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American Journalism Review Asks, “How Has AnnArbor.com Worked?” Answer: It Has Had A “Terrible Effect On The City”

Charles R. Eisendrath directs the Knight-Wallace Fellows program in journalism at the University of Michigan. He’s a former Washington and foreign correspondent for Time magazine. Suffice it to say that Eisendrath has not shied away from opportunities to smack around Advance Publications and AnnArbor.com in the national media. First he told the New York Times in July 2012: “The quality of AnnArbor.com declined so much that I no longer subscribed and did not need to read the paper at work. Is AnnArbor.com discussed much in Ann Arbor? No. Is it an authority? No. I don’t trust anything that is done on the cheap.” Then the American Journalism Review piled on. That piece begins: “Three years before it announced it was taking a digital-first approach and cutting back on print publishing at papers in New Orleans and five other cities, Newhouse’s Advance Publications adopted a similar MO in Ann Arbor, Michigan. How has it worked out?”

How has it worked out? If you don’t have anything nice to say, just sit next to Charles R. Eisendrath (pictured right), the Dorothy Parker of local journo-crit. He told AJR: “The News was never the New York Times and had been on the decline for some time, it was an adequate, serviceable local daily. But AnnArbor.com, has proven to be an insufficient substitute and has had a terrible effect on the city.” Eisendrath, as it turns out, was only just warming up. He saved his knuckleball for the final pitch: ”If you pay people a third of what they were paid before, and you have a third as many of them, the results aren’t exactly rocket science. More specifically, the result has been anemic coverage. If this is the model for the future of traditional news organizations, they need to begin calling themselves something else. Not news organizations.”

There are, no doubt, people who would pay good money to see Eisendrath debate Laurel Champion, the AnnArbor.com VP in charge of rubbing elbows with potential advertisers, on the subject of whether AnnArbor.com is or is not a “news organization.”

Lindsay Kalter, a freelancer who wrote the piece about AnnArbor.com for the AJR, asked Dan Gaydou, president of Ann Arbor.com’s parent, MLive Media Group, if she could visit the AnnArbor.com newsroom and discuss the operation with him. Gaydou replied via email: “We’ve decided to decline your request to visit with our employees or release information about reporters, but I’m glad to give you current circulation and audience data.” This harkens back to former AnnArbor.com Kontent King Tony Dearing’s refusal to cooperate with the NPR show “Marketplace” in December 2009.

In 2009, A2Politico posted a piece about the stonewalling of Marketplace reporter Jennifer Guerra in which I wrote: “What does give me pause is that none of the Three Musketeers (Tony Dearing, Matt Kraner and Laurel Champion) in charge at AnnArbor.com would go on the record about how the site/newspaper replacement for the Ann Arbor News is faring. That’s too bad, because secrecy breeds speculation. It was a similar story when a writer from the Ann Arbor Observer did a piece about the plight of the Ann Arbor News, and then-publisher Laurel Champion refused to comment.”

It’s almost three years later, and  now Dan Gaydou is stonewalling Kalter. No access to any of AnnArbor.com’s 13 reporters?  Gayou did, however, gladly share information from the site’s media kit, filled with puffery and outlandish audience and reach numbers based on phone surveys of a couple of hundred county residents. It’s a shame Kalter didn’t simply pick up the phone and start dialing the extensions of the freelancers and reporters who whip up “churnalism” for the site. Those who have approached A2Politico for writing gigs have, uniformly, said they are  embarrassed to be writing for AnnArbor.com. Kalter also got the cold shoulder from Steve Newhouse, chairman of Advance.net, the digital division of Advance Publications, and Randy Siegel, president of local digital strategy at Advance. The boys, no doubt busy getting cut rate mani-pedis, did not return Kalter’s phone calls and e-mails.

Kalter writes:

In an August 3 column published on poynter.org, Newhouse depicted the Ann Arbor transition as a great success. “AnnArbor.com scaled nicely; it exceeded our expectations for audience growth and performed well by increasing our digital revenue,” he wrote. “The website has consistently ranked #1 in the United States for having the highest local market penetration (54.9 percent) among consumers of any local newspaper site in America, according to Media Audit.”

Newhouse bragged to Poynter.com: “The reason for AnnArbor.com’s strong readership is the high quality of its journalism. In the past two years, the site won 21 awards in the Michigan Associated Press Editorial Association’s news-writing contest, including first place awards in investigative reporting, breaking news and column writing, and second place in community service. Those 21 awards, in 2011 and 2010, represented the highest total of any newspaper in its circulation category.”

