Depressing Gannett P&L statement (uh, make that an L statement)

Total revenue dropped 4.5 percent in February, with newspaper ad revenue down 3.8 percent. At its major newspapers, classified revenue dropped 6.3 percent (with automotive down 12.1 percent). At its community newspapers, classified revenue dropped 10.6 percent with all three of the big-ticket categories (employment, auto and real estate) dropping over 10 percent each.

At USA Today, ad revenue dropped 13.9 percent and total ad pages dropped from 344 to 291.

Gannett is blaming the winter storms for the drop.

http://news.yahoo.com/s/ep/20070315/en_bpiep/gannettreportsweakfebruaryasusatodayadrevenueslides

 

And its agate clerks everywhere who will pay for it...

 

How much of this does the board think is due to switching to the 24 hour info center, or whatever it's being called?

 

Moreso because Gannett generally puts out a shitty product, Village.

 

It's not just Gannett. Every major chain is or soon will be singing the same tune. A fundamental remake in how we do business is under way, that much we know. The problem is, no one is exactly sure how the new model is supposed to work, or even if it will work.

With all respect to agate clerks, we haven't come close to seeing the last of this. This is not cyclical. Classified has been the cash cow for big media over the years and that has gone the way of the Edsel to Craigslist, et al. I sure hope the people planning for the future in this business are as clued in as they need to be. We're all going to be living by ouija board for the foreseeable future.

 

Didn't you read the state of the news media thread? Things aren't that bad, really! There are some Podunk Presses that are doing just fine, so news like this isn't too significant. Carry on, no need to change anything.

 

Yes Gannett is cheap or whatever. But people should look at it this way. Unlike other big newspaper chains, Gannett DOESN"T lay people off. I have yet to hear of a Gannett paper have mass layoffs like the INKY, Tribune Co. or other chains that have done it in the last two years. Yes they're cheap. REALLY cheap.But those who work for Gannett are fortunate that we still have a job in this business.

 

Uh, no. The drop in classifieds isn't confined to Gannett; it's an industry-wide epidemic, and media companies everywhere are looking long and hard at other ways to grow revenue and audience.

 

for future reference, taz, the blue means sarcasm.

 

OK, I'm humbled. Thanks for the clarification.

 

No prob.

 

Gee, just what Gannett needs. Another excuse to knuckle the help.