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	<title>AllThingsD &#187; Chuck Townsend</title>
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		<title>Cond&#233;&#039;s Corporate Shuffle: Sauerberg Moves Up to Number Two</title>
		<link>http://allthingsd.com/20100723/condes-corporate-shuffle-sauerberg-moves-up-to-number-two/</link>
		<comments>http://allthingsd.com/20100723/condes-corporate-shuffle-sauerberg-moves-up-to-number-two/#comments</comments>
		<pubDate>Fri, 23 Jul 2010 21:08:56 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=21838</guid>
		<description><![CDATA[Cond&#233; Nast has gone through all sorts of change in the past couple years--shuttered titles, layoffs and a couple of high-profile executive departures. Here's yet more: A corporate reshuffle that moves Bob Sauerberg, who ran the company's consumer marketing arm, up to the president title and sets him up as the most likely candidate to replace Chuck Townsend when he leaves the CEO spot. As best as I can tell, this is an ultra-rare corporate re-org in which no one loses a job. But that's not to say there won't be some shoes falling down the line. For the record, Sauerberg's mission is to "move the company to a new business model focused around digital connectivity, technology development, and consumer insight."]]></description>
			<content:encoded><![CDATA[<p>Cond&eacute; Nast has gone through all sorts of change in the past couple years&#8211;shuttered titles, layoffs and a couple of high-profile executive departures. Here&#8217;s yet more: A corporate reshuffle that moves Bob Sauerberg, who ran the company&#8217;s consumer marketing arm, up to the president title and sets him up as the most likely candidate to replace Chuck Townsend when he leaves the CEO spot. As best as I can tell, this is an ultra-rare corporate re-org in which no one loses a job. But that&#8217;s not to say there won&#8217;t be some shoes falling down the line. For the record, Sauerberg&#8217;s mission is to &#8220;move the company to a new business model focused around digital connectivity, technology development, and consumer insight.&#8221;</p>
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		<title>Condé Nast's iPad Plan Gets Caught in the Apple-Adobe Crossfire</title>
		<link>http://allthingsd.com/20100228/conde-nasts-ipad-plan-gets-caught-in-the-apple-adobe-crossfire/</link>
		<comments>http://allthingsd.com/20100228/conde-nasts-ipad-plan-gets-caught-in-the-apple-adobe-crossfire/#comments</comments>
		<pubDate>Mon, 01 Mar 2010 02:00:14 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=16782</guid>
		<description><![CDATA[The Wired iPad app Cond&#233; Nast showed off this month looks great. But the chances that the publisher will give its other magazines the same treatment don't look promising--unless Apple and Adobe can figure out their Flash problem. Anyone want to bet on that?]]></description>
			<content:encoded><![CDATA[<p><a href="http://mediamemo.allthingsd.com/files/2010/02/crossfire.jpg"><img class="alignright size-medium wp-image-16793" title="crossfire" src="http://mediamemo.allthingsd.com/files/2010/02/crossfire-275x222.jpg" alt="" width="250" height="201" /></a></p>
<p>The <a href="http://mediamemo.allthingsd.com/20100216/wired-comes-to-the-ipad-version-2-0/?mod=ATD_sphere">Wired iPad app</a> Cond&eacute; Nast showed off this month looks great. But the chances that the publisher will give its other magazines the same treatment don&#8217;t look promising.</p>
<p>Cond&eacute; is still creating a digital version of its tech magazine for the device. But the influential publisher says it won&#8217;t create similar iPad apps for other titles unless Apple and Adobe figure out how to work together.</p>
<p>Cond&eacute; does plan to sell iPad-friendly versions of some of its other magazines. But they will be similar to the iPhone app the publisher has <a href="http://mediamemo.allthingsd.com/20091020/conde-nast-tries-turning-the-app-store-into-a-newsstand-will-you-buy-gq-for-your-iphone/">already created for its GQ title</a>, and not the more ambitious stuff that <a href="http://mediamemo.allthingsd.com/20091118/conde-nasts-offering-for-apples-mystery-tablet-wired-magazine/">Wired has been talking up since last fall</a>.</p>
<p>In a memo the company plans to distribute internally tomorrow, Cond&eacute; says it is trying two different approaches to the iPad (and tablets in general) as part of an &#8220;R&amp;D period&#8221; that will run through October, while it figures out the best way to please readers, advertisers, etc.</p>
