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The Guardian - UK
The Guardian - UK
Business
Roy Greenslade

US newspaper publishers centralise production to save money

The creation of newspaper production hubs by large-scale publishers is not confined to Britain.

US media giants such as the Tribune company, Gannett and Media General are centralising editing and design operations in order to cut costs amid continuing revenue decline.

Examples: much of the Hartford Courant, a local institution in Connecticut, is now being prepared for publication in Chicago at the Tribune headquarters (eliminating 19 editorial posts).

The Virginia-based Media General has consolidated copy editing and design for its 23 daily newspapers over the past two years.

Its three city dailies — the Tampa Tribune, Richmond Times-Dispatch and Winston-Salem Journal — are produced at two centres, saving the company more than $1m in 2010.

Gannett, the largest newspaper chain in the US (and owner of the Newsquest group in Britain), is setting up five regional centres this year for 80 community newspapers.

Smaller groups are also getting on board. The Chicago-based Sun-Times Media began centralising copy editing several months ago for the Chicago Sun-Times and its seven suburban papers.

"Most companies are either doing it or looking at it," said media analyst Ken Doctor.

The moves are occurring against fast-falling sales. Here's a snapshot of American print newspaper circulation decline:

In 1984, there were 1,688 papers with a daily sale of 63.3m. By 2009, there were 1,387 titles selling a total of 45.6m.

Advertising revenue sank last year to $25.8bn (£15.8bn), a 25-year low. Something had to be done!

Source: Chicago Tribune

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