By paulgillin | April 6, 2008 - 11:43 pm - Posted in Google

Ben Popken, editor, Consumerist.comMeet Ben Popken. Attention, newspaper executives: this guy is going to mess you up.

Ben is 26 years old and sits atop the editorial pyramid at the blog Consumerist.com. In conventional media terms, that pyramid isn’t very big – only seven people – but Consumerist’s reach far outweighs its small staff. The site gets 15 million unique visitors per month. Maybe more importantly, it’s closely watched by mainstream media outlets, which frequently pick up on its best stuff and broadcast it to a global audience.

For example, The New York Times has referenced Consumerist 381 times, The Wall Street Journal 114 times and BusinessWeek 37 times. Consumerist stuff gets picked up on Digg.com constantly – 34,000 citations and counting. Popken was recently featured in a cover story in BusinessWeek and wrote a 2,300-word article for Reader’s Digest. All without a day of formal journalism training.

Ben Popken isn’t a professional journalist, at least not as that role is traditionally defined. In fact, prior to joining Consumerist two years ago, he had never worked at a newspaper, TV station or in radio. His career during and after college consisted of a variety of entrepreneurial sales ventures and odd jobs. He worked as a delivery man not long before joining Consumerist. He only got the job because the previous editor’s mother read his blog.

Consumerist gets about 100 e-mails a day from consumers talking about their horrible encounters with businesses of all kinds. Big box retailers, banks, cell phone providers, cable companies and airlines are popular targets. Consumerist editors read and respond to each and every e-mail (how many of you editors at major metropolitan dailies have a policy like that?) and write up about 30 of those submissions a day for the site.

New Style of Journalism

They don’t fact-check what they post and they don’t call the companies in question for comment. The mission of the site is “to empower consumers by informing and entertaining them about the top consumer issues of the day,” Popken says. “We give them a voice by directly publishing their tips and e-mails and then following up on them as warranted.”

A lot of journalists shudder when they read words like these. “Directly publishing their tips and e-mails?” With no editorial oversight? It sounds like an invitation to disaster. But it works. If the story is wrong, the editors take it down. So far, the lack of fact-checking hasn’t been a problem. Consumerist gets the occasional legal threat, but it’s never amounted to much. The cease-and-desist letters have almost stopped, Popken told me.

What is changing is that consumer-facing companies are beginning to revisit their customer service operations and remove the walls that have separated them from the public, walls that are relentlessly beaten upon by consumer advocacy sites. Like this one A few have even asked Consumerist for advice, although not as many as you might think.

With no formal journalism training, no years spent covering city council meetings for a small daily and no editorial oversight, Ben Popken is becoming one of the most powerful voices in consumer journalism. And what’s funny is that if you ask him about the secret of Consumerist’s success, he’ll use the same words that any good editor would use: “The secret is to be reader-centric in a fundamental way. The content is driven by the readers and reacted to by the readers. We’re really just a curator of consumer-generated content.”

A lot of newspaper editors dismiss citizen journalism because they know that good journalism could never be done by an amateur. Could it be that journalism isn’t really all that mysterious? Or that the way we’ve done things for the last 100 years isn’t necessarily the only way to practice the craft? Ben Popken doesn’t care what the old rules are, and so far he’s doing just fine.

By paulgillin | April 4, 2008 - 8:22 am - Posted in Fake News

John Duncan analyzes the recent decision by the Audit Bureau of Circulation (ABC) to allow publishers to declare as paid circulation copies of their products that sell for as little as a penny and sees this as the beginning of an expensive and mutually destructive price war. Previously, publications couldn’t claim as paid any copies sold below 25% of the cover price. The urge to discount will now be irresisitible, Duncan believes. Newspapers will launch money-losing promotions to drive up circ, but advertisers won’t buy that the circ has any quality. In the end, newspaper costs will increase while ad revenues won’t. Everyone’s a loser. Except, of course, the consumers who get their newspapers for one cent. Incidentally, E&P reports that a share of Journal Register Co. (JRC) closed last week below the price of a single copy of the Lorain, Ohio Morning Journal. We don’t think the Morning Journal has anything to fear, though, as JRC stock doesn’t include a sports section.

Or Free is the Enemy

Doug Fisher comments on Chris Anderson’s theory that digital information is rapidly moving toward being free (If you haven’t read Anderson’s recent Wired piece, which is the foundation for a forthcoming book, it’s worth checking out) and sees the challenge for newspapers are being one of finding a new value proposition beyond wrapping content in a daily package. The wrapper is no longer an important differentiator, he points out, and since newspapers have done such a poor job of innovating from their positions of monopoly dominance, they have nothing left to fall back upon when the value of the wrapper disappears. “We are not going to solely ‘write’ our way out of this,” he states, implying that giving readers more great content isn’t the tonice. News has little intrinsic value any more and the only solution is to find a new value proposition. That probably involves incorporating the work of the community into some kind of an aggregation model, he suggests.