<p>But in a conversation I had with Chuck Townsend last week, Cond&eacute;&#8217;s CEO was more blunt: He can&#8217;t fully embrace the Wired version, which was created with Adobe&#8217;s (ADBE) help and uses Adobe&#8217;s Flash platform, unless Apple (AAPL) embraces Flash.</p>
<p>Cond&eacute; will have &#8220;two parallel development tracks going until the relationship between Apple and Adobe is clear,&#8221; he told me Friday.</p>
<p><a href="http://mediamemo.allthingsd.com/files/2010/02/021610ATDwiredipad.jpg"><img class="alignleft size-medium wp-image-16325" title="021610ATDwiredipad" src="http://mediamemo.allthingsd.com/files/2010/02/021610ATDwiredipad-275x154.jpg" alt="" width="200" height="112" /></a></p>
<p>But what about Adobe&#8217;s assurances that it&#8217;s <a href="http://mediamemo.allthingsd.com/20091119/can-adobe-and-apple-play-nicely-when-and-if-the-tablet-shows-up/">no big deal</a> to move the mag app it built for Wired, which is based on Flash, into a form Apple approves of? Not convincing enough, Townsend said.</p>
<p>I asked Townsend if he&#8217;d prefer to use the Wired model&#8211;which boasts features like integrated video, interactive ads, etc.&#8211;if Apple is okay with Flash. In that case, he said, &#8220;the answer would be an easy yes.&#8221;</p>
<p>Given that Apple has made its <a href="http://kara.allthingsd.com/20100217/adobes-cto-kevin-lynch-talks-about-apple-insults-flashs-future-and-more/">distaste for Flash</a> a key part of the iPhone/iPod/iPad ecosystem, Cond&eacute; is in a difficult position.</p>
<p>The magazine publisher has spent significant time and energy working with Adobe, and one of its flagship titles (&#8220;magazine of the decade,&#8221; per <a href="http://www.bestofthe2000s.com/magazine-of-the-decade.html/">Adweek</a>) has <a href="http://www.wired.com/epicenter/2010/02/the-wired-ipad-app-a-video-demonstration/">lined up behind the company</a>. And it is indeed possible to <a href="http://kara.allthingsd.com/20100217/adobe-cto-kevin-lynch-demos-flash-on-tablets-and-smartphones-including-the-apple-iphone/?mod=ATD_sphere">move Flash apps to the iPhone</a>, and presumably the iPad.</p>
<p><a href="http://mediamemo.allthingsd.com/files/2009/12/January-GQ.png"><img class="alignright size-medium wp-image-14256" title="January GQ" src="http://mediamemo.allthingsd.com/files/2009/12/January-GQ-200x300.png" alt="" width="200" height="300" /></a></p>
<p>But content companies like Cond&eacute; have convinced themselves that the iPad will be a huge part of their future. And this means they want Apple&#8217;s full cooperation, not just its grudging approval. For instance, there&#8217;s zero chance Apple will promote a Flash-based app in <a href="http://mediamemo.allthingsd.com/20090929/how-to-market-an-iphone-app-get-apple-to-market-your-iphone-app/">one of its ads</a>.</p>
<p>The GQ app for the iPhone is pretty good, by the way, and I&#8217;m assuming it will work well on the iPad, too. But it&#8217;s a pretty straightforward transfer of the print version to digital form and lacks the bells and whistles that Wired and Adobe dreamed up.</p>
<p>Will anyone care? Let&#8217;s see. For now, here&#8217;s Cond&eacute;&#8217;s official iPad app time table: A new version of the <a href="http://mediamemo.allthingsd.com/20100121/with-an-eye-on-the-ipad-conde-nast-declares-its-39000-iphone-magazine-a-success/">GQ app</a>, tweaked to the iPad&#8217;s specs, should be available when the device launches at the end of March. After that, the company is planning similar apps for Vanity Fair, The New Yorker and Glamour. The Wired app is scheduled to debut at the end of May.</p>
<p>And then, readers, advertisers, and everyone else can finally compare for themselves.</p>
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		<title>Condé Nast's Offering for Apple's Mystery Tablet: Wired Magazine</title>
		<link>http://allthingsd.com/20091118/conde-nasts-offering-for-apples-mystery-tablet-wired-magazine/</link>
		<comments>http://allthingsd.com/20091118/conde-nasts-offering-for-apples-mystery-tablet-wired-magazine/#comments</comments>
		<pubDate>Wed, 18 Nov 2009 21:19:42 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=13025</guid>
		<description><![CDATA[Here's yet another content creator that's convinced Apple has a tablet device in the works: Cond&#233; Nast says it will have a digital version of Wired magazine ready for the purported gadget by the middle of next year and will eventually create similar versions for all of its 18 titles.

