A blog on issues affecting Australia's newsagents, media and small business generally. More ...

Red ink washes US newspaper ad revenue

MK-AK967_NEWSPA_20070717203235.gifThis graph, published in the Wall Street Journal, documents a horror story for US newspaper publishers. This shows that the rate of decline in newspaper advertising revenue has accelerated since the beginning of the year. The ad decline reflects sales decline.

We know from basket data that over 70% of newspapers sold in newsagencies are sold alone. We also know that newspapers are the key habit based traffic generator for newsagencies. When the US trend hits here – even allowing for locaol conditions such as the US real-estate slump – it will hit newsagents hard. This is why working on your newsagency of the future is crucial.

Be sure to read Emily Steet’s excellent report at the WSJ for details.

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