James Murdoch, chairman and chief executive, News Corporation Europe and Asia , said “The strategy at News International over the past 18 months has been to streamline our operations and focus investment on our core titles”
According to the Guardian:
The London Paper recorded a pre-tax loss of £12.9m in the year to 29 June 2008 on a turnover of £14.1m. The paper had a free distribution of 500,348 copies in July, about 100,000 more than London Lite.
However, Brand Republic says:
The company did post a rise (75%) in turnover, up from £8.04m to £14.08m for the year to 30 June 2008.
To me this closure makes sense following Rupert Murdoch’s insistence on providing content only to those who pay for it. That and a drive to cut costs and falling advertising revenue, will see the better of London’s evening freesheets close in mid-September.
The remaining evening papers will now have just a two way squabble over readers, and this may well lead to a decrease in the quality of the newspapers over a long period of time, especially journalistically.
Will this indicate a paradigm shift for old media, or is it just a blip on the landscape, and what will it mean for thelondonpaper’s music event due to be held 16-17 September?
So I wonder, is free doomed to fail?
Let me know what you think!