Saturday, October 18, 2014

Newspaper revenue is No. 1 in U.S. ad market: Study



Total annual news revenue in the United States in 2013 was $63.2 billion, led by daily newspapers, which earned $38.6 billion, according to the Pew Research Center’s “State of the News Media 2014.” Despite their significant market share, newspapers continue to downsize their operations as their once vast empires continue to shrink, due mostly to a steep decline in print advertising revenue.

After newspapers, the media earning the next largest shares of adspend are local TV news with $8.9 billion, cable news with $5.2 billion, weekly newspapers with $3.6 billion and network TV news with $2.1 billion.

World Newsmedia Network has published Global Digital Media Trendbook each year since 2006. The 2014 trendbook contains 500 data sets and 230 pages of analysis about digital media usage and revenue patterns, including this data set. To download the GDMT free executive summary, go to www.wnmn.org

Identity theft, viruses concern U.S. audiences: Study


The Zogby survey also identified the biggest concerns among U.S. Internet users, including identity theft, 38.7 percent; viruses and malware, 33.5 percent; government surveillance of data, 12.3 percent;, cyber bullying and stalking, 4.6 percent; and behaviourally targeted advertising, 4.4 percent.

World Newsmedia Network has published Global Digital Media Trendbook each year since 2006. The 2014 trendbook contains 500 data sets and 230 pages of analysis about digital media usage and revenue patterns, including this data set. To download the GDMT free executive summary, go to www.wnmn.org

Saturday, October 11, 2014

U.S. publishers’ views on digital subscriptions: OPA Study

According to an Online Publishers Association study in 2013 digital subscription strategies in the United States, three media company executives responsible for subscription strategies emphasized that it is not just charging for content, but then retaining customers by engaging them, that is key. This can be accomplished by applying data-driven audience analytics to the subscription strategy.

“Retention and churn are huge issues for a digital subscription business. This has been a world of revelation – it’s not something the publishing industry had to deal with before. There are thresholds in usage (engagement) that show when people are likely to cancel subscription; this is what drives our product management – measure of success is how much new features drive the engagement on the site.”
- Rob Grimshaw, Managing Director, FT.com

“Engagement is very important to success – we need to convince people to spend more time with the New York Times and thus value their subscription more. Our recommendation engine is one such effort.”
- Denise Warren, EVP, Digital Products & Services, The New York Times
- Kim Miller, VP, Digital & Traditional Consumer Marketing, PEOPLE brand, Time Inc.
- Rob Grimshaw, Managing Director, FT.com
- Saira Stahl, VP, Corporate Strategy, Gannett Co, Inc.
- Rob Grimshaw, Managing Director, FT.com
- Christian Nimsky, VP, Digital Interactive Products & Services, Consumer Reports
- Saira Stahl, VP, Corporate Strategy, Gannett Co, Inc.

“We take inspiration from companies like Amazon, which spend a lot of time acquiring a customer and then spend an equal amount of time programmatically [i.e. applying data science] keeping the consumer engaged.” - Michael Rolnick, Head of Digital / Chief Digital Officer, The Wall Street Journal
--Source: “Digital Subscription Strategies Pay Off,” Online Publishers Association, reprinted with permission

The connection between subscriptions and the ability to sell higher-value advertising units is ramping up.

“When consumers login on the website we know who the they are...we can marry the behavior to demograph- ic and subscription data. This allows us to not only target the consumer as we pitch our internal products and content, but also allows advertisers to target better.”

“We are making investment in data analytics – this not only drives our consumer-focused efforts, but is some- thing we can also sell to advertisers. Our interactive tools allow us to know the consumer better – I think this is going to be hugely valuable to advertisers, this is where we will get a premium. Our total ad sales have grown 30% in the last few years even as print declined; we have not had an issue with trading print dollars for digital dimes.”
- Joshua Macht, EVP & Group Publisher, Harvard Business Review Group

“We have grown advertising business every single year since we’ve introduced subscription. Because of the deep relationship we have with the audience and the data we have on our subscribers we can guarantee that advertisers reach very specific scarce audiences. We consistently achieve a premium above market CPM.”

