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Erick Schonfeld on Traditional Media


is traditional media at least for pretty

is traditional media at least for pretty let’s focus on print first is

let’s focus on print first is

let’s focus on print first is traditional media then it’s not dead yet

traditional media then it’s not dead yet

traditional media then it’s not dead yet I think that definitely large swaths of

I think that definitely large swaths of

I think that definitely large swaths of it are dying on the vine there’s a very

it are dying on the vine there’s a very

it are dying on the vine there’s a very immediate dilemma that a lot of the

immediate dilemma that a lot of the

immediate dilemma that a lot of the print publications are facing which is

print publications are facing which is

print publications are facing which is just that advertising’s nose-diving

just that advertising’s nose-diving

just that advertising’s nose-diving advertisers are going elsewhere it’s

advertisers are going elsewhere it’s

advertisers are going elsewhere it’s more acute for newspapers than it is for

more acute for newspapers than it is for

more acute for newspapers than it is for magazines but it’s true all around the

magazines but it’s true all around the

magazines but it’s true all around the newspapers have the double whammy of

newspapers have the double whammy of

newspapers have the double whammy of advertisers going more both to online

advertisers going more both to online

advertisers going more both to online because more measurable and they lost to

because more measurable and they lost to

because more measurable and they lost to classifieds business because they got

classifieds business because they got

classifieds business because they got Craig Adelaide’s like Craigslist it got

Craig Adelaide’s like Craigslist it got

Craig Adelaide’s like Craigslist it got disrupted by free and and other online

disrupted by free and and other online

disrupted by free and and other online listing services right a listing that’s

listing services right a listing that’s

listing services right a listing that’s been in the paper for a week or it was

been in the paper for a week or it was

been in the paper for a week or it was placed in there a week ago is is no

placed in there a week ago is is no

placed in there a week ago is is no longer relevant right they have to be

longer relevant right they have to be

longer relevant right they have to be lied and that was like good for many

lied and that was like good for many

lied and that was like good for many newspapers at least a third of their

newspapers at least a third of their

newspapers at least a third of their advertising you’ve had that plus plus

advertising you’ve had that plus plus

advertising you’ve had that plus plus the economy going to pot for magazines

the economy going to pot for magazines

the economy going to pot for magazines that definitely you know they’re very

that definitely you know they’re very

that definitely you know they’re very cyclical and they there they tend to

cyclical and they there they tend to

cyclical and they there they tend to rely on certain industries and then

rely on certain industries and then

rely on certain industries and then within the economy the auto industry was

within the economy the auto industry was

within the economy the auto industry was hurt even worse than other parts of the

hurt even worse than other parts of the

hurt even worse than other parts of the industry in that they were traditionally

industry in that they were traditionally

industry in that they were traditionally a really big advertiser specifically for

a really big advertiser specifically for

a really big advertiser specifically for magazines so there are all these sort of

magazines so there are all these sort of

magazines so there are all these sort of factors that were weighing into it and

factors that were weighing into it and

factors that were weighing into it and then the question is as the economy come

then the question is as the economy come

then the question is as the economy come back are these print publications going

back are these print publications going

back are these print publications going to recover or did the advertisers who

to recover or did the advertisers who

to recover or did the advertisers who left did they get a taste of other forms

left did they get a taste of other forms

left did they get a taste of other forms of advertisements that they feel is more

of advertisements that they feel is more

of advertisements that they feel is more more effective and they’re going to keep

