Should Trinity Mirror have invested in regional newspapers rather than cost-cutting and creating the doomed New Day?

Trinity Mirror's New Day has closed after nine weeks.

Trinity Mirror’s New Day has closed after nine weeks.

I feel no joy over the closure of Trinity Mirror’s New Day. Like any journalist, in these difficult days for newspapers, the opening of the paper, in the shadow of the closure of The Independent, was a little ray of sunshine.

But we all knew, didn’t we? All of us cynics felt it would never work. I was optimistic and privately said it would close after six months, so for it to fold after nine weeks even left me for dead.

In my blog discussing the launch of the New Day I said that I couldn’t understand why the paper was being opened.

There was some bizarre talk of a gap in the market and the chance to sell 200,000 copies. I said at the time was it just a case of sour grapes after TM failed to buy the i?

Who really knows what were the thoughts behind opening the paper? There have been mumblings about trying to encourage people who don’t buy a newspaper to buy this one.

How or why the great powers of Trinity Mirror thought this would work is unsure.

Figures suggest there are 4.5 billion users of mobile phones. These people are not going to spend 50p to buy their news when they can get it for free on their phone at their convenience.

What is for sure, the move to set-up a newspaper without a web site flew in the face of TM’s digital first strategy.

Of course, if it had been a success, TM chief executive Simon Fox would have been heralded, but in the cool light of day success was never on the agenda.

Some commentators have said that you have to praise innovation and at least TM tried. I agree with this philosophy but I can’t get over the fact that failure was just too obvious.

So TM splashed out £5m to advertise the new product, the campaign was poor to say the least with no-one really understanding what the product was about.

It was meant to be ‘politically neutral’ and the news agenda different to the rest of the national market, but it failed.

The design of the paper and the journalism just didn’t break new ground, watching the adverts left you scratching your head wondering who the paper was really targeting?

It is no coincidence that the closure came as the TM share price hit a three-year low on Tuesday at around 113p and ‘bounced’ back on the announcement of the closure by seven per cent, still a long way below last year’s 180p.

The National Union of Journalists has been asking for all the costs involved in the set-up and failure of the newspaper.

It also expresses concern over what will happen to the 25 editorial staff?

What we do know, as I said earlier, is that £5m was spent on advertising the New Day, so you can add on a few millions of extra cost.

At the AGM yesterday, TM bosses were shouting about the £12m ‘synergy savings’ or integration with the former Local World newspapers.

This is code for a load of staff cuts sweeping across the old Local World titles. This made me think.

Rather than spending millions on the dead duck New Day, what if that cash had been used to pour back into the local newspapers, an investment in the future rather than just slicing off costs?

Surely it would have been better to use money to help established businesses rather than create something that was always going to fail?

I maybe naïve, but it is worth a thought and it fits into the innovative, creative thinking arena as opposed to the slash and burn.

Talking of redundancies, a friend of mine rung to talk about how he was booted out of a local newspaper based on the good old skills audit.

Now the skills audit is meant to be fair…but only in fairy tales. More of that little horror story another time.

 

 

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