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Showing posts with label cuts. Show all posts
Showing posts with label cuts. Show all posts

Sunday, September 28, 2008

Will newspapers stop publishing on Mondays and Tuesdays?

The question of whether or not newspapers are being bold enough in their efforts to adapt to the new publishing environment is one that comes up a lot.

I don't see evidence of particularly bold thinking in New Zealand yet, although to be fair papers here have a bit more leeway than their overseas counterparts given this is a less competitive market with relatively low broadband uptake (limiting, for the time being, the dominance of the web in a number of regions, especially rural).

This special report from Editor&Publisher looks at how US newspapers are adapting (regional as well as metro) and canvasses opinion on whether they're going far enough.

It's a nice wrap of the current market and hits on a few interesting points. Of particular interest to me was that while some newspapers are publising slimmer editions on slow days, others are cutting out slow days altogether. I've pulled out a few paragraphs below.

I once read a prediction, where I can't remember, that over time a lot of newspapers would evolve into weekly publications with daily news published on their websites. This has long struck me as a likely scenario. Is this the beginning of that process?

Tim McGuire, [a change expert and the Frank Russell Chair for the business of journalism at Arizona State University's Walter Cronkite School of Journalism and Mass Communications,] says his advice for newspapers now is to radically rethink what the newspaper looks like day to day.

Monday's paper might be just 16 pages, covering more sports than news. Tuesday, another loser for most dailies, might even drop sports. The Sunday paper would be almost unchanged, the product for mass distribution not only of ad inserts but as a "convener" of the whole community to have a conversation. And to get everybody in the door, he suggests dramatically lowering the price of that fat Sunday paper.

Some newspapers are already going the route of shrinkage. The San Jose Mercury News, for instance, is in the process of downsizing its Monday and Tuesday editions. "We are looking at trying to tighten up stories and see how we can convey more information in less space," says Editor/Vice President David J. Butler.

The Salt Lake Tribune, another MediaNews Group Inc. paper, is also greeting the beginning of the workweek with smaller papers, something Editor Nancy Conway says is a positive step: "The key is not to have fewer stories; the vision is to make them smaller."

The time could be ripe for fulfilling a longtime fantasy of some publishers — eliminating dog days like Monday, Tuesday, and Saturday. It's fueled by the obvious fact that in the U.S., at least, newspapers generally lose money during the week and coin it on Fridays and Sundays, says INMA's executive director Earl Wilkinson: "I know of newspapers that for 20 years have had blueprints for killing days of the week."

In recent weeks, two small GateHouse Media Inc.-owned dailies in Illinois actually implemented those plans. Tony Scott, publisher of the Daily Review Atlas in Monmouth, Ill., told readers that the paper had been thinking about eliminating Mondays for at least two years, and were finally pushed to do it by newsprint costs that soared 45% year-over-year and rising gas prices. Its sibling Kewanee (Ill.) Star Courier also dropped Mondays.

In Wisconsin, the Forum Communications-owned Daily Telegram in Superior went even further, announcing in July that come September, it was dropping four of its six publishing days while shifting daily reporting to its Web site. In making the decision to switch to a twice-weekly, paid-circ model, Publisher Ken Browall says all options were open for the 5,500-circ evening daily — from turning tabloid to going to free distribution.

INMA's Wilkinson is skeptical that larger-circulation newspapers will actually pull the trigger on the idea of eliminating Mondays. But Alan Jacobson, president and CEO of Brass Tacks Design, thinks it could become as widespread an industry practice as narrowing web widths.

"Staffing a newsroom seven days a week has been tough," he says. Newspapers, Jacobson figures, will drop a day following the same logic many papers are using in lopping off feature sections for low-circ days. "Reporters spend a lot of time on those feature stories," he says. "You eliminate that section, and you just bought yourself three days of reporting time — if you still have that reporter."

Monday, June 30, 2008

Newspaper closures are inevitable, says US media analyst

From a Washington Post media piece about still-declining ad revenue and "hiring freezes turned to buyouts and then to layoffs" come these two rather grim quotes:

“Never in my most bearish dreams six months ago did I think we’d be talking about negative 15 percent numbers against weak comps,” said Peter S. Appert, an analyst at Goldman Sachs. “I think the probability is very high that there will be a number of examples of individual newspapers and newspaper companies that fall into a loss position. And I think it’s inevitable that there will be closures in this industry, and maybe bankruptcies.”
Slightly less bearish but no cheerier:

Since the fall, when Media General, the owner of a major newspaper chain in the South, set its 2008 budget, “We have pulled our thinking down twice with respect to revenue,” said Marshall N. Morton, the chief executive.

Over the next few years, he predicted, “There’s got to be some assimilation,” with some major American newspapers going out of business or merging. At the corporate level, he said, “I would guess that rather than bankruptcies, you’d see combinations.”

I read the story in a newsletter sent out by the INMA, The International Newsmedia Marketing Association, who can usually be relied on for good news about newspapers even while everyone else is muttering dire predictions. But it appeared alongside a slew of stories about cuts in newspapers in the US:
Even in Taiwan:
Just in case you were in any doubt that the newspaper business is in trouble.

Sunday, May 25, 2008

The cuts go on

It seems almost a daily occurrence and perhaps not noteworthy anymore, but here's a round-up of a few job cut announcements made by big news companies in recent days:

US journalism union threatens action over Reuters decision to increase its outsourcing of financial reporting to Bangalore, India.

At first, the Bangalore bureau reported on earnings of small and medium-sized companies that usually were not covered by Reuters' U.S. journalists. The new plans call for Bangalore workers to cover larger companies' earnings, press releases and filings with the U.S. Securities and Exchange Commission and analysts' stock alerts. Reuters also has sent some U.K.-based non-editorial jobs to Bangalore.

Thomson Reuters is cutting 140 journalist jobs, mostly from Europe.
In an internal email to staff, the editor-in-chief of Reuters News, David Schlesinger, said having looked into areas of "natural overlap and duplication in coverage" between Thomson and Reuters the newly merged company had decided more than half of the cuts would be in Europe.

More than half the cuts will occur in Europe, the area of most duplication; the rest will be scattered. Thomson Financial News will be totally absorbed into Reuters News by end of 2008, and sooner if possible.

Schlesinger said cuts in the news department would be offset by "hiring into new projects". "I anticipate that over the coming months we will add some 50 new jobs in key areas that are central to my strategy of making us the best news service for the 21st century," he added.

Interestingly, the company is creating web video roles. Video is most definitely flavour of the month:

Thomson Reuters told staff last week that it would be creating new web video roles and offering its readers more commentary and analysis.

100 editorial staff at Washington Post accept early retirement package.

The Post will take the opportunity to restructure its newsroom in ways that may not be apparent to readers.

There is no plan right now to eliminate sections of the paper" or to reduce the frequency of their publication, Managing Editor Philip Bennett said yesterday. The buyouts will affect "chiefly how we organize our coverage -- more how we do things than what we do," he said. Bennett called the buyouts a "very, very difficult and painful process."

Steadily declining circulation and advertising revenue over the past two decades have led newspapers to reduce staff sizes through buyouts and layoffs, the latter of which The Post has avoided.

In 1999, for instance, the newspaper division of The Post Co. reported $157 million in operating income. By 2007, that number had fallen to $66 million. Daily average circulation of The Post peaked at 832,232 in 1993. It stands at 638,300."