HOME
          
LATEST STORY
Where you get your news depends on where you stand on the issues
ABOUT                    SUBSCRIBE
Jan. 26, 2012, 6 p.m.

MinnPost ends 2011 in the black

The nonprofit news site — by now almost an online veteran — is showing it can support itself.

MinnPost revenue sources, 2011

MinnPost, the nonprofit regional news site in Minnesota, ended 2011 in the black for a second year in a row, according to its annual report published today. Its year-end surplus — a bit more than $21,000 — isn’t exactly retire-to-the-Caymans money. But in a sector where so many nonprofit news outlets are struggling to find sustainability, the four-year-old operation is demonstrating that it can support itself.

MinnPost makes money from public radio-style memberships, advertising, grants, and events, including its annual MinnRoast. CEO Joel Kramer told me he is most pleased with the growth of individual and corporate support, which now represents a majority of the revenue pie, about $815,000. Grants made up about a fifth. Altogether, MinnPost raised $1.5 million.

Kramer said he expects foundation money to shrink to 10 percent of revenue, but that’s a projection, not a goal.

“We’re happy to get all the foundation support we can get, but our long-term goal from the time we launched was to become steadily less dependent on foundations,” Kramer said. Foundation money is more volatile; the money usually comes with strings attached and an expiration date. And as MinnPost enters its fifth year in operation, it’s no longer really a startup. “Many of them are more excited about you if they see you as asking for seed money, startup money, early-stage development money,” he said.

MinnPost in 2011 also opened up the option for donors to auto-renew their membership. (Inertia is a powerful force for donor retention!) About 700 of MinnPost’s 3,300 donors are now sustaining members, he said. Individual gifts start at as little as $10 per year and go as high as $25,000 a year; the typical donor gives $100 to $150 per year, he said.

“A visit by a Minnesotan, a page view from a Minnesotan, is worth far more than us than a visit or a pageview from elsewhere.”

As far as how many people used the site versus how many supported it, Kramer said there are a few ways to slice the numbers. “It’s not meaningful to make the denominator unique visitors,” he said, because that number includes hundreds of thousands of people who land on MinnPost from a search or a link but are “not really interested in MinnPost.” Kramer’s preferred denominator is people who visit MinnPost at least twice per month, which is roughly 55,000. That means 6 percent of MinnPost users are contributing members. Kramer wants to see that rise to 10 percent.

For comparison’s sake, the site most similar to MinnPost is probably Voice of San Diego, which had its struggles in 2011. The organization laid off four people at the end of last year, saying it raised $1.1 million but spent $1.2 million. VOSD projects its revenue will fall in 2012.

And as I wrote Tuesday, the more government-and-policy-focused Texas Tribune raised $3.71 million but ended 2011 in the red. (It expects to be break-even or better by year’s end.)

Traffic to MinnPost.com grew, too. Pageviews rose 20 percent over the year before. The number Kramer prefers, though, is visits from Minnesotans: 3.7 million in 2011, versus 2.8 million the year before.

“Our advertisers and sponsors, what they’re interested in is communicating with Minnesotans. Also, our donor base overwhelmingly comes from Minnesota,” Kramer said. “So we actually believe, strategically, that a visit by a Minnesotan, a pageview from a Minnesotan, is worth far more than us than a visit or a pageview from elsewhere.”

Those figures come from Google Analytics and publicly available Quantcast data, he said. The brief and very brief presidential campaigns of Rep. Michele Bachmann and Gov. Tim Pawlenty might have given MinnPost a boost.

One goal for 2012: Improve the stickiness of the site, Kramer said. (The average MinnPost reader views two pages per visit.) MinnPost is moving from a proprietary content-management to Drupal, an open-source CMS, which will free up developers and designers to make user-facing improvements more quickly.

POSTED     Jan. 26, 2012, 6 p.m.
SHARE THIS STORY
   
Show comments  
Show tags
 
Join the 15,000 who get the freshest future-of-journalism news in our daily email.
Where you get your news depends on where you stand on the issues
A new study by the Pew Research Center examines how Americans’ news consumption habits correlate with where they fall on the political spectrum.
Light everywhere: The California Civic Data Coalition wants to make public datasets easier to crunch
Journalists from rival outlets are pursuing the dream of “pluggable data,” partnering to build open-source tools to analyze California campaign finance and lobbying data.
Ebola Deeply builds on the lessons of single-subject news sites: A news operation with an expiration date
Following the blueprint of Syria Deeply, the new Ebola-focused site hopes to deliver context and coherence in covering the spread and treatment of the virus.
What to read next
1020
tweets
The newsonomics of the millennial moment
The new wave of news startups is aiming at a younger audience. But do legacy media companies have a chance at earning their attention?
803A mixed bag on apps: What The New York Times learned with NYT Opinion and NYT Now
The two apps were part of the paper’s plan to increase digital subscribers through smaller, targeted offerings. Now, with staff cutbacks on the way, one app is being shuttered and the other is being adjusted.
537Watching what happens: The New York Times is making a front-page bet on real-time aggregation
A new homepage feature called “Watching” offers readers a feed of headlines, tweets, and multimedia from around the web.
These stories are our most popular on Twitter over the past 30 days.
See all our most recent pieces ➚
Encyclo is our encyclopedia of the future of news, chronicling the key players in journalism’s evolution.
Here are a few of the entries you’ll find in Encyclo.   Get the full Encyclo ➚
The Seattle Times
New Haven Independent
Fox News
Voice Media Group
The New Yorker
Reddit
The Atlantic
The Tyee
American Independent News Network
National Review
Associated Press
The Daily