Three reasons why Bloomberg bought BusinessWeek

Sharon Waxman of The Wrap has three reasons why the acquisition of BusinessWeek makes good sense for Bloomberg LP.

Here’s one of them:

“Bloomberg’s thousands of terminals are rented monthly around the world, mainly by financial traders. The subscriber base for BusinessWeek is a different category — the men and women who make up American industry.

“Bloomberg hopes to be able to market their products to them. And by putting its content in front of this audience, they hope to turn them into sources.

“That gets at a conundrum I hear all the time: international wire services cannot get access to the top executives and sources in industries that tend to be niche, and communal. That is why a niche publication like TheWrap — though much smaller, and nominally less powerful — can get to news that Reuters or AP or Bloomberg could not possibly. Same for BusinessWeek.

“Business people want to speak to the news organizations that they and their peers read by themselves. And no one who’s not in finance reads Bloomberg.”

Read more here.