Managing Shuttleworth Foundation funding, project by project

Arthur’s fellowship with the Shuttleworth Foundation began 1 September 2011. He has received in total three years of funding which have been used in 17 projects which make up the total Paperight project.

The process is well organised and thoroughly monitored by the Foundation. We submit detailed pitches which are analysed and discussed before being approved. Memorandums of Agreement are created for each pitch and signed by Arthur and the Foundation’s representative. Invoices are submitted against each project and are tracked. At the end of each project, detailed closing reports are done and the remaining funds which have not been spent are returned to the pool.

Funding we have received and allocated to projects so far includes:

Project 1 – Beta

This is the first Paperight project pitched to the Shuttleworth Foundation. The plan for this project was to hire a core team, build and launch a minimum-featured beta site with automated content licencing and acquisition. The project went better than expected and took four months instead of three. A large portion of the funding requested for this project was put back into the pool to use for other projects. Our budget included a senior developer, a content manager, office costs, interns, registrations, and two laptops.

Total spend: R92 500

We learnt about:

  • The value of great internships
  • The mixed quality of of open sources of content
  • PDF technology
  • Workflow best practice using wiki-based operational manuals
  • The high cost of building open software
  • The difficulty of getting commercial publishers to provide content to new businesses.

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Arthur Attwell
  • Electric Book Works
  • Michal Blaszczyk

Project 2 – Promotion

The plan for this project was to promote outlets and customers while launching the instant-delivery website. The big goal was to get 100 outlets to register on our website and have 1000 documents purchased within two months. It took over two months to get 100 outlets, some of which were not viable outlets. In the first two months we sold about 100 free documents, and it took ten months to sell 1000 copies. Our budget included three months salaries for an outlet manager, a marketing consultant, a content manager, travelling costs, advertising costs, three computers, office costs and Adobe CS5.5.

Total spend: R489 372

Reasons for the low number of sales:

  • Very few outlets were advertising their Paperight service. Those who did advertise made sales.
  • The concept was very new to outlets.
  • Our marketing did not reach customers.
  • Our catalogue consisted of a small range of material.
  • We had few products to sell which were in demand by customers.
  • There is generally a low interest in the books which we had available on our site to purchase.

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Zimkita
  • Zukisani
  • Arthur Attwell
  • Newsclip Media (social media monitoring)
  • Mega Digital (printing)
  • Nicole Sochen (marketing)
  • Strand Signs (Signboard)
  • Facebook (advertising)
  • Radio Zibonele (advertising)
  • Craig Hughes (content)
  • Caitlin Bracken (content)
  • Raeesa Pather (content)
  • Diann Selman (content)
  • Niki Anderson (marketing)

Project 3 – Site 1.0

it is always necessary to test your own coding and websites over and above that of the developer testing

This project was for creating the first release of the current paperight.com. We contracted Realm Digital and the project went really well. All objectives were achieved. We learnt that it is always necessary to test your own coding and websites over and above that of the developer testing.

Our budget included complete basic frontend components (landing, registration and profile pages, account-credit topup page, catalogue page, licence purchasing page, manage licences page, manage meta data page) and complete basic backend components (account credit management, user search and language page, doc search and manage page, licence search and manage page, PDF watermarking).

Total spend: R509 238

Current team members/people involved in this project:

  • Arthur Attwell
  • Realm Digital

Project 4 – Office

We planned to move to a formal office space and set up the office infrastructure. All objectives were achieved, the team settled in straight away, enjoyed their new working environment and productivity definitely increased. Our budget covered office furniture, rent, stationery, telephone and general office costs.

Total spend: R92 052

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Dezre Little
  • Arthur Attwell

Project 5 – Team 2.0

We wanted to extend two existing contracts, create two new positions based on new needs and priorities, and allow us to bring in more interns. We first extended our contract positions: Our Chief Operating Officer (Tarryn Ann Anderson) and our Creative Director (Nick Mulgrew). Then we added new positions: Our Financial Manager (Dezre Little), and our Business Development Manager (Yazeed Peters). For our interns we found: Philippa Dewey as our Content Manager, Oscar Masinyana our Reading Communities Manager, and Marie-Louse Rouget our Marketing Coordinator. The team worked really well together and all were amazing team members. Our budget included three months salaries and three new laptops.