Prominent Newspaper Columnist Cancels Newspaper Subscription

Steve OutingSteve Outing, whose Editor & Publisher columns are always worth reading, is canceling his daily newspaper subscription. You wouldn’t expect a 51-year-old writer who specializes in the newspaper industry to take such a step, but Outing explains in rather exhaustive detail why his daily newspaper no longer plays an important role in his information needs. Quoting: “We’re flooded with information — most of it free — from the Web, e-mail, RSS feeds, podcasts, phone alerts, TV and radio news. Most of the information that comes in the daily print edition is not new to me.” He proposes a model to reinvent newspapers as community resources, an interesting idea that also sounds very difficult to pull off. And he suggests a “fremium” newsletter model might actually generate some subscription income.

E&P readers share their reactions in prose that is at times frightfully twisted for a publishing audience. Most are just pissed at Outing for abandoning the cause, although none offers a convincing counter-argument to the columnist’s reasoning. The letter-writers are hung up on how to get people to pay for online news, which isn’t even an argument any more. Like it or not, that concept simply hasn’t worked. Recovering Journalist has the most cogent commentary we read, noting that the editor and publisher of the newspaper Outing canceled were given a chance to comment and declined to do so. It must be nice to have the luxury of being so cavalier about losing a prominent subscriber, Mark Potts notes.

So Tax the Bastards!

Ex-Washington Post editor Craig Stoltz proposes that newspapers that continue to run stock tables should have to pay a “tax” that subsidizes nonprofit journalism foundations. His reasoning: anyone who actively trades stocks is online already. The only people served by stock tables are a small group of cantankerous old pensioners who make a lot of noise but who don’t represent the reader base. He suggests that the reason papers keep this practice is that they’re afraid of offending this boisterous constituency. Josh Korr adds that this is much the same thinking that keeps unfunny comic strips running in perpetuity.

And Foolishly…

The Raleigh Chronicle celebrates April 1 with news that the editor is leaving his newspaper job to become an arctic explorer. “The hours will probably be better and the pay is certainly higher,” says R. Gregg.

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By paulgillin | April 3, 2008 - 6:29 am - Posted in Fake News

Last night I had the chance to moderate a panel discussion in front of about 150 college marketing majors in Boston, so I took the opportunity to ask them about newspapers. When I asked how many students in the room regularly read a newspaper, about half of the hands went up. This was more than I expected, so I followed up: “How many of you read the Boston Globe or Boston Herald regularly?” Only about 15 hands. “So if you aren’t reading the Globe or Herald, what the heck are you reading?”

A number of names were shouted out, but the one I heard most was Metro, the “free daily newspaper written and designed for young and ambitious professionals” and intended to be read in about 15 minutes. Metro is now distributed in more than 100 cities and seems to be hitting a mark. Although I’ve referred to Metro as “McPaper for local markets,” the fact is that the it’s winning a demographic group that major dailies have tried and failed to court for years. Maybe there are some ideas there. In any case, college kids do read the newspaper, as Kevin Maney notes…

There Are Some Newspapers That College Students Actually DO Read

Former USA Today reporter Kevin Maney agrees that the young audience isn’t a lost cause. He raises an interesting question: If young people supposedly don’t read newspapers, then how do you explain the success of college newspapers, which nearly half of college students read twice a week? Maney suggests it’s because college papers are feisty, local and community-driven, or all the things that big city dailies aren’t. Maney also suggests that newspapers’ focus on appealing to young readers may be misguided. Instead, they should go after the older readers – where at least they have a chance – and try to figure out strategies to get youngsters to change their reading habits later in life.

Good News – But No Links – in Raleigh

The Executive Editor of the Raleigh News & Observer writes a stirring column about the growth of the newspaper’s overall print and online circulation. It’s clear that this editor understands the importance of the online product and readership trends in that direction. In that vein, he cites several online sources, but doesn’t link to any of them. More than a decade after newspapers went online, many still don’t provide this simple functionality, which is so intrinsic to the Web. Whether the issues are technical or human, the lack of links on some newspaper websites is a growing embarrassment, particularly in a column like this one.

Rethinking the Value of Editors

Washington Post Managing Editor Phil Bennett and Executive Editor Leonard Downie Jr. think there are too many editors in the news reporting process and that a few should be thrown overboard. Reporters are better writers today than their predecessors were and don’t need as much line editing. They also cite the quality of the lightly edited stuff the Post runs online as an example that journalists can police themselves. Slate’s media critic says, “Yay!”

