The NZZ am Sonntag (NZZaS) was first published on March 17, 2002. Since then, it has been an important part of the Sunday newspaper market. Editor-in-Chief Felix E. Müller discusses where his paper stands today and where it is likely to be tomorrow. WW: The SonntagsZeitung (SoZ) just turned 20, and the NZZaS is turning 5. How do you assess the competitive situation between the two publications?Felix E. Müller: I believe our arrival has been good for the entire Sunday newspaper market. The SoZ was spurred on to try harder, and in the beginning, it significantly improved its performance. Our entry into the market also led to an expansion of the Sunday market on both the readership and advertising sides.WW: What is the NZZaS’s financial situation like today?Felix E. Müller: We turned a profit for the first time last year, which I personally consider a very good achievement. WW: Of the three national Sunday papers, the NZZaS had by far the highest growth rate in advertising volume at 13.3 percent. However, one-third of that consists of cyclical job ads. What would the situation look like without them? Felix E. Müller: Without the job ads, we would still have been in the black, though only just. This makes one thing clear: we’re already meeting the criterion set by Tamedia CEO Martin Kall, which states that a newspaper should be profitable even without job ads. WW: Was this part of the business plan? Felix E. Müller: No, we reached the break-even point about two to three years earlier than expected. And we did so with just over 50 percent of the planned costs. WW: Assuming the next few years go as well as 2006 did, how long will it take to achieve a return on investment? Felix E. Müller: About six to seven years. WW: In 2005, Mach Basic last reported an increase in readership across all three Sunday titles. Since then, readership has stagnated at 2.25 million people. Has the saturation point been reached? Felix E. Müller: Yes, I do believe the era of major growth is over. With three national titles and a reach of 2.25 million readers, the Sunday market is very well served.WW: In terms of readership, the NZZaS is relatively stable, while the SoZ seems to be on the decline. The SonntagsBlick (SoBli), on the other hand, is facing challenges elsewhere. Does that work in your favor? Felix E. Müller: We don’t necessarily feel the impact of whether the SoBli is doing well or not so well, because it targets a completely different audience in the readership market. For us, the SoZ—the middle-of-the-road newspaper—is more important. When it loses readers, we tend to gain them, which is naturally positive from our perspective because it narrows the gap with the SoZ.WW: 55 percent of NZZ readers don’t read the NZZaS. That’s untapped potential. Felix E. Müller: Conversely, you could also say that we’ve primarily grown outside the NZZ readership. WW: But do you know why exclusive NZZ readers don’t want the NZZaS? Felix E. Müller: Not really. We suspect that for many, the NZZ weekend edition—with its in-depth supplements—is sufficient. WW: That would certainly call for additional marketing efforts. Felix E. Müller: Of course, we keep trying, but that’s not where our main focus lies at the moment. We’re more focused on expanding our cooperation with regional publications. For example, we’ve developed an attractive bundle with the ZürichseeZeitung that we’re now offering.WW: A new MA Leader will be published soon. According to the 2005 study, however, the SoZ and NZZaS are roughly evenly matched among the “Leaders” and “Top Leaders,” with the SoZ holding a slight lead. Do you expect any further shifts in favor of the NZZaS? Felix E. Müller: In the long term, yes, but here, too, we’re entering a phase of smaller steps. After all, together we hold a market share of 80 to 90 percent in this segment. That’s one of the hard facts that explains the significance of these publications in Switzerland’s media market. After all, if so many leaders read these publications, they in turn can set the agenda or influence the discussion among them. WW: At the beginning of the year, you were thinking aloud about regional splits. Felix E. Müller: Yes, that was a thought experiment. Opinions differ on whether regional splits make sense from an economic standpoint. What concerns me, however, is the regional publications’ push toward the Sunday market; for them, this is a lifeline in a valley of tears—that is, declining circulation. I’m convinced that this won’t affect us much from a journalistic standpoint. But if the regional papers were to form alliances in the advertising sector, we might certainly feel the impact. WW: The Sunday edition of the Südostschweiz already exists, but so far you’ve hardly felt its impact on your readership.Felix E. Müller: That’s correct; from a journalistic standpoint, I don’t have any real concerns. However, we aren’t particularly strong in the Südostschweiz region either. But I have the feeling that Mr. Lebrument won’t be able to sustain his seventh edition at this level in the long run; he urgently needs Mr. Wanner to form a Sunday advertising alliance with him.WW: The Mittelland Zeitung recently announced that it will launch its seventh edition. Will your regional splits now become a reality? Felix E. Müller: No, for now that’s just an idea that needs to be discussed critically once again. WW: How will you react? Felix E. Müller: We’ll wait and see. That’s what we did with the Südostschweiz as well. Ever since I saw how low the advertising volume for that publication is, I’ve been able to view Wanner’s Sunday edition with greater composure. The alarm bells won’t start ringing for me until there’s an advertising merger among the regional papers.WW: One last question: Markus Spillmann has been editor-in-chief of the NZZ for about a year. What has changed for you?Felix E. Müller: From my perspective, nothing fundamental. As long as the NZZ am Sonntag continues to perform so well, the NZZ organization probably doesn’t feel the need to intervene on a large scale. There are other areas within the NZZ organization that require more attention. Interview: Markus Knöpfli