The Outline was a digital media company launched in 2016, aiming to deliver high-quality, design-forward content for millennials. Despite its innovative approach and ambitious goals, it struggled with a clear editorial vision and sustainable revenue. Acquired by Bustle Digital Group in 2019, it ultimately shut down in 2020.
What Was The Outline?
The Outline was a digital media company offering bold, design-forward news content focused on power, culture, and the future. Its unique value proposition lay in its swipe-heavy, mobile-native design and immersive, full-screen ads. Notably, it achieved a clickthrough rate 25 times the industry average.
What Happened to The Outline?
The story of The Outline is a compelling narrative of ambition, innovation, and the harsh realities of the digital media landscape:
Founding Vision and Ambition: The Outline was launched in December 2016 with the goal of becoming a "next-generation version of The New Yorker." It aimed to captivate a millennial audience through a design-forward, unconventional approach to digital media.
Innovative Ad Strategy: The Outline's ad strategy was groundbreaking, focusing on immersive, full-screen ads rather than traditional programmatic ads. This approach initially garnered attention and set the publication apart in a crowded market.
Editorial Challenges: Despite its innovative design, The Outline struggled with a clear editorial vision. The lack of coherence made it difficult to define what constituted an "Outline story," which hindered its ability to build a loyal audience.
Financial Difficulties: Persistent financial struggles plagued The Outline, exacerbated by its inability to scale effectively. Multiple rounds of layoffs, including the layoff of all remaining staff writers in September 2018, highlighted the company's ongoing challenges.
Impact of COVID-19: The economic impact of the COVID-19 pandemic further strained The Outline's finances, ultimately leading to its closure. This marked the end of an ambitious attempt to redefine digital media for a new generation.
When Did The Outline Shut Down?
The Outline shut down on April 3, 2020, as part of a broader set of layoffs at Bustle Digital Group. The economic impact of the COVID-19 pandemic was a significant factor in the decision to cease operations.
Why Did The Outline Shut Down?
Muddled Editorial Vision: The Outline struggled to define a clear editorial direction, making it difficult to build a loyal audience. The lack of coherence in its content left readers unsure of what to expect, which hindered its ability to attract and retain a significant readership.
Ineffective Revenue Model: The Outline's focus on high-quality, immersive ads rather than subscriptions or memberships did not generate sufficient revenue. Despite innovative ad strategies, the site failed to achieve the financial stability needed to sustain its operations.
Impact of COVID-19: The economic downturn caused by the COVID-19 pandemic further strained The Outline's finances. The resulting financial pressure led to layoffs and ultimately the decision to shut down the site, as part of broader cuts at Bustle Digital Group.
Market Competition: The Outline faced stiff competition from established publications like The New Yorker, Wired, and Politico. Additionally, the dominance of Facebook and Google in the digital ad space made it challenging for smaller sites to compete for ad revenue.
Acquisition by Bustle Digital Group: The acquisition by Bustle Digital Group brought different strategic priorities that did not align with The Outline's original vision. This misalignment contributed to the site's inability to scale effectively and meet its ambitious goals.
Lessons Learned from The Outline's Failure
Clear Editorial Vision: Establish a coherent editorial direction to build a loyal audience and ensure consistent content delivery.
Revenue Diversification: Relying solely on ad revenue is risky; explore multiple revenue streams like subscriptions and memberships.
Adaptability: Be prepared to pivot strategies in response to market changes and economic downturns.
Competitive Analysis: Understand the competitive landscape and identify unique value propositions to stand out.
Scalability: Ensure your business model can scale effectively to meet growing demands and financial goals.
Strategic Alignment: Align with partners and investors who share your vision and strategic priorities.
Financial Prudence: Maintain financial discipline to weather economic uncertainties and avoid overextending resources.
We Shut Down Startups
The Outline's failure underscores the complexities and challenges of running a startup, from maintaining a clear editorial vision to navigating financial hurdles. If you're facing similar difficulties, Sunset can help you wind down your startup smoothly and efficiently.
Sunset takes care of all the legal, tax, and operational burdens, allowing you to avoid penalties and reduce liabilities. Book a demo to see how we can assist you in moving on to your next venture without the stress of a complicated shutdown.
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