BuzzFeed Encourages Reporters to Write More Stories in Attempt to Turn Profit

“There are so many things outside of our control—the advertising market, the economy, a recession,” Ms. Waclawiak told the newsroom, according to a transcript of the meeting reviewed by The Wall Street Journal. “But what we can control is how many stories we publish each day.” 

Ms. Waclawiak during the staff meeting also noted that the effort to increase volume came while the newsroom was “much smaller than it used to be.”

BuzzFeed has reduced the size of its roughly 100-person newsroom by about 40% in the past year, while shifting its focus away from long-form investigations and coverage areas, such as politics and financial news, and toward internet culture, celebrity news and the biggest news of the day.

The company said it continues to do long-form journalism, citing a piece last week of about 6,000 words about

Andrew Tate,

a former kickboxer and internet personality who was arrested in Romania last year on suspicion of human trafficking. Mr. Tate has denied the allegations.

Ms. Waclawiak said in a statement that BuzzFeed News is developing a strategy to get to profitability that includes publishing more stories, focusing on topics that resonate with its audience, and “pursuing long-form investigations that can serve as the basis for documentary projects.”

BuzzFeed said it published 404 articles in February, a 24% increase from the year-earlier period. 

Digital publishers are struggling to boost revenue as advertisers pull back on spending. BuzzFeed, which on Monday said it lost $105.4 million in the fourth quarter on revenue of $134.6 million, generates revenue beyond traditional advertising.

BuzzFeed’s other drivers include its e-commerce business, which gets revenue from recommending and selling products online, and a category labeled as “content revenue”—which the company describes as payments it gets from clients for products such as branded quizzes and sponsored content.

Earlier this year, BuzzFeed said it would rely on ChatGPT creator OpenAI to enhance its quizzes and personalize some content for its audiences.

Ms. Waclawiak told staff that BuzzFeed News’ increased publishing volume had improved the visibility of its content on external platforms including Apple News and NewsBreak, leading to higher revenue.

In the past, the company relied largely on

Meta Platforms Inc.’s

Facebook for traffic referrals, but BuzzFeed’s audience is spending less time on the platform, according to comments from recent earnings reports. 

BuzzFeed’s stock lost a quarter of its value on Tuesday, closing below $1, after the company on Monday afternoon said it expected to generate between $61 million and $67 million in revenue in the first quarter, compared with $91.6 million in the comparable period in 2022.

The digital publisher on Monday also said the majority of its cash had been held at

Silicon Valley Bank,

which collapsed Friday after a run on deposits and was taken over by regulators.

BuzzFeed said it ended 2022 with cash and cash equivalents of approximately $56 million. U.S. regulators announced steps over the weekend to guarantee all deposits of SVB. 

“The Silicon Valley Bank situation definitely impacted our weekend but I don’t think it will have a big impact on our business,” BuzzFeed Chief Executive

Jonah Peretti

said during the company’s earnings call.

BuzzFeed shares have shed about 90% of their value since the company went public in December 2021 through a merger with a special-purpose-acquisition company.

Write to Alexandra Bruell at [email protected]

“There are so many things outside of our control—the advertising market, the economy, a recession,” Ms. Waclawiak told the newsroom, according to a transcript of the meeting reviewed by The Wall Street Journal. “But what we can control is how many stories we publish each day.” 

Ms. Waclawiak during the staff meeting also noted that the effort to increase volume came while the newsroom was “much smaller than it used to be.”

BuzzFeed has reduced the size of its roughly 100-person newsroom by about 40% in the past year, while shifting its focus away from long-form investigations and coverage areas, such as politics and financial news, and toward internet culture, celebrity news and the biggest news of the day.

The company said it continues to do long-form journalism, citing a piece last week of about 6,000 words about

Andrew Tate,

a former kickboxer and internet personality who was arrested in Romania last year on suspicion of human trafficking. Mr. Tate has denied the allegations.

Ms. Waclawiak said in a statement that BuzzFeed News is developing a strategy to get to profitability that includes publishing more stories, focusing on topics that resonate with its audience, and “pursuing long-form investigations that can serve as the basis for documentary projects.”

BuzzFeed said it published 404 articles in February, a 24% increase from the year-earlier period. 

Digital publishers are struggling to boost revenue as advertisers pull back on spending. BuzzFeed, which on Monday said it lost $105.4 million in the fourth quarter on revenue of $134.6 million, generates revenue beyond traditional advertising.

BuzzFeed’s other drivers include its e-commerce business, which gets revenue from recommending and selling products online, and a category labeled as “content revenue”—which the company describes as payments it gets from clients for products such as branded quizzes and sponsored content.

Earlier this year, BuzzFeed said it would rely on ChatGPT creator OpenAI to enhance its quizzes and personalize some content for its audiences.

Ms. Waclawiak told staff that BuzzFeed News’ increased publishing volume had improved the visibility of its content on external platforms including Apple News and NewsBreak, leading to higher revenue.

In the past, the company relied largely on

Meta Platforms Inc.’s

Facebook for traffic referrals, but BuzzFeed’s audience is spending less time on the platform, according to comments from recent earnings reports. 

BuzzFeed’s stock lost a quarter of its value on Tuesday, closing below $1, after the company on Monday afternoon said it expected to generate between $61 million and $67 million in revenue in the first quarter, compared with $91.6 million in the comparable period in 2022.

The digital publisher on Monday also said the majority of its cash had been held at

Silicon Valley Bank,

which collapsed Friday after a run on deposits and was taken over by regulators.

BuzzFeed said it ended 2022 with cash and cash equivalents of approximately $56 million. U.S. regulators announced steps over the weekend to guarantee all deposits of SVB. 

“The Silicon Valley Bank situation definitely impacted our weekend but I don’t think it will have a big impact on our business,” BuzzFeed Chief Executive

Jonah Peretti

said during the company’s earnings call.

BuzzFeed shares have shed about 90% of their value since the company went public in December 2021 through a merger with a special-purpose-acquisition company.

Write to Alexandra Bruell at [email protected]