“They’re not saying that, by five years, they’ll completely stop it, but they do see that the sunset is going to be in about five years for them.”
The time is near for putting to the test Rupert Murdoch’s rhetoric about the value of digital journalism and the evils of Google.
This is going to evolve," New Yorker Editor David Remnick said during a panel on taking print brands online, convened by Conde Nast Digital partly in an effort to tell Conde's digital story more aggressively. "We're going to have a situation where if you pay us X dollars, you can have us in any form you like.
Let’s do some back-of-the-envelope calculations. Back in November, comScore said that Simmons’s column had averaged 1.4 million pageviews and 460,000 unique visitors a month over the previous six months. His podcast, the B.S. Report, is typically downloaded 2 million times a month. The Book of Basketball sold more than 208,000 copies in 2009. And the Sports Guy has 1.19 million Twitter followers…
Given an estimated ad rate of $10 per 1,000 views (CPM in Web lingo), Simmons’s columns would be worth some $168,000 a year to ESPN. The podcasts are presented by Subway, while Miller Lite also sponsored a weekly Simmons NFL pick — but both of those sponsorships are likely part of larger multimedia crossover deals with ESPN. It would be a stretch to credit more than $400,000 of that money to Simmons, or to say those sponsorships wouldn’t have been attached to other Web content in his absence. The Book of Basketball — published by ESPN Books and Ballantine — has likely brought in nearly $300,000 for ESPN (and considerably more than that for Simmons), but not even the prolific Sports Guy can write a bestseller a year.
But the raw numbers miss a big part of Simmons’s value to ESPN — which is where those 1.19 million Twitter followers come in. “How many publications would like to have that kind of readership right now?” asks Sports Business Journal’s John Ourand, who notes that while Web dollars are a fraction of ESPN’s overall revenues now, they’re growing.
Interesting analysis by Jason Fry of @NiemanLab on their site and on Deadspin. However, I’d have to disagree with his thesis. I’m not sure there’s anything more valuable to ESPN than his nearly 1.2 million moving forward. The guy nearly has as many loyal fans as the NBA: http://twitter.com/NBA and 4X @ESPN: http://twitter.com/ESPN. A marketers’ dream to reach that demo, which follows him across the Web.
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