Posted on 06/02/2009 5:31:05 AM PDT by abb
Local newspapers serve a valuable need in communities. Schools, municipal items, local sports, community calender, etc. Too bad that the dollars and cents don’t work out.
http://www.boston.com/business/articles/2009/06/02/red_ink_flowing_at_gatehouse_media_publishers/
Publishing in red ink
Cost is about $350K in salary/employment costs. Press run of maybe 10,000 is going to run you another $80K a year. Distribution is another $20K a year then you have coin operated boxes and stands to deal with.
Rent and utils are another $2,500 a year then you have supplies that cost another $25K per year minimum.
That's easily half a million a year that you have to cover. You might get lucky and score a good classified section that brings in $2K per week but you have to sell $8K plus per week in display ads which means 40 ads per week paying $200 a shot.
Having seen this model up close close to 20 years ago it's too hard of a business to work out.
http://adage.com/article?article_id=136973
Real-Estate Ads Find New Home on Web in Recession
House-Selling Business Moves From Papers to Facebook, Twitter, Blogs
snip
Behavioral shift
“It is very antiquated to think that people are opening up the Sunday paper and looking for real estate. It just doesn’t happen anymore,” she said. “The behavior has changed. It’s been a major shift in behavior, and I don’t see that going back at all. I don’t think that people are not necessarily going to read newspaper, but I don’t think they’ll be looking for real estate in newspapers.”
Nearly nine in 10 homebuyers used the internet as an information source, and one in three found a home on the internet, according to 2008 data from the National Association of Realtors. Newer, growing “aggregate” sites such as Zillow and Trulia — which pull together listings from a variety of brokerage firms, in addition to providing other services — have made it easier to find more property information online. All this has catalyzed marketing activity for real-estate companies.
snip
You're correct, nothing really *new* going on. Should've said, "these days more than ever and only because the information highways are many more today.
"What the other side is selling - Something for Nothing - has always been a workable scam."
Used to work.
But I'd like to believe [that] too is in a state of flux right *now*.
The closing rags and/or tanking revenues of those hanging on prove something beyond what the industry's lice claim.
We shall all see, soon enough.
Buggers had better have another mode in mind for delivering their bullcocka. The preferred one's either dead or quickly dieing. If they're not prepared to leap off the dog soon onto another, they'll find themselves a parasite trapped on a dead host.
~Real bummer, man. :o)
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_content_id=1003978606
Teamsters Threaten to Shut Down Minneapolis ‘Star Tribune’
http://www.vanityfair.com/magazine/2009/07/graydon200907
The Paper Chase
In any times to do what a newspaper's capable of, ie, influence etc?
Peanuts.
As I said any person or persons would want is a genuine, solid business plan. One which directly involves the biggest employers (retailers, manufacturer's etc) in the community for base support in the way of ad dollars. Add "citizen reps" doing much of the legwork for stories -- not unlike "not for profits" rely a LOT on volunteers? Same or similar tack, my friend. A lot of work, yes. BIG risk, absolutely.
Deferring to your 20+ years experience OTOH, you're probably correct.
abb posted what happened to a "conservative" pub in Philly, IIRC.
It didn't last.
What part of the demise was due to incompetent management etc, can't say; but, the bottom line cannot be argued -- it's kaput.
OK then what would you suggest for delivering local information?
Is there a decent niche market to fill the vacuum left after people fled the propaganda organs?
While no one would get rich or become a Hearst? They might eek out a reasonable living while performing an occupation they respect *&* truly love: real Journalism, the way it was meant to be?
Rural area's peoples are *not* all that computer savvy, and by choice.
Most are far too busy running their farm(s), working FT occupations or simply living to sit down at a computer terminal to see what's going on.
Even if they did have the time & computer, is on-line local content even available?
I'm inclined not to think so, at least not in the area I live which features a cyber version of the exact same propaganda one gets in the rag's hard copy.
If people aren't buying hard copy rags --& they're a rapidly declining number-- will/would they *pay* for on-line content, local or otherwise? That is an enormous question, a risk that cannot be answered with "market research" per se, either.
Interesting issues lie dead ahead for the media as we know it.
http://www.myfoxphilly.com/dpp/video/060109_Phillydotcom_To_Charge_Fees
Philly.com May Charge
For Web Site
http://steveouting.com/2009/06/01/i-may-advocate-free-web-news-but-lets-not-be-dogmatic/
I may advocate free web news, but lets not be dogmatic
http://www.startribune.com/business/46674887.html
Star Tribune drivers talk of strike
http://www.minnpost.com/braublog/2009/06/01/9209/star_tribune_drivers_our_strike_will_likely_shut_paper_down
Star Tribune drivers: Our strike will ‘likely’ shut paper down
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_content_id=1003978669
AP Reveals More Details About Crackdown on Unfair Use
http://www.editorandpublisher.com/eandp/news/article_display.jsp?vnu_content_id=1003978671
CNHI Orders Second Round Of Furloughs
I agree. The issue at hand is the business model that allows the paper to sustain itself and I don’t see one. Not that people don’t like to read the local paper but the medium as an ad vehicle makes less and less sense.
