The swift decline of the newspaper industry hit the United States hard in the mid-2000s, but only recently has it begun to profoundly affect European
Evidence of that can be seen with United Kingdom newspaper The Guardian.
On Monday, the organization announced that it will cut 20 percent—roughly $76 million a year—from its budget, with an aim to become solvent in 2018.
“Against the backdrop of a volatile market, we are taking immediate action to boost revenues and reduce our cost-base in order to safeguard Guardian
journalism in perpetuity,” David Pemsel, Guardian Media Group’s chief executive, told The Wall Street Journal.
Though layoffs are to be expected in any such move, the publisher’s spokesman declined to confirm whether—or how many—of the publication’s nearly 2,000
staffers would be let go.
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The move comes as British papers are seeing steep declines in print-ad revenue.
reported a 25 percent year-over-year dip across the industry, and said it expected to record more than a $76 million loss for the financial year ending in
March. The Guardian hopes its measures will enable the publication to break even by 2018.
Like other struggling print publications, The Guardian has expanded its digital arm—especially in the United States and Australia. The Wall Street Journal reported:
The paper also said it would move to revamp its advertising models to center more around branded content, video and data-driven products. It also plans to
relaunch an “enhanced membership program” in an effort to double reader revenue. The company didn’t provide details.
PR pros should keep in mind the growing reliance on online content when tailoring news and pitches to individual journalists.