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Online advertising spend tops £4bn after 12.8% rise

March 29th, 2011 | 1 Comment | Posted by in Advertising, Business

Spending on online advertising has topped £4 billion for the first time in the UK, as advertisers spend £1 in every £4 online, according to new research.

The findings, published today by the Internet Advertising Bureau (IAB) and accountancy firm PricewaterhouseCoopers, showed that online advertising grew by 12.8 per cent, from £3.5 billion in 2009 to £4.1 billion last year. The digital share of the UK’s total advertising spend of £16.6 billion last year rose to 25 per cent.

Mobile advertising experienced 116 per cent year on year growth on a like-for-like basis, up from 32 per cent in 2009. Advertisers spent £83 million on mobile advertising in 2010, led by the entertainment and media sector.

Researchers explain the findings in this video:

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Newsquest ad revenue drops almost 8% but digital revenue is on the rise

February 1st, 2011 | No Comments | Posted by in Advertising, Business, Editors' pick

Fourth-quarter advertising revenues at UK publisher Newsquest were down 7.8 per cent year on year in 2010, while digital revenues were on the up, according to figures published by US parent company Gannett.

Gannett released its financial results for 2010 yesterday, including a detailed report of it’s fourth-quarter revenue.

The US company went on to describe Newsquest as “an internet leader in the UK”, claiming that its network of web sites attracted over 65 million monthly page impressions from approximately 8.8 million unique users in December.

You can read the full release from Gannett here…

Journalism.co.uk reported last week that staff at Newsquest titles in certain regions were understood to have been asked to take a week’s unpaid leave in response to “poor trading conditions”.

An internal Newsquest memo circulated in Wales, Gloucestershire, and the South Midlands said that revenues are “considerably below last year’s performance” and therefore action needed to be taken “to drive revenues and control costs sooner rather than later”.

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Ofcom to allow product placement on UK TV

December 20th, 2010 | No Comments | Posted by in Advertising, Broadcasting, Business, Editors' pick

Broadcast industry regulator Ofcom has announced that product placement will be allowed in UK TV programmes from 28 February 2011. The rules for paid-for references on radio broadcasts have also been revised.

Full news release on Ofcom’s website…

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paidContent: Northcliffe plans to tap into hyperlocal network for advertising revenue

November 26th, 2010 | No Comments | Posted by in Advertising, Business, Editors' pick, Local media

The Daily Mail and General Trust (DMGT) says its regional publisher Northcliffe will “tap its LocalPeople hyperlocal network” in an attempt to reach more advertisers online, paidContent reports.

According to the group’s preliminary results published yesterday, Northcliffe recorded several declines in the year ending October 2010, with underlying revenues down £16 million (six per cent), reported revenues have dropped by 8 per cent and advertising revenues were also down by 7 per cent.

Presenting the results yesterday morning, CEO Martin Morgan told investment analysts that the group is “trying to give ourselves a good shot at capturing local information markets”, paidContent reports.

“We’re going to be taking the technology platform we’ve built (for LocalPeople) and merging it with the ThisIs sites,” Morgan told analysts. “So local people can concentrate on finding a garage, finding a plumber in such a way that provides a long tail of local advertisers – people who aren’t advertising in the local press, we think we can get them in.

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Mail Online helps DMGT to significant increase in digital revenue

Underlying digital revenues from newspaper websites owned by the Daily Mail and General Trust (DMGT) increased by 54 per cent in the year ending October, due to the “growing success of its primary website, Mail Online” according to the group’s preliminary results published today.

According to the published reports, circulation revenues at the group’s Associated Newspapers titles, which includes the Daily Mail, the Mail on Sunday and Metro, fell by an underlying two per cent while underlying advertising revenues were up seven per cent, said to have been driven by a “strong performance” from Metro.

Both the Daily Mail and Metro recorded their highest ever operating profit, the report adds.

DMGT’s regional arm Northcliffe recorded several declines, with underlying revenues down £16 million (six per cent), reported revenues have dropped by 8 per cent and advertising revenues were also down by 7 per cent.

Northcliffe: facing another tough year; UK advertising revenue in the first seven weeks down 7 per cent on last year, continuing year‐on‐year trend experienced in September (like‐for‐like decline of 8 per cent). Outlook for first quarter not expected to improve on this trend; will also be affected by higher newsprint costs; focus remains on reducing costs and new revenue opportunities.