But Cond&#233;, like other publishers, says Apple won't actually talk to the company about its plans for the device--or even acknowledge that it has plans.]]></description>
			<content:encoded><![CDATA[<p><a href="http://mediamemo.allthingsd.com/files/2009/11/cover_wired_190.jpg"><img class="alignright size-full wp-image-13028" title="cover_wired_190" src="http://mediamemo.allthingsd.com/files/2009/11/cover_wired_190.jpg" alt="cover_wired_190" width="190" height="259" /></a>Here&#8217;s yet another content creator convinced that Apple has a tablet device in the works: Condé Nast says it will have a digital version of Wired magazine ready for the rumored gadget by the middle of next year and will eventually create similar versions for all of its 18 titles.</p>
<p>But Condé, like other publishers, says Apple (AAPL) won&#8217;t actually talk to the company about its plans for the device, or even acknowledge that it <em>has</em> plans.*</p>
<p>Condé&#8217;s plan, meanwhile, is to create digital versions of its magazines that will work on all the upcoming tablets, using new software from Adobe (ADBE). Those tablets aren&#8217;t actually on the market yet, but the publisher says it&#8217;s confident that we&#8217;ll soon see multiple versions of machines featuring large color touchscreens and wireless connections.</p>
<p>So who&#8217;s going to make those gadgets? Condé Nast CEO Chuck Townsend says his company is working closely with Hewlett-Packard (HPQ) and that it has also been communicating its plans to Apple. But Townsend made a point of saying that Apple executives themselves refuse to acknowledge that they&#8217;re actually planning a tablet: &#8220;They&#8217;re not talking to anybody openly,&#8221; he says.</p>
<p>Adobe is creating a publishing tool for the new format, as well as magazine-reader software that may come pre-installed on the devices or may require a download. The software company says it is working exclusively with Condé now, but will offer its tools to other publishers next year.</p>
<p>[Important technical point several readers have brought up: Adobe says its new reader software will run using its <a href="http://get.adobe.com/air/">AIR platform</a>, which works on multiple operating systems, including Apple's desktop system. But neither AIR nor Adobe's flash software works on Apple's iPhone, so if the new mystery device runs on that operating system, there's a problem. I'm following up with Adobe to see what it has to say. UPDATE: <a href="http://mediamemo.allthingsd.com/20091119/can-adobe-and-apple-play-nicely-when-and-if-the-tablet-shows-up/">Here's Adobe's response</a>.]</p>
<p>Condé says its work with Adobe won&#8217;t preclude the company from joining the <a href="http://mediamemo.allthingsd.com/20091002/publishers-like-time-inc-s-hulu-for-magazines-proposal-what-will-apple-and-amazon-say/">&#8220;Hulu for magazines&#8221;</a> storefront/distribution joint venture it has been discussing with Time Warner&#8217;s (TWX) Time Inc. and <a href="http://mediamemo.allthingsd.com/20091111/strength-in-numbers-news-corp-may-join-time-inc-s-hulu-for-magazines/">other publishers</a>. &#8220;Those discussions are ongoing and important and imminent,&#8221; Townsend says.</p>
<p>Okay. So what will Condé&#8217;s magazines look like once the tablets appear? The publisher has been showing a demo video to advertisers, industry executives and employees, and I&#8217;m trying to convince the company to show it to the rest of the world. (UPDATE: <a href="http://mediamemo.allthingsd.com/20091121/another-loud-fuzzy-peek-at-wireds-tablet-edition/">Here&#8217;s a partial, low-quality version of the video</a>).</p>
<p>But until then, you can get a sense of it by checking out the publisher&#8217;s first attempt to port a magazine to the iPhone, which was released today at the <a href="http://bit.ly/2q32Nq">iTunes App Store</a>.</p>
<p>Like the <a href="http://mediamemo.allthingsd.com/20091020/conde-nast-tries-turning-the-app-store-into-a-newsstand-will-you-buy-gq-for-your-iphone/">iPhone version of GQ&#8217;s December issue</a>, Condé says its tablet magazines will feature the same content found in the print versions, including original advertising, with the ability to view pages in their original form or in formats designed specifically for the device. They will also import multimedia content, like videos, and offer the ability to synch up with social networks and other Web sites.</p>
<p>Condé also thinks the business model for its tablet mags will mirror that of its iPhone app. The company intends to charge readers for each title, and it plans to convince the Audit Bureau of Circulations, the magazine industry&#8217;s standards board, that its online sales are equivalent to newsstand sales. That will allow Condé to charge advertisers the same rate as for print ads.</p>