What Newhouse didn’t mention was that one of those editorial awards was for a piece so riddled errors the owners of AnnArborChronicle.com asked the Michigan Associated Press to review a 2012 award given for the piece to AnnArbor.com writer Ryan J. Stanton. Then, AnnArborChronicle.com blasted Stanton and his boss in a juicy op-ed that had the AA.Chron Publisher “spewing coffee” when she discovers Stanton’s AP award, and questioning whether Stanton’s boss, Dearing, needs lessons in ethics.

The owners of the AA.Chron and Charles Eisendrath aren’t the only locals who find AnnArbor.com lacking. Micheline Maynard, is a former New York Times reporter who now makes her home in Ann Arbor. She penned a May 24, 2012 Forbes column titled “What New Orleans Can Expect When Its Newspaper Goes Away.” In that piece she writes that AnnArbor.com has “less gravitas than its predecessor. No offense to its staff, but AnnArbor.com, online at least, is a constantly updated blog, which gives equal play to impaled cyclists and rabid skunks as it does to politics and crime.”

So how’s that strategy working out?

Gaydou told Lindsay Kalter that the print edition of AnnArbor.com has a Sunday circulation of 37,003 and a Thursday circulation of 30,422. When the Ann Arbor News folded, the Sunday circulation was 54,207, according to the Audit Bureau of Circulations. This means that AnnArbor.com has lost, perhaps as much as $5 million dollars in subscriber revenues alone over the past three years, if one calculates the number of lost subscribers by the current $9 per month subscription cost. Multiply those same lost subscribers by the $12 per month cost of a subscription to the Ann Arbor News, and subscription revenue losses top $6.5 million dollars over the past 32 months. Have deep staff cuts and advertising revenue made up for the loss of subscribers and their money? That is, literally, the  million dollar question.

Analysts in the industry scoffed at Dearing’s claims that AnnArbor.com was doing just fine, thanks, and they’re rolling their eyes at Gaydou’s boasts of “quality journalism” and “strong readership.” Like the dilemma that haunts Facebook and Groupon, users that can’t be monetized are just so much surplus population. If Advance Publications were a publicly-traded company, Gaydou’s see-through platitudes about AnnArbor.com’s “reach” would be shredded by cranky market analysts who don’t care about the number of visitors to a site, but rather focus on the revenue each visitor/visit produces.

The bottom line? The Newhouse family is poised to do to the New Orleans news marketplace exactly what the company has done to Ann Arbor. Then, again, as Charles Eisendrath pointed out to the American Journalism Review, Ann Arbor has never enjoyed much accountability journalism from its local news providers. Even the sharp-eyed, sharp-tongued Professor Eisendrath is prone to a bit of the Gaydou blarney. Eisendrath tells Lindsay Kalter: “While residents are still warming to the idea of AnnArbor.com, other startups are reaping the benefits. Many in Ann Arbor are turning to…The Ann, a monthly magazine started in 2010 that sticks mostly to human interest features, with a tagline of “Inform, critique, amuse, inspire.”

What Eisendrath does not tell Kalter is that he serves as an advisor to The Ann, launched by a former Knight-Wallace fellow. The Ann’s business model, like that of the Ann Arbor Observer, and the AnnArborChronicle.com, is to distribute content to readers free of charge and pay the bills with ads—including ads from local government, county government and the school district. The Observer has taken in over $100K in ad revenue from the City of Ann Arbor in some years, and over half of AnnArborChronicle.com’s 2012 list of advertisers include local school district and government ads, as well as ads from companies owned by folks who routinely endorse local elected officials. It’s a business model that discourages investigative journalism and pointed questions about, well, most everything.

In that respect, it’s unfair to hammer AnnArbor.com as having had a “terrible effect on the city.” The company has had loads of help from other media outlets chasing a shrinking pool of advertising dollars by producing editorial content that won’t offend advertisers. In this respect, Ann Arbor was a news desert well before the Newhouse family began its march toward the systematic decimation of credible journalism in Michigan and Louisiana in order to keep Steve Newhouse and Dan Gaydou in their corner offices. 

