Yep, and the truth is we have to many wig wags out there already. You will see others fold as the ecomonmy continues it's down turn. We aren't out of the woods....and wondering if we will survive this round of desperation. It's not just a political issue but taxes are. So, I will perform a perfect Texas Two Step and side step the obvious. Not to mention the price of these wig wags aka magazines. Two expensive for my pocket book.
It's sad but not a complete surprise as stated above with the state of our economy. And the progression of the information available on the net it was bound to occur. I'm actually surprised that more haven't forgone the paper pubs in favor of the website type with subscription.
A magazine with an on-line subscription had better have a superb business model. With the freely available Model Railroad Hobbyist, a subscription site will have to offer a LOT.
Is the 'Net based publication going to be 'the' answer? I know of at least one publication which tried it within just this past year and completely flopped.
I understand. I have had to give up all my subscriptions and modeling is on hold. As an independent contractor I haven't found work in over a year and those were very short term. I have food stamps and a disability income but barely enough. Social Security was suppose to start on the first. But didn't. And I can't get my pensions for 3 more years. So yes it's rough out there for the independents and unemployed. The internet is next. frown:
I liked this magazine over all the others! I have been subscribing to this magazine for years because they always gave great reviews of products. I agree that mags will all end up being online publications that you will have to pay to access and it probably won't be much cheaper when it is done. I will miss this magazine, it was worthwhile reading. Even tho I subscribe to the free online publication of Model Railroad Hobbyist, I like picking up a magazine and leafing thru it a page at a time. Guess I am just old school and been around too long. I know times are tough and not getting any better but when the so called recovery program the government is boasting about results in businesses like MRN not able to get a business loan, something isn't working right. My 2 cents!
I wonder if they're going to release the final issue in PDF form since it seems like it's not going to press. Also, it seems to me that a publication like this one could survive as a web-only one. And I don't think it would need to be paid subscription, though money could be made by providing "extra features" (like the ability to search through all the back-issues, etc.). I like looking through a good paper magazine, too, but I think this one is a good resource and could still be if it were web-only.
We have similar issues this side of the pond (for those who haven't seen the international news lately Europe is currently on the brink of meltdown ) which made me ponder this one. My thought is that if this is a viable business that has been going for 16+ years .... why does it now need a loan? If they've been doing OK for say 10 years (allowing 6 to get properly going) they should have paid off all their debts and each month/quarter income should be able to cover ongoing costs. If after 16 years they need a loan to pay the next print run then that suggests the business is no longer viable and I would certainly be reluctant to invest. I think the financial advisors that said "Model Railroad News is a strong viable business and well worth the investment" were maybe being too nice. Perhaps someone who knows more about such a business set-up can tell me where I'm wrong here, as I tend to think simple (which is what our banks and governments have signally failed to do for a good 30 years or more). Still sorry to see another railway supplier leave the stage though
cost of doing business I don't know their financials either but they did say the subscription rate was dropping which resulted in the shutdown. I think advertising covers part of the cost of the magazines but I am sure it does not cover it all. I am thinking from what they said was there simply was not enough income to continue day to day operations and print the magazine. Like everything else now days, costs go up but income does not follow. At any rate, a loan might have only extended the inevitable and the end would have come regardless. I think a lot of people are in the same boat and so they cannot afford to take all the mags that are available. I know I have cut out a couple myself for now because I have to pay for increase grocery and fuel costs, etc. I hope they do consider an online production but that still takes staff and manpower costs as well as web site costs.
I believe it is very obvious that too many of us in this hobby today have a very reduced budget available for spending. With the increased costs of all lifes staples and taxes steadily eroding household finances, we simply do not have the ability to spread out as much. Focus is forced to be greatly narrowed on spending. It won't matter if e-zine or in print, if it costs money, we will need to seriously consider continuing any subscription.
Life for me has changed drastically since 2004. In 2004, I had subscriptions to Model Railroader, Trains, and Classic Toy Trains as well as two model airplane magazines, Fly RC and Flying Models. I also spent a lot more on trains back then. I did not hesitate to go to the hobby shop and get things for whatever I was working on. Now days, I really have to budget and think about my hobby dollars. Honestly, I have no model railroad or airplane subscriptions, even my JP and 4X4 magazine subscriptions are done. Ironic enough, I make slightly more money now than I did in 2004, but I spend less. It boils down to time and money.
It also doesn't help when they want you to pay for tips and tricks when you could easily talk to anyone and get that information for free.
Hmmm... our dollars are worth less money plain and simple. i kept thinking prices were going up, but perhaps our dollars are worth less. Who's got dollars to blow on magazines? Not me. I had a strange experience while on vacation in another country years ago. The bathroom in the hotel had toilet paper with an American label on it. Made in America and exported to another country. In that country the toilet paper cost maybe 1/5th what it cost in the USA, if that. It made me wonder about global economies and how I was paying 5 times for it in the country where it was made, but it was being exported and sold for a fifth or less. I realized at that point that maybe I have no clue how these things work. Or that my cost of living was artificially inflated somehow. Now if I can just get exported american goods and purchase them from outside the USA and then ship them back, I may be able to afford things better. Maybe then I can support those train magazines again. he he he
Read Catch-22 Milo Minderbender's Syndicate Operation explains perfectly how this is possible. But you'll have to track it VERY carefully to figure out how he makes so much more for Eggs even when Eggs at the lowest price are only half as much profit...
