Two Major NOLA Grocers Abandon Times-Picayune for The Advocate

Newspaper circulars are the backbone of what’s left of the newspaper advertising AdvocateAppIconbusiness, so the news in Sunday’s Advocate is big: two of the largest grocery store chains in New Orleans, Rouses and Winn-Dixie, are shifting the bulk of their advertising to The New Orleans Advocate.

Over the next month, they will leave their advertising home of many decades, The Times-Picayune.

As Bruce Nolan, my former boss, “people’s reporter” and major character in the book noted when sharing this news on Facebook, this may sound like inside baseball to those who don’t know the newspaper business, but “this is a hard punch in the mouth” for NOLA.com/The Times-Picayune. “The rockslide triggered in 2012 rolls on,” (which the book documents), Nolan added.

However, New Orleans native and “TP Watcher” blogger Bill McHugh wonders if the switch has more to do with rock-bottom advertising rates offered by The Advocate than by the grocery chains’ interest in advertising in a daily, home-delivered newspaper. “You don’t need a daily paper to deliver a once-a-week grocery ad circular, which leads me to believe that the real reason for the switch has more to do with ad rates than circulation,” McHugh commented on Facebook. “Were Rouses and Winn-Dixie offered a sweetheart deal to get them to switch?

Poynter.org: Advance claims digital ad growth will outpace print declines in 2015

Advance_LocalIn his biannual letter to employees, Advance Local President Randy Siegel, the highest-ranking non-Newhouse family member in the Advance newspaper digital hierarchy, says the company is “poised to achieve a critical crossover point in 2015: digital advertising gains will exceed print newspaper ad losses,” Poynter Institute researcher and writer Rick Edmonds reports.

Randy Siegel

Advance Local President Randy Siegel

Underscoring that Advance’s New Orleans property isn’t the only one that loves to invoke marketing-speak when talking about its business, Siegel reports, “Our local sales and marketing teams have leveraged their entrepreneurial abilities and expansive digital knowledge to prove they can grow digital ad revenue faster than we’re losing print ad revenue. In 2015, our local leadership teams plan to generate higher total ad revenue in every one of our markets, reversing a longstanding trend of decline.”

Advance Local’s sites have averaged 55% traffic gains year-to-year, as measured by comScore, Siegel wrote, with Cleveland.com and SILive.com (Staten Island) more than doubling their audiences year-to-year in November.

Advance Local’s lofty prognostications aside, Edmonds reports that based on the aggregate results of publicly traded newspaper companies through the first three quarters of 2014 (many company’s fourth quarter’s results won’t be reported until next month), the yearlong results are expected “to show total revenue at most companies and the entire industry down again.”

“Other newspaper/digital companies may also be able to achieve revenue growth in 2015, though to my knowledge, Advance is first to make that promise.” Poynter Institute’s Rick Edmonds

Advance is a privately held company and consequently is not required to report the same level of detailed financial and operational data that publicly traded companies must disclose.

Edmonds notes that while Siegel’s letter highlights digital advertising, it doesn’t mention circulation revenue, which while a falling line item at almost all newspapers, is still a significant contributor for many. Add to that the fact that Advance’s newspaper websites are free, meaning they don’t reap digital subscription revenues the way a number of prominent newspapers now do.

And by publishing and/or home-delivering print newspapers fewer days in most of its markets, Advance has foregone print or bundled subscription price increases that “most of the rest of the industry” has enjoyed, Edmonds noted, adding that the industry overall saw successive 5% circulation revenue gains in 2012 and 2013, the most-recent available figures.

He does note that Advance has been right on two predictions: Newspaper “digital ad revenues could grow from a small base, and that print declines were irreversible. And in theory, it now has leaner operations well-positioned for growth into the future.”

Despite the thousands of jobs across the country that Advance has eliminated as part of “Digital First,” Siegel hinted that operations aren’t yet lean enough. “… this journey will take a little longer and be a little harder than we originally anticipated, which is why we continue to need to recalibrate our expenses,” he wrote.

The Empire Strikes Back: NOLA Media Group Responds to Advocate’s Marketing Ploy

The day after the New Orleans edition of The Advocate made a play for Times-Picayune subscribers confused and/or fed-up about the fourth change in home-delivery schedules/edition of the newspaper in 15 months, NOLA Media Group responds with a full-page house ad on page A-4 of today’s newspaper. (H/T to Bill McHugh, creator of the DumpThePicayune blog, for the scan of the ad):

Page A-4 of the Jan. 4, 2015 edition of The Times-Picayune

Page A-4 of the Jan. 4, 2015 edition of The Times-Picayune

Hell and High Water Runner-Up in 2014 National Federation of Press Women Awards

NFPW Award Winner 2014Hell and High Water has been named as 2014’s second-best non-fiction adult title by the National Federation of Press Women.

In the award write-up, judges called out the book’s mastery in recounting an historical event in a compelling way:

“Rebecca Theim tells a difficult story of the death of a beloved newspaper. True to her journalistic roots, she is thorough and balanced, though impassioned. She names names, points out mistakes and kudos, all while telling the story well, making her mastery of the narrative craft evident. The story is fast-moving and so well done, it is a lesson in how to record historical events in a way that captures the imagination and attention of any and all readers. Even if you have nothing to do with New Orleans or the newspaper business, this is well-told story of an important piece of history that you need to read.”

