By paulgillin | May 18, 2009 - 7:50 am - Posted in Fake News, Paywalls, Solutions

The president and publisher of the Louisville Courier-Journal delivered a rousing defense of the newspaper industry a couple of weeks ago in a speech that was just published yesterday. Arnold Garson used facts, statistics and a few points of information we hadn’t seen before to argue that the industry’s impending doom is greatly over-exaggerated, concluding that “The Courier-Journal will publish my obituary and yours, but not its own.” The Newspaper Association of America (NAA) should make him an industry spokesman.

The 3,400-word speech is well worth reading its own right, but here are the Cliff Notes of what Garson said:

  • Yes, some newspapers have closed this year, but compared to the carnage among auto dealers and real estate brokers, the industry looks pretty good. Markets can adjust without collapsing.
  • The Courier-Journal has cut back just like everybody else. That’s part of running a sustainable business.
  • The most troubled newspapers today are those covered by now-irrelevant duopoly agreements that have kept weak competitors afloat. “Newspapers in Joint Operating Agreements are going to disappear,” he said, adding that this consolidation process has been going on for over a decade.
  • The Courier-Journal‘s market penetration is up five percent over the last two years. The company’s print, online and mobile products now reach 85% of the adults in its core market every week and touch them an average of 5.6 times each week. By contrast, this year’s Super Bowl reached only 41.5% of the US adult population.
  • One of the reasons is that the Courier-Journal has the dominant local website in its market.
  • The big reason circulation is trending down? “Do Not Call. This federal legislation enacted in 2003 shut down overnight the newspaper industry’s No. 1 subscriber acquisition tool, and the only acquisition method that is economically efficient.” Garson added that Do Not Call legislation forced publishers to revise their business models, which had been based on high churn and low acquisition cost, to models based on high retention. This transition triggered circulation declines, but the situation is stabilizing.
  • Young adults do read newspapers. Garson said his printed newspaper reaches 74 percent of the 18-34 year-olds in its market every week.

Wrapping up a persuasive argument, Garson imagines holding a press conference to announce a new product called a newspaper to a world that had only known electronic publishing. He ticks off the advantages: compact, professionally organized, factual, porn-free and you can read it on an airplane. The NAA should package up this idea instead of its current baffling Rube Goldberg campaign.

Clearly, not all publishers are the Courier-Journal. Judging from Garson’s commentary, the paper understood some time ago that it needed to focus itself locally and use all the channels its customers were using. There are also undoubtedly some factors that are unique to Louisville that support the Courier-Journal‘s relative health.

However, there are lessons any publishing executive can learn from Garson’s spirited defense. Statistics can work two ways and this publisher has dug up a few that make his business prospects look pretty good.

By paulgillin | May 5, 2009 - 1:31 pm - Posted in Fake News, Hyper-local, Paywalls

pontinYou could do a lot worse than spend the next 20 minutes reading Jason Pontin’s prescription for saving print media on MIT’s Technology Review.  Pontin, a veteran magazine editor and reporter, avoids the hysteria, hand-wringing and quick-fix thinking that has dominated arguments over newspapering’s future to argue that the process of “fixing” the print media model will be long and agonizing but ultimately worthwhile.

Keying off of Clay Shirky’s widely circulated essay that basically forecasts the death of print media as we know it, Pontin suggests that a backlash against media anarchy will occur. Internet purists who believe that millions of citizen publishers will upend mainstream media are overlooking the value of that journalism, he argues. The voice of the people can and should be heard, but there will also be a role for those who have the skills to pick through the details, weigh the evidence and offer an impartial perspective.

The problem isn’t that those people are needed; Pontin rightly points out that demand for news content has never been higher.  Rather, the business model must change to make professional news organizations viable. Nevertheless, print publishers will have to endure quite a bit of pain to get there.  Among other things, they must:

  • Shrink circulations to profitable levels and don’t give away free the stuff that people pay for;
  • Offer a wide range of subscription options, making it easy for people to receive information in whatever frequency, format and volume they choose;
  • Don’t fixate on platforms. Deliver information through whatever media or channels readers choose;
  • Get together and settle on some reliable and comparable audience metrics. Fifteen years into the Internet revolution, for example, we still can’t agree on what constitutes an online “reader.” This lack of standardized metrics frustrates advertisers and undermines the quality of the numbers that publishers do provide;
  • Shrink editorial departments to levels that can be supported by revenue. Yes, it’s going to hurt and yes, you’ve got to do it.
  • Give readers what they want, even if it isn’t what journalists think they should get. The days of force-feeding the audience what editors thought was good for them are over. Deal with it.

