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The Case for Print

The Case for Print. Print revenue from advertising and subscriptions still account for more than 65% of most all metro papers total revenue. Newspapers have successfully raised home delivery prices and shifted some of the revenue burden away from their dependency on print advertising.

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The Case for Print

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  1. The Case for Print Print revenue from advertising and subscriptions still account for more than 65% of most all metro papers total revenue. Newspapers have successfully raised home delivery prices and shifted some of the revenue burden away from their dependency on print advertising. Newspaper print advertising CPM’s are 5–7x higher than digital advertising CPM’s.

  2. Problems with Print Print ad revenues have declined year‐over‐year for more than 30 consecutive quarters. Total newspaper print circulation peaked in 1990 and has been declining ever since. The print subscriber demographic profile skews very old.

  3. The Case for Digital 100 million people are accessing newspaper media on laptops and desktops. 127 million people are accessing newspaper media on smartphones and tablets. The New York Times has almost 800,000 digital‐only subscribers. Facebook generated almost $1.3 billion in mobile advertising revenues in 2013. In November of 2013, Millennials clocked in at an average of 96 hours online – both desktop and mobile. On December 25, 2013, there were 17.4 million digital device activations, far surpassing the 6.8 million activations on December 25, 2012. Marc Andreessen says the News Business will grow by 1,000 percent.

  4. Problems with Digital Most metro papers have a digital‐only subscriber base that is less than 15% of their Sunday print subscriber base. The supply of digital advertising impressions continues to expand aggressively putting downward pressure on digital advertising CPM’s. The rise of programmatic buying/selling of digital advertising puts more downward pressure on digital advertising CPM’s.

  5. Problems with Digital Local news audiences don’t scale digitally. And that’s a problem because: • Take 40 million page views per month (TDMN monthly average) • Put two ad positions on every page • Achieve an annual 80% sell through rate at an average $8 CPM for all ad positions • In one year you will generate a total of $7.6 million.(That’s less than 2% of TDMN’s total revenues.)

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