Posts Tagged ‘Newspaper’

Are newspapers losing relevance as a news source?

December 11, 2012 1 comment

Last week, mobile ad network Mojiva published the results of a survey regarding news consumption of smartphone and tablet owners in the United States. The results of the survey among 2,000 mobile device owners show that computers and television are the primary news source for most respondents. Meanwhile only one percent of smartphone and tablet owners consider newspapers their primary news source. Now that online sources deliver news 24/7, newspapers appear to have lost relevance as a news medium. To avoid obsolescence, newspaper publishers should embrace their new role and focus on in-depth analysis rather than news delivery.



Can things get worse for the U.S. print media?

October 31, 2012 3 comments

Can things get worse for the U.S. print media? Unfortunately, yes. Newspaper ad spending in the United States peaked in 2000 and has since then dropped to a level as low as it hasn’t been in 50 years. Magazines have suffered a similar fate and according to data released by eMarketer last week, the situation could get even worse for print media in the United States.

eMarketer compared selected media’s share of the time Americans spent with media with their share of total ad spend in 2012.

While in the cases of TV, online and radio, the time spent with the medium is roughly proportionate to the share of ad expenditure, newspapers and magazines hold a significantly larger share of total ad spend than they should if ad spend were proportional to the time spent with the medium.

American adults on average only spend 3.1 percent of their media time reading offline newspapers, yet newspapers rake in 11.5 percent of total media ad revenues.  The opposite holds true for mobile: Americans spend 11.7 percent of their media time on mobile devices, yet mobile advertising only accounts for 1.6 percent of total ad spend.

If the numbers at hand are any indication for the future growth of advertising mediums, mobile ad expenditure is about to take off. For newspapers and magazines however, the worst may be yet to come.

Online news surpasses newspapers and radio

October 5, 2012 1 comment

You could see this coming but it is still amazing to know it has finally happened. I’ve noticed my own transition from a lover of newspapers to someone who has completely transitioned to completely consuming news online. Last week, the Pew Research Center published further evidence for the sorry state of the newspaper industry.

In the 2012 edition of Pew’s biennial survey on news consumption, only 29 percent of the respondents claimed having read a newspaper the day before, down from 58 percent in 1994 and 39 percent in 2002. Meanwhile, more and more Americans are turning to online sources to get their news updates. In 2012, 39 percent of the respondents had consumed online news the day before the survey, surpassing not only newspapers but also radio news. Television remains the number one news source for Americans. 55 percent of the respondents in the 2012 survey had watched a news program on TV on the day prior to the survey.

This chart shows how news consumption in the United States has changed over the past two decades. Will TV news be next?

50 year view of newspaper advertising – This is not good for them

September 17, 2012 1 comment

Two weeks ago, the Newspaper Association of America published its quarterly advertising report. The results were not good. In fact it was the worst quarter in thirty years when accounting for inflation.

Looking at annual numbers, the outlook is even more dramatic: if nothing extraordinary happens in the last few months of this year, 2012 will be the worst year for American newspapers since 1950. Professor Mark J. Perry of the University of Michigan estimates print advertising revenues of $19 billion this year. Taking inflation into account that is a 71 percent decline from the peak in 2000 and below the level of 1950!

The decline of newspaper advertising revenue continues

September 7, 2012 3 comments

The decline of newspapers continues. In a digital world it is very predictable for all forms of traditional media. The Newspaper Association of America published its quarterly advertising report this week and the results are not good.

Whoever hoped that Newspaper advertising had already hit rock bottom was disappointed. In the second quarter, advertising revenues of American newspapers declined another 6 percent to $5.7 billion. Since the second quarter of 2003 print ad revenues have declined by more than $6 billion, a loss that the $500 million raise in online ads is nowhere near covering. Accounting for inflation, the past quarter marks a 30-year low in newspaper advertising.

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