There’s lots more.  The piece starts off looking like it’s going to be a defense of the status quo but ultimately delivers a thoughtful and practical proscription for change.

Best line: “As I rose through the editorial ranks of various magazines, I was encouraged to cultivate a mild contempt for readers.”

By paulgillin | April 28, 2009 - 7:54 pm - Posted in Facebook, Fake News, Google, Hyper-local, Paywalls, Solutions

This afternoon I hosted a presentation in San Francisco on the topic of “World Without Media: What Will Fill The Void?” along with online journalism and social media expert JD Lasica at the New Communications Forum. Here are the slides from the talk. You can also read tweeted comments here.

By paulgillin | April 27, 2009 - 9:18 am - Posted in Facebook, Hyper-local, Paywalls

Some of journalism’s most prestigious brands took it on the chin in the new round of circulation figures released this morning by the Audit Bureau of Control. Collectively, the 395 newspapers reporting numbers experienced a 7% year-over-year decline, with some of the worst declines occurred at big-city titles in the Northeast.

There was little good news, except for The Wall Street Journal‘s continued gravity-defiance. The paper squeaked out a .61% circulation gain and is now more than twice as large as The New York Times.  Some other troubled papers, like the Chicago Sun-Times and the Minneapolis Star Tribune, also showed only minor declines in the most recent six months.

USA Today, which has managed to maintain relative stability in previous reports, fell with a thud, dropping almost 7.5%.  Marriott Corp.’s recent decision to stop delivering the paper to hotel guest rooms won’t affect the numbers until the next reporting period

These figures shouldn’t be taken as a snapshot in time but rather as a trend. Newspaper circulation falls for all sorts of reasons, including voluntary cutbacks by publishers.  Trends become evident only over multiple reporting periods. With that in mind, the titles listed below have to be considered the most at risk, since they have shown average declines in the double digits over the last two reporting periods.

Title

3/31/09 Report

9/30/08 Report

Houston Chronicle

-13.96 %

-11.66%

New York Post

-20.55%

-6.25%

San Francisco Chronicle

-15.72%

-7.07%

Boston Globe

-13.68%

-10.18%

Philadelphia Inquirer

-13.72%

-11.06%

Newark Star-Ledger

-16.82%

-10.4%

Atlanta Journal Constitution

-19.91%

-13.62%

Miscellany

Jeff Jarvis asks journalists to focus on where they add value and to stop doing everything else. “If you can’t imagine why someone would link to what you’re doing, you probably shouldn’t be doing it,” he writes. Jarvis cites the example of TV reporters dashing from place to place to tape standups in front of iconic institutions. They’re not reporting, they’re simply relating commodity information in a contextual setting. Why are TV stations spending money on this?  “When we cut out all the incredible waste – those standups and rewrites and frills and blather – and when we have an ecosystem that rewards unique value, as the internet does, then I think we could end up with more journalism, more reporting,” Jarvis says.


Robert Picard tweaks bankrupt newspaper companies for paying large executive bonuses, calling the argument that said such payments are necessary to retain good people “hollow.” Few people are leaving good jobs in a time when nobody’s hiring, Picard writes. Bankruptcy is a time to restructure, not just get out from under your obligations. The good news: Picard believes “Most newspapers… are surviving the downturn and will be serving their communities for many years.”


The Springdale (Ark.) Morning News has laid off nine newsroom workers and an unspecified number of employees in other groups, reports in its newsroom, in addition to cuts in other departments within the paper, reports KSFM television. The paper will also reduce its size and page count. The station’s spare report is typical of those we see on TV websites. If most of these stations didn’t have newspapers and wire services feeding them copy, they wouldn’t have any news at all.


The Los Angeles Daily News laid off at least four more newsroom employees, according to a blog maintained by its Newspaper Guild chapter.


Boston Globe unions staged a rally last Friday to save the paper, which faces a shutdown decision at the end of this week. Speeches by union members were reminiscent of the greatest Samuel Gompers oratory, only the problem is that the Globe‘s parent is flat on its back. Cutting executive pay isn’t going to close an $85 million profitability shortfall.


The Minneapolis Star Tribune reached agreement with the union representing 300 newsroom workers that gives the publisher $1.7 million in cost relief. The deal includes a 3% cut in base wages, a 30% cut in merit pay, two days of unpaid furlough in each of the next two years, a freeze in some pensions and a reduction in severance.