MLive Prez (Accidentally) Confims That AnnArbor.com Unique Visitor Count Has Plummeted By 643,000 Since July 2011
by P.D. Lesko The history of the telescope is fascinating. This piece is not about that. However, it is about The Ann magazine's futile and ultimately disappointing attempt to give readers ...
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AnnArbor.com —30—
by P.D. Lesko In 2009, AnnArbor.com Kontent King Tony Dearing announced the "future of journalism in Ann Arbor": "Ding. Dong. The Witch is dead," wrote an A2Politico reader in response to a ...
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New Orleans Residents Out to Kill NOLA.com—Boycott Launched Of Site Modeled on AnnArbor.com
by P.D. Lesko Over the past 24 months, AnnArbor.com has seen the departure of most of its experienced reporters to more prestigious and higher paying surroundings—such as the Detroit Free Press. ...
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Readership of AA.com Plummets 75% According to Execs—Site Loses Another Key Staffer to the Freep
by P.D. Lesko If the down-sizing and attrition continue apace at AnnArbor.com, Laurel Champion, former publisher of the Ann Arbor News, will be left to head the organization as Executive Vice President ...
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Who Killed The Local Daily Newspaper?
During the course of recent Ann Arbor City Council candidate forums put on by local groups such as the League of Women Voters, as well as neighborhood groups, one question that ...
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MLive Prez (Accidentally) Confims That AnnArbor.com Unique Visitor
AnnArbor.com —30—
New Orleans Residents Out to Kill NOLA.com—Boycott Launched
Readership of AA.com Plummets 75% According to Execs—Site
Who Killed The Local Daily Newspaper?

Short URL: http://www.a2politico.com/?p=14434

20 Comments for “American Journalism Review Asks, “How Has AnnArbor.com Worked?” Answer: It Has Had A “Terrible Effect On The City””

  1. [...] by the national media since 2009. The blistering assessments of media hounds, both local (think Charles Eisendrath) and national (think the American Journalism Review, Columbia Journalism Review, and Poynter) have [...]

  2. Far left liberal college journalism professors should be on alert. Students are onto your scam. They’re not gonna pay 70 grand to be indoctrinated by you, going forward. We’ve got a big, bright new world, where old, biased, college profs are increasingly being found out for what they are. Shame

  3. And I’m not sure why you mentioned that Freep employee. I was talking about ALL the annarbor.com employees that defected to the freep.

    Bottom line is that we’re very close to having recent college grads becoming the norm for news reporting, not only in Ann Arbor, but in other national papers.

    Hey recent college grads… one piece of advice – report honestly, without bias.

    We’re witnessing a grand reset in the daily news media.

    May the strongest and fairest survive.

  4. What jobs at what other big city papers? The model at all those other big city papers is failing too. Same thing: big newspaper unions, demanding unsustainable healthcare, pensions, overall benefits. Newspaper employee’s have a common mantra: “they are making money, just not enough money.” Hey employees, then start your own business if you’re so smart. And keep voting for socialism and see how that works out for ya’.

  5. This is the new normal. We’re all gonna have to learn to live on less. Higher taxes for all, less income. Everybody pay your “fair share.”

  6. Yes, the Det News’ online site is 100x better than the Freep site. It’s not even close.

    As to politics, they should just be journalists and forget about politics. But if you read their editorials on the nov ballot proposals, they are spot on -especially what they wrote about the collective bargaining one. Why would you want them to go middle of the road on that? The Det News is right.
    If the Freep does go under, do you think those annarbor.com ship jumpers will be swimming back to Ann Arbor begging for jobs? Ann Arbor may look awful good after they are left with no job at all.

    • @John, I can’t imagine David Jesse would go back to AA.com, or that they would have the money to hire him back. As for the others, it would be pretty tough to go back. I imagine they would look for jobs at other big city newspapers. I would, if I were they.

  7. When I said “Giving your paper away free online, probably does the most for losing subscribers,” I meant with regards to annarbor,com.

  8. Do you know who is reporting the Free Press is gonna be shuttered? I hadn’t heard that much yet.
    Giving your paper away free online, probably does the most for losing subscribers. You gotta charge something for it. It’d give the ads more value too, in my opinion.
    But again, the reporting isn’t perfect, but nothing is perfect. The Ann Arbor News wasn’t perfect.
    I’ll tell you one thing, if Obama gets re-elected, it’s not gonna matter. Nobody will have money for ANYTHING in Obama’s economy, let alone for people to buy ads or to subscribe. The ironic thing, is that the media people have actually caused their own demise, through years and years of selective, biased reporting and by voting for democrats at the local and national level. It’s all inter-connected.

