Over the last few weeks, there have been several major changes in the so-called traditional media space. First, Jeff Bezos from Amazon.com bought the Washington Post – the stalwart of traditional media. Second, the big name marketing firms Onmicom Group and Publicis Group announced their intention to merge – creating one of the largest marketing firms in the world.
But what does this all point to? Well, everyone knows that traditional media has been struggling over the last few years – newspaper subscriptions are down, people are consuming more and more online, and the marketplace is changing. With that being said, the so-called traditional companies have been struggling to adapt. Their business models have been failing and their revenues and profits have been suffering.
It’s the perfect time for a radical transition…
The biggest thing that these companies have been failing at is online marketing. There has been a division in the traditional media – the traditional marketing agency and the digital marketing agency. Most of these traditional companies have been slow to adapt to online strategies, and many digital agencies ignore the past. What’s missing is a multi-channel company that can engage readers and subscribers where ever they are.
I think with Jeff Bezos taking over the Washington Post, we will start to see one of the traditional media companies really start to adapt online marketing strategies. Some have already been adopting online marketing strategies, but most are behind the times.
Making Money in Online Media
The trouble that these companies run into is making money with online media. Very few traditional media companies have figured it out, because they are using outdated advertising models. They have been thinking about making money online in the same way that they have been making money offline – by selling advertising. Some have hired an SEO company to help them, or consultants, but most aren’t making money online very well.
The exception is New York Times, who was one of the first traditional media companies to adopt a paywall to block their content. This has significantly boosted their revenues, and has been a success – but most other traditional media companies have failed to adopt this model.
What are your thoughts on traditional media transforming to online media?