Total spend: R200 682

We learnt that

  • Our excellent team were the result of carefully selecting young purpose driven people
  • and a supportive environment.
  • Managing a team is an ongoing learning process. Arthur found giving each team member their own simple functional authority, and clear reporting lines helped to create ‘job coach’ relationships rather than task-based managerial relationships.
  • The process of including the team in the employment selection process meant that a team was created who bought into their team members success, built strong and loyal relationships where everyone is naturally interested in assisting their colleagues in both their career and personal development.
  • It helped a great deal that all team members valued each other as experts in their own area of work, and therefore saw each other as equals and relied on each others strengths wherever possible.

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Oscar Masinyana
  • Dezre Little
  • Arthur Attwell
  • Philippa Dewey
  • Caitlin Bracken (content freelancer)

Project 6 – 6A and B Software phase 2.1 and 2.2

This project was originally written in three parts and then added together to make up what was finally Phase 2.1 and 2.2. As with most development projects, it turned out that more development was needed as Paperight progressed. Overall this project went very well, thanks to good preparation on our side and great professionalism by Realm Digital. The work included building 3rd party product integration and product ownership functionality.

Total spend: R553 641

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Arthur Attwell
  • Dezre Little
  • Realm Digital (website development)
  • Dommisse Attorneys (legal advice)
  • Von Seidels (trademarking advice)

Project 7 – Live magazine

Here we collaborated with Live Magazine, placing a full-page advert in their magazine. The full-page ad featured a story-like cartoon highlighting our Let’s Talk About Varsity and Project H (a graphic novel) . The piece was well executed but there was no discernible increase in sales.

Total spend: R37 500

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Arthur Attwell
  • Live Magazine (advertising)

Project 8 – Team infrastructure

Our team is established and we started focussing on scaling our reach. This project created a year long foundation of infrastructure. We created our Paperight targets and goals to achieve over the next year.

Total spend: R912 555.25

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Arthur Attwell
  • Dezre Little
  • Marie-Louise Rouget
  • Oscar Masinyana
  • Philippa Dewey
  • Wolfsohn and Associates (Accountants)
  • The Book Lounge
  • Publishing Association of South Africa (membership)
  • Facebook (advertising)
  • Topcopy (printing)
  • Newsclip (social media monitoring)
  • Digital Express (printing)
  • Caitlin Bracken (content)
  • Diann Selman (content)
  • Limnos Backery (cakes)
  • Brendan Hughes (legal advice)
  • Freeagent (accounting program)
  • Paypal (payment partner)
  • Dropbox (document storage)
  • South African Book Association (membership)
  • Transforming minds (BEE application)

Project 9 – Frankfurt Book Fair

We sent Tarryn to the Frankfurt Book Fair to develop contacts and build relationships with international publishers. Great relationships were created and additional publishers signed up as a result.

Total spend: R17 180.35

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Millenium Travel (travel booking)

Project 10 – Trademarking

Trademarking Paperight in South Africa, the US and Europe.

Total spend: Still current, we expect a total cost around R100 000.

Current team members/people involved in this project:

  • Arthur Attwell
  • Dezre Little
  • Von Seidels (trademarking)

Project 11 – London Book Fair

We sent Tarryn to the London Book Fair to develop contacts and continue to build relationships. Again this was a great success.

Total spend: R18 660.97

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Citisprint (courier)
  • Millenium Travel (travel booking)

Project 12 – Sales course Yazeed

A ten-week course on selling for our Outlet Development Manager Yazeed Peters, intended primarily to boost sales from outlets to bulk-printing customers, resulting in revenue for Paperight in rights and service fees.

Total spend: R13 369.62

Current team members/people involved in this project:

  • Yazeed Peters

Project 13 – Unisa guide

This project was for creating and publishing Now What?, a short book on how to succeed as a UNISA student.

Total spend: R30 850.00

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Arthur Attwell
  • Dezre Little
  • Oscar Masinyana
  • Philippa Dewey

Project 14 – Software development

The third major phase of software development on Paperight.com.

Total spend: R139 080

Current team members/people involved in this project:

  • Arthur Attwell
  • Realm Digital

Project 15 – Software phase 4

Our next pilot project to add dynamically designed food packaging print-outs on paperight.com. Only kidding –this was our April fools joke for the Shuttleworth Foundation. We loved writing is as much as they enjoyed reading it.

