you haven’t seen it, WordRates has gotten some amazing press, with Fast Company musing that after September 9th “We’ll begin to see just how powerful accountability and agents can really be.” And the Columbia Journalism Review throwing in it’s two cents.

We have 12 world-class mentors who are going to evaluate pitches and take them out to the best publications they can find as well as a completely re-thought way to rate magazines and editors on how easy they are to work with. I can’t tell you how excited I am to see it live. Keep your eyes peeled for updates over the next week.

Anyone who gave to the initial Kickstarter Campaign will get a complimentary membership to the site once it is live.

A Look Behind the Scenes at WordRates

There’s some big news in the wide world of WordRates. In the last month or so there has been a ton of work going on behind the scenes figuring out how to best structure the project. Here’s a quick update: WordRates is now an LLC in Colorado. We’ve brought on the Rao Law Group to handle the legal side of things. The website is being put together by the Colorado-based design company Lime9web, in conjunction with Umar Ilyas of eJuicy Solutions in Islamabad.

We have a group of 9 mentors who have signed up to tackle PitchLab. Together they’ve published more than a dozen books and contribute to the top publications in America includingVanity Fair, The New York Times Magazine, Wired, Bloomberg-BusinessWeek, the New Yorker, Atlantic and Conde Nast Traveler.

We are still in the very early stages of design and managing the back end of the site. But here’s some very rough sketches of what the site will actually look like when you start to use it. I’ll start posting more refined designs as we get them ready

Here is roughly what you will see when you log onto wordrates.com:

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Individual reviews of editors and magazines will lead to a page that is laid out like this:

 

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And every member will have their own profile:

 

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Help Kickstart Wordrates & Pitchlab

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I am proud to announce that this morning I’m going to do more than just write about the problems in the publishing industry. I’m going to do something about them. I’m launching a Kickstarter campaign that I hope will shift the ways that writers think about and market their work. I’m only asking for enough money to design the website. Please share this widely and lets make some great journalism together.

Here’s a link to the project:

https://www.kickstarter.com/projects/767033302/wordrates-and-pitchlab-fixing-journalism-since-mid

 

The Problem:

Freelance journalism is dying. For the last 20 years, word rates have stagnated. Every year publishers grab more reprint, book and film rights and it is harder than it ever has been to make a living as an independent journalist. This is an important problem that deeply impacts the quality of the news you read. According to a survey by ProjectWord this year, almost half of stories that journalists thought were important to produce were never written because of lack of funding. Along with declining payments, boilerplate contracts weaken copyright and take away valuable ancillary revenue streams.

The dirty secret of the publishing business is that there is still a lot of money in the media. It’s just that writers aren’t getting any of it. Publishing empires like Conde Nast pay less than 1% of their gross revenue to writers and instead buy billions of dollars worth of real estate in Manhattan. VICE, a company that has been valued as high as $2.5 billion, pays a mere $250 for a reported piece. And let’s not forget that its CEO was willing to blow $300,000 on a dinnerwith 30 of his closest friends.

Antitrust laws make it illegal for freelancers to unionize so the only practical solution is to rely on the principles of the free market. It is time for a disruptive website that will change the playing field for freelance writers and photographers. By sharing information and promoting a business model that has been successful in both the book publishing and film industries it will be possible to get a bigger piece of the overall publishing revenue.

 

 

A Disruptive Solution:

WordRates solves two interconnected problems:

1) The inability of journalists to assess a market for their work before they pitch a story. And, 2) Our general reluctance to negotiate for favorable rates and contracts.

To address these issues, WordRates provides user-submitted ratings of editors and publications with Yelp-style reviews. The public submissions will allow writers to easily gather contact information for editors, compare boilerplate contracts, and submit comments about their experience working with a particular publication. Ratings will carry weight with the community and put pressure on editors and magazines to get better reviews. Journalists will be able to use the power of the community to increase the competition between magazines, create upward pressure on word rates, get better terms on contracts and hold magazines accountable for bad business practices. Except for contact details, these profiles will be freely available online in order to facilitate writers to become the best possible negotiators of their own work.

The second role of WordRates, a section of the website that I’m calling Pitchlab, is perhaps even more revolutionary. It’s a new way to get promising material into the hands of decision makers who assign stories.

PitchLab

“PitchLab” will be a space for both journalists to workshop their pitches with seasoned mentors. Not only will the mentors help polish a story idea into a work of art, they will take on the role of a literary agent and use our contacts in the media industry to shop for the best possible deal for the story. After a piece is accepted, WordRates will issue a standard writer friendly contract to magazines as a negotiating counterpoint to increasingly hostile magazine boilerplates. Just like literary agents, we will pitch to multiple publications at once so that the writer’s ideas can get market rates for their work instead of silo rates that are invariably uncompetitive.

Book authors sometimes receive six or even seven figure advances for their work and it isn’t a secret why: competition. Literary agents take ideas out to multiple potential buyers at once and ask them to bid. Book publishers have to bid well on great ideas because they want to publish the best possible material. Every term of the contract is up for negotiation and great ideas can make significant money. There is no reason that this couldn’t work in the magazine business. Great stories sell more issues, which in turn means higher advertising rates.

Magazine pieces that might sell for $5000 in today’s uncompetitive market, could get double or triple that with the right sales strategy. Indeed, with ancillary rights attached, it could be much much more. Here’s an example: Once, a story that Wired commissioned me for $4500 sold for more than $20,000 in foreign markets. If my contract had been the one that Conde Nast offers now, they would have gotten most of that money.

With PitchLab the mentor has a financial interest in selling the pitch for highest possible price and earning a commission in the process. PitchLab will split that commission with the mentor in a way that is industry standard among literary agencies.

PitchLab will be more than a way to allow seasoned journalists to have a real stake in developing new talent. In time, it could turn into an entire payment ecosystem. In practice, it is easier to negotiate for the value of someone else’s creative work than your own because an agent isn’t afraid to say no to a bad deal. Not to mention, seasoned writers could well use PitchLab to take advantage of mentors who have particularly good negotiating records.

Development

I already have the URL (wordrates.com) and the basic architecture in the works, but I will still need to hire a developer to get this off the ground. Based on extensive conversations with a developer in Boulder, CO it seems that it will cost several thousand dollars for all the bells and whistles—a cool fresh look, a secure pitch lab and rating system. I’ll also need to have some money on hand for legal challenges (this is America after all) and a budget for data entry and secure servers.

Rewards:

What better way to celebrate the power of the written word then with books and membership into this program.

Continue reading…