    • @John it was reported in Editor and Publisher. Evidently, corporate big wigs visited Detroit to do some reorganizing at the Freep, but the real agenda is to come to terms with the fact that Detroit can no longer support two newspapers. It’s sad, and when one looks at the online readership of the Freep versus the News it’s CRAZY. I’m hoping we’ll end up with a single newspaper that is more middle-of-the-road, politically.

  9. @John when there are errors and sub-standard reporting, the news is NOT being reported. They do try to charge for content, and lost 40 percent of their subscribers. Whether the non-subscribers who read online would be willing to pay for typos, errors and iffy reporting is anyone’s guess.

    I’ve heard the Freep is to be shuttered by 2014 at the latest. What the News does after that will be interesting to see.

  10. I’m looking at the bigger picture. True, there are typos, errors, and the reporting could be better. But the main point is that the news is still getting reported.
    The business model with the print paper and the high salaries fell apart. It needed to be re-worked, so they scrapped the News and now it’s annarbor.com. You get the news INSTANTLY now. That’s got to count for something.

    They should charge for the online content though. I believe the Det News and Freep are heading that way soon.

  11. It had a “terrible effect on the city.” Quite the opposite is true. The newspaper biz is still a free market enterprise. Newspapers are free to succeed or fail, just like any other business. This is a good thing!

    • @John, whether AA.com has had a positive or negative impact on the city has nothing to do with free market enterprise economics. It has to do with how the news blog is viewed by those in the city. Is it worth the money? No. The subscriber base has fallen by 40 percent from July 2009. Is it well written? No. I ran into a former editor/journo from the Freep who composed a looooong letter to Paula Gardner about the multiple copy editing errors in a single article—and never heard from Gardner, or anyone else at AA.com. Whether it’s profitable is about ad sales, and how successful AA.com people can be pulling the wool over the eyes of the local rubes who dump money into a site that exists to suck up advertising revenue in exchange for….hmmm….what, exactly?

  12. A larger problem is all these photoJ schools that indoctrinate their students. Time Magazine? The New York Times? Both are far left operations that are deep in the tank for Obama and that hate republicans. So right as the article begins, it’s hard to consider Mr. Eisendrath credible as a former Time Mag writer and now a prof at a very far left college (U-M)

    Ann Arbor.com is doing what any business does in hard times – they are cutting costs and trying to get profitable. The news is still getting reported, but it’s just not up to Eisendrath’s standards apparently, and I’d take those standards with a grain of salt anyway.

    If anything, annarbor.com looks way less liberal than the Ann Arbor News was. I don’t care if they have high schoolers making minimum wage reporting the news. As long as they don’t have a bias, like the rest of the media world, then they will have a good foundation to grow on.

    There’s always going to be fuddy duddy professor types with an ego problem that want to tear annarbor.com apart. Go ahead and keep reading your New York Times, which is an anti-america propaganda fish wrapper at best.

    • @John the news is NOT getting reported, and the news that does get reported is, as a rule, hurried (often updated after it’s posted), and incurious. AnnArbor.com has a bias—the news blog doesn’t do investigative reporting very often about much of anything. In cities where the local newspaper is sub-standard, voting turnout is often low and political corruption is the name of the game. Welcome to Ann Arbor.

    • You’ve got Eisendrath wrong–he’s no Democrat. And you’re wrong about Ann Arbor.com doing what it needs to do to stay in business. Starting with the closing of the Ann Arbor News, these decisions are based on business models that are more idiological than economical. A2News was not losing money. The daddy company just wanted to try a model of money making without those cranky journalists.

    • Hilarious. The Liberal Media™ (a wholly-owned subsidiary of Time-Warner and its
      corporate partners, including General Electric, Viacom, etc).

      The real division is between those who publish facts (and their implications) and
      those who beam a fantasy world of American Righteousness into mushed brains
      of those who can’t accept reality that’s all around them.

      “Facts have a well-known liberal bias!”
      -Steven Colbert

  13. Laurel is the most invisible person in this whole thing (but collects her checks regularly I suspect) — no comments, no nothing – just invisible. What do they pay her for? Maintaining the fiction or in the darkness?

    Hi Laurel !

    Are you getting to sell out and move?

  14. Great article!

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