Local news cooperatives are now in development in San Diego, Chicago, Hawaii and San Francisco. The latter, known as The Bay Area News Project, is building up with a $5 million investment from philanthropist Warren Hellman, who apparently thought it would be a better idea to start fresh than buy The San Francisco Chronicle.

According to an article by James Rainey in the Los Angeles Times today, the 15-person BANP (a placeholder name) envisions potential revenues of $12 million a year with a four-pronged strategy developed by CEO Lisa Frazier, a former McKinsey consultant who is getting paid $400,000 a year.

Revenues are expected to come from multiple sources, including public radio style members and syndication payments from news outlets that use the project’s content. The New York Times, for instance, has lined up to run stories twice a week in its Bay Area edition (as it has in Chicago as well).

The site has snared New West founder and Industry Standard Editor Jon Weber as its editor. It will rely partly on paid interns from UC Berkeley, and is operating out of donated law office space. We’ll follow it — and the others — with interest. With enough of a bankroll, and much lower costs, there is no reason why these sites can’t compete against newspapers, win new types of users and advertising, and save the day for journalism.

Coupons are hot in a down economy, and printable online coupons — and even mobile coupons — are gaining share in the coupon business. But local SMBs aren’t always in on the game, as coupon sites frequently gravitate toward one-stop national accounts.

Now, Analog Analytics, a San Diego-based vendor, is pushing a clever mobile solution that allows online local publishers to feature display ads that have SMS promotion codes built in. Consumers show the coupon on their phones to retailers for conversion.

Use of the mobile coupon provides complete analytics (impressions, clickthrough rates, texts, e-mail and conversions). Among the 850 publishers currently working with the solution are MediaNews Group, Village Voice Media, Local.com, Wick Communications, Freedom Interactive and The San Diego Reader. More than 25,000 ads are being supported, and the company has just expanded beyond the U.S. with a new Australian operation. Chinese operations are currently being eyed.

Company founder Ken Kalb, a longtime search vet, says the mobile coupon solution is the natural successor to low click display campaigns. The engagement of a local promotion typically boosts clickthrough rates by 2 percent to 10 percent — 10 times higher than national online ads. Revenues might see a 20 percent to 30 percent boost within six weeks of launching.

Kalb notes that the coupons are sold via local sales forces, or alternatively, via a self-serve platform. Affiliate marketing programs from other online coupon companies just aren’t a good alternative, he says. They typically pay just three cents per click. They also don’t offer much support for local advertisers in terms of analytics or upsells.

In fact, Analog’s self-serve platform also offers an upsell gift certificate program, which brings in immediate revenues for advertiser and publisher alike, as well as the “Bigger, Better Deal,” a daily promotion special. It also encourages frequent updating of ad copy and promotions. The platform also enables the development of opt-in marketing lists.

Is it too soon for mobile coupons on a mass media basis? It might be. As a backup, Analog Analytics does support print-out options. But this solution is an interesting one that might bring a source of renewed interest for local media companies. They continue to bring in more eyeballs than other media on their Web sites, but often have a hard time proving their value.

Analog Analytics CEO Ken Kalb is a featured speaker at Marketplaces 2010. He’s on the “Back to Square One: Refocus on Revenues” panel with Adicio Chief Alliance Officer Tony Lee and Matchbin CEO Reed Brown.

Demand Media, Associated Content and Examiner.com are each building up an arsenal of highly searchable “long tail” content. Now add Perfect Market to their ranks, a new company that seeks to provide the same “long tail” search optimized earnings capabilities to archival content from newspapers and other media.

The site just added a $6 million round lead by The Tribune Co. That adds to $15.6 million previously raised from Trinity Ventures, Rustic Canyon Partners and IdeaLab — each of which is also participating in the new round. The site originated with IdeaLab.

The company also announced an executive team that includes President and CEO Julie Schoenfeld; Chief Revenue Officer Tim Ruder, a longtime exec at Washington Post.com; and Chief Strategy Officer Rob Barrett, who was previously executive VP for Tribune Interactive and head of LATimes.com.

UPDATED: CSO Rob Barrett will be joining Examiner.com CEO Rick Blair and Associated Content President Luke Beatty on our “aggregators” panel at Marketplaces 2010

Wired on the iPad, via All Things D

Next month, Apple’s iPad comes out (and I will buy one). But what will be the impact of iPads and tablets from other companies on traditional media? Many are considering it to be the new magazine form factor. In theory, the iPad would make online ads compelling, and better enable digital subscriptions and a la carte buys. Wired Magazine, for one,  has been showing off a good-looking prototype. I highly recommend this video from The Wall Street Journal’s All Things D site.

