Blog Post

Moore Is Less At Time Inc. Interactive; People, SI, CNNMoney Rule What’s Left: Report

Time Inc. chairman and CEO Ann Moore is pursuing a tiered interactive strategy with, and at the top and at least a rung below, according to a detailed WSJ report. It’s the latest in a a recent series of external media stories tracking Time Inc.’s internet dealings, laying out the corporate thinking in public. This latest describes Moore’s appearance before the Time Warner board late last week — 3Q earnings are being reported Wednesday morning — with a strategy focusing investment and other resources on the sites likely to have the greatest payoff: People, SI and CNNMoney (Fortune, Business 2.0, Money). Time isn’t being completely shut out, Time Inc. COO John Squires told WSJ: “We are feeding the big guys more because they are making more money right now.” Moore called Time’s a “top priority” when it comes to internet investment but WSJ reports several senior execs say is “second tier.” Granted, Time gets more online traffic than People, for instance, but as the Journal notes, provides more growth opportunity when it comes to advertising, especially as it emerges from the AOL cocoon.
— Moore projects internet revenue to contribute about 15 percent of net income at SI and 25 percent at the business titles, which have benefited greatly from the relaunched central site Small acquisitions are likely — I believe at least one is coming very soon for — as the sites move into Web 2.0 territory of blogs, social networking and the like.
— Time Inc. currently is accepting bids for 18 magazines that Moore announced earlier would be shed as Time Inc. shrinks to grow. Print payroll is being cut but hiring continues on the internet side.
— Have to wonder how this comment from Moore about TW COO Jeffrey Bewkes will go over: “He’s been learning a lot. We’ve been running tutorials all year because Jeff is new to the ad business and the magazine business. … He’s a quick study.” He’s a very quick study — Bewkes didn’t comment for the story, leaving the spotlight on Moore and company, and is trying to be just as careful within the confines of TW. But he’s also been pushing for increased attention to the interactive side, a message that seems to have been heard loud and clear.
Related: Moore: Time Inc. Has To Shrink In Order To Grow
Time Inc. To Sell 18 Niche Pubs; Will Focus on Large Audiences Online And Off