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Editor declares newspapers a sunset industry

Bob Cronin Editor in Chief at West Australian Newspapers says newspapers are a sunset industry, according to a report published by The Australian yesterday.

It is good to see such a respected newspaper person be so clear about this.

One criticism I receive regularly is that I talk down print.  Sales numbers of print newspapers and the increase in the use of digital platforms for distributing news inform the view that the life of print has no upside and, indeed, is quite limited.

As challenges mount for print newspapers we will see more radical efforts by publishers to slow the decline in sales.  I suspect that publishers will continue to ignore retail newsagents and the opportunity they present.

The same edition of the newspaper carries an opinion piece by Campbell Reid: Don’t buy tickets to newspapers’ funeral: they are here to stay.  His optimism (who would expect anything less?) has more to do what what is not published on paper.

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Media disruption

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  1. Former newsagent

    They will keep circulation numbers up in the short term by giving away FREE newspapers! On Sunday I received four (yes, four!) free Sunday newspapers. The first I received when I purchased petrol at a Woolworths Petrol Plus outlet (Tele) on the way to the SCG to watch the Tigers against the Swans when I was offered a Herald upon entry into the ground. After the game I was offered a Tele and a Herald immediately outside the ground.

    What a waste of time and effort by the marketing departments at both newspapers. The money spend on wages (or fees to promotional agencies) would cost thousands, it cannibalizes sales of the paper from other outlets during the day and it’s questionable what it does for the brand in the long term but … at least circulation can say they got rid of an additional 10,000 papers at the footy!

    BTW – I took one of each.

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  2. Steven

    I’m assuming we all got the fax from NewsLimited/Fairfax about an hour ago? Survey asking for opinions. Interesting times ahead.

    Lots of rumours to keep the paranoid (like me) busy

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  3. shauns

    good to see that they still use fax machines you would think that these days with all the hype about technology and everyone going the ipad etc, the least they could do would be get with the programe and send an email .

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  4. MAX

    What fax ?????????????

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  5. Steven

    The Network and Distribution Review fax.

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  6. Shayne

    We didn’t get a fax but its on connect for both News and Fairfax

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  7. Derek

    Mark

    Printed newspapers will be around for a long time.

    Have you thought of how Newspaper Publishers model for distribution and delivery of digital news subscribers to devices?
    I am certain they would not be reliant at all on Newsagencies, they would not be excluded however subscription direct with a gizmo deal or all retail stores access or self sign up would be some of the options being considered.

    Newspapers have helped many businesses survive and be successful as a customer drawcard.

    There still is a generation of people who will want printed Newsapapers and there will be a generation eventually that will use a digital device to access news content.

    People who say that reading a physical Newspaper or a Physical book need to go and “sit in the corner” are dillusinal.

    Newspaper publishers owe Newsagents nothing, Careful what you are promoting and wish for.

    Of course you have your opinion which I dont understand at all and dedicated followers of everything you say. What is dissapointing to me is their are only a few commentators on this issue, for or against.

    In the end the future or News is unclear at present and I do not see the presses stopping even if they distribute via a digital device.

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  8. Mark

    Derek I don’t think you know what my opinion is so you probably don’t understand it.

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  9. Derek

    Mark – Fantastic reply

    It is very clear what one of your opinions is, this is obvious by how you promote digital devices and how you promote News access on them like they are mainstream and Newsagents will be a part of it.

    This is unclear, It is the Newspaper Publishers future distribution model that will decide this and they have not indicated as yet.

    This is very unclear and it will affect hundreds of Newsagencies and I ask for consideration for those people, good people, hard working people.

    The Publishers of primarily Newspapers have reached out and soon everyone can privately have an opinion with an upcoming survey which may include what you are promoting.

    Like I said before, be careful what you are promoting and wish for as you do not know the future digital distribution model.

    If anyone is worried that Newspaper Print will disappear tommorrow, dont, it will be a gradual change.

    What I do not understand is why you are pushing this so hard.

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  10. Mark

    Derek,

    I don;t promote digital platforms. What I write here is designed to inform newsagents of trends, so that they can make their own informed decisions.

    At no time have I written that newsagents will be part of any digital platform. They will not be.

    My credentials of supporting newsagents are well established, publicly and privately.

    The challenge for newsagents is that they have grown up in a paternalistic and regulated environment. Today, that environment does not exist, at least not in the eyes of suppliers. Newsagents need to make their own decisions.

    If you go back and read my blog posts and if you have ever been to one of my presentations you would know that I think change will be gradual. What is at debate is what does gradual mean. No one knows.

    I am confident that News Limited and Fairfax know what the future print distribution model looks like and that any consultation, past and present, is about managing newsagent compliance today and acceptance tomorrow.

    Print newspapers will not abruptly stop tomorrow. They will, however, continue to decline. The most important task for newsagents is to manage their place in the decline.

    I see these situations as opportunities.

    None of what I have written here is a new position for me. I have written it many times in the past.

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  11. Derek

    Mark

    Thankyou for your reply.

    I know your credentials regarding support to newsagents are well established.

    It is very commendable and I respect you for that.

    I disagree, promoting digital devices is there for people to see, however I was pleased to see that you wrote Newsagents will not be part of any digital platform.

    To me that is such a important statement. Crystal clear.

    I cant tell you what to say on your blog, however you may not be aware but you create a sense of fear with some of your posts, particularly regarding this issue.

    I am glad that you have replied with some information that I hope will be helpful who hang onto your every word. It may alleviate their anxiety somewhat.

    Regards

    Derek

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  12. Jarryd Moore

    Derek,

    Even if the decline took 10-15 years until any major newspapers became unviable to produce, print and sell, newsagents need to be planning for that time now. Begin ahead of the game gives reasonable time for both experimenting and strategising.

    I agree with Mark that newsagents will not be part of the digital platform. Although I do see a potential place for them in the distribution of hardware.

    I disagree somewhat that the publishers will decide the future distribution model. They may decide the model of their own publication, but the model adopted for mass news distribution will be decided by consumers.

    While there is still a generation that will want printed newspapers, it is worth nothing that those generations have also surprised many in their large adoption of new platforms such as digital music, e-readers, smart phones, tablets, DVRs, etc. It is also worth reiterating that this group of consumers (who’s numbers are inherently in decline) can’t support print alone. The major newspapers operate on a mass distribution model that relies on large numbers of both circulation and advertising revenue. As one of these declines so too does the other and that trend naturally speeds up as time progresses. Eventually it comes to a point where print production is no longer viable – even though it may appear there is still a large number of readers, it won’t be enough to support the model upon which major newspapers are built.

    And I think a healthy amount of fear is just what some newsagents need. Those who are complacent in their approach and ignorant of both the long and medium term future of the industry should most certainly be afraid. Those who aren’t are laughing in the face of fear and (hopefully) enjoying the challenges before them.

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  13. Mark

    Derek,

    People should not hang on my every word. My words do not deserve such attention.

    Newsagents should have an element of fear about the future. It is a significant departure from the newsagency model of the past.

    Digital devices will play a life and business changing role for the distribution of news and information. The best way to deal with change or a challenge is to confront it head on. I hoped that that was the core message of my coverage of what is already happening – not what might happen but what really is happening.

    I plan to explore this and what we can do in the next workshop series as I want to create a place where newsagents can discuss and debate what their future might look like.

    Too many newsagents are expecting others to deliver their future. This will not happen.

    To clarify my view on distribution: I am confident that publishers already know their plans for changes around distribution of print products, how could they not so far into this period of disruption. That said, now more than ever, consumers will decide the distribution channels which are successful overall … and that game will take some time and more hardware releases to play out.

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