Total spend: R0

Project 16 – Team operational costs

Paperight’s team infrastructure costs for 6 months, September 2013 to February 2014

Total spend: Still current, we expect approx R1m

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Arthur Attwell
  • Dezre Little
  • Marie-Louise Rouget
  • Oscar Masinyana
  • Philippa Dewey
  • Wolfsohn and Associates (Accountants)
  • Publishing Association of South Africa (membership)
  • South African Book Association (membership)
  • Freeagent (accounting program)
  • FNB Instant Accounting (accounting program)
  • Dropbox (online storage)
  • Docraptor (Invoicing package)

Project 17 – Marketing budget

Initial marketing budget and plans for 6 months, including staff, September 2013 to February 2014.

Total spend: Still current, we expect to spend almost R600K

Current team members/people involved in this project:

  • Tarryn-Anne Anderson
  • Nick Mulgrew
  • Yazeed Peters
  • Arthur Attwell
  • Dezre Little
  • Marie-Louise Rouget
  • Oscar Masinyana
  • Philippa Dewey
  • Daily Maverick (advertising)
  • Minute Man Press (advertising)
  • Shaun Swingler (photography and media)
  • University of Cape Town (advertising and promotions)
  • The Good Times (advertising)
  • Fitees (tshirt printing)
  • C2 Digital (printing)
  • Top Copy (printing)
  • UCT Sax Appeal (advertising)
  • Mega Digital (printing)
  • Newsclip (social media monitoring)
  • Facebook (advertising)
  • Martin Graphix (roller banner)

Paperight learns how to start Twitter Debates

In March 2014, we were approached by Kelsey Wiens of DevelopOA, and Eve Gray of the Centre for Educational Technology at UCT, about setting up a live Twitter debate to discuss issues around open access, limited textbook availability and high book prices.  What we’ve referred to as a Twitter debate is also known as a ‘Twitter Town Hall‘.

Having never been involved in something like this before, naturally we were curious and the timing was perfect for the #textbookrevolution campaign. We all agreed to use the hashtag #textbookrevolution to keep the comments and participants together. We then arranged a rough starting point, although the intention was that those who participated would be able to take the conversation in any direction they chose.

In preparation, each of the hosts reached out to contacts that might be interested  in taking part. We scheduled the debate for 1–2pm, hoping that this time would be easiest to work around. I focused mainly on contacting SRCs, student media contacts and university vice chancellors, and the responses we had were all positive. Our preparation paid off and our first debate led to a second, even more successful debate that resulted in our hashtag trending in South Africa. It appears we have a knack for this kind of thing!

To read more about how each debate went, take a look at our blog post about them.

Here are a few highlights taken from the debates. For more, click on the hashtag #textbookrevolution in the tweets below.

First Twitter Debate

Second Twitter Debate

https://twitter.com/NthabyNooe/status/444076246780362753

Onwards and upwards

Though our speculated pivot meeting had been set for the end of April, following the close of the #textbookrevolution campaign, by the start of March we’d already made significant decisions about what was going to happen.

One thing was clear though: the team would be downsized. This was where the value of openness came to the fore

While we were still ultimately deciding on the actual pivot we would make with Paperight, we had several options on the table. One thing was clear though: the team would be downsized. This was where the value of openness came to the fore, as the team could see this coming, and understood, and supported the necessity of this move. The result was that, while morale was perhaps not at it’s highest, there was no resentment among team members. We decided that in moving on it was important to wrap up the first chapter of Paperight. To this end we each began writing up our individual histories (an endeavour that lead to the creation of this site). I coordinated the team in the creation of a consolidated wrap-up list to prioritise tasks to be completed before leaving.

Despite our various wrap-up tasks and activities, we were still in the final phase of the #textbookrevolution campaign. We hosted two #textbookrevolution Twitter debates along with Kelsey Wiens and Eve Grey. You can read more about how those went here.

Publisher registrations

  • Blood Moon Press (15/3/2014)
  • Gamal Lydian Marketing (17/3/2014)

Credit system for prepaid outlets

Some of our outlets approached us saying that they would be more comfortable using our service if we would operate on a credit system, giving them the ability to spend credits and pay later.

  • Wizardz
  • Juta (cancelled after acquisition by Protea Books)
  • AloeX

Process

We increased the topup values on our outlets accounts by paying the money ourselves which the outlets then owe to us. The benefit for the outlet is that they do not need to make a top-up before they can make a licensed sale to their customer.

Outcomes

The outlets we tried this system with did not feel as though they had invested into the service that we provide and therefore were less motivated to sell our products.

Chasing up for payments with outlets is a time consuming process.

Conclusion

We would not be keen to offer this service in the future.

