Case Study # 2- Nytimes.com
The New York Times Company publishes the prestigious The New York Times
newspaper, which has a circulation of 1.1 million and operates the web site “NYTimes.com”. In
addition, the company owns The Boston Globe and is part-owner of The International Herald
Tribune. It recently bought About.com, a content provider that links users to experts. The
content industry is fragmented and highly competitive.
B-COP points out these features about NYTimes.com’s online competition-
Nytimes.com has three stronger competitors (abcnews.go.com, bbc.co.uk, and cnn.com)
stronger than nytimes.com, bbc.co.uk is 3.22 times stronger, and cnn.com is 3.79 times
Abcnews.com is 1.27 stronger in terms of page views compared to nytimes.com and bbc.co.uk is 1.38 times stronger than nytimes.com. On the other hand, CNN.com is 0.03 times weaker than nytimes.com in terms of page views.
As shown in Figure 2a, nytimes.com’s competitors can be classified into three clusters. One (boston.com) is a Niche-1 competitor, one (cnn.com) is a Niche-2 competitor while all else fall in the “weakest” category.
Nytimes.com has six direct competitors- cnn.com, usatoday.com, guardian.co.uk, reuter.com, boston.com, and wsj.com. All other competitors are indirect.
As shown in Figure 2b, of the direct competitors, consumers who visit nytimes.com, visit usatoday.com and wsj.com and vice versa (i.e., two-way traffic). However, consumers who visit nytimes.com visit reuters.com, boston.com and guardian.com while those who