Joe

One-Third of Web Users Visit Newspaper Sites

Sorry, I forgot to post the INMA article mentioned.
www.inma.org/modules/b...

One-Third of Web Users Visit Newspaper Sites

I agree with Relayer10 that skepticism is appropriate.
Quite recently the INMA published a quite remarkable article.
Among others, one could learn form it that the newspaper industry
tells it clients they should spend 5% of their revenue on
advertising.
Not bad if the advertisers are willing to spend like that, forego all
other consideration. For a long time it worked indeed.

From that article one also learns how the ad industry, very
much interested in growing ad revenue managed to get
ever more revenue in the past indeed. Just like the arms race.
Whereas now it might be prudent to take other factors into
account. For instance, where consumers are concerned,
that advertising can be pretty counterproductive meantime.
Advertising Christmas 08 turned into a disaster, retailers had
to begin with discount sales early December, including the
luxury segments. It's possible that this experience is somehow
repeated again this year, the newspaper blues following
in January and February when the financial data is getting
published.
And then of course the side of businesses has to be
considered, like in that article from 2004, pointed out because
one of the papers mentioned folded this year.
denver.bizjournals.com...

Could News Corp Become a Victim of New Media?

The article is indeed a bit flip flopping in the conclusion. However,
the data coming with it is nicely presented and useful.
Whether the media industry is in a state of shock or, as is often
critically mentioned, in a state of mental rigor mortis due to self-
chosen and well practiced cognitive dissonance and ignorance is
another question.
What has changed dramatically are the personal economic
circumstances of a larger part of the populations all over the place. For instance foreclosures and cancelled credit cards
(because maxed out) were practically unknown in 2004 or 2005.
Not to mention jobs lost and businesses / firms closed.
In single cases this means a newspaper subscribers' address
is unknown, he was "moved" out. And this means at the same
a TV viewer is now somewhere else, in changed circumstances.
And so on.
Not to forget, ironically speaking, the habit of the media, the
ad sales strategy, to sell a specific region, which actually has a
median income of $ 24 000,- for $ 100 000,- to the advertising
clients. Now that's a bit exaggerated but so far from "reality".
Eventually the various - and notorious - gangs of facts have
their say, turn out to be the "force majeur", having the last word.
That's just some critical aspects, of course.

Six in 10 Consumers Still Rely on Newspaper Ads

That the NAA would produce such "surveys" is understandable.
However, looking forward to Xmas advertising this year it is easy
to see some problems ahead. Xmas 2008 was a matter of
"management by surprises and experiences" by many in the
retail sector. Many had to start with discount sales weeks before
Xmas. And hence the "shocking" stories in January and February
about declining ad revenue.
As the same economic situation exists, if it's got no worse for
consumers since then, retailers will have to mind their pricing
strategies - and hence be careful with ad expenses. (On top
of that: consumers have changed behaviour, many have the
patience to wait for discount by now, for instance.)
In other words: the experience with ad campaigns and ad
expenses is likely to be repeated (for those not careful in that
sector). And one could continue with many more caveats and
arguments.