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Your Media Morning: Can Time Inc's Leadership Deliver? - Hearst's Dr Oz Cuts Frequency Plans Layoffs - AMI Content Chief Bullish on Print...

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SNAP INC LOST $2.2 BILLION 
Snap Inc. stock plummeted in late trading Wednesday after the Snapchat parent’s first earnings report as a public company revealed a gigantic quarterly loss of $2.2 billion. That figure is more than four times the total revenue Snap had brought in before the recent quarter, when it reported $149.7 million in revenue. That brought the seven-year-old company to more than $500 million in total revenue over those seven years. Even fellow hot tech startup Uber Technologies Inc. doesn’t lose money at that fast a rate, which is really saying something.

HEARST'S DR OZ MAGAZINE MAY BE IN TROUBLE AS IT CUTS FREQUENCY AND LAYOFFS LOOM
Hearst Magazines is pulling back on wellness title Dr. Oz The Good Life, reducing its print frequency from 10 issues per year to four and laying off several staffers. The news comes as a bit of a surprise, given Hearst's own recent claims that ad sales for the three-year-old magazine rose 17 percent year-over-year in 2016, coupled with a 16 percent hike to the book's rate base — to 925,000 — to start this year. 

MEREDITH'S MAGNOLIA JOURNAL IS TURNING INTO A MONSTER
The Magnolia Journal, a lifestyle/shelter magazine launched by Meredith Corp and "Fixer Upper" stars Chip and Joanna Gaines less than a year ago, is fixing to be the hottest magazine launch in years. The publication is about to release its third issue on Friday with a total circulation of 1 million copies putting it on track to overtake long time shelter publications like House Beautiful and This Old House. 

HULU INSTALLS ITS FIRST EVER CONTENT CHIEF
Hulu announced on Wednesday that Joel Stillerman, AMC’s longtime head of programming, would become the streaming service’s first chief content officer. The news was months in the making: Hulu has been looking to create and fill the position for some time as it tries to make up ground on rival streaming services like Netflix and Amazon.

THIS SUNDAY'S NEW YORK TIMES WILL TARGET KIDS WITH A SPECIAL PRINT SECTION JUST FOR THEM
The New York Times will cater to a younger audience this weekend — much younger. The newspaper is publishing a print-only, stand-alone kids’ section aimed at nine to 12-year-olds. The kids’ section, which will be included with the Sunday paper, is the latest special print-only section from The New York Times Magazine as part of the new initiative that, last December, was responsible for the special puzzle section that hit big with the army of crossword fanatics that makes up a not insignificant source of revenue. 


THE DAILY BEAST TAKES AN AXE TO ITS HOMEPAGE IN REDESIGN TO PLEASE ADVERTISERS
In a redesign unveiled on Wednesday, that meant cutting the number of articles on the page by one-third, ditching its third-party content widget and redesigning its CMS so it can share sponsored content in the form of swipeable cards, rather than just text or video, a format that’s now en vogue for a growing number of brands and advertisers.

FRENCH MAGAZINE PUBLISHING GIANT LAGARDERE SEES DROP IN REVENUE
France’s Lagardère Group said its division encompassing magazines, radio and television channels, known as Lagardère Active, saw revenues slip 4.8 percent on a like-for-like basis in the first quarter to 194 million euros, or $207 million. All divisions excluding pure digital activities registered declines during the period. 

FACEBOOK WILL BURY LINKS TO PAGES WITH LOW QUALITY ADS
It‘s that time again.Facebook is changing its News Feed algorithm, and online publishers and ad companies are trying to figure out who’s in the crosshairs this time around.In what Facebook described as an effort to surface fewer links to “low-quality web experiences,” the company said Wednesday it will begin de-emphasizing links that drive people off Facebook to webpages with “little substantive content” and “a large number of disruptive, shocking or malicious ads.” It may also prevent people from running ads on Facebook that drive users to those pages.

IS VIACOM ABOUT TO SHAKE UP ITS BET CABLE NETWORK FROM THE TOP DOWN?
Viacom is restructuring BET, and it’s causing some industry insiders to speculate that longtime CEO Debra Lee may be on her way out the door. “Viacom has a plan to phase her out after the BET Awards [on June 25]. She was planning to leave the network in November if Hillary Clinton had won the election,” the source said, adding that Lee had expected a position with the Clinton administration.