By paulgillin | April 14, 2009 - 7:44 am - Posted in Facebook, Fake News, Google, Hyper-local, Paywalls, Solutions

“Gannett Co., the largest U.S. newspaper publisher by circulation, reports earnings on Thursday, kicking off what is expected to be the ugliest quarter in recent memory for the industry,” says The Wall Street Journal in a blunt assessment of the coming earnings season. USA Today is expected to take it on the chin when Gannett announces its results. Forthcoming numbers from the Audit Bureau of Circulations are expected to show a six-month decline of about 100,000 in USA Today‘s 2.3-million circulation, largely as a result of lower occupancy in hotels.  Free hotel distribution accounts for more than half of the paper’s 2.3 million circulation.

Adding to USA Today‘s woes is Marriott’s decision to make room delivery of newspapers optional. Citing environmental concerns, the hotel chain said it will now offer guests a choice of papers or no paper at all, if they so choose.  Declining readership was also a factor in the decision, which will reduce daily circulation by about 50,000 across the US.  One quarter of travelers didn’t even crack open the newspaper that was delivered to their doorstep, a spokeswoman said.

Ugly Spat Over LA Times‘ Front-Page Ad

LA Times front-page adAn internal battle of the Los Angeles Times over the publisher’s decision to run a front-page ad resembling news story highlights growing tension between editors and publishers as the industry revenue woes deepen.  The ad ran last Thursday below the fold in a position and typeface that some people believe could be mistaken for a news story (left). Charles Apple has an image of the entire front page. In an interview with TheWrap, LA Times executive editor John Arthur called the ad “horrible” and “a mistake.” However, the VP for entertainment advertising at the paper said Arthur’s boss, editor Russ Stanton, “approved both advertorial units.”

Not so, says Stanton, who told the Times’ own reporter that the ad ran over his objections. “There is not an editor in this nation — including me — who really wants to see something like that on the front page of his or her publication,” Stanton said. Publisher Eddy Hartenstein said he made the decision to run the ad because of the perilous financial situation at the newspaper. “I’m just trying to keep the lights on here, folks,” he told an angry newsroom last week.

Barriers to front-page advertising have been falling recently as publishers struggle to get creative. The New York Timesshattered tradition in January with a front-page strip ad for CBS and the Boston Globe followed suit just two weeks later.

Miscellany

Newspaper executives like to point out that their total readership — including the Web — is bigger than ever.  However, online ad revenue is still growing more slowly than the market as a whole, according to Alan Mutter.  The most alarming recent statistic: “Interactive revenues for newspapers dropped by 1.8% in 2008 to $3.1 billion at the same time overall online ad sales in the United States surged 10.4% to a record $23.4 billion,” Mutter writes. What’s more, newspapers’ online ad revenues today are 13.3% of the overall market, the lowest share ever.  Mutter suggests that the culprit is newspapers’ practice of up-selling print advertisers with discounted online campaigns, a strategy that grows weaker as print sales decline.  Publishers need to develop sites that look more like the Web and less like digital versions of their print products, he advises.


The Chicago Tribune is cutting another 20% of its already depleted newsroom staff. The paper didn’t say how many employees are left in the newsroom, but there were about 440 as of the most recent layoffs in February. The paper is also reorganizing some production groups, merging copy editing, page design, graphics, imaging and some photo editing into a single department.


Writing on Slate, Jack Shafer takes on joint operating agreements as the great sucking sound that weakened the newspaper industry.  “The tragedy of the joint operating agreements is that instead of making the stronger paper stronger, the arrangement tends to weaken it,” he says, pointing to the San Francisco Chronicle as the poster child example. “Had the Chronicle and the Examiner been forced to compete on the business side in 1965 instead of to collaborate, a clear victor would have a fighting chance at surviving in today’s environment.” Instead, the Chronicle was forced to support the weaker Examiner to the point that both papers were worse off.


The Gannett-owned Observer & Eccentric Newspapers will cease publication of five print and Web editions of the Eccentric chain in suburban Detroit on May 31. Gone are the Birmingham, West Bloomfield, Troy and Rochester editions of the Eccentric. Two other newspapers will be merged into the South Oakland Eccentric, serving nearby communities. The consolidation will result in the loss of 44 jobs.


The Huffington Post has published a terse set of editorial guidelines, demonstrating that the standards being applied to citizens journalists don’t differ all that much from those practiced by mainstream media.