TechCrunch Gets it 70% Right

As the debate sharpens over the role of bloggers and journalists in news reporting, TechCrunch’s Erick Schonfeld writes from the perspective of one who has been both. In many ways, blogging is harder than reporting, he says. It’s a 24/7 obsession and speed is everything. This is one of the reasons TechCrunch has been so successful; it never stops posting new material. He makes an interesting on accuracy. Readers “are our copy editors and fact checkers…Our philosophy is that it is better to get 70 percent of a story up fast and get the basic facts right than to wait another hour (or a day) to get the remaining 30 percent. We can always update the post or do another one as new information comes in.” This approach to reporting is anathema to print journalists but very common online, where the changeability of the medium is considered to be part of the copy-editing process.

Short Takes

Author, professor and media expert Robert Picard posts an upbeat account of the state of traditional media industries on his blog. The way he sees it, media industries are changing and change difficult to handle, but the need for robust mainstream media will exist for a long time, the economic picture isn’t nearly as dire as many people think and we all have reason to be optimistic.


The American Journalism Review remarks on the opening of the revamped and refurbished Newseum in Washington. Reading this account, you can’t help but be touched by the courage that journalists have shown over the years by placing themselves in the line of fire. Apparently, the museum reminds us in stark terms that journalism can be a dangerous and even heroic profession.

And One You Just Have to Read

Salon tells how to get full access to The Wall Street Journal for free instead of paying $79 annually. If you know the story or topic you want, the technique is simple and guilt-free. If you truly want to end-run the Journal’s firewall, you have to install a Firefox plug-in and basically pretend to be somebody you’re not. The ethical question is up to you. We just report the news.

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By paulgillin | April 1, 2008 - 7:43 am - Posted in Fake News, Google, Paywalls

We have a stack of good news about the reinvention of journalism that we really, really will get to you ASAP. It’s just that this depressing stuff keeps coming up.

2007 Newspaper Ad Plunge Was Worst in a Half Century

You’ve got to admire John Sturm, the CEO of the Newspaper Association of America. Here’s his quote in Editor & Publisher, commenting on news that the newspaper industry experienced its worst one-year drop in advertising revenue in 50 years in 2007: “Even with the near-term challenges posed to print media by a more fragmented information environment and the economic headwinds facing all advertising media, newspapers publishers are continuing to drive strong revenue growth from their increasingly robust Web platforms.”

You get the sense that John is the kind of guy who could find a silver lining behind any cloud. In this case, it’s the news that online revenue now represents 7.5% of overall newspaper ad revenue, up from 5.7% the previous year. The “near-term challenges” are that print ad revenue plunged 9.4%. Run the numbers, and you can attribute at least half of the gains in online revenue to the fact that the whole pie is getting smaller.

Newsweek Cuts 111, Including Many Top Critics

Newsweek is buying out 111 staffers, reports Radar, and a lot of institutional memory is going out the door. Quoting: “Among those leaving are some of the magazine’s best-known, most-admired and longest-service critics, including David Gates, David Ansen and Cathleen McGuigan. Harold Shain…All of the chief researchers are also leaving, including Nancy Stadtman, Ray Sawhill and Ray Anello, and their positions may be eliminated.” The report doesn’t say what percentage of the total staff this represents, but the cuts were probably inevitable in light of the recent 16% decline in newsstand sales.

Cuts aren’t just in print

Online technology publisher CNet has laid off 120 people, or about 10% of its workforce. The cuts were announced suddenly and were immediate, with no grace period. International Business Times has the details and the corporatese memo from the CEO. CNet is suffering from an overall downturn in tech ad spending, the result of consolidation and lack of new startup activity in the IT market. It’s also being pecked to death by ducks, as bloggers steal traffic in dribs and drabs. TechCrunch’s Michael Arrington remarks on this phenomenon, but suggests that bloggers will have to band together to form a significant media entity. He says it’s going to happen, though.


Malaise is apparently spreading into local broadcast media. U.S. New’ Liz Wolgemuth reports that TV stations in Miami, Denver and Sacramento have laid off staff. A commenter says it happened in Dallas, too.

Short Takes

One of the few newspaper chains to resist the recent write-down frenzy, Lee Enterprises, finally swallowed the bitter pill, taking $500 million to $700 million in lost goodwill charges for the first quarter. A defiant management statement said the current stock price undervalues the company.


