Rupert Murdoch is finally going after local advertising in the NY editions. From Thomas Lifson in the American Thinker:
The jugular vein of the New York Times Company is local advertising in the New York editions, and the company just acquired a price-slashing competitor that is likely to cost it dearly. In early 2006, Jack Risko and I explained why local ads in the New York market are so important to the Times’ revenues, and why they are highly vulnerable to competition from Rupert Murdoch of News Corp. In mid 2007, I predicted that with the Wall Street Journal under News Corp control, upscale New York readers were going to be targeted for circulation, and that eventually the WSJ was going after the Times’ biggest local advertisers, and was likely to cut prices.Yesterday came the announcement I have been waiting for. Jennifer Saba of Reuters writes:
The Wall Street Journal is offering some businesses firesale prices for full-page ads in its highly anticipated New York edition to seduce advertisers away from The New York Times.Wall Street Journal Managing Editor Robert Thomson and other executives plan to unveil the edition during a press briefing on Monday morning.The section will cover local news, culture and sports, and will be incorporated within the Wall Street Journal. It will be circulated in the New York area. [snip]To entice advertisers onto the pages of the New York edition, the Wall Street Journal is deeply cutting the cost of a full-page ad and, as a bonus, throwing in a full-page ad in the New York Post, also owned by News Corp.