The good news for newspaper advertising is that it just experienced its smallest drop in any one quarter since 2007. Spending for print ads was down 7.6 percent. It shows you how bad things have been overall that we consider that figure hopeful. But online spending was actually up by 13.9 percent. – giving us a total drop of 5.5 percent. Here’s the official glass-is-half-full interpretation from John F. Sturm, president and CEO of NAA: “The steady transformation of the newspaper industry is clearly evident in these latest revenue figures. Despite a highly competitive environment, online advertising growth rebounded back into double digits, while declines in traditional revenue categories continue to moderate as the general advertising recovery progresses. The fact that online now represents nearly 12 percent of overall newspaper advertising revenues bodes well for our medium’s future in an increasingly digital environment. Even as the economy is slow to rebound, there is heightened optimism within the industry – a confidence reflected in second quarter earnings reports from public newspaper companies. New business models are taking hold, with publishers continuing to invest in platforms that deepen audience engagement in print and online. In a world where trusted, high-quality content is in demand, newspaper companies are uniquely positioned to benefit from the advertising recovery.” Or, if you’re a half-empty type, try this observation, from Alan Mutter: “Following a historic pattern that shows newspapers take in roughly 47 percent of their ad revenue in the first half of the year, it is possible to project that full-year sales for the industry will drop some $2 billion this year to finish at approximately $26.5 billion. Assuming no major positive or negative changes in the economy between now and the end of the year, this will put newspaper ad sales back to the lowest level they have seen since 1985.”
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