Comments on: The fight for local newspapers

By: Manchester Evening News to be sold off? A few thoughts | Artisan Marketing Communications

Thu, 17 Dec 2009 13:13:55 +0000

[...] When I attended a protest meeting about the loss of 80 journalists in March at GMG I was surprised at what was said. [...]

By: RobArtisan

RobArtisan — Wed, 01 Apr 2009 21:05:20 +0000

I think digital and falling advertising revenues will see newspapers suffer as Jim says.

A national had to pull copy for interviewees I had supplied as the advertising for the supplement could not be found.

However, I think Stephen gets to the heart of the matter: the priorities of the GMG leadership are not with local media. There could be a little of the failed bankers’ approach in their as well or perhaps a lot.

It is not an easy a black and white but it is clear that local media cannot sustain quality if it sees such cuts as are proposed.

By: Stephen Newton

Stephen Newton — Wed, 01 Apr 2009 11:11:03 +0000

Thanks for a great round-up, but GMG is unlikely to hand the keys over to some other party. The Scott Trust, which owns GMG, exists to sustain the Guardian only (which is committed to seeking profit, even though it fails to do so). Everything else exists to generate investment income in support of that goal.

This is why the locals and regionals are squeezed, while the loss making title continues. They are supposed to be cash cows.

The MEN does have some special status in that its editor is one of only three appointed by the Scott Trust (the others being the Guardian and the Observer). But that looks increasingly anachronistic to an organisation that generally fails to see the MEN as anything special.

By: Andy Merrett

Andy Merrett — Mon, 30 Mar 2009 10:33:58 +0000

“One speaker pointed out that Tesco expects to make a profit of 9.8p on every pound spent whereas some publishers expect nearer 40p. Coupled with executive bonuses it is clearly an unsustainable policy.”

If true, this is a major problem. We’re very quick to blame the banks for the current crisis but the need for exorbitant profits and bonuses seems rife across many industries, and it’s hurting.

It’s greed, plain and simple, and I’m seeing it across a wide number of companies. In the end, when these companies go under, it’ll have knock on effects for other companies that rely on them. Mess.

By: Jim Symcox

Jim Symcox — Mon, 30 Mar 2009 09:55:58 +0000

Hi Rob, I thought your comments switched off so my apologies.

I do appreciate that the journalists have a lot at stake here as their jobs depend on the MEN keeping going. And my sympathies are obviously with them.

Still, I’m not surprised that the UK outlook still seems positive because the USA is ahead of us in take-up of all things web-related. There the advertisers are leaving their papers in droves.

It hasn’t happened to the same extent here. However, that’s not to say it wont. As you note The Guardian newspaper itself is already suffering. I think the other point about profit margins is that Tesco has a huge turnover compared to the MEN. So 10% of 1 billion is a lot more than 40% of 1 million, or whatever turnover attracts the 40%.

Jim