U.S. COMMERCIAL PRINTING DROPS BY 14% IN Q1 OF 2008

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U.S. COMMERCIAL PRINTING DROPS BY 14% IN Q1 OF 2008

 user 2008-06-19 at 11:16:34 am Views: 89
  • #19984
    http://www.editorsweblog.org/newspaper/2008/06/us_print_ad_sales_drop_newspapers_advert.php
    US: Print ad sales drop; newspapers, advertisers eye ROP ads
    U.S.
    newspapers’ print advertising sales dropped a record 14 percent in the
    first quarter of 2008, a result of dwindling real estate and job
    markets, and the migration of traditional print advertisers to the
    Internet. The decline is the industry’s biggest fall since
    1971.According to Kip Cassino, research director at Borrell Associates,
    a media consulting firm in Williamsburg, Virginia, traditional print
    stalwarts real estate, recruitment, and automotive are abandoning
    newspapers for their own websites.”This stuff isn’t going to online
    intermediaries…It’s going to companies that say, ‘I can do my own
    advertising,’” Cassino said. “Newspapers’ biggest competitors are their
    former advertisers.”

    But there may be a way for newspapers to
    reverse the tide of shrinking advertising, according to Alan Mutter of
    Newsosaur.blogspot.com.Mutter says that run-of-paper (ROP) advertising
    - a system in which editors determine the placement of advertisements -
    is experiencing a revival among large national retailers. Such
    retailers have traditionally favored free-standing color inserts, but
    are considering switching to ROP ads, which present a cheaper, easier
    alternative.”At a time of soaring fuel costs, it is vastly cheaper to
    email a digital image of an ad to a newspaper than to have paper reels
    shipped from a mill to a commercial printer and then have the finished
    product loaded on a second truck to be hauled to their final
    destination,” Mutter writes.Mutter says that ROP advertising is
    favorable to newspapers as well, “fetching a higher rate” while
    eliminating the “logistical nightmare” of distributing inserts.As
    Mutter demonstrates, ROP advertising could be a winning scenario for
    both newspapers and advertisers.