Today I’m taking a quick trip to Cloud Cuckoo Land as I’ve decided that I’m going to win the £110 million Euro Lottery jackpot on Friday.
After treating myself a nice little mansion (complete with an indoor five-a-side football pitch) and a swanky pair of leather trousers (always a good look for a 30-something chubster), I’m going to use the change to buy myself a fair sized regional newspaper.
But this wont be a rich man’s folly (ok, maybe it will be a bit), as I honestly believe my newspaper will make healthy money. And if doesn’t, then at least I’ll still be doing something worthwhile with my not-very-hard-earned cash.
Yes, I’ve read all the blogs, articles and listened to the poisonous pundits predicting the inevitable demise of the regional newspaper. And I’ve seen the depressing financial statements of the big players.
I’m also a paid up member of the adapt-to-new-technology-or-die school.
But I think the reason many newspapers will cease to be is not because the newspaper is a dying platform.
It’s purely down to greed.
If the big companies could accept that the 30% profit margins of five and ten years ago will soon be about 10% to 15%, and that that the £180million of 2005 could fall as low as £80million in the 2010, then they’d have a chance at survival.
It wont happen of course. The shareholders are still demanding unrealistic dividends so the bosses will keep making cuts to try and meet them. They’ll do so until the last remaning journalist dies of exhaustion or it dawns on the final reader that he’s simply being fed rewritten press releases.
But I still believe in newspapers as a medium. TV didn’t kill the cinema or radio, and the internet didn’t kill books. Audiences fell, but they remained viable.
The smarter among you will point out that newspaper audiences are falling at a more alarming rate than those, but I think the figures will eventually bottom out.
And if you marry the remaining audiences to other platforms, then the product might still work.
So, how would my newspaper work? Well, basically as a not-for-profit venture.
I’m already stupidly wealthy remember and I’m pretty sure I could live with just the one hoveryacht.
I’m well aware that a stand-alone product probably wouldn’t cut it, but as I’ve not completed the internet yet, I’d employ smarter people than myself to play around with the multi-platform diversification malarky.
My goal is simple – a newspaper (or news product) which can sustain local journalism. While I wont care about increasing my profits every year, I’m not completely stupid and I’d want it to at the very least break even, rather than eating into the tens of millions of pounds sitting in my Barclays Super Saver account.
In very simplistic terms, the paper I work for currently can pay all its staff and overheads for the year in about six or seven months. Everything else is money in the bank (or rather subsidises other parts of the business and keeps the shareholders in hand cream). And this is in the middle of a recession.
Things would have to get a lot worse for it to start losing money.
My last post but one explains a bit about how my current paper is making money so I wont bore you too much here. Basically it’s by not being (as much of) a slave to rigid corporate policies and not giving away adverts so cheaply it harms the product.
So with the profit I think I can make, I can strengthen the business by reinvestment, putting cash aside for bleaker times and even sharing some of it about with those who helped to make it – either with genuinely fair salaries or, God forbid, bonuses.
As for staff, I’ve already got a mental list of the most talented individuals I’ve worked with for the more plum positions.
It’s a dream and a very flawed, naïve dream. But maybe one of us die-hard news types will strike it lucky and give something like this a go.
In the meantime I better get back to doing three people’s jobs.