Profit or No Profit?Posted: February 13, 2013
Newspapers are quickly disappearing because people have been sucked into a technological world, where news is now faster to access by a small gadget found in their pockets.
In recent years, newspaper reporters have battled to get people to pick up the daily paper and today, many have shut down due to low funds and no subscribers or have gone into debt. To get people to subscribe to their website or to pick up the freshly printed paper, CEO’s have to think outside the box and take risks. Mark Thompson, New York Times Co. chief, is doing just that.
According to Jeff Bercovici from Forbes, he mentions that Thompson is planning to make a paper targeting only youngsters. This digital edition project would be called New York Times Junior and their main age group target will be college students and people in their twenties. As the company tries to bring up their sales, they have to stop and deliberate if this new project will in fact bring a profit. Many newspaper companies are low on budget and they are running out of proposals that could boost their budget back up. Their debt is slowly being paid off due to an increasing amount of online subscribers, but dividing the subscribers to two different versions of the same paper may cause trouble. CFO Jim Follo argues that it’s not a good time to divide, but to stay conservative and keep moving forward with what they have.
College students and twenty year olds are capable of reading the newspapers that are being posted or printed now. At this age group, we shouldn’t be reading colorful articles and having a website with a Joke section. The New York Times is trying to do what Huffington Teen, Time, and Sports Illustrated kid versions have done, but it can be risky if it doesn’t work out as they planned.
Should big newspaper companies target younger subscribers by making an intriguing version the the paper? Do you think it will increase subscriptions and boost their sales or will it bring them back to debt?