Could Yahoo save the newspaper industry?
Alan Mutter of Tapit Partners, and former deputy editor at the San Francisco Chronicle, quotes one analyst who reports that newspaper publishers have seen early, positive online sales improvements after partnering with Yahoo on advertising in the US.
Deutsche Bank securities analyst Paul Ginocchio thinks that the partnerships could rally the industry: "In our top-down industry model, we've been expecting industry revenue growth to turn positive around 2010-2011, with EBITDA growth turning positive a year later. We believe this deal could move ahead by a year or more the inflection point where online revenue gains offset print declines."
Publishers that signed up to sell online advertising with Yahoo include Hearst, Media News, Media General and Belo. The first part of the deal involved local newspaper sites selling job ads for the HotJobs network, and on to banners, keywords and local ads.
Banner revenue could grow by as much 50% this year for participating newspapers and by more by 2009, while classified and job ad revenue could grow by around 11.8% next year.
Total online ad revenues could grow by 40% between 2008 and 2010 - double the industry growth for the first half of this year, and enough to offset declining print ad sales as early as 2009. (Newsosaur)
- The San Francisco Chronicle is testing seven touch-screen computer coffee tables across the city, offering free access to its news site SFGate.com. Maybe that Microsoft coffee-table iPhone killer is taking off after all. (Editor & Publisher)
- The Evening Standard has a new website with blogs, podcasts and whizzy little voting things. The Standard dropped breaking news from ThisIsLondon in July 2005 to focus on entertainment. Associated also launched a dedicated advertising site. (Press Gazette)
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