The Incredible Shrinking Newspaper Industry

Newspapers across the country continue to report grim declines in revenue, driving reductions in staff and page count.

The needs of high end news consumers are being met more efficiently by cable news, on-line feeds, and blogs than by the daily newspaper. Large metropolitan newspapers, like the New York Times and Los Angeles Times have lost their ability to bring information first to the news consuming public. At the same time, the local newspaper has lost its monopoly on classified advertising, car shoppers, and real estate to online alternatives. With both legs kicked out from under them, what is next?

First, newspapers must return to their roots, reporting intensely local news and events unavailable to other national distribution outlets. Customers will pay to see their son's little league box scores printed up, but not the Boston Red Sox.

Second, newspapers should drop the focus on what has happened (news) and improve their reporting of what it means (analysis). Our world and economy and our government is increasing in complexity. There is still plenty of room for well thought out analysis of current events and the implications for local audiences.

Third, newspapers must attend to the nuts and bolts of their production processes to wring out every efficiency possible to reduce their production costs. This means retooling and rethinking their printing and distribution operations to match their anticipated circulations.


For another take on how to shore up flagging revenues, check out Hugh Hewitts prescription here at Townhall.com