Thomson Reuters Wire Service Poses Challenges

Earlier this week, vendors serving the public relations industry were stacked side-by-side in the PRSA Conference exhibit hall in San Diego. Among them were some familiar names in the news industry -- the AP, Dow Jones and Thomson Reuters.

AP was serving up access to its extensive photo database, and Dow Jones its research and database services... pretty common fare, with no raised eyebrows. However, a slug on the Thomson Reuters pop-up sign drew my eye... "news wire."

The esteemed Reuters news wire, right, served by (usually) objective journalists spanning the globe? Not quite.

A few weeks ago, Thomson Reuters acquired Hugin Group B.V., a provider of news distribution services. Yes, Thomson Reuters has entered the paid wire service market, up against the likes of PR Newswire, BusinessWire, Market Wire, et al.

Out of sheer curiosity, I asked a couple of Thomson employees how the company plans to avoid consumer confusion between its editorial and paid services. For now, paid distribution will continue to carry the Hugin brand. The team didn't know how a transition to the Thomson Reuters brand would occur, or when for that matter.

Will Hugin's new parent preserve the original but less well-known brand? Will it christen its newly-acquired wire service with the Thomson brand? Or will the lure of the Reuters brand be too strong to ignore, drawing customers but confusing readers in the process?

Herein lies a branding and transparency challenge that will be fascinating to watch play out.