LA Observed has assembled some of the parting e-mails sent by laid-off staffers at the LA Times. Several take shots at TribCo owner Sam Zell. “You want people to ‘Talk to Sam’ but not to ‘Talkback to Sam,'” says one.

As If You Didn’t Know, “The State of the News Media Is Troubled”

If you don’t have time to read the voluminous (180,000-word) State of the Media Report, J.D. Lasica gives a pretty fine overview here. Summarizing his summary: The old “destination” model is dead. The job of the news organization today is as much to direct people to information as to tell stories. The big-brand news organizations may have even more throw weight online than they do in print. The vast democratization of news that was expected isn’t occurring. In the age of search, every story is a home page (we liked this one). More reporting will consist of incremental updates, some even being simple e-mail or Twitter messages.

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By paulgillin | March 31, 2008 - 6:09 am - Posted in Fake News, Google, Paywalls

Last week marked the one-year anniversary of Newspaper Death Watch, a blog I started on a whim but which has built enough readership to merit several hours of my time each week. In posting more than 150 entries over the last year and reading many times that many articles, I’ve learned a few things that I thought I’d share on this anniversary.

The catalyst for this blog was an essay I wrote nearly two years ago in which I predicted that the newspaper industry was about to undergo a business implosion that would be stunning in its speed and scope. I wasn’t by any means the first person to predict the collapse of the industry, but I was probably one of the few to foresee how fast it would occur.

That’s because I’ve followed the high tech industry for more than 20 years and repeatedly seen successful, stable businesses come apart at the seams when their environment changed: Digital Equipment, Compaq, Novell, WordPerfect, Wang Laboratories, Cullinet Software, Lotus, Silicon Graphics, and many others. It wasn’t a stretch to see two years ago that the same pattern was occurring in the newspaper business. The environment for publishers was changing in ways that would make their value proposition irrelevant very quickly. Demographic trends all pointed in that direction.

What went wrong

The inevitability of the industry’s self-destruction seems clear now, so there’s no news in that. But how could a business that was so stable and profitable for 150 years go into such a rapid tailspin? Two stories from the past year offered great insight into that question: Outgoing Wall Street Journal editor Paul Steiger’s farewell piece from the end of 2007 and Eric Alterman’s thoughtful analysis from the March 31, 2008 issue of The New Yorker.

Steiger’s piece was memorable for the stories it told about the excesses of the post-Watergate period. He remembers, for example, how one top editor put the kibosh on a proposal to tighten the belt by eliminating first-class travel for reporters. “I like flying first class,” Steiger quotes the man as saying with a smile. “You’re setting a bad example.” He also recounts internal struggles that occurred when newspapers went online, struggles that no doubt held back these papers from making the bold moves they needed to insure their survival. Steiger’s piece makes it clear that newspapers fumbled the opportunity to get out front of the Internet by focusing too much on protecting their print franchises.

Alterman notes the changes that occurred around the time of Watergate, when papers began to shed their partisan past and reposition themselves as impartial (read: bland) recorders of history. The scramble to win Pulitzers and duplicate the Washington Post‘s Watergate success resulted in millions of dollars being flushed on large Washington bureaus and expensive overseas correspondents. Basically, newspapers lost touch with their local constituencies and began writing for other journalists more so than for their readers.

Alterman also documents another ominous trend that began in the 1970s: the rise of the “insider journalist.” As reporters gained celebrity, their access to the great and powerful became a status symbol amongst their peers. Powerful people knew this, and they learned to exploit their access to leading journalists for their own gain as well. Readers weren’t served by any of this, and as the journalism world became clubbier during the 1980s and 1990s, the reading public lost interest.

This culminated in embarrassments like the Jayson Blair scandal and subsequent fallout in which a number of high-profile columnists at newspapers around the country lost their jobs. It was the low point of modern journalism: the profession had sunk so far that facts no longer mattered; if a reporter said something was true, then it must be true. Who had time to fact-check, anyway? There were gala dinners to attend and golf dates with a CEO.

Whistling Past the Graveyard

Meanwhile, newspaper executives knew full well what was going on around them. Circulation began sliding in the mid 1980s and demographic trends made it clear that young people didn’t read newspapers. A few papers saw catastrophe coming and made the leap to national circulation. They will survive the carnage.

The rest were addicted to the healthy and predictable profit margins of their business. Executives knew they were over-exposed to advertising from the shrinking department store industry and that their classified ad franchises were horribly vulnerable to online competitors. But why do anything? Their investors were fat and happy and there was no need to rock the boat.

This complacency is common in industries on the brink of collapse. IBM averaged $8 billion in annual profits during the decade before it lost $8 billion and nearly went out of business. Big companies often enjoy their most profitable years just before the undertow of market change sucks them under.

