Miami Herald Parent Company Takes a Hit
The South Florida Business Journal is reporting that the Miami Herald’s parent company, McClatchy, had a serious drop in January revenue compared to 2007…
The majority of the decline continues to come from newspapers in California and Florida, two states hit hard by the residential real estate downturn. Ad revenue dropped about 23 percent in the California market, to $26 million from $34 million in January 2007. Ad revenue in Florida fell 29 percent, to $22 million from $31 million in January 2007.
A 29 percent drop in revenue is a huge loss for any company to absorb, and we’re wondering if what we’re witnessing is an industry in the final throes of a major transformation from print to on-line.
The functional concept behind local newspapers will never go away — they provide a much needed news reporting service to their communities and to the nation as a whole. But, does the future of this function really rest in a “print-based” delivery system, or is the transition to on-line delivery accelerating?
We think a change is at hand.
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