Great Depression concentrated newspaper advertising expenditure

The Great Depression that began late in 1929 and extended through the early 1930s had a major effect on U.S. newspaper advertising expenditure.   U.S national advertisers spent less on newspaper advertising in 1938 than in 1919.   In 1938, spending of national advertisers in newspapers was only 57% of the corresponding advertising spending in 1929. … Continue reading Great Depression concentrated newspaper advertising expenditure

newspapers and magazines: bigger problems than the Great Depression

U.S. print newspaper and magazine advertising revenue is falling sharply.  In the first quarter of 2009, newspaper print advertising revenue declined 30% compared to the first quarter of 2008 ( $5.92 billion in 2009 Q1; $8.42 billion in 2008 Q1).  Magazine rate-card-reported advertising revenue, which does not take into account discounting likely to be more … Continue reading newspapers and magazines: bigger problems than the Great Depression

media innovation doesn't change shape of ad spending distribution

Looking at the top U.S. magazine advertisers from 1913 to 1929 shows a lot of familiar brands.  Proctor & Gamble, the leading magazine advertiser in 1913, was also the largest U.S. advertising spender from 1963 to 1986 and 1991 to 1996.[1]  Quaker Oats, Colgate, Kodak, Kellogg’s Corn Flakes, Goodyear Tire, B.F. Goodrich, and General Electric, … Continue reading media innovation doesn't change shape of ad spending distribution

historic patterns of paying for content

Compared to periodicals, newspapers have developed a business model much less propitious for profitably distributing content in a digital world.  Most of newspapers’ revenue historically has come from newspaper establishments integrated with the business of printing.  A much larger share of periodicals’ revenue has come from publishing establishments not integrated into printing.  Accounting for frequency … Continue reading historic patterns of paying for content

Robert J. Coen, advertising data hero

Advertising expenditure data by media for the U.S. from 1935 to 2007 are publicly available mainly because of Robert J. Coen.  In 1935, L.D.H. Weld, Director of Research for McCann-Erickson and formerly Professor of Business Administration, Sheffield Scientific School, Yale University, published advertising data in the magazine Printers’ Ink.  Weld died in 1946.  Robert J. … Continue reading Robert J. Coen, advertising data hero

U.S. newspapers' revenue structure, 1880-2007

Traditional print newspapers’ current troubles have roots early in the twentieth century.   In 1880, newspapers’ revenue structure was quite diversified.  Subscription revenue and print revenue was evenly balanced, with each accounting for about 40% of total revenue.  Other revenue (job printing, book binding, and other miscellaneous revenue sources) amounted to about 20% of  total … Continue reading U.S. newspapers' revenue structure, 1880-2007