Newspapers will look great, too. Look at The New York Times’ demo. My guess, however, is that the iPad’s impact on newspapers’ bottom line will be marginal for several years — and then, it may be too late. While the iPad should have excellent introductory sales, most sales will likely be low-end units without communications, so their usage will be mostly home and coffee shop based. Low-end units, limited to Wi-Fi Internet, are $499. Wireless Communications adds $130, plus $30 a month. Wi-Fi-only won’t provide a big lift to newspapers, because it doesn’t get the product onto commuter trains.

Newspaper companies, of course, are better positioned to participate in the mobile revolution than a year ago by virtue of their vertical properties, such as Classified Ventures’ Cars.com and Apartments.com. Both are “on the go” media sites that allow users to get information on a 24/7 basis, but more importantly, while they are out and about shopping for their category.

Other newspaper niche sites, like The Envelope from the LA Times, bring newspapers into an entirely new domain with the addition of online App games based on news and entertainment. These might ultimately play a role in the transformation of newspapers.

For now, I’m not counting on significant advertising or circulation revenues to develop for newspapers directly because of their investments in tablet devices, or mobile generally.

Canpages, the leading competitive directory publisher in Canada, appears to be making a play for the CanWest media properties, which would greatly expand and diversify Canpages’ operations. According to a story this week in the Globe and Mail, Canpages is one of two companies bidding on 46 newspapers owned by the financially troubled CanWest Global Communications. The report values the assets at C$1 billion. Canpages would make the bid along with its owner, Hicks Capital, and Paul Godfrey, president of CanWest’s National Post.

If successful, the deal would leapfrog Canpages into a leadership role in Canada’s media landscape, and make it an even more formidable competitor to Canada’s leading directory player, Yellow Pages Group, which announced its year-end earnings yesterday.

Canpages also recently announced its first foray south of the U.S.-Canadian border via its relationship with U.S. independent Phone Directories Corp., where PDC will rebrand its PDC Pages IYP as Ziplocal.com (which is owned by Canpages) and rebrand itself as Ziplocal. This move is similar to Hearst’s decision to rebrand its independent directory property White Directory Publishers as LocalEdge Media. Ziplocal was a Canadian local search platform acquired by Canpages in 2009. This arrangement certainly begs the question of whether some deeper connection between Canpages and PDC looms in the future. PDC once owned Canpages’ predecessor company in Canada and the two are both Hicks Capital (formerly Hicks Muse) portfolio companies.

On the year-end earnings call, YPG CEO Marc Tellier said the company plans to make changes to its brand to keep pace with the changing media environment. ”We’re going to look at repositioning our brand, repositioning the logo to be more representative of this new digital universe,” Tellier said.

For the full year 2009, YPG’s directories division grew .9 percent to C$1.4 billion. Fourth-quarter revenues were down 2.6 percent to C$345 million. The company’s vertical media division had a very tough year, dropping 22.8 percent to C$248 million.

Zvents, the events lister, is reporting 35 percent year over year growth with over eight million unique visitors, largely due to its powering events for 285 local media brands, including  major newspapers and the NBC owned-and-operated TV stations.

CEO Ethan Stock cites Quantcast data showing Zvents Media Network as the 250^th most used net on the Web, ahead of Citysearch (#267) and Local.com (#291). “We’re a very large local property by any measure,” he says.

The company, which has raised $32 million over its five year history, also claims it has been averaging 12,000 monthly event listers. These use the site to promote a wide range of local events and activities, including live music, performing arts, sporting events and community activities.

Of those listers, roughly 1200, or 10 percent, are now boosting their presence by taking out ads via self–serve – a percentage that Stock thinks will climb to 20 percent in 2010. The company also sells regional and national accounts via telemarketing and national sales, with top categories including major concert promoters, sports teams, casinos and  home and garden events.

High end shopping, with its sales-oriented events, such as Williams Sonoma cooking demonstrations, are also becoming more important to Zvents bottom line.  “There is a significant segment of consumers who perceive shopping as entertainment,” says Stock.

The key to the company’s future in local, however, is to stay away from the trap of focusing on directory-type advertising. Instead, Zvents will stay focused on events and shopping, he says, which have the most highly motivated advertisers. “They are also relatively concentrated in terms of the volume of advertising.”

Indeed, the company’s focus on events and advertising puts it most in competition with social sites such as Facebook and Google, rather than local sites such as Citysearch and Yelp, who may be more directory oriented, says Stock. Other events oriented companies include Eventful, and “new city guide” players such as Center’d and American Towns.

In hindsight, the company’s initial focus on teaming with newspapers “look like a very smart choice,” adds Stock. While newspapers are commonly disparaged in today’s climate for their declining circulation and advertising, “they have high repeat traffic. Much more than national partners.” Top Zvents newspaper partners include SFGate, the Denver Post, Seattle PI, Boston.com, the Dallas Morning News, the Atlanta Journal Constitution, New York Daily News, and the Orange County Register.

