Axel Springer in 2014: Strategic Leadership of the Digital Media Transformation Harvard Case Solution & Analysis

Axel Springer in 2014: Strategic Leadership of the Digital Media Transformation Case Solution

In 2013, Mathias Döpfner, CEO of the printing home Axel Springer SE, a premier source of material in Germany, with its preferred papers and publications for example, Bild and Pass away Welt, was examining the development of his business's digital transformation. The introduction of the digital transformation by the end of the twentieth century had actually triggered a considerable shift in the printing market. Standard print media gamers were faced with significant technological improvements and modifications in customer tastes and how news was taken in. Therefore, the obstacle for Axel Springer remained in discovering fresh methods to disperse, generate income from, and even more establish its old item. This had actually needed the company to re-evaluate and adjust its business technique to the majority of efficiently line up with the new age.


Since 2013, Döpfner's two-stage digital change technique had actually been a sensational success. Axel Springer had more compared to 12,800 workers, overall earnings of $3.9 billion, and EBITDA of $625 million. The business had actually gone beyond the objectives it had actually set for digital media contributions to earnings and EBITDA, accomplished reach in 44 nations, and serviced 98 million special digital visitors worldwide.


Intending in April 2014, nevertheless, it was clear that the future still held numerous obstacles. Döpfner understood that Axel Springer would have to continuously effectively stabilize digital and conventional media company methods, even more restore the company's identity, and still leader the cultural shift within the company. Most notably, he understood the seriousness of preparing his company for the looming fight in between digitally changing old media material service providers (like Axel Springer) and brand-new huge digital innovation professionals (like Google) changing themselves into media business. He likewise considered whether it would be possible, and if so how, to activate an adequately effective union to assist the digitally changing old media material companies because fight.

Knowing Goal

This case is meant for usage in a course on examining the ramifications of, and browsing the troubles connected with, a corporation-wide item, facilities, and cultural transformation. The case checks out Axel Springer's development and the strategic choices made along the road to turning itself from the major print, to the leading digital, content company in Germany.


Döpfner had actually directed Axel Springer to come close to this job with a two-stage digital transformation method procedure. Starting in 2006, the business concentrated on natural development and late-stage digital acquisitions. This phase of the technique procedure had actually focused around success and the infusion of digitization into the business culture. In 2013, the 2nd phase of the method procedure was owned by Döpfner's solution of the company's business objective to become "The Leading Digital Publisher" and his specifying the business's organisation as its top quality material and not its circulation channels. With this brand-new method, Axel Springer planned to embrace early-stage financial investments and entrepreneurship and grow earnings through 3 service designs: paid material, marketing, and categorized marketing.

This is just an excerpt. This case is about Business

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