We are contacting you today in hopes of discussing a few key issues relating to the licensing, pricing and use of our agencies images in your publicationʼs “apps” and tablet “iPad” equivalents. The agencies listed below have recently formed a guild called EPAG (Editorial Photo Agency Guild) to raise awareness about these pressing issues facing each of us as we all move forward in the digital publication age.
As these new platforms grow in popularity with consumers, it is our belief that the licensing of these images should be treated independently from what you already pay for with respect to the print and .com versions. Photo agencies are hoping for the success of this new technology as much as anyone. The iPad and similar platforms can both bring in new readers and enhance the experience of existing readers, as described above. More happy readers mean more revenue and more success for the entire industry (including us). To a large extent, our goals are the same as yours. A recent report conducted by five of the most important publishers in the world concludes: New study forecasts $3 Billion in Subscription Revenue for Interactive Periodicals by 2014.
Here is what we propose:
1) Include iPad/E Reader usage in the current print pricing by adding a $50 minimum for Red Carpet or $100 minimum for Candid non–exclusives or 25% to the print price agreed, whichever is the greater, for the first 6 months, 50% for the following 6 months, and 100% of the current fee paid after 1 year. We will agree to look at pricing in one year before implementing the 100% price by assessing the traffic, profit and success of the App with the publisher as a co-operative strategy to show we aren’t blindly thinking of applying 100% unless its achievable for both sides
Exclusives to be negotiated each time.
2) Images used independently of the print edition (bonus sections or any other additional uses by any publication) Recognizing that E platforms are new, EPAG
is prepared to ramp this up at 50% of the estimated print price for the first 6 months. After 6 Months, we would renegotiate these fees based on iPad/E reader traffic, ad revenue and market share. 100% goal subject to assessment.
Exclusives to be agreed separately
3) All images used need to be reported to the relevant agency in a mutually acceptable format
We remain extremely dedicated to offering the best images in order to bring to your readers the best experience possible. We would like to take this opportunity to setup a short meeting with you to discuss the potential for this new service offering and how best to work together on making it a success.
Abaca, Admedia, Bauer-Griffin, BEImages, Big Pictures, BuzzFoto,
Celebrity Photo Agency, Elevation, Fame Pictures, INF,
PacificCoastNews, PictureGroup, PhotoLink, RameyPix, RexUSA, Sipa
Press, Splash, Star Max, Startraks, WENN