Do you really know where to invest, cut?
Resource Allocator helps you understand the true impact of spending cuts and spending options before implementing them.
Researchers at the University of Missouri created Resource Allocator as an executive management tool to enable publishers to test the impact of various spending or cost-cutting decisions. A tested mathematical formula breaks down revenues and expenditures from news, advertising and circulation to predict profitability. The formula has been validated by comparing expenditure and revenue data over a seven-year period from hundreds of newspapers.
Quantifiable results provide actionable recommendations
What the researchers discovered in creating the model is that during down cycles, newspapers generally invest more on increasing advertising sales and boosting circulation while the data repeatedly show that spending on news quality has a greater positive impact on revenue.
The Resource Allocator helps you:
- Test various “what if” options and see how increases or decreases in spending will affect advertising revenues, both print and online, and circulation revenue.
- Use your own data to get customized projections.
- Assign a present and future financial value to your newsroom
- Be better prepared for changes to budgets and spending patterns.
- Make informed decisions.
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