Stock also sees a major boost coming from renewed efforts in local from national partners such as AT&T’s Yellowpages.com, which has been an investor in the company ; and from MSN, where Zvents listings will be showing up in Bing, and trigger Instant Answers via Silverlight search.

Gannett has always seemed to be a likely directory player. In fact, the world’s largest newspaper publisher owns a small group of print directories. It also provides a white-labeled online directory product to its media properties.

But as directories, search and user-generated content have become more commingled, Gannett has gone a step further with the launch of FindItNow.com, a new directory product from its Planet Discover division.

FindItNow.com is national, but has been localized for specific markets.  It is currently live in three markets: Rochester, Nashville and Burlington, Vermont. Only local information and content is featured. Key categories include Auto, Dining & Entertainment, Health & Medicine, Pets & Animals and Shopping.

The site is integrated with Facebook Connect, and users can add reviews, photos and business details if they register. In Rochester, 883 people have registered to contribute information; in Nashville, 828 people have registered; and in Burlington, 218 people have registered.

The site, in fact, is a lot like other search-driven directories, such as MerchantCircle, ShopCity, SMBLive’s Cloud Profile and others. As with other sites, local businesses have the option of free or paid tiers. The paid tiers are set at $49 or $99 per month. Depending on which tier they choose, businesses can have preferred search result placement, company logo and dominant photo, extended business description, additional photos and unlimited coupons.

Monster Worldwide has bought HotJobs from Yahoo for $225 million. It will also be in charge of Yahoo’s recruitment content in North America for the next three years, bringing in perhaps another $100 million for the life of the deal from home page traffic, etc. As part of the deal, which closes in 3Q 2010, Monster also gets exclusive rights to negotiate similar arrangements with Yahoo’s overseas properties.

HotJobs has been on the market since Carol Bartz took over as CEO of Yahoo early last year (or even before). It hasn’t been clear if anyone would buy it for more than a fire-sale price. The deal’s price of $225 million does represent a significant discount from the $439 million that Yahoo paid in 2002, but it is more than some handicappers had been predicting.

The deal likely propels Monster well past Gannett’s CareerBuilder as the online recruitment leaders (by revenues). Lately, CareerBuilder’s lagging profits have become a drain on Gannett’s profits. Likewise, Monster today reported that 4Q revs were down 27 percent, and that it suffered a net loss of $2.1 million on 4Q revenues of $213 million.

For Yahoo, the deal is the latest in a series of selloffs. Notably, it sold its search business to Microsoft last year, has de-emphasized other areas such as shopping and small business, and has been rumored to put some of its other verticals in play as well.

HotJobs, of course, had been the original glue that brought Yahoo and the newspapers together. But the consortium has lately been focused more on using Yahoo’s APT behavioral targeting advertising platform. Some members of the consortium already use Monster.

Recruitment remains a huge category, but in recent years, has been challenged by the recession. It has also become a major battle zone driven by technologies, such as semantic search-and-match job listings, mapping and communities of interest. Indeed, a growing part of the market has moved to niche specialties, such as trade associations, etc. At the same time, ancillary verticals such as vocational education, relocation and job fairs have proved to be less important than once thought.

The debate about the future of journalism reached the height of silliness last year when journalist turned banker Steven Rattner suggested that The New York Times be subsidized by the government like the BBC. But the economics of journalism has always driven the format, aside from journalistic labors of love ranging from penny savers in colonial times to hyperlocal blogs today.

As recounted in Ken Doctor’s valuable new book, Newsonomics, “the institution of American journalism owes more to the institution of the department store than the First Amendment” — a 1988 comment attributed to Knight Ridder exec Jim Batten.

But what’s happened? The department stores have consolidated and shifted much of their marketing; big chunks of paid classifieds have been Craigslisted; and the circulation (audience) has increasingly moved down the slippery slope to a potpourri of “continuous partial attention” news channels. Indeed, the details found in newsprint aren’t always especially sought after. As Doctor notes, just 44 percent can be bothered to click past the headlines in news aggregators like Google News to get to the original source.

Dead. Dead. Dead. Nobody in his right mind would plan a future at a newspaper or TV news broadcast anymore, right? But then there is this inconvenient statistic: Applications to journalism schools have more than doubled in the past several years — even with tuition bills exceeding $50,000 at the elite institutions.

For the journalist who will pursue his or her avocation, plentiful options exist, notes Doctor, a former Knight Ridder Digital exec and publisher at newspapers and alternative weeklies who currently does analysis for Outsell and writes the Content Bridges blog. The solutions are structured in the book as “twelve new trends that will shape the news you get.”

The trends are right on and more than familiar to our BIA/Kelsey audience (“Itch the Niche!”). But happily, Doctor avoids the blue sky and covers the bases with the aplomb of an all star. His comprehensive review, interesting detail and demand that the relationships between business and journalism be creatively re-explored make this a valuable book for those who care about the future of journalism, and its critical role in democratic societies.