In an accompanying interview, Jain junior answers a couple of key questions.
Talking to Ken Auletta of The New Yorker [last year], you said, “We are not in the newspaper business, we are in the advertising business… If you are editorially minded, you will make all the wrong decisions.” Do you think advertising carries the Times Group’s media products or content?
I wish to reiterate that we are in the advertising business and not in the business of selling news – and I’ll explain why. If we were in the business of selling news, then the cover price we charge readers should have made us profitable. Fact is, subscription price does not come even close to covering the cost of newsprint. As much as 90% of our revenues comes from advertising; effectively, therefore, our advertisers are cross-subsidizing our readers. Which is why I say advertising is at the core of our business model.
Times Now has dominant leadership now for over six years. Arnab Goswami has done an incredible job for Times Now, which has established itself as the ‘go-to-TV-channel’ for breaking news, big news and significant views. He is a courageous journalist and respected by viewers of Times Now. Further, the Times brand is what gives viewers the trust and belief in what he and his able team deliver 24 x7.
Photograph: courtesy The Times of India
Read the full interview: Vineet Jain
External reading: Why Uday Shankar should have won
Also read: An editor explains Arnab Goswami to an NRI