Newsprint is Saved! [Today in Infographics]Posted: August 7, 2009
The worst is over for the newspaper industry? I love the headline on the piece, “Newspapers ‘Back from Brink’ of Doom” Here’s why, according to Borrell Associates:
According to Colby Atwood, president of Borrell Associates, the outlook for the industry will improve even more after next year. By 2014, newspaper income will be up a total of 8.7% over the 2009 figures, to slightly more than $39 billion (not including online revenues), he said.
Though this rebound will be mild and still short of its 2008 level, it will be enough to increase newspapers’ overall share of total ad revenue 1.5 points, from 14.4% to 15.9%.
Atwood believes that newspapers will bounce back because they already are heeding the call to redefine their products and target a significantly distilled audience of higher-educated, higher-income readers.
It is worth noting that these predictions do not take into account online revenues, either. But all the growth is in local news, not national.
The thesis of the rebound is specialization and the stabilization/growth of local, niche markets. That kind of undermines the whole “make national information the premium,” right? Low supply of information, even if the overall number is lower, is better to build demand than in really crowded markets (say, national news) where, even if you have a good product, supply can increase to break that down.
And I’m not even an economist.