AMI CHIEF CONTENT OFFICER DYLAN HOWARD IS BULLISH ON PRINT, HAS BIG PLANS FOR US WEEKLY
Us has established a very strong digital foundation that exceeds 30% of its total revenue. Video, in particular, is impressive. The growth of this brand will be achieved through digital and the performance of its video, the diversification of new verticals and investing in opportunities like TV. TV is completely untapped when it comes to Us Weekly. Such a specialized brand should be creating video content that’s available over the air and online. That particularly looms large as an avenue we’ll explore. It’s untapped revenue for the brand. And we intend to produce a range of series and one-off specials.

NBC UNIVERSAL TAKES MAJORITY STAKE IN HOWTO WEBSITE CRAFTSY
The media and entertainment company will acquire a majority stake in Craftsy, an instruction website for cooking, baking, knitting and other hobbies, for an undisclosed price. The website will become a part of the NBCUniversal Cable Entertainment portfolio, chairman Bonnie Hammer announced Wednesday in a memo to staff and shared with The Hollywood Reporter. She credited Dave Howe, president of strategy and commercial growth, and his team with the deal, calling it "great news" for the group.  

WHAT TOOK NY TIMES 3 MONTHS, TOOK THE WALL STREET JOURNAL A YEAR
It has not stressed the necessity of its journalism, à la the New York Times and its "Truth is Hard" ad campaign or The Washington Post with its new slogan "Democracy Dies in Darkness," nor has it made a big deal about subscriber growth in the wake of Trump's election. But the Journal is celebrating subscriber growth. The paper added 305,000 daily digital subscribers in the year between March 31, 2016 and March 31, 2017, according to an SEC filing from its parent company News Corp. 

MEREDITH CORP IS ENTERING THE SUNGLASSES MARKET WITH THE LAUNCH OF A NEW SHAPE BRANDED LINE
Meredith Corporation, the leading media and marketing company serving 110 million unduplicated American women and 70 percent of U.S. Millennial women, announced today that it has entered a licensing agreement with FGX International, the owner and designer of Foster Grant eyewear, to produce a line of sunglasses for the SHAPE brand. The two industry leaders partnered to create a co-branded product: Foster Grant for SHAPE. The athleisure line of eyewear will combine product performance features that active women need with the fashion styling that women want.

HAS THE NEW YORK TIMES SAVED ITSELF?
It's been a long decade for New York Times Co. -- and all its newspaper company peers. Wounded mildly by early digital disruption, the newspaper industry has seen nothing but financial woe into and out of the Great Recession. Times shares, though, busted through a nine-year high Tuesday before dropping a few cents below at close.  Since CEO Mark Thompson unveiled first-quarter financials last Wednesday, Times shares have soared. They are up 18% over the last week.

THE USUAL SUSPECTS ARE AMONG THE TOP PAID MEDIA/TECH EXECS
The Bloomberg Pay Index tracks the 200 highest-paid executives who appear in filings from companies that submit compensation details to U.S. regulators. The index adds salaries, bonuses, perks, options, restricted shares and changes in pension values that a person was awarded for the most recent year.

AMAZON SCOOPS UP THE RIGHTS TO 40 FILMS
Amazon has swept up streaming rights to 40 films that screened the 2017 SXSW Film Festival — including “Most Beautiful Island,” the Grand Jury Award winner for narrative feature — saying it will pay out at least $1.9 million in upfront cash bonuses for the titles. The ecommerce giant snagged the SXSW selections through Amazon Video Direct’s Film Festival Stars program, designed to be a streamlined, no-haggle way for independent filmmakers to get paid for digital distribution.

ACCORDING TO A CONDE NAST SURVEY, AMAZON AND SNAPCHAT ARE THE LEADING YOUTH APPS
When it comes to apps they're using these days, teens and millennials say Snapchat is king — no surprise there. But second place? It's not Instagram: It's Amazon. This is according to a survey — The 2017 Love List Brand Affinity Index, run by Condé Nast and Goldman Sachs — that asked 2,345 U.S. millennial and Gen Z shoppers about their fashion, retail and consumer preferences. The survey skewed towards younger consumers. 

 

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