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Old 25th December 2007, 10:02 AM
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Local Papers' Web Scramble

By Emile Steel, WSJ

With Web companies now beginning to dominate the market for local ads online, newspaper publishers are scrambling to change the way they sell ads, hiring sales teams that specialize in the digital market and creating new editorial packages to sell. But it may be a case of too little, too late. McClatchy, which publishes 31 daily newspapers around the country, is revamping its commission and incentive plans to better reward staff for online sales. Gannett now operates 50 mom-centric social-networking sites around the U.S. as part of a broader strategy to boost online revenue through what it calls "hyper-localized" sites. Other publishers, from Lee Enterprises to Media General, are taking steps of their own to jump-start sales of local online ads.

But time may be running out. Now, for the first time, pure-play Web companies have the biggest share of the local online-ad market. In 2007, Internet companies had a 43.7% share of the $8.5 billion local online-ad market, while newspaper companies had a 33.4% share, according to the media research firm Borrell Associates. Just three years ago, newspapers had 44.1% of the local online-ad market. (Directories such as the Yellow Pages have 10.1%, and local television outlets 9.3%.)

Local media companies, because they are based in the communities they serve, would seem to have an edge over Internet sellers when it comes to persuading the diner or corner hardware store to take out an ad. But they have largely failed to convert that advantage into sales. Instead of tailoring their sales to local businesses, many newspaper companies initially focused on selling ads to bigger advertisers who were already buying space in their print products.

While this strategy allowed them to quickly and cheaply create a customer base for their online ventures, it also limited their growth, because they weren't expanding their customer base. Many newspapers also hurt themselves by simply plopping their papers online instead of creating new Web sites that offered advertisers something they couldn't get in print. Meanwhile, Web companies such as Google and Local.com are growing rapidly because they have made it cheap and easy for local companies to take out ads.......


http://online.wsj.com/article/SB1197..._and_marketing
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Old 25th December 2007, 01:55 PM
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Re: Local Papers' Web Scramble

There's just something about brewing a fresh pot of coffee, grabbing the morning paper and relaxing in the big chair. I hope we don't lose that in my lifetime.
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Old 25th December 2007, 01:59 PM
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Re: Local Papers' Web Scramble

Quote:
Originally Posted by DomainDialect
There's just something about brewing a fresh pot of coffee, grabbing the morning paper and relaxing in the big chair. I hope we don't lose that in my lifetime.
Well I have all three, but I am greener because my news it up to the minute and online.
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Old 25th December 2007, 02:09 PM
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Re: Local Papers' Web Scramble

Quote:
Originally Posted by Rubber Duck
Well I have all three, but I am greener because my news it up to the minute and online.
I suppose if they could just get the print to rub off the LCD monitors...:p
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Old 25th December 2007, 02:45 PM
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Re: Local Papers' Web Scramble

Quote:
Originally Posted by DomainDialect
There's just something about brewing a fresh pot of coffee, grabbing the morning paper and relaxing in the big chair. I hope we don't lose that in my lifetime.
BOTH have a good future. I usually buy a couple of papers or magazines before I jump on an airplane. But in the morning
I like to pop onto MSN for daily news and business updates. At night, much more convenient to read the "local" paper. You
can't (at this time) get the total scope of localized news & information on the internet without a search of multiple sites.
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Old 25th December 2007, 02:56 PM
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Re: Local Papers' Web Scramble

Quote:
Originally Posted by bwhhisc
BOTH have a good future. I usually buy a couple of papers or magazines before I jump on an airplane. But in the morning
I like to pop onto MSN for daily news and business updates. At night, much more convenient to read the "local" paper. You
can't (at this time) get the total scope of localized news & information on the internet without a search of multiple sites.
Our local newspaper is so local it even has columns about who visited whom.:p
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Old 25th December 2007, 03:05 PM
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Re: Local Papers' Web Scramble

Quote:
Originally Posted by DomainDialect
Our local newspaper is so local it even has columns about who visited whom.:p
LOL I know the feeling, I live on an island with population 30,000.
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