Hearst Newspapers CMO Mark Campbell in conversation

What have been the growth areas for you in 2024?

In my consumer space, one of the most notable improvements has been growth in retention rates across both digital and print subscribers. This trend demonstrates a deepening loyalty to our products and the increasing reliance on our journalism. It has also given us the confidence to set prices that reflect the value we provide, which, in turn, helps sustain the vital journalism we deliver to our local communities.

Additionally, we’ve been thrilled with the initial growth of our puzzle and game platform, Puzzmo. This 2023 acquisition has enabled us to work with two of the most innovative creators in the games space, Zach Gage and Orta Therox. Puzzmo has expanded our reach beyond our local markets, adding new audiences and subscriptions nationwide. The platform also aligns well with the curious and thoughtful nature of our news readers, providing opportunities for bundles that combine our essential news with engaging, intellectual entertainment.

What’s the breakdown of your revenue coming from advertising, subscriptions, or other?

Focusing specifically on subscriptions, over the past five years, we’ve seen tremendous growth in our digital subscribers, which has allowed us to maintain our overall consumer revenue. Due to this focus on expanding digital customers while maintaining high-quality journalism and superior print service, we’ve been able to grow digital revenue, slow print’s decline, and maintain or increase total subscription revenue annually.

Is AI having a major impact on your business? In what ways?

Among many journalistic applications, one area where we’ve made great strides is in enhancing reader engagement by leveraging our vast archives of local journalism. Through AI-driven tools, we can offer readers new ways to interact with our content, providing quick access to detailed information and insights based on years of vetted reporting.

We’re also using AI to support our advertising sales teams by providing on-demand access to key industry insights, media plans, customized presentations, and interactive training.

Additionally, across all divisions, we’re examining time-intensive processes that can be made more efficient with AI. For example, we’ve implemented a process by which marketing campaigns are automatically versioned across multiple Hearst newspaper brands, significantly improving efficiency and eliminating manual work.

How are you leveraging technology to enhance your media offerings?

In addition to the many innovations being implemented across newsrooms, product development, and audience engagement, one project my consumer team is particularly excited about is our dynamic machine-learning meter titled “Next Best Action.”

Launching this fall, this tool will predict a user’s likelihood to subscribe at that moment and adjust the timing of paywalls and marketing assets accordingly. By tailoring these interactions, we aim not only to improve subscription rates but also to drive more page views and email registrations among users who aren’t yet ready to subscribe or encounter a paywall.

Events. What do you do in this space?

In the past, we focused more on in-person events in our local communities. However, as our readers have become more geographically dispersed, we’ve shifted towards virtual events – run by the newsrooms themselves – to provide broader access to our journalists. This approach allows us to connect directly with more readers with relatively low effort and high impact, demonstrating additional relevance and value. Some of these events are subscriber-only to maintain an exclusive feel, while others are open to all readers to drive broader engagement and support subscriber acquisition. For instance, during Hurricane Beryl in July, the Houston Chronicle hosted a live virtual event where readers could engage with the newsroom and ask questions about the city’s recovery efforts.

What are the biggest challenges facing media companies today? Where do you see the most significant opportunities for growth?

Within the consumer subscription domain, I believe the biggest challenge is reinforcing that our digital news sites and apps are the preeminent destinations for well-researched, highly relevant news in each local community we serve. With the abundance of alternative ways to encounter news, such as third-party summaries and social media soundbites, it’s crucial for local news providers to remind audiences, young and old, that our own platforms offer the most reliable source for the news that matters most to them.

As for growth opportunities, I think the potential for personalization in local news is both urgent and vast. We need to continue innovating to make news discovery easier and more tailored to individual readers to ensure that paywalls and marketing messages are relevant and well-timed to create product experiences that are customized and delightful and much more.

In the coming weeks, read more News Horizons interviews here. Next week we have Tracy Day, managing director of creative studio and ad innovation at The Globe and Mail.

More about Mark Challinor:

Mark is a commercial and media advertising strategist. He recently led the International News Media Association’s (INMA.org) Advertising Initiative (the news industry’s deeper dive into media advertising). He has also been European and global president of INMA. He produces a monthly Future of Media Advertising newsletter on Linkedin, as well as running an advertising committee made up of senior executives from across the world’s media. Mark is now CEO of News Media UK Consulting. Follow Mark on X: @challinor and LinkedIn.