“The crisis forces us to come back to reality. We have to be honest and say that 20 percent or even more of the current magazines could disappear, without having a negative effect on readers, the manager explained.
The measures applied by Burda to cut costs include modifying its publication portfolio, lowering operating expenses, foregoing certain services and collaborations.
“Compared to other publishers, we have the advantage of a certain balance between sales revenues, which make up some 55-60 percent of total income. and publicity revenues (40-45 percent),” added Schroeder.
The company is also looking for a smart strategy for online development. “We have to think of a new business model to be useful to our readers and to make money,” explained the company official.