“We have more data on our consumer demographics that we can share with advertisers. We can show that this is a more valuable audience – more affluent, more digitally oriented. Moreover, we can also offer advertisers more information about what content consumers are interested in.”

World Newsmedia Network has published Global Digital Media Trendbook each year since 2006. The 2014 trendbook contains 500 data sets and 230 pages of analysis about digital media usage and revenue patterns, including this article. To download the GDMT free executive summary, go to www.wnmn.org

TV, newspapers still get lion’s share of advertising revenue


Free TV continues to take the lion’s share of advertising expenditure in 2013, with 31 percent, followed by newspapers (17 percent), pay TV (10 percent), search (9 percent), and a three-way tie with magazine, radio and out-of-home, each with 7 percent, according to MAGNA Global.

North America in general, and the United States specifically, continue to garner one-third of the ad market, while Asia Pacific, and particularly Japan and China, draw another one-third. Twenty-eight percent belongs to the Europe, Middle East and Africa region (EMEA), which is anchored by Western Europe, at 21 percent of the world’s advertising spend. Meanwhile, Latin America drew 7 percent of the share in 2013.


World Newsmedia Network has published Global Digital Media Trendbook each year since 2006. The trendbook contains 500 data sets and 230 pages of analysis about digital media usage and revenue patterns, including this data set. To download the GDMT free executive summary, go to www.wnmn.org

Wednesday, October 1, 2014

New competitors is top barrier to grow for media companies


The top two issues that are standing in the way of growth for media companies are the entry of new competitors and the competition from free and low-cost alternatives to media companies’ products (such as offshoring). Those two tied for the top spot as the top barriers to growth, with 43 percent each, according to the Econsultancy study.

Meanwhile, innovation from traditional competitors and the move from offline to online content also have presented key challenges for media companies in 2014.

World Newsmedia Network has published Global Digital Media Trendbook each year since 2006. The trendbook contains 500 data sets and 230 pages of analysis about digital media usage and revenue patterns, including this data set. To download a free executive summary, go to www.wnmn.org

Lack of talent in emerging technologies is top internal barriers to growth for media companies


Lack of talent in emerging areas like technology and the Internet are becoming a significantly bigger problem in 2014, according to the Econsultancy media growth report. In 2013, 40 percent of the respondents said lack of talent in emerging areas was a problem, while 49 percent said so in 2014. This could be due to the evolving needs for new advertising, Internet and Big Data technologies in the past years, and the competition for talent in the marketplace in general.

Meanwhile, the lack of senior management talent is of less concern than in 2013, according to the study. In 2013, 34 percent of the respondents said lack of management talent was a problem, while in 2014 only 22 percent said so.

World Newsmedia Network has published Global Digital Media Trendbook each year since 2006. The trendbook contains 500 data sets and 230 pages of analysis about digital media usage and revenue patterns, including this data set. To download a free executive summary, go to www.wnmn.org

Senior management, customer requests are top product sources: Study


Fewer than one in three of the respondent companies have innovation programs with purview over the development of new products, according to the Econsultancy study. “Those that do [have defined innovation programmes] report significant benefits in interviews and open responses, most notably that the practice puts an emphasis on high margin or high value products that other sources don’t.”

For the companies without defined innovation programs  key product development ideas mostly come from senior management (80 percent), customer requests (72 percent), the sales and marketing team (62 percent) and competitors (56 percent).

World Newsmedia Network has published Global Digital Media Trendbook each year since 2006. The trendbook contains 500 data sets and 230 pages of analysis about digital media usage and revenue patterns, including this data set. To download a free executive summary, go to www.wnmn.org

Acquisition of companies on decline for all but biggest media companies


The percentage of media companies with more than $250 million in revenue expecting an acquisition in the next year grew five percentage points between 2013 and 2014, while small companies anticipating an acquisition declined across the board, suggesting that smaller companies are finding it more challenging to make acquisition deals than in previous years of the Econsultancy study.

World Newsmedia Network has published Global Digital Media Trendbook each year since 2006. The trendbook contains 500 data sets and 230 pages of analysis about digital media usage and revenue patterns, including this data set. To download a free executive summary, go to www.wnmn.org