How Do Local Newspapers Survive? by Eric Johnston
Our speaker for Thursday, September 19, 2024, was Sunrise member, Eric Johnston. Eric is the CEO and Publisher of Sonoma Media Investments, LLC, the owner of the Press Democrat, Sonoma Index-Tribune, Petaluma Argus-Courier, North Bay Business Journal, Sonoma County Gazette, Sonoma Magazine, and La Prensa Sonoma. Eric has been in journalism his entire professional life, starting while in high school in Lodi. He’s worked as a journalist and news executive for over 20 years at various newspaper publishers throughout the Central Valley, in Seattle, and now in Santa Rosa. Eric joined Sonoma Media Investments in 2022. Eric’s topic was “How Do Local Newspapers Survive and Prosper?”
Eric provided us with a summary of the state of journalism in the U.S. Perhaps the most notable development in journalism is the drastic reduction in local media. Since 2004, the U.S. has lost more than 2,100 newspapers, resulting in the creation of “news deserts” in many locations. Currently in the U.S., 200 counties do not have a local newspaper and about half of all U.S. counties have only one newspaper, usually a weekly. Many newspapers continue to exist but have drastically curtailed newsrooms. These papers have sometimes sacrificed local staff in favor of profitability. The decline started in the 1990’s and has accelerated through the present. Estimated U.S. daily newspaper circulation peaked at about 60 million and is currently around 20 million. Only 4 major media organizations own most of the media companies in the U.S.!
These changes were caused in large part by the rise of the internet in the early 2000’s. The shift towards finding news online drastically cut the number of subscribers at local news companies and resulted in huge decreases in advertising revenue. Print newspaper subscription prices have skyrocketed. Now, however, newspaper companies have gone digital. 50-60% of U.S. advertising revenue is now digital. The New York Times currently has about 10.36 million subscribers, 9.7 of whom are digital-only. The NYT’s goal is to have 9.7 million digital subscribers by the end of 2027. The Press Democrat currently has 42,000 subscribers, half of whom are digital. A Press Democrat digital subscription is about half the price of a print subscription.
The Press Democrat’s response to these changes has been fairly atypical. While the newsroom is smaller than it was in the 1980’s and 1990’s, it is currently growing. The company now has 170 employees, with 80 in the newsroom. They have hired new reporters and are still recruiting for open reporter positions. The PD has a great pool of long-time reporting and newsroom talent; people who like the PD and community culture and values. The PD has the largest newsroom in Northern California, other than the San Francisco Chronicle. The PD has a new editor who is focusing on more local reporting, such as school board meetings, libraries, and other community interest stories. Eric emphasized that Sonoma County has several important advantages over other similarly sized communities; an engaged readership and strong local and regional advertisers.
Eric’s message is that news is not a spectator sport! To keep local journalism thriving we need to subscribe, advertise, and donate! Yes, the PD now has its own 501c3 company, the Press Democrat Foundation Trust, which, among other things, awards scholarships to young journalists. The PD also has a new Snoopy podcast (“You Don’t Know Peanuts”) and a local wine label (“Good Press”)! Thank you, Eric, for the fantastic presentation. The PD is yet another example of the greatness of Sonoma County!
Click HERE to see the slide show.