The National Federation of Press Women is an organization of professionals in careers across communications, including print and electronic journalism, public relations, advertising, and digital media. It conducts a national communications contest that attracts entries in 64 categories.

The complete list of winner is available here.

The Advocate Tries to Capitalize on Latest End of Saturday and Monday Times-Picayune

Times-Picayune subscribers who went to their driveways this morning unsure of whether an edition of the newspaper would be waiting for them (if you don’t know why, read THIS POST) were instead greeted with a copy of the New Orleans edition of The Advocate, with a special A-section wrap:

Wrap on the Jan. 3 edition of the New Orleans Advocate

Wrap on the Jan. 3 edition of the New Orleans Advocate

Headlined, “Where’s Your Times-Picayune?”, the wrap reminds readers that the Picayune is no longer a seven-day-a-week print newspaper, and invites them to enjoy this complimentary copy of The Advocate, “your locally owned, locally written daily newspaper by and for New Orleans.”

“The New Orleans Advocate believes New Orleans deserves a seven-day paper,” it concludes.

New Orleans Saints season is over, so is Picayune a 3-day-a-week, home-delivered newspaper again?

When NOLA Media Group in August announced it was reviving the Saturday and Monday printed, home-delivered editions of The Times-Picayune, it acknowledged that the move was driven by and would be in conjunction with the New Orleans Saints’ NFL football season. That left only Tuesdays and Thursdays without a home-delivered Times-Picayune.

Now that the 2014 Saints season is over, will The T-P again become a three-day-a-week (Sundays, Wednesdays and Fridays), home-delivered newspaper?

And this T-P/Saints ruminating prompted me to wonder whatever happened to the Black & Gold post-Saints game weekly tabloid NOLA Media Group announced in July 2012? Both a Google search and one of NOLA.com turned up only the original report announcing the publication’s Oct. 1 launch. Was it replaced by TP Street?

Times-Picayune to abandon Howard Avenue HQ, eliminate 100 more jobs

As predicted in Hell and High Water (page 190), NOLA Media Group today announced that The Times-Picayune will abandon its longtime Howard Avenue headquarters – including the iconic clock tower, a photo of which is featured on the dust jacket of the book – and begin printing the newspaper at the Mobile, Alabama, operations of its sister newspaper 145 miles away.

The last of the employees who create the print edition of The Times-Picayune will move from 3800 Howard Ave., the newspaper's home for 44 years, in late 2015 or early 2016.

The last of the employees who create the print edition of The Times-Picayune will move from 3800 Howard Ave., the newspaper’s home for 44 years, in late 2015 or early 2016.

The move, expected in late 2015 or early 2016, will lead to the elimination of another 100 employees, NOLA.com reported.

The paper will be printed at the facility that now prints sister newspaper The Press-Register, which, like The Times-Picayune, became a three-day-a-week newspaper in October 2012, and shed hundreds of jobs.

It will be the latest newspaper owned by Advance Publications, which began rolling out its “digital first” strategy at its smaller Michigan newspapers in 2009, to jettison its legacy, company-owned headquarters in favor of newer, glitzier leased office space, as noted in our sister blog, dashTHIRTYdash.org, in January 2013.

The company will consider donating the facility to a non-profit, according to the NOLA.com report.

Layoffs associated with the move will be the largest since the newspaper’s massive reduction in 2012, Louisiana competitor The Advocate reported, with job terminations primarily affecting those who print, assemble and package the print newspaper. The roughly 30 employees who have continued to work at 3800 Howard Ave. copy-editing and laying out the paper will move to The Times-Picayune’s former office in Metairie, which was essentially shuttered after the company shifted to “digital first” in the fall of 2012.

“They wanted a ‘burn the boats’ strategy, where you come to the new world and you don’t want to have the temptation to sail back.” – Loyola University instructor Michael Giusti to The Advocate

NOLA.com quoted NMG President Ricky Mathews as saying the decision to stop printing in New Orleans would not alter the paper’s commitment to the region. “We expect these changes will have no impact on our readers and advertisers,” Mathews said in the NOLA.com report. “On the contrary, they will help us even better serve our audience in print and online and pursue new technologies.”

The Times-Picayune and its sister publication, The States-Item, moved from downtown New Orleans to Howard Avenue in 1968, six years after the company’s 1962 acquisition by Advance Publications, the New York- based company owned by the billionaire Newhouse family. The building housed the the main newsroom, printing presses, packaging facilities and business offices for 44 years, until 2012, when “digital first” led to the termination of more than 200 employees, including almost half of the newsroom. Most of the remaining employees subsequently moved to the top two floors of One Canal Place, a downtown skyscraper, where they continue to work.

The Advocate reported that leaving Howard Avenue also likely has a significant psychological goal for NMG and Advance, according to Loyola University instructor Michael Giusti. “They wanted a ‘burn the boats’ strategy, where you come to the new world and you don’t want to have the temptation to sail back,” he told The Advocate.