Following my last post about the decline in newspaper advertising revenue in the US and decline in newspaper circulation in South Africa, comes more bad news in the form of a report in The New York Times that “on average, for every new dollar the newspapers were earning in new digital advertising revenue, they were losing $7 in print advertising revenue”.
The newspapers seemed not to be diversifying their revenue streams quick enough or coming up with new and innovative products fast enough, the report by the Project for Excellence in Journalism stated.
“Some of those we talked to seem frustrated and even uncertain about how to proceed,”Tom Rosenstiel, the director of the project, which is part of the nonprofit Pew Research Center, told The New York Times. “But we also found signs that, if you can break out of old cultural patterns, there is another way.”
“The papers that are succeeding,” he said, “are those that have pushed harder to change their sales staffs, have pushed digital even at the risk of putting less effort into the old categories that pay the bills, have taken more risks — have fought against the deep ‘inertia’ that many of the executives describe.”