<p>If all of this works, it&#8217;s a dream scenario for Condé and other publishers. The magazine industry gets to keep the revenue streams its print publications generate without having to make the &#8220;analog dollars for digital pennies&#8221; discount that the Web requires. Meanwhile, Condé gets to bask in the benefits of digital&#8211;lower distribution costs, more engagement with readers.</p>
<p>Or put another way: Publishers hope the new devices will repair all the value destruction the Web has wrought.</p>
<p>But all of this assumes that consumers, who&#8217;ve shown no inclination to pay for this stuff on the Web, will be willing to pay for it once it appears on devices no one owns yet. We&#8217;ll find out soon enough.</p>
<p>*One possible exception is the <a href="http://mediamemo.allthingsd.com/20091027/what-does-the-new-york-times-really-know-about-apples-tablet-i-aint-sayin-says-editor-bill-keller/">New York Times</a> (NYT), where editor Bill Keller refuses to talk about possible talks with Steve Jobs and company.</p>
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		<title>The Web Helped Kill Gourmet? If So, Now I Hate the Internet!</title>
		<link>http://allthingsd.com/20091006/the-web-helped-kill-gourmet-if-so-now-i-hate-the-internet/</link>
		<comments>http://allthingsd.com/20091006/the-web-helped-kill-gourmet-if-so-now-i-hate-the-internet/#comments</comments>
		<pubDate>Tue, 06 Oct 2009 15:39:24 +0000</pubDate>
		<dc:creator>Kara Swisher</dc:creator>
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		<guid isPermaLink="false">http://kara.allthingsd.com/?p=19142</guid>
		<description><![CDATA[Let's all agree first to blame owner Condé Nast for deciding to shutter Gourmet--the elegant and iconic magazine, which has been around since 1941, after the November issue.

While circulation remained steady at Gourmet at just under one million monthly paying subscribers, Condé Nast Chief Executive Officer Chuck Townsend pointed to a fall-off in advertising spending by luxury brands that result in a money-losing mess.

But some are blaming a movement of readers to the Web. Is it true?]]></description>
			<content:encoded><![CDATA[<p><a href="http://kara.allthingsd.com/files/2009/10/SS_GourmetSept09001-326x448.jpg"><img src="http://kara.allthingsd.com/files/2009/10/SS_GourmetSept09001-326x448-218x300.jpg" alt="SS_GourmetSept09001-326x448" title="SS_GourmetSept09001-326x448" width="218" height="300" class="alignright size-medium wp-image-19145" /></a></p>
<p>Say it ain&#8217;t so.</p>
<p>Having fully embraced the Internet&#8211;sometimes to much disdain from old media colleagues back in the day&#8211;since the early 1990s as the way of the future in publishing, and even going to far as to abandon a career in print forever some years ago, BoomTown is bereft at the <a href="http://mediamemo.allthingsd.com/20091005/here-are-the-conde-cuts-modern-bride-elegant-bride-gourmet-cookie-closed/">news yesterday that Gourmet magazine was being shish-kababbed</a>.</p>
<p>Gourmet has been, since I started reading it as a young girl, one of the more perfect magazines&#8211;full of glamorous travel locales, stunning photos of food and sumptuous prose, all beautifully edited.</p>
<p>Let&#8217;s all agree first to blame owner Condé Nast, the famed magazine unit of privately held Advance Publications, for deciding to shutter the elegant and iconic Gourmet&#8211;which has been around since 1941&#8211;after the November issue.</p>
<p>While circulation remained steady at Gourmet at just under one million monthly paying subscribers, Condé Nast Chief Executive Officer Chuck Townsend pointed to a fall-off in advertising spending by luxury brands that resulted in a money-losing mess.</p>
<p>But, in a follow-up piece in The Wall Street Journal, titled <a href="http://online.wsj.com/article/SB125478578537966053.html">&#8220;Gourmet Magazine&#8217;s Demise Gives Readers Empty Feeling,&#8221;</a> plunging newsstand sales were also noted, apparently due in part to the impact of the Web.</p>
<p>&#8220;Gourmet has had to compete with food-related Web sites, which are often free and contain up-to-the-minute content,&#8221; said the Journal article.</p>
<p>In other words, the same thing that is occurring in <em>all arenas</em>&#8211;from food to tech to fashion to news&#8211;was left unsaid.</p>
<p>As in: The scourge of the Internet, laying waste to all those it comes in contact with.</p>
<p>But I dearly hope that this episode with Gourmet does not become another one of those death-by-digital cautionary tales, a case study that no one can sustain this kind of highbrow, expensive-to-make print media anymore, even the free-spending types at Condé Nast.</p>
