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-30-. For newspapers, the news has swiftly gone from bad to worse. This year is taking shape as their worst on record, with a double-digit drop in advertising revenue, raising serious questions about the survival of some papers and the solvency of their parent companies.
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For newspapers, the news has swiftly gone from bad to worse. This year is taking shape as their worst on record, with a double-digit drop in advertising revenue, raising serious questions about the survival of some papers and the solvency of their parent companies. New York Times 6/23/08
In the future there will be two categories of newspapers: those that survive and those that die. Dean Singleton June 2008
Craig’s Numbers • Page Views: 8 Billion • Monthly Users: 25 Million • Monthly Ads Posted: 20 Million • Monthly Job Listings Posted: 1 Million Annual Revenue: $25 Million
Newspaper Profits • Classified typically counted for 65% of Newspaper Profits
Ad Revenue Trends • 2000 48.7 Billion • 2007 42.2 Billion
Readership • In 1990 a typical newspaper reached 60-65% of a market • Today that figure is about 40%
Readership Adults 18-34 • Only 19%
Online Revenue Trends Local Online Advertising +31.6% In 2007 Borrell Associates
Local Banners and Listings are the lowest growth category… • Newspapers are missing out on the highest growth categories.
Online Revenue Trends • Paid Search: 86.1% • Local Email: 54.3% • Banners/Listings 18.5% Borrell Associates 2007 Figures
Advertisers are moving away from portals due to lack of local content. • Newspapers own more content than any industry in the world.
Traditional Media Must Shrink--it’s all about niches • Newspapers are a special case
When an offline reader dies, he or she is not being replaced. How much time do they have? We think 20-25 years.” Jeffrey Cole, Director, Center For the Digital Future, USC Annenberg