more effective and they’re going to keep

more effective and they’re going to keep on allocating a larger portion of their

on allocating a larger portion of their

on allocating a larger portion of their of their advertising budgets to online

of their advertising budgets to online

of their advertising budgets to online in other areas not to say that

in other areas not to say that

in other areas not to say that traditional print doesn’t have online

traditional print doesn’t have online

traditional print doesn’t have online but doesn’t make up for forty thousand

but doesn’t make up for forty thousand

but doesn’t make up for forty thousand dollar per page ad what do you think of

dollar per page ad what do you think of

dollar per page ad what do you think of TV networks now well TV networks have a

TV networks now well TV networks have a

TV networks now well TV networks have a more defensible mode right Warren

more defensible mode right Warren

more defensible mode right Warren Buffett like to talk about moats around

Buffett like to talk about moats around

Buffett like to talk about moats around businesses you can’t really buy TV ala

businesses you can’t really buy TV ala

businesses you can’t really buy TV ala carte for the most part you buy a cable

carte for the most part you buy a cable

carte for the most part you buy a cable subscription and it comes to 500

subscription and it comes to 500

subscription and it comes to 500 channels and you really only care about

channels and you really only care about

channels and you really only care about maybe 20 of them or 30 of them so you

maybe 20 of them or 30 of them so you

maybe 20 of them or 30 of them so you have this whole bundled approach on the

have this whole bundled approach on the

have this whole bundled approach on the on the consumer side and then you pay

on the consumer side and then you pay

on the consumer side and then you pay for that and so that that subsidizes all

for that and so that that subsidizes all

for that and so that that subsidizes all of the

of the

of the TV but on the other hand you have

TV but on the other hand you have

TV but on the other hand you have consumers who increasingly don’t want to

consumers who increasingly don’t want to

consumers who increasingly don’t want to be spoon-fed or programmed to write and

be spoon-fed or programmed to write and

be spoon-fed or programmed to write and they’re finding different ways to get

they’re finding different ways to get

they’re finding different ways to get the content they want even on video

the content they want even on video

the content they want even on video right you have Hulu start up like boxy

right you have Hulu start up like boxy

right you have Hulu start up like boxy an Apple TV has been not exactly a you

an Apple TV has been not exactly a you

an Apple TV has been not exactly a you know one of their bright spots but you

know one of their bright spots but you

know one of their bright spots but you have you have different technology

have you have different technology

have you have different technology companies coming at it a different way

companies coming at it a different way

companies coming at it a different way technically speaking there’s no reason

technically speaking there’s no reason

technically speaking there’s no reason why you can’t get your video

why you can’t get your video

why you can’t get your video entertainment on your computer screen as

entertainment on your computer screen as

entertainment on your computer screen as anyone who’s watching this is

anyone who’s watching this is

anyone who’s watching this is experiencing you know they’re not

experiencing you know they’re not

experiencing you know they’re not getting this on TV not yet not yet right

getting this on TV not yet not yet right

getting this on TV not yet not yet right but yet the dollars still are on TV and

but yet the dollars still are on TV and

but yet the dollars still are on TV and there’s a there’s a disconnect between

there’s a there’s a disconnect between

there’s a there’s a disconnect between the value that advertisers see for this

the value that advertisers see for this

the value that advertisers see for this kind of video show vs. if this was on TV

kind of video show vs. if this was on TV

kind of video show vs. if this was on TV right there is still this there is this

right there is still this there is this

right there is still this there is this this notion that you have a captive

this notion that you have a captive

this notion that you have a captive audience and if you’re watching this on

audience and if you’re watching this on

audience and if you’re watching this on a on a large screen instead of on a

a on a large screen instead of on a

a on a large screen instead of on a computer screen with you know I am

computer screen with you know I am

computer screen with you know I am popping off and you’re checking your

popping off and you’re checking your

popping off and you’re checking your Twitter and you’re browsing in a

Twitter and you’re browsing in a

Twitter and you’re browsing in a different window it’s part it’s really

different window it’s part it’s really

different window it’s part it’s really like already you have partial attention

like already you have partial attention

like already you have partial attention on the big screen it that that attention

on the big screen it that that attention

on the big screen it that that attention is even more fragmented on on this

is even more fragmented on on this

is even more fragmented on on this screen so i think advertise our kind of

screen so i think advertise our kind of

screen so i think advertise our kind of right not to value the audience on this

right not to value the audience on this

right not to value the audience on this screen as much as they do the big screen

screen as much as they do the big screen

screen as much as they do the big screen but the audience on the big screen is

but the audience on the big screen is

but the audience on the big screen is migrating away from there but their

migrating away from there but their

migrating away from there but their behavior they want all that stuff

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