<p>I am not sure that&#8217;s exactly true, though, since the analog experience Gourmet provided was not the same as what&#8217;s on the Web, which is what probably kept its circulation steady over the years.</p>
<p>It was clearly an issue of the econalypse&#8211;obviously helped along by the fact that people&#8217;s reading habits are shifting to online, thought that&#8217;s not the root issue.</p>
<p>That&#8217;s why Townsend added that Gourmet might live on in books, on television and, most likely of all, on the Internet.</p>
<p>That Gourmet already has a dullish Web site was not mentioned since it is free and not particularly different from the magazine&#8211;a decent repurposing, but a repurposing nonetheless.</p>
<p>Now that there is no magazine to fill that Web void, it will be interesting to see if more could be done online with the iconic foodie brand.</p>
<p>Or not.</p>
<p>(That September cover picture above is a quince, by the way, which most would never really know without&#8211;um, er&#8211;the help of Gourmet.)</p>
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		<title>Here Are the Condé Nast Cuts: Modern Bride, Elegant Bride, Gourmet, Cookie Closing</title>
		<link>http://allthingsd.com/20091005/here-are-the-conde-cuts-modern-bride-elegant-bride-gourmet-cookie-closed/</link>
		<comments>http://allthingsd.com/20091005/here-are-the-conde-cuts-modern-bride-elegant-bride-gourmet-cookie-closed/#comments</comments>
		<pubDate>Mon, 05 Oct 2009 14:56:55 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=11719</guid>
		<description><![CDATA[Here are the long-awaited cuts that Cond&#233; Nast has been mulling: Modern Bride, Elegant Bride, Gourmet and Cookie are all closing. More details via an internal memo from CEO Chuck Townsend.]]></description>
			<content:encoded><![CDATA[<p><a href="http://mediamemo.allthingsd.com/files/2009/03/conde-nast-building.jpg"><img class="alignright size-medium wp-image-4926" title="conde-nast-building" src="http://mediamemo.allthingsd.com/files/2009/03/conde-nast-building-300x168.jpg" alt="conde-nast-building" width="250" height="140" /></a>Here are some of the long-awaited cuts that Cond&eacute; Nast has been mulling: The publisher is shuttering Modern Bride, Elegant Bride, Gourmet and Cookie.</p>
<p>It&#8217;s not a huge shock to see some of those titles go: Cookie, for instance, wasn&#8217;t a prestige title for Cond&eacute;&#8211;like Domino, which the publisher closed down earlier this year, it was founded in 2005.</p>
<p>But Gourmet is one of Cond&eacute; Nast&#8217;s most famous titles, and editor <a href="http://www.ruthreichl.com/">Ruth Reichl</a> is one of Cond&eacute;&#8217;s best-known editors. Most observers would have figured that Bon App&eacute;tit would go instead. CEO Chuck Townsend says the Gourmet brand will live on, zombie-style, via TV and publishing deals.</p>
<p>Cond&eacute; has long cultivated a reputation as the magazine world&#8217;s most glamorous outpost, impervious to the petty concerns that bedeviled lesser folk. But the double-punch of the ad industry&#8217;s move away from print titles and a recession that pole-axed the luxury brands Cond&eacute; depends on, has staggered the publisher. (Disclosure: I do some free-lance work for Cond&eacute; title Vanity Fair).</p>
<p>Signs of trouble showed up late last year when the publisher made uncharacteristic staffing cuts. And in 2009, it began shuttering magazines: In addition to Domino, it <a href="http://mediamemo.allthingsd.com/20090427/is-conde-nast-shuttering-portfolio/">closed Portfolio in April</a>, just two years after a high-profile launch.</p>
<p>By July, Townsend had brought on consultants from McKinsey and Company to help figure out where else it could trim; the news that <a href="http://mediamemo.allthingsd.com/20090721/heres-why-mckinseys-coming-to-conde-nast-the-coming-black-september/">September ad pages would be down anywhere from 17 percent to 47 percent</a> made it clear that other titles would be going.</p>
<p>I wouldn&#8217;t expect this to be the last big set of magazine cuts, by the way: <a href="http://mediamemo.allthingsd.com/20090928/time-warner-dumping-its-magazines-not-so-fast/">Time Warner (TWX), for instance, has made it clear that it wants to hang on to Time Inc.</a> but that it thinks the publisher employs too many people who produce too many titles.</p>
<p>Here are the details on the Cond&eacute; cuts, via an internal memo (intended for public consumption) from Chuck Townsend:</p>
<blockquote class="memo"><p>From: &#8220;Townsend, Chuck&#8221;<br />
Date: Mon, 5 Oct 2009 10:16:52 -0400<br />
To: Conde Nast Publications-All &lt;_273fee@condenast.com&gt;<br />
Conversation: Announcing Changes within Condé Nast<br />
Subject: Announcing Changes within Condé Nast</p>
