Gannett looks to sell HQ towers as part of spin off plans; Exact Editions says subscription sales increased 78% in 2014
London-based digital publishing platform said institutional sales grew 48 percent in 2014 as publishers reached universities, libraries, businesses, and government
The publisher of USA Yoday confirmed reports that it may be looking to sell its Tysons Corner headquarters. “This is part of our transition to more efficient use of our real estate across the company,” Gannett spokesman Jeremy Gaines told The Washington Post.
Assuming Gannett keeps its digital properties with its broadcast side, the two split companies would be about the same size when it comes to revenue. But the broadcast and digital sides of Gannett continue to grow.
In 2015, thanks mostly to acquisitions, Gannett doubled the size of its broadcast wing – from $835.1 million in 2013 to $1.69 billion in 2014. Though the publishing side still was larger in 2014, much of the growth in broadcast came late in the year, after the acquisitions.
Many digital publishing platforms are beginning to shift their attention to the corporate communications side of the publishing business. This is not to say they won’t be serving magazine and newspaper publishers, but that there is plenty of growth to be found in the publishing needs of companies and institutions.
Exact Editions today said that its institutional sales increased 48 percent in 2014. The company also reported a 78 percent increase in overall subscription sales.
“Exact Editions are extremely proud of the strong performance of out institutional subscriptions service,” Daryl Rayner, Managing Director of Exact Editions, said. “This provides a valuable service to universities and businesses, while offering a lucrative revenue stream for our publishing partners.”
Rayner told TNM that some users of Exact Editions institutional subscriptions include universities such as Princeton, Columbia, McGill, and Stanford, as well as organisations such as the Council of the European Union, the German Ministry for the Environment, the United Nations at Geneva.
Several media outlets have reported that Amazon may be in talks to acquire the store locations of Radio Shack, which appears to be on its last legs. The question many have is why, of course.
Bloomberg speculates that Amazon wants to showcase it hardware in the stores, a strategy that has paid off for Apple. Apple, you will recall, was widely lampooned for its stores at first. But Apple considered the stores part it marketing arm, not as a new profit center (though they are doing very well in that regard now).
The problem is that margins on Amazon hardware are low compared to Apple and so using this strategy feels wrong.
But there are many other uses for such store locations. Radio Shack stores and locations are similar to many cellular outlets, one reason other bidders for the stores may be in that niche. Amazon could also use the stores to cut distribution costs, having customers pick-up and return merchandise to local store locations.
Of course, this is all speculation, which is why it doesn’t lead the news.