Newspapers n demand

The newspaper industry has been undergoing a(n) (r)evolution, if you will, fighting against the big bad world of the Internet. Not that the newspaper industry did not have a threat from other media like television and radio, but simply because the Internet is free and unlike television or radio, newspapers are in a rut as to how to increase supply.

Various newspaper companies are pumping huge amounts of money into the research and development of new ideas that will revolutionize the print industry. But so far, none of the “theories” seem to be working. Apart from well-established names like the Washington Post, New York Times and local newspapers like the Austin American Statesman, newspapers are struggling to keep their heads above the water. To increase supply, they need to radicalize their approach. They can’t slash prices to increase supply because this would further injure their revenue. And even their marginal increase in subscription (if at all), does not seem to be helping increase revenue. Also, advertisers would rather spend more and get a spot on television or radio and get heard, rather than place an ad in a newspaper and risk minimal exposure. And streamlining the industry and cutting costs in the newsroom is not going to increase profits: it would only bring down productivity and the overall quality of the product. Either way, it seems to be a lose-lose situation for the newspaper industry.

However, I would like to bring to your notice that there are several new newspapers springing up in all corners of India. There, the newspaper industry is flourishing like never before. Severe competition is forcing newspapers to introduce new sections and more innovative content. And it is not like India does not have Internet. It does. And a lot of people do go online for news. So I guess, what I am trying to say is: Why is it not working here?