Watergate’s sad legacy

It’s too late for the newspaper industry to save itself. The average regular newspaper reader is 55 years old. Fewer than one in five people under the age of 25 ever reads a newspaper. They’re not going to start reading one now.

Reading accounts of the industry’s mistakes, I’ve become increasingly convinced that Watergate was the worst thing that ever happened to the newspaper industry. It transformed the role of the reporter from anonymous scribe to media celebrity. It distracted editors from the needs of their readers and diverted investment from productive local channels into wasteful global folly. For almost 30 years, the industry got away with these mistakes because it was the only game in town. Had executives acted a decade ago to dominate the online age, they might have saved themselves. But in this day of blogs, Wikipedia and Craigslist, newspapers don’t have a compelling value proposition.

Sure, online traffic is growing and online dollars are inching upward, but the top line is falling too fast. The union contracts negotiated two decades ago can’t be easily changed, the presses still need to be maintained and delivery truck drivers need to be paid. At some point during the next two years, the revenue and expense lines will cross, but there will be little left to cut without turning major metro dailies into expensive supermarket advertisers. There will be massive consolidation and a lot more layoffs.

I’ll continue to chronicle the sad decline of an American institution on this blog, but I’ll also write about some of the exciting experiments that are transforming journalism across multiple media. I firmly believe a new kind of journalism that embraces blogs, camera phones, Twitter, wikis, hyperlinks, search engines and millions of ordinary citizens will be far richer and more vibrant than the one that preceded it. We just have to clean up an ugly mess first.

By paulgillin | March 27, 2008 - 8:49 am - Posted in Fake News

More Goodwill Write-downs; Debt Burden Ties Owners’ Hands

Goodwill is becoming harder and harder to find in the newspaper business these days and recent financial moves tend to confirm that. Editor & Publisher reports that Belo and McClatchy collectively took more than $1.75B in goodwill write-downs at the end of the first quarter to recognize the lost value of their media properties. The piece goes on to look at other goodwill write-downs in recent history, including the New York Times Co.’s recognition that more than half the value of its New England properties had declined since 1993. Goodwill is just a paper loss, but it reflects a business’s recognition that the value of an asset has declined and probably won’t come back in the foreseeable future.


Follow the Media looks at the increasingly crushing debt burden that newspapers face. As media companies went deeply into hock to finance big consolidation ventures in the 1990s, they saddles themselves with payment terms that now force them to do everything in their means just to service the debt load. The piece concludes with a description of the spiral into which the industry has fallen: “Print newspapers will continue to cut expenses, some of which we the readers will notice and some we won’t, their editorial and advertising product will continue to deteriorate, and eventually we readers will reach the point where we decide we are no longer getting our money’s worth and we all go elsewhere. The gamble for publishers is just how much deterioration we will accept before we truly abandon ship?”

Demographic Trends Headed in Wrong Direction

Another sign that newspapers have all the demographic trends going against them: MediaPost cites a comScore report that found that “18- to-24-year-olds were 38% more likely than the general population not to read a newspaper in a typical week. The 35-44 cohort were 9% more likely not to read one. The flip comes with the 45-54 cohort, which were 24% more likely than the general population to read one.” The good news is that young people who care about news are big users of newspaper websites. The bad news is that online revenues are less than 10% of sales at most big newspapers.

Zell Gets Pissed

Is Sam Zell losing it? He’s recently been quoted saying that he never expected an 18% revenue decline in one year and he’s become increasingly belligerent in his meetings with employees recently. BNet has more. By the way, have you seen the video of Zell telling one of his reporter employees, “F**k you?” It’s here on YouTube. He mutters the comment under his breath at the end of a response to an Orlando Sentinel’s reporter’s pointed question about how newspapers can thrive by giving readers what they want when all readers want is stories about puppy dogs.

And Finally…

Maybe it’s time to get while the getting is good? Romenesko documents a trio of retirements of veteran journalists, including:

And Executive Editor Joel Rawson of The Providence Journal, who announced the previous week that he’ll retire soon, says the industry’s problems are not driving him out. He’s still got his health and he wants to spend more time flying, he says. Having cut his staff by 40% over the last 19 years has nothing to do with it.

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By paulgillin | March 25, 2008 - 6:12 am - Posted in Fake News, Google

New Yorker logoThe New Yorker devotes 6,600 meticulously edited words to the impending death of newspapers, examining objectively the promise and perils of a new-media world which writer Eric Alterman sees embodied in the Huffington Post. Drawing on sources ranging from Walter Lippman to The Simpsons, Alterman concludes:

  • That the death of newspapers is inevitable;
  • That the model that will emerge to replace them looks strikingly like that of the newspapers of 200 years ago; and
  • That our democracy is probably better off for this trend, although the plight of people in “the dark” is worse.

