Much new in the West
Ringier’s strategic about-face in French-speaking Switzerland raises questions: Was dimanche.ch sacrificed for the alliance with Edipresse? And what potential synergies does the new partnership hold?
Publishers Ringier's strategic U-turn in French-speaking Switzerland raises questions: Has dimanche.ch been sacrificed to the alliance with Edipresse? And what synergy potential does the new liaison harbor? dimanche.ch's own obituary, with which the liquidated editorial team bid farewell to its readers (120000 at last count) last Sunday, leaves nothing to be desired in terms of clarity. In addition to denouncing the "brutalité des stratégies d'éditeurs", it also criticizes their cyclical lack of courage when it comes to up-and-coming new launches.
When asked, Martin Werfeli showed understanding for this "somewhat shrill tone". At the same time, however, the Ringier CEO emphasizes that the ten million francs loss reported by (former) Editor-in-Chief Daniel Pillard, which Ringier Romandie is said to have made with dimanche.ch since the end of 1999, is "completely wrong" (i.e. far too low).
Werfeli vigorously denies the assumption that the discontinuation of the product with the programmatic "Dot" in the title was Ringier's last portfolio adjustment in the New Economy sector. "Dimanche.ch was not a child of the Internet boom, but a brilliantly produced, unfortunately commercially hapless Sunday newspaper."
The Group CEO also rejects the even more obvious suspicion that the 25-strong workforce had been used as a mere pawn in the strategic alliance with Edipresse. The increase in the Le Temps stake from nine to 41 percent, which is still subject to approval by the Competition Commission - and thus the same as Edipresse - has "nothing, absolutely nothing" to do with the Sunday newspaper market in French-speaking Switzerland. A market, nota bene, in which Ringier's new joint venture partner with Le Matin Dimanche (now already 625,000 readers) now has a virtual monopoly again after an interlude of just three and a half years.
The most far-reaching speculation following the announcement of Ringier's entry into the French daily newspaper business, however, is that the surprisingly large-scale shake-up could soon be followed by "a Swiss elephant wedding" (FAZ). "Anyone who takes a first step is not necessarily planning a second," says Werfeli cautiously. But even if Edipresse does not become a new case of Jean Frey or even Springer for Ringier for the time being: The synergy potential between the two major publishers is already causing people to fear for their jobs. For example, the three or four producers of the weekly TV supplement Télé Temps, which has long been a thorn in the side of TV-8 publisher Ringier. "Yes, a change is probably on the cards here," concedes Werfeli, without wanting to be more specific.
However: The alliance of giants made possible by reciprocal favors - Ringier finally has a quality newspaper in its portfolio again and Edipresse has a comrade in the fight against the French Hersant Group - is unlikely to get off scot-free with the Competition Commission (ComCo). If the takeover of 20-Minuten by Tamedia, which is rather unobjectionable in terms of democratic policy, is already subject to in-depth scrutiny, this market division affecting an entire language region could meet with quite fundamental reservations from the Bernese authority. However, according to Competition Commission Deputy Director Patrick Ducrey, not even an application for approval has yet been submitted.
When asked about the role of ex-Edipresse man Jacques Pilet, who has been in Ringier's service for five years, in the epochal deal, Werfeli is non-committal: "In any case, he didn't have to open the door. Pilet is known to have a central position in the press landscape of French-speaking Switzerland. As joint Le Temps shareholders, Edipresse and Ringier had already been in direct contact before last Friday." According to reports, this recently went so far that the two publishing patrons and art lovers paid their first visits to each other's homes. One would have liked to have been a fly on the wall...
Dimanche.ch editors wrote their obituary while singing wild songs.
When asked, Martin Werfeli showed understanding for this "somewhat shrill tone". At the same time, however, the Ringier CEO emphasizes that the ten million francs loss reported by (former) Editor-in-Chief Daniel Pillard, which Ringier Romandie is said to have made with dimanche.ch since the end of 1999, is "completely wrong" (i.e. far too low).
Werfeli vigorously denies the assumption that the discontinuation of the product with the programmatic "Dot" in the title was Ringier's last portfolio adjustment in the New Economy sector. "Dimanche.ch was not a child of the Internet boom, but a brilliantly produced, unfortunately commercially hapless Sunday newspaper."
The Group CEO also rejects the even more obvious suspicion that the 25-strong workforce had been used as a mere pawn in the strategic alliance with Edipresse. The increase in the Le Temps stake from nine to 41 percent, which is still subject to approval by the Competition Commission - and thus the same as Edipresse - has "nothing, absolutely nothing" to do with the Sunday newspaper market in French-speaking Switzerland. A market, nota bene, in which Ringier's new joint venture partner with Le Matin Dimanche (now already 625,000 readers) now has a virtual monopoly again after an interlude of just three and a half years.
The most far-reaching speculation following the announcement of Ringier's entry into the French daily newspaper business, however, is that the surprisingly large-scale shake-up could soon be followed by "a Swiss elephant wedding" (FAZ). "Anyone who takes a first step is not necessarily planning a second," says Werfeli cautiously. But even if Edipresse does not become a new case of Jean Frey or even Springer for Ringier for the time being: The synergy potential between the two major publishers is already causing people to fear for their jobs. For example, the three or four producers of the weekly TV supplement Télé Temps, which has long been a thorn in the side of TV-8 publisher Ringier. "Yes, a change is probably on the cards here," concedes Werfeli, without wanting to be more specific.
However: The alliance of giants made possible by reciprocal favors - Ringier finally has a quality newspaper in its portfolio again and Edipresse has a comrade in the fight against the French Hersant Group - is unlikely to get off scot-free with the Competition Commission (ComCo). If the takeover of 20-Minuten by Tamedia, which is rather unobjectionable in terms of democratic policy, is already subject to in-depth scrutiny, this market division affecting an entire language region could meet with quite fundamental reservations from the Bernese authority. However, according to Competition Commission Deputy Director Patrick Ducrey, not even an application for approval has yet been submitted.
When asked about the role of ex-Edipresse man Jacques Pilet, who has been in Ringier's service for five years, in the epochal deal, Werfeli is non-committal: "In any case, he didn't have to open the door. Pilet is known to have a central position in the press landscape of French-speaking Switzerland. As joint Le Temps shareholders, Edipresse and Ringier had already been in direct contact before last Friday." According to reports, this recently went so far that the two publishing patrons and art lovers paid their first visits to each other's homes. One would have liked to have been a fly on the wall...
Dimanche.ch editors wrote their obituary while singing wild songs.
Oliver Classen
