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We live and work in exciting times - revolutionary times. Technology continues to recast the media industry.
The extraordinary advance of affordable personal digital technology and the stellar rise of social networks are both distrupting and transforming the media market making this a unique moment to be involved in the convergence sectors we focus on.
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Thursday, 22 November 2007
Are online ads the answer for Newspapers?
US Newspaper ad sales continue their long decline, down 7.4 percent in the third quarter.
Ok this is a well established trend but what we all really want to know is will the shift to online replace the lost print ad revenues?.
NO - and not by a long way
While online ads keep growing up 21 percent to $773 million industrywide, it is not enough to make up for the decline in print ads. Print ads in the third quarter in US were $10.1 billion. That is $1 billion less than they were in the same quarter last year. Meanwhile, online newspaper ad sales rose only by $135 million. After six straight quarters of decline, print ad sales are at 1997 levels—lower if you adjust for inflation.