New York Times sees 16 percent drop in advertising revenue
October 23, 2008
The New York times reported a 16 percent drop in advertising revenue at its news media group and there are discussions that the company may have to put it’s real estate up for sale as the only way to operate.
The argument goes that all news papers are hurting, and we agree. The problem however is the approach the New York Times has taken during the online-onslaught has been less than dismal. They never understood the internet, they never understood Google. They just thought it would magically happen… literally…. The New York Times bet in 2004 that by 2007, they would outrank all blogs in Google… they lost the best by a huge margin.. and had to pony up a few thousand dollars..
They didn’t hire an SEO team, they didn’t subcontract it out… they just thought it would happen.. and of course it didn’t.
They claimed that the web business only accounted for 3% of their business… and the reason is.. because they put 3% of their effort into it.
There might still be time to salvage their business, but until you put new people that understand SEO and online marketing… they will continue to see massive decreases each quarter… at one point they will either realize that their strategy has failed… and try to adapt by hiring strategic.
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