First, I agree that the daily newspaper is clearly going away except for the locally focused papers that provide value to their readers (TVDS for example) Local papers are able to focus their staff on things that are of interest to the local community, while getting their national and international news from Associated Press and other news organizations that sell copy.

The major newspapers such as the NY Times, Washington Post, LA Times and Chicago Tribune have long believed that if a story was not reported by one of their reporters it had not occurred. They also have made their primary coverage the national and international news, not the news that interests the average reader in their cities. In other words, they provided little that was perceived as value to their readers. The single major exception was the Wall Street Journal. In the last three years here is how circulation has fared at these five papers: Numbers is ‘000’s.

The WSJ - 2006 Circ 2,058 - 2009 Circ. 2,082 Change - +1%
The Wash Post – 2006 Circ 961 – 2009 Circ 665 Change – (31%)
NY Times – 2006 Circ 1.684 – 2009 Circ 1,039 Change – (38%)
LA Times – 2006 Circ 1,231 – 2009 Circ 723 Change – (41%)
Chicago Trib – 2006 Circ 957 – 2009 Circ 501 – Change - (48%)

These papers were not selected because of their loss in circulation, but rather since they were perceived as important papers with their 2006 volume reflecting that. The two biggest losers among large circulation dailies were The Detroit Free Press (57%) and The Philadelphia Inquirer (59%)

Big national dailies losses in circulation have been compounded by loss of advertising revenue. As circulation declines, so does the amount an advertiser is willing to pay. Classified ads, one of the most reliable revenue streams has dried up as Craig’s List, an on-line version replaces it. Craig’s List is now in Ocala and Orlando. It will not be long until it comes to The Villages.

If major papers are to survive they must do three things:

1. Cut the national and international reporting staff. There are now well over sixty print reporters in the White House Press Corps alone. A multitude of reporters adds little to the story value. Use another source. Close your London and Paris office’. Contract with papers there to provide your information.
2. Focus on your local circulation area. If you are the NY Times, you can focus on NYC and Albany and have more investigative reporting to do than can be done by organizations many times your size. The opportunities in Chicago and Illinois boggle the mind.
3. Develop a salable product of the net. I have been a reader of the WSJ for years. Today I still get it, although it is no longer delivered in paper form. The Daily Brief shows up on my computer every morning and the full journal shows up on my Kindle at the same time. I have to pay for both and do so willingly. The WSJ has taken the time and effort required to make a good, salable digital paper. The NY Times has put forth an effort and is easily the second best Kindle paper. The rest are doing simple ‘cut and paste’, giving no thought to the potential value of the digital customer.