Return of the Printing Press? Key Lessons from a Thriving Newspaper Publisher

"If you have an audience, no matter how small it is, it's powerful."

- Jeff Leo Herrmann

In 2018, Jeff Leo Herrmann needed a change. After 15 years in New York, San Francisco, London and Chicago, he returned home to Youngstown, to test one of the key lessons he learned as a senior VP at Nielsen:

The Power of Audiences

So, he bought the Youngstown Publishing Company, publisher of The Business Journal (est. 1984). The Journal’s mission was straight-forward: 

• be a "top resource to business and community leaders by promoting the growth of business and industry throughout Mahoning, Trumbull and Columbia counties in Ohio as well as Mercer and Lawrence counties in Pennsylvania."

Jeff’s a smart guy, and he recognized an opportunity — yes — in a local newspaper. 

He liked the fact that the Journal had a loyal following:

• 45,000 subscribers to its print edition

• 90,000 active monthly users on its website

• 200,000 social media followers 

• 100,000 emails sent per week

Its readership, too, represented the ideal clients of B2B marketers:

• 60% hold executive positions

• 20% serve in professional/technical roles

• 70% are college graduates

Once onboard, Jeff leveraged his experience with digital platforms to address two key issues: 

• Create a sustainable revenue model

• Build an effective audience development strategy

Today, the Journal has six (6!) revenue streams:

• Advertising

• Subscriptions

• Custom Content — generating sponsored content for companies 

• Information Services — providing unique datasets 

• Marketing Services

• Events

The Youngstown Vindicator, another local paper, relied on two streams: ads and subscriptions. In 2019, it declared bankruptcy.

Jeff also reduced the Journal’s reliance on B2C marketing and expanded its B2B marketing. 

Jeff’s four guiding principles on audience development:

• Small, loyal audiences > Large, fickle audiences

• People want information, not sales

• Through education, develop trust: through trust, secure customers

• Develop content that caters to your audience

Revenue and audience development are key, but Jeff also believed in the power of local journalism.

In August 2019, the Journal announced a partnership with ProPublica. This partnership, part of ProPublica's Local Reporting Network, produced three key stories:

• “Why a Struggling Rust Belt City Pinned Its Revival on a Self-Chilling Beverage Can”

• “These Companies Got Millions in Tax Breaks to Bring Jobs to Youngstown. They Created Next to None.”

• “We Reported on Corporate Tax Breaks in the Rust Belt. Now Officials Want Tougher Enforcement.”

The stories had hundreds of thousands of website impressions. After the release of the second story, state and local officials announced investigations into the tax breaks. The Journal helps make Youngstown a better place to live.

Smart people remain skeptical about the long-term business prospects of local journalism. The internet has crushed both the subscription model and the ad-supported revenue model. Herrmann and the Youngstown Business Journal are proving the critics wrong. If you diversify your revenue streams, create a loyal readership and be authentic, you can not only survive but thrive.

Check out my interview with Jeff HERE.

Thanks to Randal Doane for helping me write this essay.