Do I even gotta…?
2nd oldest form of mass media Exists in marketplace for goods/services, but
also…? Ideas
Political, social, cultural information Role in commerce…
Links advertisers and consumers 50 million sold/day 117 million people read the paper
Major Playas?
Gannet Company, Inc. (7.4M) Tribune Company (3.4M)
private in 2008, $8.2B The McClatchy Co. (3.3M) #6 Dow Jones Co.
News Corp., $5B #7 New York Times Co. (2.2M) #9 Hearst Newspapers #10 Scripps Newspapers
McLean, Va $8B Publicly held Large midwest/central papers TV stations in similar markets USAToday.com
Gannet Company, Inc.
Competition
Compete for??? Audiences Adverts
Compete against??? Internet
Web versions Online only Blogs?
Television Radio?
Market Oligopoly? Monopoly? National/Metros?
“Competitive”??? Dailies
AM/PM, Sunday Weeklies Online Small papers fairing well
Competitive??? Monopoly???
Market Cont’d
Same product to consumers/adverts? 2008, circulation -10.6% (-7.5% for Sunday) 2008, ad revenues -16.6%
$387.5 billion in print $3 billion online
Crap economy!!! Real estate Classifieds
2008, publicly owned earnings -10% Collectively stocks -42%, last 3yrs
Major Newspapers Are…?
Vertically integrated? Horizontally integrated? Diversified? Use synergy(ies) to promote/sell its
commodities?
Digital Woes Brick and mortar costs going down
Printing production delivery
Major cost-cutting Layoffs, concentration How come we don’t hear about the business issues??
Outsourcing? Payroll circulation service complaints ad production
Books
What do books do? Have Done? $35.6B globally, $16.6B in U.S. $42B expected by 2011 3.1 billion books sold in 2009
# of books published in U.S. has doubled in last decade 172K titles (U.S.), 203K (UK) Oman (7), Niger (5)
Revenues? Transformative use/derivatives Sets
Publishers
Controls Advertising/marketing
Subcontracts to freelancers Editing Proofreading Layout design
Publishers do not own printing presses Separate distributors
Random House, $2.3B Penguin Group HarperCollins, $1.34B Simon & Schuster Time Warner Book Group Parent/Imprints
Industry
Comic Books Market Share
MARVEL COMICS 40.25%DC COMICS 31.92%DARK HORSE COMICS 5.61%IMAGE COMICS 3.82%IDW PUBLISHING 2.08%VIZ MEDIA 1.84%TOKYOPOP 1.76%DYNAMIC FORCES 1.56%WIZARD ENTERTAINMENT 1.27%
Retail
Chain stores, 34%
• Online, 30% Indie Stores, 9% Buy Direct from Publisher, 3%
Alternatives?
Self published books Vanity, Subsidy, POD– Author Originated
Used Stores Digital or analog
Kindle Audio Book Project Gutenberg Independents Free publications Online Only
MAGS
17,000+ published in U.S. printing on demand, digital devices, and mobile
applications Reader demographics
$75K, college degree, own a crib Revenue
Ads, 56% ($16-18B) Circulation, 44% 2/3 by subscription, 1/3 single copy
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