The Blaze of Glory begins

I went away over Christmas time and came back to the office a couple of weeks later recharged and ready to start the Blaze of Glory. Our funding was due to run out at the end of August so this was the last main spike in the academic book buying cycle available to us and we needed to make it count. By this time our focus had shifted from the high school market to the university market as we had realised that Paperight could make the biggest price reduction in this area. My part in BOG was to hack away at the reformatting of all A4 documents on the site, and then to reformat all Paperight novels, prioritising those on the University Prescriptions list.

The look of the Paperight PDF saw a few improvements over the years, first reducing the ad-space that had seemed like a good idea at the time but was never used, and then by removing the lines above and below the watermarking. The final product looked so much better after these improvements were made. But once the changes had been made on the site I needed to update the PDFs that had already been created using the old format. To do this I used the new PDF-PDF converter tool on the Paperight server. This tool had been in the pipelines for a long time and took quite a bit of testing and bug reporting to get it working properly, but when it was ready to go it worked like a dream. I simply had to select the PDF I wanted to convert, click convert, and wait.

I feel really lucky to have worked in such a sharing environment and to have had so much training.

I then moved on to the reformatting of the university setworks. In fact, I was reformatting some, but also adding many books that were not yet on the site. The list was 157 titles long. First I needed to learn how to use the HTML-to-PDF converter which had also just become operational. I was excited to learn how to prepare books from HTML using this shiny and much awaited tool. Tarryn, the fearless trainer, taught me how to scrub HTML, a process that at first sounded exotic and turn out to be a little less than. Before I arrived at Paperight I hardly knew what HTML was and I certainly didn’t know what CSS was, nevermind how they related to one another. But Arthur has such a great philosophy of training his staff on all aspects the company and I gained skills beyond what were necessary for my day to day job. I feel really lucky to have worked in such a sharing environment and to have had so much training.

I began scrubbing those books prescribed at the University of Cape Town and Stellenbosch University as we were carrying out targeting marketing campaigns at these institutions, and I found that I quite enjoyed it as long as I wasn’t scrubbing Tristram Shandy or The Tragedie of Mariam. And I was able to listen to podcasts while I worked so I listened to a lot of ThisAmericanLife. (I mean like a whole lot.)

It struck me that these students were Paperight’s target market, but this was the first time we had really spent any time with them, on their turf.

This task, interspersed with our #textbookrevolution outings to Stellenbosch University and UCT, has been my ongoing task to date. Our outings to the Universities were fantastic and challenging. We handed out specially designed beer coasters to students and asked them to sign our petitions for cheaper textbooks (see Marie-Louise’s blog post for more on this). It struck me that these students were Paperight’s target market, but this was the first time we had really spent any time with them, on their turf. It was tiring approaching groups of students and getting them excited enough about the idea to sign the petition, but it was incredibly rewarding when they ‘got it’ and were genuinely enthusiastic about it.

Lessons learned from Now What?

now-what_together-we-pass-paperight_cover_low-res_20130228One of our better-sounding early marketing ideas was to break into the Unisa market – and thus get Unisa’s attention – by creating a book that would appeal to students struggling with Unisa’s bureaucracy and merciless stinginess. In early 2013, we teamed up with Together We Pass, a Unisa-specific study-aid service, to produce the book.

I wasn’t directly involved with the commissioning process of content, etc., but I did design the book and headed the marketing for it. Although the experience of designing the book was something I really needed to further my skills, and appreciated it as such, the editing and layout phases were both quite frustrating. This was chiefly because the content I had to work with was changed at inopportune times. The result was a product that, although I thought was useful and could potentially sell very well, I didn’t completely feel great about. In the end it didn’t sell fantastically, for a number of reasons:

  1. Together We Pass gave away the book for free to all of their subscribers, in other words, the few thousand people most likely to buy the book. Even though we thought we might potentially get exposure from this move, it was not a beneficial decision for Paperight in the slightest, especially as we took the bulk of production costs. A lesson we learned could be, in other words: never try to sell something that someone else is giving away for free.
  2. The cover and the messaging for the book weren’t as strong as they could have been, probably because we were trying to be nice to Unisa, in the hope that they would more readily partner with us. It probably should have been more provocative – in retrospect we did a lot of things with kid gloves when we really should have tried to grab people’s attention by any means necessary.

All in all, Now What? was an interesting experiment and an amazing learning experience, but a very frustrating selling experience. The book ate up way too much of my time that I should have been spending on marketing Paperight books to university students.