Gawker Media Trims Three Blogs from Portfolio
Memo from founder Nick Denton.
Gawker Media founder Nick Denton (and FOLIO: 40 alum) has always thought of his snarky blog network as something of a Condé Nast of the blogosphere. Now, after months of speculation, Denton has trimmed three titles from his portfolio—selling his music blog, Idolator, to Buzznet (which recently purchased Idolator’s chief rival, Stereogum), travel blog Gridskipper to Curbed (the real estate blog network—helmed by former Gawker managing editor Lockhart Steele—in which Gawker Media is an investor) and Washington, D.C.-based Wonkette to managing editor Ken Layne.
Denton’s e-mail to staffers:
I’m amazed we’ve managed to keep a lid on this news; that, given your naturally gossipy natures, must be a first! We’re spinning off three sites: Idolator, Gridskipper and-this one may be a surprise-Wonkette. There were indeed some rumors about Maura Johnston’s music blog late last year; they were true of course. For reasons that I’ll explain below, both it and our travel and politics sites have better commercial futures outside Gawker than within. (Excuse the corporate lingo: some of it is unavoidable.) But, first, the facts, which will be hitting the wires later this morning, or as soon as you leak this email. Go ahead!
* WONKETTE is being spun off to the managing editor, Ken Layne, former founder of one of the web’s very first news sites, Tabloid.net. The title will become part of the Blogads network of political sites, which includes Daily Kos, among others.
Why these three sites? To be blunt: they each had their editorial successes; but someone else will have better luck selling the advertising than we did.
Music audiences are fragmented across genres; Maura’s Idolator gave Stereogum a good run, but a group with a whole array of music sites will command more attention from record labels than we could. In the case of Gridskipper, our urban travel guide, we could never match Curbed in attention to city-specific content and advertising. As for Wonkette: political advertisers are a strange breed; they don’t come through the same agencies our sales people deal with.
I’m relieved we’ve found pretty decent homes for the three sites, and most of their writers, but we’re gutted to lose them. Idolator’s Pop Critic’s Poll was a tremendous coup-and Patric’s bleeding-heart logo for the site was one of my favorites. Gridskipper is so far the most sophisticated travel blog: it entirely deserved its inclusion in Time’s list of the 50 coolest websites.
And Wonkette is one of the brands with which the company is most associated; people will be shocked that we would ever part with it. The political site has won an array of Bloggies and other awards; it introduced the word ass-fucking into the dictionary of political abuse; the founding editor’s slippers are even on display in the new media museum in Washington, DC. And Ken and his team have brought a new liveliness to the site this election season—validated by the record traffic of the last three months.
So why not wait, at least till the election? Well, since the end of last year, we’ve been expecting a downturn. Scratch that: since the middle of 2006, when we sold off Screenhead, shuttered Sploid and declared we were "hunkering down", we’ve been waiting for the internet bubble to burst. No, really, this time. And, even if not, better safe than sorry; and better too early than too late.
Everybody says that the internet is special; that advertising is still moving away from print and TV; and Gawker sites are still growing in traffic by about 90% a year, way faster than the web as a whole. But it would be naive to think that we can merely power through an advertising recession. We need to concentrate our energies, and the time of Chris Batty’s sales group, on the sites with the greatest potential for audience and advertising.
The dozen sites that remain represent some 97% or our 228m pageviews per month, and an even higher proportion of our growth and advertising revenue. (Key facts are below, in case anyone asks.) We’ll be able to devote more attention to breakouts such as Jezebel and io9, as well as established titles such as Gizmodo and Kotaku, which are becoming utterly dominant in their domains. And, then, once this recession is done with, and we come up from the bunker to survey the internet wasteland around us, we can decide on what new territories we want to colonize.
Both Noah and I are around to answer any questions. On email, IM, or phone. I’m [redacted] and Noah is on [redacted].
GAWKER MEDIA KEY FACTS
* A dozen sites, Gizmodo first launched in August 2002, most recent, io9, in January 2008
* Gawker, Gizmodo, Kotaku, Lifehacker, Jalopnik, Deadspin, Defamer, Jezebel, Valleywag, io9, Consumerist, Fleshbot
* A record 18 "Bloggie" nominations in 2008, way more than any other blog collective (one of those was for Idolator)
* Audience of 29.7m unique visitors a month for the whole network, up 82% at annualized rate (http://www.quantcast.com/p-d4P3FpSypJrlA)
* Each individual site has at least 1m uniques or, in the case of io9, soon will
* Pageviews of 227m in March — 219m if you take out the three sites being spun out — up 89% on a year earlier (Sitemeter)
* For those who measure these things, Gawker is the web’s leading independent blog group