Archive for August 3rd, 2009

Newspaper ads to rebound in ’10

Monday, August 3rd, 2009

One analyst says newspapers will find their niche and rebound next year, with an ad revenue gain of 2.4 percent to $36.8 billion in 2010.

Bloomberg says a report from Borrell Associates Inc. has the optimistic outlook. The projection runs against estimates from other researchers, including Magna Global, which said last month ad revenue for newspapers would fall 9.3 percent in 2010.

“We’re expecting U.S. newspapers to see a decline in 2009, then a mild rebound over the next five years,” Borrell says on its Web site. “Our latest projections call for a 2.4% increase in newspaper advertising in 2010, and low single-digit increases for several more years.”

“Borrell sees ‘newspapers redefining their products and maintaining a strong marketplace niche,’ President Colby Atwood said in a report, according to Bloomberg. ‘Larger papers will continue to experience layoffs, abbreviated publication schedules and outright closures.’