Here are some excerpts. Everything is elliptical:

Bill Keller, the executive editor of the Times, said recently in a speech in London, “At places where editors and publishers gather, the mood these days is funereal. Editors ask one another, ‘How are you?,’ in that sober tone one employs with friends who have just emerged from rehab or a messy divorce.”

The McClatchy Company, which was the only company to bid on the Knight Ridder chain when, in 2005, it was put on the auction block, has surrendered more than eighty per cent of its stock value since making the $6.5-billion purchase. Lee Enterprises’ stock is down by three-quarters since it bought out the Pulitzer chain, the same year. America’s most prized journalistic possessions are suddenly looking like corporate millstones. Since 1990, a quarter of all American newspaper jobs have disappeared.

Only nineteen per cent of Americans between the ages of eighteen and thirty-four claim even to look at a daily newspaper. The average age of the American newspaper reader is fifty-five and rising.

It is a point of ironic injustice, perhaps, that when a reader surfs the Web in search of political news he frequently ends up at a site that is merely aggregating journalistic work that originated in a newspaper, but that fact is not likely to save any newspaper jobs or increase papers’ stock valuation.

A recent study published by Sacred Heart University found that fewer than twenty per cent of Americans said they could believe “all or most” media reporting, a figure that has fallen from more than twenty-seven per cent just five years ago, Nearly nine in ten Americans, according to the Sacred Heart study, say that the media consciously seek to influence public policies, though they disagree about whether the bias is liberal or conservative.

Arianna Huffington and her partners believe that their model points to where the news business is heading. “People love to talk about the death of newspapers, as if it’s a foregone conclusion. I think that’s ridiculous,” she says. “Traditional media just need to realize that the online world isn’t the enemy. In fact, it’s the thing that will save them, if they fully embrace it.”

[Huffington Post] is poised to break even on advertising revenue of somewhere between six and ten million dollars annually, according to estimates from Nielsen NetRatings and comScore, the Huffington Post is more popular than all but eight newspaper sites.

The blogosphere relies on its readership, €”its community, €”for quality control.

Most posts inside the [Huffington] site, however, go up before an editor sees them.

Journalism works well, [Walter] Lippmann wrote, when “it can report the score of a game or a transatlantic flight, or the death of a monarch.” But where the situation is more complicated, journalism “causes no end of derangement, misunderstanding, and even misrepresentation.”

When Lippmann was writing, many newspapers remained committed to the partisan model of the eighteenth- and nineteenth-century American press, in which editors and publishers viewed themselves as appendages of one or another political power or patronage machine and slanted their news offerings accordingly.

The twentieth-century model, in which newspapers strive for political independence and attempt to act as referees between competing parties on behalf of what they perceive to be the public interest, was, in Lippmann’s time, in its infancy.

[The piece goes into an analysis of a 1920s debate between Lippman and rival John Dewey over the nature and methods of democratic discourse.]

As the profession grew more sophisticated and respected, top reporters, anchors, and editors naturally rose in status to the point where some came to be considered the social equals of the senators, [P]olitics increasingly became a business for professionals and a spectator sport for the great unwashed

The Huffington Post was hardly the first Web site to stumble on the technique of leveraging the knowledge of its readers to challenge the mainstream media narrative. For example, conservative bloggers at sites like Little Green Footballs took pleasure in helping to bring down Dan Rather after he broadcast dubious documents allegedly showing that George W. Bush had received special treatment during his service in the Texas Air National Guard.

Talking Points Memo “was almost single-handedly responsible for bringing the story of the fired U.S. Attorneys to a boil,” a scandal that ultimately ended with the resignation of Attorney General Alberto Gonzales and a George Polk Award for Marshall, the first ever for a blogger.

During the Katrina crisis, for example, [Talking Points Memo] discovered that some of [its] readers worked in the federal government’s climate-and-weather-tracking infrastructure. They provided the site with reliable reporting available nowhere else.

Traditional newspaper men and women tend to be unimpressed by the style of journalism practiced at the political Web sites, Real reporting, especially the investigative kind, is expensive, they remind us. Aggregation and opinion are cheap.

In October, 2005, at an advertisers’ conference in Phoenix, Bill Keller complained that bloggers merely “recycle and chew on the news,” contrasting that with the Times‘ emphasis on what he called “a ‘journalism of verification,’ ” rather than mere “assertion.”