And Finally…

Is that a penguin on the telly? Well, a few penguins, actually, but click the image to see the truly awesome spectacle of what happens when penguins congregate. This is one of the photos on Incredimazing, a website devoted to collecting bizarre images submitted by people like you and me. If you want to scramble your brain, check out the M.C. Escher car.

By paulgillin | April 6, 2009 - 8:23 am - Posted in Facebook, Fake News, Paywalls, Solutions

globe_threatTwo numbers stood out in Friday’s shocking news that the New York Times Co. was threatening to shut down the Boston Globe: $85 million and 450. The first number is the amount of money the Globe is expected to lose this year without union concessions. The second is the number of employees at the paper who have lifetime-employment contracts. All of those people should be very nervous right now.

The Times Co., which is groaning under $1.1 billion in debt, wants the unions to give up $20 million in concessions or face closure of the 137-year-old Globe, which has dominated the news business in Boston for more than 30 years. Given the size of the projected loss this year, $20 million seems like a modest amount. This would indicate that the Times Co. threat is merely posturing, as Alan Mutter argues. But ultimatums appear to be working in San Francisco, where the union just voted 10-1 to give the Chronicle broad authority to lay off employees without regards to seniority as well as to cut vacation time and extend working hours. The Chronicle and the Globe have similar audience characteristics.

The brass ring for Times negotiators has to be the 450 Globe employees who work under lifetime job guarantees. We knew such guarantees existed, but we hadn’t seen a count of the number of employees who have them until this past Friday; they comprise nearly a third of the unionized workforce. It’s hard to imagine any company handing out promises of that kind, but the Globe did that in 1993, when the economy was emerging from recession and businesses were being conservative about guaranteeing anything. Such management hubris testifies to the dominance the Globe enjoyed at the time over the Boston market, where its only competition is the working-class Herald and a string of suburban dailies.

We live in Globe country and can testify to the paper’s reach in the affluent suburbs. Drive through a quiet subdivision on any Sunday morning and the Globe is the paper you see in the driveways of the $700,000 homes. However, the tech-savvy Boston audience is also more open than most to online alternatives, which is perhaps one reason Boston.com is the sixth largest newspaper website while the Globe reported a circulation decline of more than 10% last November on top of an 8.3% decline six months earlier.

If the 450 employees each cost $100,000 on a fully loaded basis, that’s $45 million in annual costs over which management effectively has no control. We don’t have to comment on the lack of motivation that guaranteed employment must instill in a heavily unionized environment. If we were Times Co. management, though, we’d probably aim the first few blows of the ax directly at that soft middle.


The Globe covers its own news with reaction from community members ranging from fry cooks to U.S. Senators.


College student Adam Sell, who has interned at the Globe for two years, sent us a link to a Flickr photostream he created of the closing of the Globe‘s NorthWest bureau 10 days ago.

Miscellany

Two central Pennsylvania newspapers that have published separately with a single weekly combined edition will join forces on a permanent basis at the end of June. The Intelligencer Journal and Lancaster New Era will be published Monday through Saturday mornings with combined news and features operations but separate editorial pages.  The merger will result in the reduction of 60 full-time and 40 part-time positions, or about 20% of the workforce. Management said the combined circulation of 229,500 has been growing but that the economics of the publishing industry demands changes.


Publishers who are struggling with solutions to the revenue problem, none of them very appetizing, might want to look to Europe for inspiration. The big German publisher Axel Springer just reported record profits and is looking to expand overseas, possibly into the US.  Norway’s VG Nett charges citizens for access to its news through a cable TV subscription fee. And a group of papers in Belgium joined forces to force Google to remove their content from its search results. All in all, some papers in Europe are doing just fine, thanks to tight government partnerships and creative approaches to revenue


plastic_logicThe Detroit Media Partnership, which publishes the Detroit Free Press and the Detroit News, has closed a deal with Plastic Logic to distribute the Plastic Logic Reader under purchase or lease to subscribers of the Detroit dailies as an alternative to paper delivery.  The reader is the size of an 8.5 x 11-in. pad of paper, weighs less than many print magazines and sports a touch-screen interface.


With the Minneapolis Star Tribune in bankruptcy, employees have started a grass-roots effort to save the paper. A group has launched a Facebook group (1,280 members, but only one discussion post since Jan. 17), a website (inactive as of this morning) and plans to hand out paper hats and scorecards at the Twins’ home opener. It’s probably going to take more than that.


If you like Chicago Sun-Times columnist Richard Roeper, you probably won’t after reading this egotistical, self-indulgent monument to himself. If this is how newspaper columnists regard their own celebrity, it’s no surprise readers are turning elsewhere. But there are a couple of good anecdotes that illustrate how divorced these scribes are from their readers.


