So Macquarie has closed it’s livenews.com.au site
Mumbrella article here –> http://mumbrella.com.au/macquarie-weve-closed-livenews-because-it-wasnt-making-enough-money-9495
Personally, I had never used it and didn’t really know it existed. I remember it being promoted at launch but didn’t hear a peep after.
According to Macquarie it had 200,000 users and around 2m page views. They sound like big figures but they’re not … and nowhere near enough to make money.
So the reason it was closed was it wasn’t making enough money.
“Livenews.com.au was successful from a traffic perspective but this was not translating into incremental revenue that justified its costs of operation. The renewed focus on core assets is already reaping significant revenue rewards.”
I’m a big believer on focusing on what you’re good at and not putting resource into areas you’re really not that good at.
Livenews is an example of that. It was a distraction.
So with that in mind, how many companies with big digital aspirations maybe need a reality check around this very issue.
How many are just not that good at trying to be digital media companies?
And no matter how hard they try, and how much cash they blow, they’ll never be particularly good.
Probably quite a few … and I wouldn’t be surprised if over the next 12-18 months some hard decisions are made to pare back their committment to digital assets and focus on what they’re good at.
Because at the end of the day, there’s a shitload of web companies in Australia that just will never make any money. No matter how hard they try.