Categories: OLD Media Moves

Digital publishing is like Internet retail for the FT

Matt Kinsman of Folio magazine interviewed Financial Times CEO John Ridding, a former journalist, about the business newspaper’s online strategy.

Here is an excerpt:

FOLIO: Financial Times had significant success in 2009 with digital subscriptions and digital revenue. How does 2010 compare? Does the model continue to be profitable? What have been the highlights of this shift? What areas didn’t go according to plan and how did you respond?

John Ridding: We’re pleased with the performance of our digital content engine and there are two pistons there. One is the  FT.com’s subscription machine. The other, which people know less about, is corporate content. Both of those engines were up double digits in revenue growth. One is focused on the consumer market, through products such as FT.com, while the other revolves around corporate licensing. Every news organization has been at the mercy of the advertising cycle for decades. That makes it difficult to plan and manage a sustainable business and invest in quality journalism.

Our starting point is we need quality journalism and we need a business that can sustain quality journalism. When times get tough, there are two ways you can respond, including, as lot of publications have done, by trying to cut newsroom costs. The danger of that is you get into a death spiral by reducing the quality of what you’re doing and exacerbating the sales and readership issue. We took the view that everything would come down to the quality of our journalism, therefore we had to develop a business model that would support it. That meant increasing prices. We doubled the price of our newspapers in pretty much every market  and we have the confidence to charge for our journalism online.

Read more here.

Recent Posts

FT taps Foy to cover European banking

Financial Times reporter Simon Foy is now covering European banks. He has been covering accounting for the…

22 seconds ago

Debtwire seeks a private credit reporter

Debtwire, the leading provider of global fixed income news, analysis and data for more than…

3 hours ago

BNN Bloomberg anchor Kanwar is departing

Amber Kanwar, an anchor for BNN Bloomberg in Canada, is departing at the end of…

3 hours ago

Moody’s promotes Kantrow to editor in chief

Moody's Ratings has promoted Yvette Kantrow to senior vice president and editor in chief. She has been…

3 hours ago

Politico reporter Fieseler departs

Politico reporter Clare Fieseler is leaving the news organization to take on some ocean reporting projects. She…

3 hours ago

WSJ’s Eisen to write book about the mortgage market

Wall Street Journal reporter Ben Eisen has signed a contract with Norton to write a book about…

5 hours ago