<p>We have now completed an extensive review of our business&#8211;an important undertaking given the dramatic changes in the U.S. economy. The review has led us to a number of decisions designed to navigate the company through the economic downturn and to position us to take advantage of coming opportunities.</p>
<p>Condé Nast’s success comes from the ability of our publications to attract readers with a wide range of interests, as well as advertisers who value them. But in this economic climate it is important to narrow our focus to titles with the greatest prospects for long-term growth.</p>
<p>As a result of our review, Brides will increase its frequency to monthly to solidify its position as the most important brand in the bridal category, and Modern Bride and Elegant Bride will close.</p>
<p>Gourmet magazine will cease monthly publication, but we will remain committed to the brand, retaining Gourmet’s book publishing and television programming, and Gourmet recipes on Epicurious.com. We will concentrate our publishing activities in the epicurean category on Bon Appétit.</p>
<p>Finally, Cookie magazine will be discontinued, and resources that had been dedicated to its publishing will be invested elsewhere.</p>
<p>The editorial and business staffs of Modern Bride, Elegant Bride, Gourmet, and Cookie all have earned their magazines large and devoted followings. We have been proud to publish these titles, and we are grateful to the staffs for their hard work and dedication.</p>
<p>These changes, combined with cost and workforce reductions now underway throughout the company, will speed the recovery of our current businesses and enable us to pursue new ventures. In the coming weeks, we hope to announce initiatives to develop digital versions of our brands that will make use of new devices and distribution channels.</p>
<p>Condé Nast is now in its 100th year of creating the most respected and iconic brands in the publishing world. These changes will ensure that our unique publishing company will continue in its preeminent position for many years to come.</p></blockquote>
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		<title>Here's Why McKinsey's Coming to Condé Nast: The Coming Black September</title>
		<link>http://allthingsd.com/20090721/heres-why-mckinseys-coming-to-conde-nast-the-coming-black-september/</link>
		<comments>http://allthingsd.com/20090721/heres-why-mckinseys-coming-to-conde-nast-the-coming-black-september/#comments</comments>
		<pubDate>Tue, 21 Jul 2009 16:53:26 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=9493</guid>
		<description><![CDATA[Here's why Cond&#233; Nast is bringing in McKinsey &#38; Co. for an emergency overhaul: The publisher's lousy year isn't getting any better. New numbers out today show that Cond&#233;'s September issues will be miserable across the board, with ad pages down anywhere from 17 percent to 47 percent. And that's if you interpret the data favorably.]]></description>
			<content:encoded><![CDATA[<p><a href="http://mediamemo.allthingsd.com/files/2009/03/conde-nast-building.jpg"><img class="alignright size-medium wp-image-4926" title="conde-nast-building" src="http://mediamemo.allthingsd.com/files/2009/03/conde-nast-building-300x168.jpg" alt="conde-nast-building" width="250" height="140" /></a>Here&#8217;s why Condé Nast is bringing in McKinsey &amp; Co. for an emergency overhaul: The publisher&#8217;s lousy year isn&#8217;t getting any better. New numbers Condé released today show that its September issues will be miserable across the board, with ad pages down anywhere from 17 percent to 47 percent. And that&#8217;s if you interpret the data favorably.</p>
<p>CEO Chuck Townsend said as much in a <a href="http://gawker.com/5318869/the-management-consultants-who-will-end-conde-nast-as-we-know-it?skyline=true&amp;s=x">memo</a> yesterday announcing that he&#8217;d hired McKinsey to figure out how to survive &#8220;in an emerging economy that is now predicted to be painfully slow in recovering.&#8221;</p>
<p>But when you see Condé&#8217;s projected numbers for its fall issues, which are traditionally bulging with ads, it&#8217;s even more startling. Particularly when you realize that the economy had already been slowing down a year ago (Disclosure: I do some free-lance work for Condé title Vanity Fair).</p>
<p>Take a look for yourself in the table below (click to enlarge): The numbers in the middle (faintly highlighted in blue) represent the year-over-year decline in ad pages, if you factor out the publisher&#8217;s special &#8220;Fashion Rocks&#8221; issues, which it gave up on last year. The more brutal numbers on the right are the &#8220;real&#8221; numbers. All of them are unpleasant.</p>
