Wednesday, June 08, 2016
Digital technology is no longer the disruptive force in print media—it is the driving force that shapes content creation and distribution. The distinction between print and digital is not relevant anymore: publishers have become, with varying degree of success, digital media companies. But the industry continues to evolve, pushed by changing consumer behavior and business innovation. Transformation, therefore, remains an imperative for many companies.
In late 2012, BCG presented a transformation game plan for companies in the throes of a digital sea change in how people consume print media and how advertisers reach them. (See Transforming Print Media: Managing the Short Term While Restructuring for the Future, BCG Focus, December 2012.) Our framework involved three stages: near-term moves to raise cash for the journey; medium-term steps to establish new lines of business, primarily in adjacent segments; and longer-term actions to develop the skills and build the organization and culture the digital world requires.
This framework is still useful, but it’s time to rethink specific steps. Most companies have made near-term and medium-term moves. Some of these efforts have worked, some no longer work, and some are works in progress. But consumer behavior and the industry continue to evolve. Companies need to take stock of changes in the competitive environment, the outcomes of the steps they’ve already taken, and the moves they should be considering to stay relevant over the longer term.