The 1% Problem: Why AI Overviews Are Killing Newsroom Revenue

Only 1% of people who see a Google AI Overview click through to the publisher.

That number is rewriting newsroom economics - and most P&Ls have yet to catch up.

In under 4 minutes, Gary Palmer (Electric Sheep) breaks down the cyclical problem and the playbook for fixing it.

The 3-part problem:

1. Traffic falls - CTRs on key queries collapsed from 11.8% to 1.2%.

2. Revenue follows - fewer clicks, fewer subs, less ad inventory.

3. Newsrooms shrink - Evening Standard, LA Times, Sports Illustrated. More to come.

3 reasons to double down on video:

1. De-risk distribution. Four platforms Google doesn't gatekeep — TikTok, Instagram, YouTube, Facebook.

2. Build a new revenue line. One team hit 20× Facebook monetisation in 12 months.

3. Reach a younger audience. 43% of under-30s now get news from TikTok.

Built for newsroom P&L owners and heads of digital who need the post-Google playbook.