<p>Using the more favorable set of numbers, Teen Vogue is Condé&#8217;s relative star, down a mere 17 percent. And if Vogue was a publicly traded stock, it would have beaten expectations, since it came in above 400 pages&#8211;which is still down 29.7 percent (or more).</p>
<p><a rel="lightbox" href="http://mediamemo.allthingsd.com/files/2009/07/conde-nast-september.png"><img class="alignnone size-full wp-image-9496" title="conde-nast-september" src="http://mediamemo.allthingsd.com/files/2009/07/conde-nast-september.png" alt="conde-nast-september" width="350" height="246" /></a></p>
<p>Not included the above chart: Totals for The New Yorker, Golf World, Modern Bride or Elegant Bride, since they aren&#8217;t monthlies and don&#8217;t have comparable September issues.</p>
<p>And here&#8217;s a trailer for &#8220;The September Issue,&#8221; a much-buzzed about documentary about Vogue&#8217;s effort to put out&#8230;well, you can figure it out.</p>
<p><object width="350" height="212" data="http://www.youtube.com/v/S9-bAwz9uWk&amp;hl=en&amp;fs=1&amp;" type="application/x-shockwave-flash"><param name="allowFullScreen" value="true" /><param name="allowscriptaccess" value="always" /><param name="src" value="http://www.youtube.com/v/S9-bAwz9uWk&amp;hl=en&amp;fs=1&amp;" /><param name="allowfullscreen" value="true" /></object></p>
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		<title>Forbes Starts a Second Round of Layoffs; Who Else Will Join It?</title>
		<link>http://allthingsd.com/20090331/forbes-starts-a-second-round-of-layoffs-who-else-will-join-them/</link>
		<comments>http://allthingsd.com/20090331/forbes-starts-a-second-round-of-layoffs-who-else-will-join-them/#comments</comments>
		<pubDate>Tue, 31 Mar 2009 11:00:02 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=5800</guid>
		<description><![CDATA[Forbes Media has begun a new round of layoffs and will let go of more than 50 people on its editorial and business teams, I'm told. The cuts are roughly proportional to the ones the business publication made in November and January when it consolidated its Web and magazine operations.

The question for the rest of the industry: How many other publishers will have to make a second round of cuts themselves?]]></description>
			<content:encoded><![CDATA[<p><img class="size-medium wp-image-2831 alignright" title="forbes-mag" src="http://mediamemo.allthingsd.com/wp-content/blogs.dir/20/files/2009/01/forbes-mag-225x300.jpg" alt="forbes-mag" width="187" height="250" /></p>
<p>Forbes Media has begun a new round of layoffs and will let go of more than 50 people on its editorial and business teams, I&#8217;m told. The cuts are roughly proportional to the ones the business publication made in November and <a href="http://mediamemo.allthingsd.com/20090106/forbes-layoffs-finally-arrive-19-fired-from-magazine-web/?mod=ATD_search">January</a> when it consolidated its Web and magazine operations.</p>
<p>During the last round of cuts, Forbes attributed at least some of the layoffs to the integration of the two staffs. This time around, there can&#8217;t be any reason beyond the fact that the miserable economy has been especially rough on magazines in general and business titles specifically.</p>
<p>I&#8217;ve asked Forbes officials for details and will update if I get any. (<a href="http://allthingsd.com/about/peter-kafka/">Disclosure</a>: I&#8217;m a former Forbes employee.) UPDATE: The layoffs took two days, but appear to be over. <a href="http://mediamemo.allthingsd.com/20090401/forbes-cuts-pay-conde-nast-cuts-jobs/">Employees who kept their jobs will see pay cuts in the form of mandatory unpaid furloughs, and higher-paid employees will get additional pay cuts</a>.</p>
<p>The question for the rest of the industry: How many other publishers will have to make a second round of cuts themselves? <a href="http://mediamemo.allthingsd.com/20090305/conde-nast-ceo-chuck-townsend-to-the-troops-keep-your-heads-up-and-your-expenses-down/?mod=ATD_search">Cond&eacute; Nast CEO Chuck Townsend</a> has already warned his troops about cost cuts that will <a href="http://mediamemo.allthingsd.com/20090325/conde-nasts-most-drastic-cuts-yet-the-disappearing-town-car/?mod=ATD_search">likely include layoffs</a>; earlier this month Rodale shuttered its <a href="http://www.wwd.com/media-news/best-life-to-close-2066032?gnewsid=ff189d555b0d3328e05ff76a80a7e29c">Best Life title</a>. Both publishers also made cuts last fall.</p>
<p>Unheard from so far: Time Warner&#8217;s (TWX) Time Inc., which cut about 600 positions last fall. Those layoffs&#8211;roughly six percent of the publisher&#8217;s payroll&#8211;were larger than anything Time had experienced before. So far that seems to have been enough to weather the storm.</p>
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		<title>Condé Nast CEO Chuck Townsend to the Troops: Keep Your Heads Up, and Your Expenses Down</title>
