Mike Reed Sets Goals for New Gannett

Ask AOL, Kodak, RadioShack, Blackberry, Blockbuster, Sears, Kmart, Toys R Us, Borders, several dozen chain restaurants and a thousand Internet startups.

When was the last time you used a travel agent? Or looked in the Yellow Pages? Or wrote a check? Or took a taxi (unless you live in New York)? Or used a paper map?

If I knew how to create the killer app to turn content into profits, I'd be a very rich man. But nobody else has created it yet, either.

 

And it's been nearly 30 years. "Content is king and will make money any day now!" Not without people paying for it.

 

In almost every meeting we have about content the phrase "don't waste your time thinking about the print product" is uttered. And every meeting, I wonder, then why do we have a print product?

 

Things I'm also hearing from my old shop — there will be no buyouts because "they take too long." So, it's involuntary job cuts, and my guess is the severance, if it's a non-union place, will not be good.

 

Gannett reports disastrous financial results; layoffs are coming - Poynter

 

I don't see any argument for keeping print editions. Get rid of them and you get rid of costs of newsprint, delivery, etc. Would be good for the business.

 

I remember when I was at my local Gannett rag, and the question of why even keep print came up, the answer always was, "We don't have the digital revenue to support a digital-only operation, even without the print expenses."

That was a good 10 years ago, so not sure if that's still the case (or frankly, if that was the case then).

From talking to friends who are still there, they tell me these last couple of days have been as sobering as any in the age of layoffs and reductions. One told me, "In past messages and staff meetings, there always was a hint of a theme that we're going to be OK and get through this. This time, the messaging was, 'Sorry, we're fucked and everybody is on the chopping block.' "

 

The Gannett press release was something that the press agent of the Titanic could have released after the iceberg hit. But the single most surprising item was the company complained of labor shortages. Gannett has not been concerned with finding extra help for 15 years so what was that about?

It turns out they can not find delivery drivers. As circulation declines there income declines because delivery drivers are usually paid per paper. And anyone with a valid drivers license can find work in this economy at steady wages. So I bet it is hell for Gannett to find delivery personnel.

 

At my post-Gannett corporate life, we always had a digital subscription to the local paper, then we tried to add about a half-dozen subscriptions to the print product.

We would get the papers for 1-2 days, then nothing for 5 days, then get all of the ones we missed, then get the paper for another day or two, then miss 4 days, etc.

Many, many calls ensued, and finally they told us they can't find any delivery drivers, so they would have to mail our subscription and not deliver it the same day. We are 4.2 miles from the paper's office, and they can't deliver to us? It's like they didn't want the print subscription.

 

I’m glad I got out on my own terms.

 

The people I talked to were truly shaken. In the past, it was, "I hope I still have a job." With this one, it's like, "I hope we're still open for business."

 

Maybe Gannett's demise will lead to the eventual end of conglomerate news organizations.

Majority of news outlets need to go non-profit, especially small community newspapers.

Going Nonprofit Puts Salt Lake Tribune on Path to Sustainability