Shower Thoughts: Print Media Edition

"functionoverfashion" (functionoverfashion) 03/27/2020 at 08:53 • Filed to: shower thoughts

0

9

The other day I brought up the exploding microbrew industry, and how it will no doubt be affected by the coming economic, uhh, downturn, shall we say. But I had another thought about an industry going in a different direction: Print News.

How many print news publications are still going to exist in their current forms after this? What about major metropolitan “newspapers” that have the same content online, only more up-to-date. The current news cycle moves so much faster than print media anyway, and now that no one is going out and buying newspapers, the volume has to be WAY down, in an industry that’s been waning ever since the first internet bulletin board back in the 90's.

What does Oppo think? Will this be the kiss of death for a lot of printed media? An excuse for some executives to say, “we’re not printing papers anymore?” Or will they just fire up the presses again after this is all over? I’m sure there will still be some major papers that push right through, but those are probably subsidized by online ad revenue and subscriptions at this point anyway. What about little local papers? Maybe they’re saving money by not having to distribute papers? Or are they losing ad revenue because local contractors love to fill their pages, and now that’s just wiped out?

Clearly traffic is exploding on just about every web-based news source right now, but printing has to have just about come to a screeching halt, no? Am I way off?

Jarrett - [BRZ Boi] > functionoverfashion 03/27/2020 at 09:14

7

This is my wheelhouse.

“Retail” sales across the board have obviously cratered due to this event. Home delivery, however, has not been impacted that greatly. The biggest impact we’ve had on Home Delivery are building landlords restricting deliveries to the lobby of the building (subject to theft).

Even the “major” papers are suffering in a general sense. Very few of them are still profitable outside of being “toys” for billionaires.

There is a lot of the network that is “fixed cost” for distribution, so lower circ almost never translates to saving on delivery.

Ad revenue is down dramatically right now. Ad revenue usually makes up>50% of a newspapers’ profits.

We predict that ther e are a couple medium-sized players that may not survive.

I can answer anything that doesn’t violate NDA :)

Dakotahound > functionoverfashion 03/27/2020 at 09:20

0

Even without coronavirus, print newspapers seemed to be on a downward spiral. I doubt if may will survive this.

One hope is the public im pression that print journalism is more credible (I don’t mean tabloids) . A lot of things that you read on the Internet are just garbage. People make up events or statistics and post them as if they were carefully researched. When you read something in prin t, it just seems more reliable.

Just Jeepin' > functionoverfashion 03/27/2020 at 09:20

0

I would feel better if my mother would cancel her subscription, just due to the transmission risks.

Jarrett - [BRZ Boi] > Just Jeepin' 03/27/2020 at 09:27

4

We are monitoring world-wide trends for this, and we haven’t found a case where this has happened.

To put you a little more at ease, I’ll outline who actually touches the papers before they get delivered!

- Paper roll is put into the press by machine

- Papers are printing, strapped, and skidded by machine

- They are loaded onto truck by forklift

- They are offloaded at satellites by hand pump cart

- Only the carrier touches the paper!

Disclaimer - not saying it’s not possible, but less likely than most people think!

ranwhenparked > functionoverfashion 03/27/2020 at 09:32

0

Yes, most print news publications were hanging by a thread to begin with. There are a lot of people without subscriptions who would pick up a paper with their morning coffee on the way to work, or at least pick up the Sunday edition at the grocery store. A lot of that has stopped, and the habit might not return.

Plus, I wonder if we'll see companies closing their printing plants and warehouses to limit the amount of employees at risk of exposure and just running with a skeleton office crew. The cost savings might be attractive enough to become permanent.

Just Jeepin' > Jarrett - [BRZ Boi] 03/27/2020 at 09:41

0

Thanks. 

CalzoneGolem > functionoverfashion 03/27/2020 at 09:54

1

My son got the mail the other day and he saw a G eico mailer we got and he was like, “Hey dad look! They are printing ads on PAPER now!”

DipodomysDeserti > functionoverfashion 03/27/2020 at 10:18

0

My brother is the editor for a small local paper. They’re owned by a larger print media company that had been buying up and reviving small papers all over the country over the last few years . They fired their PR person last week and cut my brother’s wages by 20%. My dad was working as a contracted salesperson for them and he said ad sales fell off a cliff as soon as the restaurant and bar closures were announced.

JustAnotherG6 > functionoverfashion 03/27/2020 at 10:19

0

As far as breweries are concerned there are several that are offering pick-up of growlers and crowlers (can gro wl ers, think of the fat Fosters cans) at the tap room. One has a ‘drive through’ setup and yet another is offering delivery. It may help keep them from shutting their doors for a little while.