Tuesday, 15 July 2014
Newspaper online Revenues have turned the corner. Great results oh ye of little faith.....
Interesting data which is beginning to show that the losses in revenues predicted for newspaper publishers by digital, isn't happening. Or at least, it's not happening for those titles who embrace digital.
Locally, recent figures for Independent News and Media are showing strong growth in Internet revenues. Hardly surprising because of the way in which they've embraced it. A surge of over +17% in digital revenues.
But the Uk's Financial Times (FT) have shown operating profits of 55 million stg. That's UP +17%. The Telegraph achieved a 4.6m increase to 61 million stg. The Independent have reduced loses from 17 million to 12 million - a 5 million positive uplift.
The Guardian and The Observer showed an increase in digital revenues of +24 million to 69 million.
Further afield, The New York Times now has 760,000 subscribers to its digital paywall and their stock is hitting new highs. Highs!
Jobs Ads are beginning to return and in particularly, a rise in lucrative property advertising - both ideal for greater online returns.
So the picture for online newspapers is looking brighter and they'll gain too through the ongoing flight of advertisers away from traditional TV. That's the Holy Grail because TV was the place for big advertisers with big budgets.
Whilst online revenues generally aren't compensating for losses in print cover prices and print advertising, clearly for some, that process has started. We've reached the tipping point.
Online Newspapers through promoting story links on Social Media, are gaining audiences and that is the fundamental. If you have the audience, the advertising must follow.
Oh ye, of little faith.