Archive for March, 2011

McClatchy to offer its own daily deals

Friday, March 25th, 2011

McClatchy’s websites are set to launch a Groupon-like daily deals program next month while maintaining a partnership with Groupon, Ad Age says.

McClatchy could collect as much as 50 percent  from deals it sells and distributes through the in-house program, compared to 15 percent it reportedly gets from Groupon.

Groupon negotiates discounts with local businesses and offers coupons to subscribers through daily email. The benefit to local businesses increases as subscribers post the deals to social media sites.

McClatchy’s move follows others publishers that have tried their hand at their own Groupon-like programs.

Christian Hendricks, McClatchy’s VP-interactive media, says the publisher is taking what it learned from Groupon and applying it internally. “There’s no reason we can’t continue our relationship [with Groupon]; the agreement allows us to do both,” Hendricks said. “We will be in the same business.”

McClatchy, which publishes 30 daily newspapers, joined Groupon in July and offers it in 21 markets, including nine added in the last two weeks.

Local newspapers odd man out in recovery

Friday, March 18th, 2011

A continuing decline in local advertising made newspapers the only ad-supported medium not to benefit from last year’s economic recovery, says a study released Thursday by Kantar Media, a unit of WPP that tracks marketing activity in major media.

The study says total advertising revenue increased in the final quarter of 2010, which represents a full year of gains when compared to 2009 numbers, the New York Times said.

The study found a 6.5 percent increase in revenue compared with 2009. Ad spending fell 12.3 percent in 2009 compared to 2008.

Newspapers, with a decline of 3.5 percent overall, “was the sole category to suffer a decline last year compared with 2009,” the Times says.

“[G]ains in ad spending in national newspapers, up 2.7 percent, and Spanish-language newspapers, up 2 percent, could not overcome the decline in ad spending in local newspapers, which was 4.6 percent.”

Television grew by 10.3 percent compared with 2009. Internet display ads were up 9.9 percent. Outdoor media was up 9.6 percent. Radio grew by 7.6 percent. Free-standing coupon inserts were up 5.4 percent. Magazines saw 2.9 percent growth.

Automotive advertising, a local newspaper staple, was the category of advertising showing the most growth. It grew 19.8 percent compared with 2009, the newspaper said. Ads from auto dealers climbed 26.3 percent and ads from automakers increased 16.4 percent.

Newspaper ad revenue at 25-year low

Thursday, March 17th, 2011

Though the slide has slowed, the $26 billion spent on newspaper ads last year represents  a 25-year low, according to figures released Tuesday by the Newspaper Association of America.

The industry took in $25 billion in ad revenue in 1985, the Associated Press says.

“While the economy has slowly improved since 2009, newspaper ad sales continue to wane due to customers’ shift toward online advertising. Newspaper advertising totaled $7.3 billion in the last three months of 2010, down 4.7 percent from the prior year.”

Online ad revenue was up 10.9 percent last year to $3.04 billion after two years of decline, says Radio & Television Business Report. “All other ad categories were negative, although they did not repeat the double-digit percentage declines seen for two straight years (three for classified). National advertising fell 4.6 percent to $4.22 billion; retail was off 9.1 percent to $12.93 billion; and classified dropped 8.6 percent to $5.65 billion.”

NAA President and CEO John Sturm said advertising has shown signs of a continued turnaround and an essential repositioning. “Newspapers – in print and digital form – remain the largest source of original, high-quality news and information in the United States, reaching nearly two-thirds of all adult Internet users and attracting more than 164 million people who read a newspaper in print or online each and every week.”

Technology takes news away from journalists

Tuesday, March 15th, 2011

The takeover of news via the software necessary for digital platforms may be the  the biggest threat to journalism, not where or how people get information, says the annual State of the News Media Report.

“The biggest issue ahead may not be lack of audience or even lack of new revenue experiments. It may be that in the digital realm the news industry is no longer in control of its own future,” Tom Rosenstiel and Amy Mitchell of the Project for Excellence in Journalism write.

For the first time ever, more people regularly get their news online (46 percent) than from print newspapers (40 percent), the study says.  In fact, “Every media sector is losing audience now except online. …  In 2010 every news platform saw audiences either stall or decline — except for the Web.”

Rosenstiel and Mitchell say, “News organizations — old and new — still produce most of the content audiences consume. But each technological advance has added a new layer of complexity — and a new set of players — in connecting that content to consumers and advertisers.

“In the digital space, the organizations that produce the news increasingly rely on independent networks to sell their ads. They depend on aggregators (such as Google) and social networks (such as Facebook) to bring them a substantial portion of their audience. And now, as news consumption becomes more mobile, news companies must follow the rules of device makers (such as Apple) and software developers (Google again) to deliver their content. Each new platform often requires a new software program. And the new players take a share of the revenue and in many cases also control the audience data.

“That data may be the most important commodity of all. In a media world where consumers decide what news they want to get and how they want to get it, the future will belong to those who understand the public’s changing behavior and can target content and advertising to snugly fit the interests of each user. That knowledge — and the expertise in gathering it — increasingly resides with technology companies outside journalism.”

CBS vs. newspapers = WRAL vs. The N&O

Thursday, March 10th, 2011

A story about CBS’s plan to go after local newspapers and “make [the] company’s single-market websites into the new local newspapers” points at Raleigh and how WRAL’s site tops The News & Observer’s.

“[T]he dynamic in the broader Raleigh, N.C., market is remarkable,” MediaPost’s TV Watch blog said today. “Capitol Broadcasting Co.’s site for CBS affiliate WRAL-TV has greater Web traffic than the local News & Observer, which emphasized the Web at a considerable level before many other papers.”

CBS CEO Leslie Moonves told investors on Monday, “We think we can replace the Yellow Pages, replace the newspaper. … [W]hen you get up in the morning, you should be able to turn on that local CBS website and get everything you would need — everything that would be provided by your newspaper.”

Newspapers got a head start on the Web because it’s easy to post text and photos. But video, which CBS outlets have plenty of, is the key going forward, the blog says. People are “less willing to read lengthy articles. They’re hungry for info chunks. …

On Thursday, WRAL.com was streaming a murder trial live [the trial of Brad Cooper of Cary for killing his wife]. And a site visitor’s attention was immediately drawn to the one-click opportunity to get inside the courtroom. On the News & Observer site, there was a story about the case that took some scrolling to find. Pretty telling?”


Gannett to tag properties everywhere

Tuesday, March 8th, 2011

How big is Gannett? We’ll apparently get a demonstration beginning next week when it launches its first corporate branding campaign and puts its new logo all over its 81 community newspapers, 23 TV stations and more than 100 digital properties, according to USA Today, the publisher’s flagship, which will also display the logo.

New Gannett logo debuts Monday

The new Gannett logo debuts Monday.

“The goal is to communicate that the company — long identified as the nation’s largest newspaper publisher and a major owner of TV stations — has evolved into a forward-looking digital power,” USA Today says.

All of the company’s properties are to begin more prominently identifying themselves as part of Gannett via the new logo. The publisher will also run ads with the new tagline, “It’s all within reach,” on national cable news channels and in digital, print and social media.

Among Gannett’s digital properties is Captivate, which programs TV-like screens in nearly 9,000 elevators and lobbies, the newspaper says.