Google CEO Eric Schmidt will keynote the Newspaper Association of America national convention in San Diego this week. Schmidt, who is often considered the great Satan by newspaper publishers, has nevertheless been a vocal proponent of the need to help the industry.  It should be an interesting encounter. Schmidt is scheduled to speak on Tuesday at 10 a.m. PDT. You can listen to his remarks live. NAA will offer a moderated “Cover it Live” discussion on its PressimeNow! blog, where visitors can pose questions, share their thoughts and get live reactions from attendees.


The Sun-Times Media Group is considering ending publication of some of its suburban newspapers as it struggles to emerge from its recently declared bankruptcy.


A.H. Belo Corp., owner of the Dallas Morning News and three other daily newspapers, will cut employee salaries next month and suspend a retirement supplement to pension plan participants next year. Cuts will range from 2.5% to 15%, depending on an employee’s salary. The company’s CEO will also take a 20% cut in pay.


Last month we told you about St. Louis Post-Dispatch editor Christopher Ave’s use of song to lament the layoffs of newspaper copy editors. Now, 26-year old Berkeley musician named Jonathan Mann has joined forces with the staff of the East Bay Express to come up with a solution to newspapers’ business problems. You have to wait to the end to hear it, but the three minutes are time well spent.

By paulgillin | March 26, 2009 - 8:30 am - Posted in Facebook, Google, Hyper-local, Paywalls, Solutions

houston_chronicleThe Houston Chronicle joins the long string of newspapers that assert their commitment to “strong watchdog journalism” while covering news of their own troubles with e.e. cummings-like simplicity. The newspaper devotes just 208 words to news that it is laying off 12% of its staff, or nearly 200 people. That’s about one word per victim. In fact, the Chronicle doesn’t even mention a body count. You have to read The Wall Street Journal account to find that number. Even the AP devotes more space to the story than the Chronicle.

We have to wonder if this is some kind of Enron hangover. Are Houston media so tired of covering bad news that they just pass along the press release without comment or question? To be fair, the Chronicle does invite reader comments on a blog and posts a single response to the many questions people submit about who exactly was let go. Still, one response from one ombudsman to news of the loss of 90 newsroom employees hardly satisfies the public’s right to know. Nor will that information be passed along to the paper’s 448,271 print readers. How do we know there are 448,271 print readers? We read the AP story. That information wasn’t in the Chronicle.

We don’t know what went on inside the walls of the newspaper yesterday, but an entry on Houston Press Blogs makes it sound positively eerie. Without citing sources, Steve Olafson reports that no upper managers were laid off but the only two women on the editorial board were. So going forward, the editorial charter of the leading newspaper serving the great and diverse city of Houston will be directed by five white guys. The paper now has practically no suburban news coverage and it laid off the reporter who’s covered NASA since the 1986 Challenger disaster.

Olafson’s most damning anecdote: “Chronicle Vice-President and Editor Jeff Cohen never came out of his office to address the staff during the day-long process of buttonholing employees to deliver the bad news. Instead, he issued a memo.”

Boston Globe Battles Rival Herald for Irrelevance

How long will the Boston Globe be around? Bloomberg says layoffs will be needed to meet the goal of a 12% newsroom staff reduction. But it’s more than that. The Globe has become an anchor around the neck of New York Times Co., which paid $1.1 billion for it and its Worcester, Mass. sister paper in 1993. Circulation and revenue losses at the Globe have far outstripped those of the Times and the only bright spot in the business is the Boston.com website. Barclay’s recently valued the Globe at just $20 million, or more than 98% less than what the Times paid for it. And it’s clear that resistance to change is a powerful force in the newsroom. We attended a meeting of the Social Media Club in Cambridge, Mass. this week at which a young Globe reporter talked about the news staff’s focus on scooping the rival Boston Herald, a newspaper that has fallen so far that a lot of people outside of downtown Boston don’t even know it’s still around. The Globe‘s issues aren’t beating the Herald, but rather staying relevant to readers who could care less about either of them.

