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Oct 25 2006
Merrill: 20 Years Till Online Is 50% of Newspaper Revs
In the past, financial analysts covering the newspaper industry haven�t paid much attention to online results. They�re more focused on quarterly results, which don�t have much to do with online. Indeed, despite several years of strong growth from online services, newspapers are still, typically, just getting 5 percent or so from online.

A new report from Merrill Lynch�s Lauren Rich Fine � covered by E&P�s Jennifer Saba � reinforces the lack of enthusiasm. Fine figures she�ll be long retired from crunching numbers before newspapers get even half their money from online.

�Even if the rapid [online] growth continues for the next few years, we don�t see online representing over 50 percent of newspaper ad revenues for at least a couple of decades,� says Fine (per Saba). Fine�s back-of-the-envelope projection assumes double-digit growth for online ad revenues through 2012, eventually slowing to 5 percent. Meanwhile, print advertising is estimated to decline 1.5 percent annually.

The only problem with Fine�s calculation, of course, is that she can�t responsibly incorporate a �tipping point� scenario, where online reaches such a level that print drastically falls off. It is a real problem that is looming over newspapers � especially considering that a single print user continues to be worth 10 to 20 online users. Such a tipping point is bound to happen within 10 years, don�t you think?
Blog: Local Media Blog
 
posted by  Peter Krasilovsky at  18:41 | permalink | comments [1] | trackbacks [0]



Oct 25 2006
Yell Mines Banking, Packaged Goods Experience in New CMO
Yell Group has hired a new chief marketing officer, Helen Stevenson, a veteran marketing executive with experience in banking and consumer products.

Stevenson replaces Anne Franke, the CMO who left the U.K. directory company earlier this year, after serving as Yell's first CMO from early 2004. Franke reportedly left to run her own start-up business. Here is Yell's announcement of the appointment.

Stevenson spent nearly 20 years in marketing at Mars Confectionary, where Franke also had worked. Stevenson is joining Yell from Lloyds TSB, where she serves as group marketing director. She will assume her Yell UK post in November.
Blog: Global Yellow Pages Blog
 
posted by  Charles Laughlin at  17:40 | permalink | comments [0] | trackbacks [0]










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