Yellow Media to cut 10% of workforce to further focus on Digital

Yellow Media to cut 10% of workforce to further focus on Digital

Yellow Media Ltd (Y-T ) recently announced that in order to further focus on its digital business it will cut 10 percent of its workforce, about 300 positions, mainly in its print and legacy businesses. It will also add more positions to its digital business.

As users and businesses continue to switch from paper based advertising to digital advertising, the traditional directory business for the Yellow Pages continues to suffer. Yellow Media has no choice but to invest further in digital products and services to the market. Thus far, Digital revenues account for 43 percent of total revenue and rose 34 percent in the third quarter of 2013.

The Yellow Pages has several Digital brands to focus on; of course their main online advertising, search and business listing solution, Mediative, provides digital advertising and marketing services for national agencies and advertisers; Red Flag Deals, the country’s largest couponing and deals community and portal; Shopwise, their online deals and shopping discovery app; YellowAPI their development extension, and a handful of other sites.

With the appointment of their new CEO ready to start as of January, Yellow Media stated that the majority of their cuts will be done by end of 2013 and the remaining by early 2014.