		<link>http://allthingsd.com/20090305/conde-nast-ceo-chuck-townsend-to-the-troops-keep-your-heads-up-and-your-expenses-down/</link>
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		<pubDate>Fri, 06 Mar 2009 02:38:48 +0000</pubDate>
		<dc:creator>Peter Kafka</dc:creator>
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		<guid isPermaLink="false">http://mediamemo.allthingsd.com/?p=4924</guid>
		<description><![CDATA[Cond&#233; Nast is reportedly "having the worst year of any publisher," the New York Post reported last month. So, the fact that that CEO Chuck Townsend sent out an all-hands memo entitled "Managing Through Challenging Times" must have sent a shiver through the magazine empire this afternoon. The good news: He doesn't mention layoffs or reorgs. The bad news: He warns of "difficult decisions" ahead.]]></description>
			<content:encoded><![CDATA[<p><img class="alignright size-medium wp-image-4926" title="conde-nast-building" src="http://mediamemo.allthingsd.com/files/2009/03/conde-nast-building-300x168.jpg" alt="conde-nast-building" width="250" height="139" /></p>
<p>Cond&eacute; Nast is &#8220;having the worst year of any publisher,&#8221; the <a href="http://www.nypost.com/seven/02252009/business/getting_nasty_at_cond__233__156766.htm">New York Post </a>reported last month. So the fact that that CEO Chuck Townsend sent out an all-hands memo entitled &#8220;Managing Through Challenging Times&#8221; must have certainly sent a shiver through the magazine empire this afternoon.</p>
<p>The good news: Nowhere in Townsend&#8217;s missive does he actually mention sackings, reorg or other personnel cuts. The bad news: Townsend warns employees that &#8220;all of us&#8221; will &#8220;have to make additional difficult decisions to manage costs and ensure our financial well-being.&#8221; But he doesn&#8217;t spell out what those are.</p>
<p>Cond&eacute; started hacking at expenses last fall by shuttering some titles and making cuts of five percent or more at others. Meanwhile, it has refused to cut ad rates, even as competitors pick up some market share with lower-priced pages.</p>
<p>But while there&#8217;s constant chatter within Cond&eacute; about other titles supposedly destined for the chopping block, we&#8217;ve yet to see anything materialize. Cond&eacute;&#8217;s cuts are roughly proportional to the ones that Time Warner (TWX) magazine unit Time Inc. also went through last fall.</p>
<p>Just this week, a Cond&eacute; executive told me that because individual publishers were cutting back on costs without a companywide edict, it was unlikely that the Cond&eacute; publisher would need to make bigger cuts this spring.</p>
<p>I&#8217;ll update if I get more info.</p>
<p>Click to read Townsend&#8217;s complete memo:</p>
<p><span id="more-66594"></span></p>
<blockquote class="memo"><p>From: Townsend, Chuck<br />
Sent: Thursday, March 05, 2009 05:04 PM Eastern Standard Time<br />
To: Cond&eacute; Nast Publications<br />
Subject: Managing Through Challenging Times</p>
<p>I continue to believe that there are two things that make our Company truly unique, world-class brands and remarkable employees. This statement is even more true today as I watch how Cond&eacute; Nast is managing through this challenging economy.</p>
<p>While advertising pages are down, Cond&eacute; Nast is gaining critical ad revenue market share through the early part of 2009. Perhaps more importantly, our consumer connectivity, as measured in key circulation statistics, is particularly strong.</p>
<p>So, while our Company is not immune to the economic stress that has been experienced by the media community, we have made adjustments to secure our ongoing stability, just as each and every one of us has had to personally deal with the economic challenges we face.</p>
<p>Unavoidably, as the downturn extends, we have to make additional difficult decisions to manage costs and ensure our financial well-being. These decisions involve all of us. We&#8217;ll all have to do more with less and accept that some of the benefits and resources that were available to us in robust economic times will have to be scaled back&#8211;and revisited when the economy and our business recover lost ground.</p>
<p>The best course of action is for us to prudently and responsibly manage our business costs and expenses through these troubled waters, assuring us the opportunity to fully participate in the recovery that lies ahead. At that time, we will take great pride in what we accomplished.</p>
<p>I can only ask that you join me in these efforts to ensure the continued success of our great Company.</p></blockquote>
<p>[Image credit: <a href="http://www.flickr.com/photos/timmalbon/2169744863/">Malbonster</a>] </p>
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