“Bloggers are not chewing on the news. They are spitting it out,” Arianna Huffington protested, “In the run-up to the Iraq war, many in the mainstream media, including the New York Times, lost their veneer of unassailable trustworthiness for many readers and viewers.”

Newspaper editors now say that they “get it.” Yet traditional journalists are blinkered by their emotional investment in their Lippmann-like status as insiders. They tend to dismiss not only most blogosphere-based criticisms but also the messy democratic ferment from which these criticisms emanate. The Chicago Tribune recently felt compelled to shut down comment boards [because they] “were beginning to read like a community of foul-mouthed bigots.”

[Huffington] predicts “more vigorous reporting in the future that will include distributed journalism, €”wisdom-of-the-crowd reporting, A lot of reporting now is just piling on the conventional wisdom, €”with important stories dying on the front page of the New York Times.”

And so we are about to enter a fractured, chaotic world of news, characterized by superior community conversation but a decidedly diminished level of first-rate journalism.

Before Adolph Ochs took over the Times, in 1896, and issued his famous “without fear or favor” declaration, the American scene was dominated by brazenly partisan newspapers. And the news cultures of many European nations long ago embraced the notion of competing narratives for different political communities, It may not be entirely coincidental that these nations enjoy a level of political engagement that dwarfs that of the United States.

In “Imagined Communities” (1983), an influential book on the origins of nationalism, the political scientist Benedict Anderson recalls Hegel’s comparison of the ritual of the morning paper to that of morning prayer: “Each communicant is well aware that the ceremony he performs is being replicated simultaneously by thousands (or millions) of others of whose existence he is confident, yet of whose identity he has not the slightest notion.” It is at least partially through the “imagined community” of the daily newspaper, Anderson writes, that nations are forged.

 

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By paulgillin | March 24, 2008 - 7:22 am - Posted in Fake News

Newsday in Play: Media Moguls Salivate

The New York Times has more details on Sam Zell’s interest in selling Newsday. In addition to the previously reported interest by Rupert Murdoch and Mortimer Zuckerman, it now appears that Cablevision also wants to get in on the bidding. Unless Cablevision wins, the most likely outcome is that Newsday’s production facilities will be combined either with Zuckerman’s Daily News or Murdoch’s New York Post, thereby putting heavy pressure on the loser. It’s been questionable for some time whether New York City could support three tabloids and this may decide the issue. For Zell, the sale of Newsday must be a defeat. As the Times points out, the deal “illustrates the paradox Tribune faces: The best way to raise cash to meet short-term demands is to sell the very same properties the company would want to keep in the long run because they generate healthy profits.”


Variety analyzes the first few months of Zell’s Tribune ownership and concludes that the real estate magnate got more than he bargained for. The 15% decline in revenues was unexpected, insiders say, and that’s why extreme measures like layoffs and asset sales are on the table. Zell has tried to bring in managers who question everything, but the problems at Tribune Co. run deeper than a calcified corporate structure. The industry is imploding and that’s not good when there’s a $13 billion debt to service.

Faltering Economics

Alan Mutter comments on the potential impact of bond rating downgrades on the newspaper industry. In a helpful tutorial on the workings of the bond market, he explains why the near-junk status of Belo, GateHouse Media, McClatchy, Media General, MediaNews Group, Morris and Tribune increases their debt burden at a time when they can least afford it. Paying off bonds is simply a matter of growing the business faster than the debt burden, but newspapers are unable to do that right now. Lenders don’t want to run newspapers, so they’ll do what they can to right the business, but that usually means vicious cost cuts. In a worst-case scenario, the defaulting borrower’s assets are chopped up and the company shut down.


On top of everything else, the price of newsprint is up over 10% in the last six months. The increases are offsetting many of the savings publishers had hoped to realize from resizing initiatives. Dow Jones spent $30 million to retrofit presses and manufacturing operations when it shrunk the Wall Street Journal a year ago. Those expenses may have done little more than stave off the impact of the rise in paper prices for a while.

 

Three From the Coast

Pasadena Weekly attempts to total up the newspaper layoffs in the Los Angeles area. It comes up with 70, including 31 pressroom workes at the LA Times, 22 at the LA Daily News and 10 in Pasadena (where there are now five reporters left to cover a dozen communities). The epicenter (‘scuse the reference) of coverage is LA Observed, which journalists are reportedly checking every half hour for more bad news.


That’s the Press, Baby! proposes a novel explanation for the San Jose Mercury News’ implosion: geography. The author proposes that in a high-cost area like the South Bay, the Merc had to expand or be pecked to death by free local papers in the bedroom communities crowded into the narrow corridor between the bay and the mountains. There was simply nowhere to expand.


