“I’m not hoping for this not to work,” he says. “It’s real money. A paid print product is probably not going to be a great idea for the future. I do think, however, that when you create and spend tons of money creating apps for smartphones and for tablets that there’s a real possibility to have an all-access strategy. You take a look at the Denver Post’s iPad 2.0 app. It cost a fortune to build. Trying to reimagine how content is created and consumed is not trying to imagine how to get newspaper stuff on the iPad. I think people will pay for that down the road.
They will pay, I believe, for something that uses the medium for its strength. But then you’re going to have to spend that kind of dough to start having more resources. It’s a high-wire act.”
(Further reading: Bill Grueskin’s open letter to John Paton.)
What percent of revenue came from digital circulation?
#1 Posted by Lon Haenel, CJR on Wed 12 Sep 2012 at 09:22 AM
So Lee and Gatehouse are models you are striving for? Aim high, Digital First!
#2 Posted by H. Barca, CJR on Wed 12 Sep 2012 at 09:43 AM
How did the company think it could make this digital first transition and support operations -- remember when Paton said it would protect the print product? -- with such a low baseline on digital revenue?
THIS is the strategy all the media gurus have been talking up?
#3 Posted by Ted, CJR on Wed 12 Sep 2012 at 12:18 PM
According to Booz & Co., digital will not bring more than 25% of total revenue -- given the present state of content monetization, which is limited to very few low-hanging fruit strategies such as paywalls.
Yes, Ryan, "low-hanging fruit" describes the paywall success perfectly. I am glad that you used it.
#4 Posted by Greg Golebiewski (@znakit), CJR on Wed 12 Sep 2012 at 01:27 PM
The fact still remains that most JRC newspapers are "bottom of the bird cage" properties that employ skeleton staffs whipped by years of abuse and neglect. Ask many of the "legacy" staffers and you'll hear the same refrain: Digital First is nothing more than a mantra. Many of their newsrooms still use Windows 98 OS for heaven's sake!
It's all about content, content, content. Build a better news organization that produces a first-rate product and advertisers will beat the proverbial path to your door.
#5 Posted by Allan, CJR on Wed 12 Sep 2012 at 04:10 PM