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Circulation decline is ‘levelling off’ says Highfield

The chief executive of Johnston Press has suggested the rate of circulation decline among some of the group’s biggest regional titles may be “levelling off.”

February’s ABC figures for the second half of 2013 saw JP titles such as The News, Portsmouth, the Yorkshire Evening Post and Sheffield Star losing more than 15pc of their circulation compared to the same period in 2012.

But JP boss Ashley Highfield claims the situation has moved on since then and that the rate of sales decline has been slowed.

He cited The News, which was 15.2pc down year-on-year in February’s figures, as one of the titles where the level of circulation decline was now in “low single digits” and suggested that there may be a point where it starts to grow again.

Said Ashley:  “I think that we can look at our more successful newspapers and say that the level of decline is levelling off.

“The Portsmouth News has managed to slow its rate of decline down to low single digits. Am I thinking, is there going to be a point where we can turn that round, there might be,” he added.

Ashley’s comments came in an interview with the veteran media commentator Ray Snoddy in the media magazine In Publishing.

In it, he also hailed the recent refinancing package which enabled the company to pay off a third of its debt as a “big moment” for the company.

He said:  “It brings to an end the first phase of the regeneration of Johnston Press. We now have funding for the next five years on better terms and we now have debt of £200 million rather than more than £300 million.”

He added that he hoped to get the capital value of the company – which was £26m when he joined – up to £300m.

Ashley also highlighted the 50pc year-on-year growth in the company’s overall digital audience which now stands at 16m unique users a month on top of a print audience of 9.5m.

“We now have a digital audience that is growing very strongly, far outweighing any decline in print. It was the first thing I wanted to address, which was a declining overall audience,” he said.

“I don’t want cannibalisation of what is our biggest source of revenue (print). The great thing about the regional press is it’s not like the Guardian where people stop buying print and consume online.

“Actually we have pretty much created a new audience online who never bought us in print,” he added.

The full interview can be read here.

11 comments

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  • July 24, 2014 at 7:37 am
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    The handcart we’re all in has slowed, then, and Hell’s postponed a while. That’s good as I thought we were doomed, all doomed. Also, the “new audience who never bought us in print” is how profitable exactly? Enough to keep a newsroom full of reporters and subs gainfully employed? Or a bevy of suits in the designer style to which they’re accustomed? I think we should be told.

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  • July 24, 2014 at 10:55 am
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    Of course you’ve’ created a new audience on line that never bought us in print’ because it’s totally FREE.JP he says have 16m digital users a month but he never says in pounds and pence what advertising revenue that generates

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  • July 24, 2014 at 11:06 am
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    I actually find Highfield’s comments deeply insulting to the intelligence.

    Or maybe he is the ultimate ‘glass half full’ merchant.

    Either way he is deluded

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  • July 24, 2014 at 11:13 am
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    Experience has taught us to be careful with AH’s highperbole.
    So, “our more successful newspapers” are in a situation of “the level of decline is levelling off “. Talk of “low single digits” (why not use a number ?)
    The fact remains that the circulation performance of JP titles under Mr Highfield’s stewardship has been woeful despite the much heralded (and under analysed) relaunch of all the titles.
    Digital audience growth is fine but it needs to be presented in a more sophisticated way that just the number of unique users. How long are they spending on the site ? Do they return ? How many look at just 1 item and then go off somewhere else ? How many people look at the site every day ? How many people from outside the local catchment area are in the numbers ?

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  • July 24, 2014 at 11:21 am
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    That’s not what I’ve heard around my way. The local evening is full of colour photographs, promotions, and has never had so many pages. Problem is that it is all largely waffle.

    No job vacancies, estate agents have all gone online, and much of the display advertising derives from national agencies and government departments etc with no local reason for inclusion.

    The “news” is often sent in stuff with the business pages made up of new appointments and “expansion” stories from firms of solicitors and accountants.

    Newsagents tell me they have a job giving it away while the local supermarket always has a great pile of returns.

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  • July 24, 2014 at 11:35 am
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    Any truth in rumours that the Hartlepool Mail is going bi-weekly later this year? Been expecting it for months if the truth be told, as its all content from their other regional papers and generic space filling copy.

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  • July 24, 2014 at 11:40 am
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    The closer you get to ‘zero’, the more you level off.

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  • July 24, 2014 at 2:04 pm
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    Growing print circulations? Is this the first hint that JP may be about to pull back from the digital first policy which has done so much damage to the paid-for titles.

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  • July 25, 2014 at 11:47 am
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    JPs reluctance to say how much hard cash digital is making speaks volumes. Behind the scenes they know they killed the golden geese and digital is financially a dead duck. Lots of hits (wow!) But not lots of money. Print rules . if papers fold thousands of jobs will go because digital can’t support them.
    In the past few years some so called flagship papers have been reduced to rags littered with mistakes. Yet they still make tons more dosh than digital.!!!

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  • July 25, 2014 at 11:53 am
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    Enough of Ashley’s bull. JP share price of 4p speaks volumes. Time some at top walked…

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  • July 27, 2014 at 4:20 pm
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    Ashley should walk the streets of a few small towns and see what the people who matter, ( the public in case managers forget) think about their not so local paper. A lot don’t even know it exists. I know one multi edition weekly that over time has plunged from nearly 30,00 to hanging on to about 12000 and it is down to poor management not the web.

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