It is almost all about the advance of technology.
I know most of us here at FRee Republic like to think the impending doom of the Drive-By Media is because of liberal bias. I don’t think that’s it.
Prior to the internet, there was no way to distribute information (or advertising) in a durable format, except for ink on paper - newspapers, magazines, sale papers, printed catalogs, etc.
Prior to the internet, there was no way to distribute moving pictures and sound, except via the phonograph, radio, tv or film.
The internet combines all those features plus interactivity, indexing, near instant recall and unlimited storage. It is the most advanced method of human communications in history.
The Drive-By’s liberal bias has certainly alienated much of their potential customer base - Grampa Dave calls it their “Dixie Chicks marketing strategy.” But if the internet hadn’t been invented, the newspaper industry would still be fat and sassy.
Didn't the NYT try this, and fail?
Yes. But looks like they may try it again by forming a ‘cartel’ and trying to copyright the English Language. I’m only being partially sarcastic, lol.
Read the postings over the past few days about the secret meeting they all had in Illinois.
I think what they may be up to is an effort to intimidate Google into paying them money.
http://latimesblogs.latimes.com/laplaza/2009/06/mexicos-only-english-language-daily-newspaper-in-mexico-city-the-news-was-bought-by-a-local-newspaper-company-grupo-mac.html
Mexico’s only English-language daily sold; staff cut by two-thirds
http://borderreporter.com/?p=2093
No News
http://www.stillanewspaperman.com/2009/06/02/10-things-i-would-do-differently/
10 Things I would do differently
http://www.newspaperdeathwatch.com/
US Papers Post Worst-Ever Quarterly Results
http://slate.com/id/2219164/
The Beginning of the End for Newspapers
http://www.newshare.com/wiki/index.php/Jta
“From Gatekeeper to Information Valet: Work Plans for Sustaining Journalism”
http://www.adweek.com/aw/content_display/news/agency/e3i402685569829cf550d0747a6e01c650d
Online Classifieds’ Growing Constituency
http://www.broadcastingcable.com/article/277903-Three_L_A_Stations_To_Begin_Local_News_Video_Share_June_15.php
Three L.A. Stations To Begin Local News Video Share June 15
http://www.tnr.com/story_print.html?id=ce686bd3-233a-44a2-bdd4-ee3d879a1967
The Puffington Host
The many versions of Arianna Huffington, and their consequences.
Isaac Chotiner, The New Republic Published: Wednesday, June 17, 2009
snip
The truth is that The Huffington Post is not just supplementing a print media that has long been dominated by newspapers. It is also helping to destroy newspapers. The trials of print media have been explored at length recently in a number of settings, both print and digital, and for good reason. But some tough questions must be asked also about the powerful digital interlopers. For the blogosphere and the news aggregators that dominate cyberspace are completely reliant—completely parasitic—on the very institutions they are driving to bankruptcy.
snip
http://www.forbes.com/2009/06/02/knight-foundation-alberto-ibarguen-business-media-alberto.html
Can This Man Save The News Business?
http://www.pbs.org/idealab/2009/06/journalism-graduates-its-time-to-reinvent-journalism153.html
Journalism Graduates: It’s Time to Reinvent Journalism
Yes, and I'd always thought it might be the other way around. Buying the rag drove want ads. If people don't buy papers in sufficient numbers, ad rates charged suffer.
IOW circulation trumps all after, including ad rates when all's said & done.
abb has a few interesting points to make, I'll hi-lite the ones resonating with me.
"It is almost all about the advance of technology. I know most of us here at FRee Republic like to think the impending doom of the Drive-By Media is because of liberal bias. I dont think thats it."
Man-oh-man.
That's one really hard for me to get my arms around.
If you're correct? Then the *problem's* with my POV.
A POV based on the way things used to be, no longer germane.
"The Drive-Bys liberal bias has certainly alienated much of their potential customer base..."
Yes they have, and you're asserting this alienation played little --if any-- role in their imminent demise?
See my apparently antiquated POV dictated because they aliented so many, they hung themselves.
Where else would [that] best be seen in B&W, show up first for the rags?
Advertising revenues -- be it print ads or classified and directly due to shrinking circ numbers.
Don't either kind of advertiser want their product or service in front of as many eyes as possible? No eyes = no customers?
Now while the Internet provided a badly needed alternative they did so by being quicker, more efficient (for their profits) and did it all inexpensively as compared to the rags, their employees, unions, fleets of trucks etc. AND the Internet got the message in front of all kinds of people, reading at all hours finding specifically what they wanted where ever they are.
And consider Craig's List for example -- the BIG one -- rags particularly love citing for tanking classified ads don't do news.
This thing's shaping up to be a chicken & egg thing. LOL
"But if the internet hadnt been invented, the newspaper industry would still be fat and sassy."
Aye, no arguing that fact a'tall. ;^)
Interesting to contemplate what may happen after the rags have folded and the Internet the top dog.
That one's probably best left to an Alvin Toffler wannabe. :^)
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