Publisher Fights Back at Newspaper Critics

randy_siegelRemember Time magazine’s list of the 10 Most Endangered Newspapers in America from earlier this month?  It’s a load of hooey, says Randy Siegel, president of Parade Publications in a biting commentary in Editor & Publisher. Siegel assumes that most people didn’t notice the byline on the list, which was not a Time reporter but rather Douglas McIntyre. He’s an editor at 24/7 Wall St., a website whose parent also runs a site called Volume Spike Investor, which recommends stocks that are undergoing extreme short-term volume fluctuations. “It’s a sad day when Time magazine…runs an unsubstantiated article on its website, without a single disclaimer, from Wall Street speculators who make their living peddling tips to…day-traders,” writes Siegel, who is co-founder of the Newspaper Project, a booster site for mainstream media.

Siegel doesn’t stop there when naming names.  His next target is Jeff Jarvis, the ubiquitous blogger who has long been a vocal critic of the conventional media.  Siegel credits Jarvis for being smart, but wishes the NYU professor and consultant would disclose more openly his advisory activities on behalf of companies that benefit from the destruction of the institutions he criticizes. Siegel also has some harsh words for CNN.com, which he says has covered the newspaper industry’s troubles with surprising zeal. CNN “probably would like nothing better than to see newspapers and newspaper websites fail, so their biggest competitors for audience and ad revenue would go by the wayside,” he speculates.

Miscellany

The Christian Science Monitor wraps up its 100-year run as a daily newspaper this weekend. Going forward, the thoughtful but lightly circulated journal will focus its efforts online, choosing to rely on journalism rather than video and infographics, according to editor John Yemma. He tells Media News International that the Monitor “intends to increase its page view five-fold by 2013, end its reliance on a Christian Science Church subsidy that now provides 40 percent to 50 percent of its revenues, and achieve financial sustainability by 2015.”The monitor was the first major newspaper to largely abandon the print market in favor of the Web and we wish it well.


We haven’t read any criticism of the hare-brained Newspaper Revitalization Act that’s briefer and more biting than that by Tim Windsor on the Nieman blogs. “I am immediately suspicious of any effort that has as its starting point that newspapers are precious things to be preserved, forever, like some kind of ubiquitous, everlasting Williamsburg of media,” he writes. “The worst thing that could happen would be for newspaper companies to find the means to suddenly become comfortable again.” We couldn’t have said it better and have nothing to add.


Allvoices, the community journalism project that we covered here last July, has added a feature to its website to rate the credibility of contributors. The feature is intended to address the widespread criticism that community journalism has weak quality control. The credibility meter evaluates both the content of a report and the reputation of the author on an ongoing basis as stories move through the Allvoices systems. Criteria include community ratings of the author and content, duplication with other stories and level of supporting content in mainstream media.


The Bakersfield Californian cut 12% of its staff and shook up its management ranks. The 26 positions that were eliminated include 14 in the newsroom and come on top of a 10% workforce cut in December. Management cited a 30% drop in year-over-year revenues as the culprit. The Californian, which has won some attention for its efforts to inspire reader contributions, is also establishing a high-level editorial job called vice president/content. Olivia Garcia, publisher of subsidiary Mercado Nuevo, assumes that role with Californian editor Mike Jenner reporting to her.


Gannett is telling employees to take another unpaid week off in the second quarter on top of the one they had to take off in the first quarter. The company is also temporarily cutting salaries of some high-paid employees.

And Finally…

love_satanNineteen-year-old Dutch college student Marco Kuiper has assembled a collection of weird and wild photos from around the web going back to the middle of last year. He calls it “imagedump,” and the selections range from hysterical to disturbing to borderline obscene. They all have one thing in common: They’re fascinating to look at. Is this citizen journalism?  Who cares?  It’s funny as hell.

By paulgillin | March 25, 2009 - 1:01 pm - Posted in Facebook, Fake News, Paywalls

With this latest and deepest round of layoffs, the Atlanta Journal-Constitution will have cut the population of its newsroom by more than half since 2006.

The newspaper announced today that 30% of its editorial staff will be dismissed through a combination of voluntary buyouts and layoffs. Another 107 full- and part-time jobs will be eliminated because of a reduction in circulation. The move will trim the size of the news group to about 230, from a high of 500 people just three years ago. Distribution to seven outlying counties will be severed, reducing the AJC‘s reach to 20 metro Atlanta counties.

This is the third round of layoffs at the AJC, which can’t be accused of dribbling away staff.  In December, it eliminated 56 full-time and 100 part-time jobs in its circulation unit. Last July, it cut 189 jobs – including 85 in the newsroom – while also spending $30 million on new printing presses. In that move, the paper also discontinued all its regional editions, including the Gwinnett County regional, where its main printing press was located.

The new cutbacks will target people making the most money.  Most of the reductions “will be in production and management, allowing us to keep as many news reporters as possible,” AJC Editor Julia Wallace said.

