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Variety Struggles to Meet the Future
More layoffs at Variety; trade to charge for some online content.
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There are changes in the industry -- that’s what YouTube is, that’s what Hulu is. But the ad model that goes with that is not as good as the ad model that’s on television. You’d be going from profitable to nonprofitable.”
As for whether there will be more layoffs at Variety, Stiles says there are -- unfortunately -- no guarantees.
“In this economic climate I think it would be very difficult for anyone in my position to say, ‘We’re done.’ If the market conditions stay as they are now, I think we’re good until the end of the year. But I don’t have a crystal ball.”
Comments
Jimmy Says
Good article Lauren...Variety's problem is that they just regurgitate what they're given by their industry sources.free games
Izabella Says
Puhleeze Luis. You ever read Weekly Variety? That entire paper is smart analysis from Variety writers. And columnists like Brian Lowry aren't exactly known for regurgitating company lines.
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M Says
God they want to charge for their content? First off its not that great. Secondly, you can find the same content in several other places. As a former employee I know they are just setting themselves up for failure. They wast SOO much money in various ways but they whine and complain about not showing a profit. They think that laying off employees is best for the company but they need to look a little more internally at how they run things. There are so many ways they could cut costs but they only look at salaries. The management there is a bunch of idiots and and are destined for failure. Wanna start a pool on how long they will stay afloat? :)
rockyc Says
What a prick. He admits that the mag is still making profits but not as much, so they are "trying to take advantage by restructuring.” Yeah. Renew my sub, Neil.
Done with DV Says
After DV raised its online digital sub price from $14.95/month to $28.99/month, I decided that I could do without. And guess what? I find that I've been managing quite nicely, thanks. As a member of ATAS, I can get a discount, but I'm just not that interested. I can find out whatever I need to know from surfing other sites. DV's problem is that they're just not as relevant as they used to be, if they ever were.
JonathanT Says
Charging for tools that allow industry professionals to do their job is not a new idea: Hollywood 2000, IFILMpro. It didn't work then when users were willing to pay for content, so odds are it won't work now. Yes, there will be some companies/studios that will pay for certain tools and maybe Variety can bring in around 10 million (and that is a stretch) to access those resources. But the money companies pay for those tools does not come out of an ad budget so what will the sales reps over there do all day long? Variety has historically been a sales and marketing organization with the bulk of it's revenue coming from ADVERTISING. A page in Variety is around $20,000. Are they planning on charging $20,000 for access to the Variety.com tools? That sounds like supplemental revenue not something to base a business on. Might want to rethink that strategy...... or be content with a much smaller, less significant, and far less profitable organization. Time to trade in those Mercedes for a sporty Kia Soul.
maybe clueless Says
Maybe I'm clueless as you say. But I think it goes a bit deeper than that. Yes, I used to read Weekly Variety some years ago. It seemed heavily skewed toward broadway and international distribution, things I really don't care about. Like it or not, that was my impression as a reader. I stopped spending the time on it for those reasons....perhaps a disenchanted reader? If it's changed since then, that wasn't promoted in daily variety in any way that lured back "lost" readers like myself. If the company can't promote itself effectively, that's survival of the fittest in the informational world, not ignorance on the part of the consumer....
Clueless Luis Says
Puhleeze Luis. You ever read Weekly Variety? That entire paper is smart analysis from Variety writers. And columnists like Brian Lowry aren't exactly known for regurgitating company lines.
luis Says
Good article Lauren...Variety's problem is that they just regurgitate what they're given by their industry sources. It's a common problem in the run-of-the-mill reporting in the entertainment industry. People now are getting used to serious analysis and questioning of the sources, especially in the political arena and they like it. There's no reason why it can't take place in our industry. What's exciting about newer ventures like Wrap.com is they seem to recognize this and show signs of letting it evolve within the context of their format...keep it up, and thanks....
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