Finally, the Los Angeles Times has an interesting new example of grassroots journalism. The Homicide Report blog, written by a reporter and one contributor, documents every homicide in Los Angeles County (which adds up to 165 as of this writing). It’s the type of reporting that only a professional news organization could do and it dramatizes that real people are affected by homicide, a topic that is often treated matter-of-factly by the news media.


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By paulgillin | March 21, 2008 - 7:48 am - Posted in Fake News

Continuing the dirge of dreary earnings that began on Wednesday this week, Tribune Co. wrapped up its last quarter as a publicly traded firm with a $78 million loss from continuing operations. The pattern was identical to that reported by Journal Communications, McClatchy and New York Times Co. yesterday: Classified revenue down 25%, hurt by a 34% drop in real estate advertising and a 28% decline in help-wanted; retail advertising off 10%; national down 11%. Most ominously, the publisher reported that Internet ad revenue was up only 6%.

Evidence is mounting that Sam Zell had no idea what he was getting into. Having initially declared that the Tribune Co. wouldn’ t downsize its way to profitability, he has hacked more than 500 jobs and is talking of further cuts. Zell said he planned to keep the company mostly intact, but in announcing disappointing quarterly earnings on Thursday, the company said it has ““begun a strategic review of certain Tribune assets.” There’s now talk that Newsday is on the block, with media moguls Rupert Murdoch and Mortimer Zuckerman sniffing around.

The Chicago Sun-Times ran a contest for the best reader-submitted video opposing Sam Zell’s proposal to sell naming rights to the Chicago Cubs. The winner was a college student who interns at the Tribune. The Trib has some fun with winning its rival’s contest in this clip, which also includes the winning video.

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By paulgillin | March 20, 2008 - 6:57 am - Posted in Fake News

Three Big Publishers Tell Same Sad Story

Continuing to bang the drum slowly, Editor & Publisher reported financial results from three big newspaper publishers on Wednesday, each of them dismal:

  • Journal Communications’ February revenue fell 7.5%, dragged down by catastrophic results at the flagship Milwaukee Journal-Sentinel. Check out these numbers from the Brew City: national ads down 31%, direct marketing down 54%, help-wanted ads down 31% and real estate ads down 26%. The only bright spot was online revenue, which was up 16%, but only to $1.1 million.
  • McClatchy had a similar tale of woe, reporting that total revenue in February slid 11.7%. National advertising was off nearly 13%, while classified advertising declined 25%. The recession hit classifieds particularly hard as real estate and employment advertising both dropped more than 30%
  • Finally, The New York Times Co. said that ad sales that fell 6.6% in February, largely due to plunging classified revenue (off 19%) and double-digit advertising declines at its New England group, including the Boston Globe. While the Times stopped short of blaming God for its troubles, it did note that March results will be “adversely affected” by the early Easter this year. Easter is traditionally a slow advertising period.

There was one bright spot, though. USA Today advertising jumped 14.5% in February. “Strong growth in the travel, technology, financial, packaged goods, retail, advocacy and pharmaceutical categories offset lagging the telecommunications and automotive advertising at the paper, Gannett said.” Here at the Death Watch, we’ve been saying all along that a few national newspapers will survive and actually thrive as the industry collapses. Count on The New York Times, The Wall Street Journal, The Washington Post and USA Today to come out the other end, as all made the jump to national distribution when they had the chance. Business travelers need a morning paper, and that’s an attractive audience for national advertisers.

And Yet Editors Still Don’t Get It

Here’s another indication that newspaper editors are still blissfully clueless about the long tail. The fifth annual “State of the American News Media” study by the Project for Excellence in Journalism finds that as newspapers cut staff, they’re actually concentrating their remaining resources in fewer places, which means they’re overlapping each other more. “You have in a sense more reporters across more outlets, but they are all covering a fairly narrow band of stories,” the project’s director told Reuters. “There are more people congregating at the White House, fewer at any one government agency.” So we’re still going to have 150 reporters covering a presidential press conference at which everyone sees the same thing instead of cutting back on White House coverage and redeploying staff locally, where it might actually do us some good.

Recognizing Unsung Victims of Newspaper Meltdown

MarketWatch Video deploys an international team of journalists to rip the lid off the story of the unappreciated victims of the newspaper industry implosion: journalist bars. The seven-minute story takes us to San Francisco, Chicago, Boston and New York, where bartenders reminisce about five-hour lunches and payday parties and mourn the decline of conversation. There’s even a 45-second clip from London, where the reporter’s only apparent contribution to the story is to show us that he’s in London. Hey, that’s more than the Boston Globe can say!

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