And this isn’t the end. “Today’s announcements are the first in a series of initiatives we’ll announce over the next 90 days to reduce costs,” said Publisher Doug Franklin, who added that the goal is to regain profitability by 2010.

Remaining editorial staff will be reshuffled to plow more resources into the profitable Sunday edition.  The strategy hints at possible cuts in frequency, which has been a popular cost-saving move for an increasing number of papers in the last few months.

By paulgillin | December 17, 2008 - 9:03 am - Posted in Facebook, Fake News, Hyper-local, Paywalls, Solutions

We really must get back to our day job at some point, but this is too damned interesting. We spent the early morning hours scouring our favorite blogs for reaction to yesterday’s blockbuster announcement in Detroit. There was plenty:

Take Our PollMark Potts likes the Detroit model in concept, saying it could be a test bed for other innovative Gannett micro-destinations like MomsLikeMe and Metromix. But he stresses that the Detroit consortium needs to move with speed and agility to launch new services and not spend too much time fretting about how save print. “As of this week, Detroit may be the nation’s most interesting laboratory for online news,” he writes.


Steve Outing is more pessimistic. While he applauds the reduction in home-delivery frequency, he thinks charging for the Monday, Tuesday, Wednesday and Saturday editions is a bad idea and that the “digital replica” of the print editions is badder. He’s also disappointed there wasn’t more vision outlined around a mobile strategy. And he thinks the whole plan will be tweaked pretty quickly as reality sets in. He’s probably right.


Poynter Media Business Analyst Rick Edmonds has an exceptionally cogent and impartial analysis of Detroit Media’s chances of success. He notes that daily newspapers typically derive as much as half their ad revenue from Sunday editions and then spread the costs across the rest of the week. The gamble in Detroit is that reader flight precipitated by these changes won’t cancel out the cost-saving benefits.

Newspaper executives have been talking about this idea for five years, but no one has done anything with it because of the much-feared-but-never-tested theory that you don’t mess with the daily news habit. Now Detroit has no choice, and if they can pull it off, they’ll set a course for the entire industry. Edmonds likes their chances. And he adds, perceptively, “An upside is that if readers and advertisers mostly accept the change, that could pave the way to a full flip to online-only several years hence.”


Speaking of the daily news habit, Mark Potts leaves no question about where he stands. “Oh, puh-leeze,” he writes in response to an unnamed Gannett executive’s paean to the virtues of dailiness. “That thinking…is proof that newspapers are still living a fantasy that their products are the centers of their customers’ news and information universe…

It’s simply not that reducing home delivery will drive readers to other sources of news: They’re already there! They’ve been making the switch for years, relying more on the Web…”


BTW, The Detroit Free Press live-blogged the press conference. And you can watch all 42 minutes of it here.


And finally, why aren’t there any female newspaper pundits? Suggestions are welcome.

Miscellany

Canada’s largest newspaper publisher is cutting 10% of its workforce. Sun Media will eliminate 600 positions and restructure its operations in western Canada, Ontario and Quebec. The reasons are all the usual ones everyone else cites. As Mark Hamilton has pointed out, Canada has about one-tenth the population of the US, which should give you an idea of how big this cutback really is.


Veteran newspaper publisher Martin Langeveld has several predictions for 2009. On the whole, he sees newspapers’ prospects improving after a dreadful start. Among his more notable forecasts:

  • No other newspaper companies will file for bankruptcy.
  • Some major dailies will switch their Sunday package fully to Saturday and drop Sunday publication entirely.
  • At least 25 daily newspapers will close outright
  • A reporter without an active blog will start to be seen as a dinosaur.

And this one that we didn’t get at all. Please to enlighten:

  • Some innovative new approaches to journalism will emanate from Cedar Rapids, Iowa.

From the AP: “The American Society of Newspaper Editors scheduled an April vote in Chicago to become simply the American Society of News Editors. Under the proposed changes, which require membership approval, editors of news Web sites also would be permitted to join, as would leaders of journalism programs.” Jeff Jarvis chuckles.


The Portland Oregonian will stop delivering to homes, stores or news boxes in the Eugene-Springfield area, which is the second largest metro region in the state. So it’s not really the Oregonian so much any more, is it?


The daily weekly Bristol Press in Connecticut will fold in mid-January if a buyer can’t be found. Owner Journal-Register Co. is shopping it and 11 other central Connecticut weeklies. The company shuttered three Philadelphia-area weeklies last week.


