He's been credited for almost single-handedly killing the newspaper industry by offering free online classifieds. But Craig Newmark's success boils down to what he calls "a pleasant accident."
Craig Newmark didn't set out to change the world. All he wanted to do was let his friends know about interesting tech events when he started his email list. In 1995, before the idea of "viral" had been invented, people passed his emails, and later, the URL, from person to person.
Today, there are Craigslists in some 550 cities in 50 countries and more than 12 billion page views a month, making it the eighth most-visited English-language site. Yes, those are stats to die for, but publishers and marketers who try to pick Craig's brain won't find any cutting-edge strategies. The success of Craigslist lies in the ancient formula of being in the right place at the right time with something people need.
Craig Newmark is the founder of Craigslist.
He's been credited -- and vilified -- for almost single-handedly killing the newspaper industry by offering free online classifieds. That's hardly fair; the internet was bound to provide a cheaper, easier and faster way for people to buy and swap stuff sooner rather than later. He did create an economic and social revolution, nevertheless. Suddenly, strangers were showing up at each other's doors with cash in their hands, anxious to take home someone else's discard. And think of how many futons and tricycles Craigslist has kept out of the landfill.
Today, CEO Jim Buckmaster manages the 25-person operation, while Craig fulfills what they ironically call "iconic" responsibilities. (His iconic status also allows him to be known simply as "Craig.") He also handles high-level customer service. For example, police departments around the nation can call him on his cellphone to check out possible Craigslist scams.
He's also putting his time and money into social-good programs. For example, he works with the Iraq and Afghanistan Veterans of America, helping get the word out about efforts that might improve the lives of returning veterans.
iMedia: Our readers are people in the media industry who buy and sell ad space. They're grappling with how traditional media has been replaced by digital media. Is the whole concept of media outdated?
Craig Newmark: No, it's just evolving. I do think that paper is going to be increasingly used less and less. Print is going to become a luxury medium, but it will happen slowly. People were predicting paperless offices 20 years ago, and that hasn't happened.
iMedia: Is there still a role for newspapers in today's media climate?
Newmark: There will be a valuable role for newspapers on paper indefinitely. Over time, those people who like paper may print out the sections they want to read. There will be less paper consumed, and publishers' transportation costs will be diminished because of news-on-demand.
iMedia: What about the role of news organizations themselves?
Newmark: They will thrive and become even more important. I'm talking now about the people who actually edit and report. We'll find better ways to pay for investigative reporting and fact checking. We already have FactCheck.org and PolitiFact.com (published by the St. Petersburg Times).
iMedia: You are very interested in citizen journalism and alternative news organizations.
Newmark: I don't like the word "alternative." It's loaded with connotations. These organizations are not alternative, but they are looking for new ways of doing the news. I contributed $28,000 to NewAssignment.net, which is led by Jay Rosen. In the near term, I'm hoping for just some visible improvement in funding for investigative journalism.
iMedia: Do you think startups like these will take the place of newspapers? Will they accept advertising?
Newmark: There will be a bunch of models that will be successful. One will be advertising, another sponsorship, possibly also philanthropic, pay-per-view or subscription. I'm not saying anything new, but all those models will play a role.
iMedia: Advertisers are very nervous about going outside the traditional publishers, aren't they?
Newmark: Advertisers have to be both careful and take chances with new media. That's not easy.
iMedia: With millions of ads posted and answered, Craigslist is a repository of user behavior online. What have you learned about how we interact online? Do you ever mine your user data?
Newmark: We don't do it. We don't help anyone do it. The deal is that we do have big privacy concerns. The big surprising thing we've learned is that people across the country and the world seem to share the same basic values: Treat people like you want to be treated, and give the other person a break. That's pretty universal. People are overwhelmingly trustworthy and good, with only a tiny percentage of predators -- maybe 1 percent. But those are the exception, and you find them in big cities and small towns. People are smart, and they email me when something smells fishy.
iMedia: Advertisers are eager to form communities around their products or services. What is community and how do you build it?
Newmark: I don't know, but if people feel connected through some mechanism, then it's a community. Craigslist just happened. The idea is we provided a platform, and people used it, and we stayed out of the way. And we just let things evolve naturally. The best example of something that happened fast and in a useful way is the response to Katrina. People repurposed our New Orleans site, so that friends and family got help, people located survivors and vice versa. People offered housing and later jobs to survivors. We've seen that happen in a smaller way regarding Gustav and Ike.