Did you know that the Washington Post‘s newsstand price has more than doubled in the last year? It’s true.


What’s your favorite 21st-century newspaper innovation?” asks Slate’s Jack Shafer at the tail end of a rather dour essay on the industry’s lack of innovation. His candidates: “The incredibly clever and useful” New York Times Reader, the TimesOpen API program, the Big Picture at the Boston Globe and Adrian Holovay’s EveryBlock.com. Send him your nominations slate.pressbox@gmail.com.


And Finally

Mark Hamilton pointed us to this cool mashup of the most e-mailed stories from newspapers around the English-speaking world. MostEmailedNews.com is one of those forehead-slappingly simple ideas that you wish you had thought of. It’s the work of a Brooklynite who calls himself Tim Brennan. It consists of only two pages at this point, but who knows where Mr. Brennan will take it. Check it out and give him some link love.

Comments Off on Now a Word From Our Pundits
By paulgillin | December 16, 2008 - 3:35 pm - Posted in Facebook, Fake News, Paywalls, Solutions

freep2We could almost see the collective eyes rolling in the newsrooms of the Detroit News and Detroit Free Press today as the newspapers’ holding company announced a “bold transformation” that will cut home delivery to three days per week and move the bulk of editorial content online.

The press release from Detroit Media Partnership described the move as “a sweeping set of strategic and innovative changes designed to better meet advertiser and reader needs,” although the reader benefit of delivering fewer issues wasn’t clearly articulated.

It has always struck us as odd that newspapers, whom we count on to cut through the hyperbole of press releases, can sling it with the best of them when their own business is involved.  For a more balanced perspective, read the account in the Detroit News. The comments from Free Press editor Paul Anger also convey a sense of resignation about the shift.

Newsosaur Alan Mutter wastes no time poking holes in the announcement, quoting a former executive saying that the pullback was the only alternative to shutting down the two dailies.  The move is historically notable in light of the fact that the News was once the largest afternoon newspaper in the nation.

Martin Langeveld is generous in calling the pullback “not the best solution…it keeps in place two separate press runs on most days while failing to differentiate the two papers more clearly. And implementation will be a nightmare, I’m afraid,” he says, shrewdly.

Editorial Departments Intact

About 200 people will lose their jobs, or less than 8% of the combined workforce. Cutbacks in the editorial department will be minimal because of the need to maintain “vigorous newsgathering operations and editorial voices,” according to the News account.  Most of the cuts will presumably come in production and operational departments.

Next to scaling back frequency, the most controversial aspect of the restructuring plan will likely be the introduction of a light version of both newspapers to be sold exclusively at newsstands on days when the full edition isn’t published.  Industry sources estimate that less than 40% of the circulation of both newspapers comes from newsstand sales, a fact that raises questions about how advertisers will be charged for running there. On Monday holidays, print circulation may fall close to zero.

A daily electronic edition will also be introduced for people who want to do their printing at home. “These are exact copies of each day’s printed newspaper and can be easily navigated and printed from readers’ computers,” the press release says. This means that the $170 million printing plant that the newspapers built in 2005 will now be nearly idle four days a week while printing is outsourced to the readers.  There is no research we’re aware of that supports the assumption that readers are interested in printing their own newspapers.

Cultural Challenge

The gutsiest dimension of the plan is the commitment to move much of both papers’ newsgathering operations online.  This recognizes the unstoppable forces that are transforming newsgathering organizations around the world.  As we reported here this morning, new Gallup research shows that 31% of US adults now consult the Internet daily for news while 40% read a local newspaper.  The trend lines, however will clearly cross sometime in the next five years, making the Internet the most important news source among US adults.  Only 22% of adults under 30 read a local newspaper daily, Gallup reported

The biggest challenges of all will be cultural.  Newspapers often give lip service to the importance of their websites, but stories still abound about resistance from ink-stained veterans who can’t accept the possibility that a screen can be as important a medium of news delivery as a printed page.  Detroit’s newspapers will now have to compete on foreign turf, adapting their products to the standards and cultural practices of the bloggers that so many of them hate.  It will be interesting to see if the reporters and editors can learn to thrive in a medium that has done them so much damage.

news_adNo doubt there will be lots of analysis and reaction to follow. We see that Gannett Blog has logged 70 comments in the first four hours. We’ll keep an eye out. In the meantime, we couldn’t help taking a snapshot of the ad that appeared on the Detroit News‘s account of today’s announcement.  Perhaps a cleansing is exactly what’s needed.