Note: Underlying revenues are those adjusted for acquisitions and disposals made in the current and prior year.

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#soe10: Society of Editors conference looks on the bright side of life

November 16th, 2010 | No Comments | Posted by in Advertising, Events, Newspapers

John Mair is a senior lecturer in broadcast journalism at Coventry University. He reports from the Society of Editors conference in Glasgow, which finished this morning.

Britain’s top newspaper editors were smiling, in public at least, as they met for the annual Society of Editors conference in Glasgow under the slogan ‘Have we got good news for you’. Circulations may be falling, print products hemorrhaging readers and advertising, but the local and national editors here were not going to be downcast and they heard from a succession of speakers inviting them to be positive.

Russian oligarch and Independent and Evening Standard owner Alexander Lebedev said in his opening lecture that he was proud of the two papers (and the new baby paper, i) that he owned in Britain and would continue to invest in exposing corruption. “Investigative journalism is something I want to invest in more.” he said in closing.

Jim Chisholm, CEO of the National Readership Survey, and Stewart Purvis, former partner responsible for content regulation and standards at Ofcom and now at City University, kept up the positive mood with their rosy views on readership data and the potential of youview to transform TV viewing and open the way to local television.

Media commentator Raymond Snoddy chaired a session called ’It ain’t dead and we’re fixing it’. Two young editors from the North East of England, Darren Thwaites of the Teesside Evening Gazette and Joy Yates of the Hartlepool Mail, continued in the same bright vein, showing how by campaigning and getting closer to their communities they were able to arrest some of the decline in sales of their papers.

It was left to veteran editor Derek Tucker of the Aberdeen Press and journal, who announced his retirement after 12 years in the editorial chair last week, to bring the first note of negativity with what he admitted were “Jurassic views” on the digital future and an astonishing attack on university journalism courses and the students who came out of them: “Very few possess the street cunning and inquisitiveness that is the hallmark of good journalists, and it often appears that English is a second language.”

That generated much comment from the journalism educators (“well meaning amateurs”, Tucker called them) in the audience.

It’s not known how long the Monty Python ‘Always look on the bright side’ theme can be kept up in view of the continuing crisis in the media industries.

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How Conde Nast is dealing with iPad advertisers

November 12th, 2010 | No Comments | Posted by in Advertising, Editors' pick, Magazines

An interesting post on Rob O’Regan’s blog looking at how Conde Nast has developed best practice guidelines for advertisers who want to work on its iPad apps. To create the guidance for clients, the magazine publisher has been conducting extensive research on how readers are using and rating the apps:

To learn more about these early adopters, Conde Nast is combining its in-app and in-person research with usage software built into its apps. Results from the in-app survey showed that 80 per cent of users who downloaded a Conde Nast digital magazine app said the content and experience “met or surpassed their expectations”, and 83 per cent said they were likely to purchase the next month’s edition.

Full story on emediavitals at this link…

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New figures show ad revenue decline slowing at Johnston Press and Trinity Mirror

November 11th, 2010 | No Comments | Posted by in Advertising, Business, Editors' pick

Interim management statements published this week by Johnston Press and Trinity Mirror suggest declines in advertising revenues appear to be slowing for both publishers.

In a statement published today, Trinity Mirror said trading since the half year “has remained volatile due to the fragile economic environment and the uncertainty resulting from the Government spending review”.

The Board envisages that the trading environment will remain challenging over the remainder of the year and into 2011, however, it anticipates that the rate of decline in revenues will improve.

The group recorded declines in ‘adjusted’ advertising revenue of 4.6 per cent year-on-year (excluding the acquisition of GMG Regional Media), but overall the company recorded actual advertising growth of 13 per cent in the 17 week period (including the acquisition).

It added that full ownership of Fish4 will boost its digital recruitment ad revenues by £3 million in the first full year.

This report followed Johnston Press’s statement yesterday which reported a decline in total advertising revenue for the second half of the year to date of 5.4 per cent (year-on-year). This represents an improvement on the first half decline of 6.3 per cent, the report adds.

The decline in print advertising revenues excluding recruitment in the second half to date is 2.5 per cent, with the decline in recruitment advertising in the same period being 29.1 per cent.

In order to reduce costs the publisher announced it would be closing its printing operation in Limerick. A spokesperson told Journalism.co.uk this would impact on 29 part-time workers.

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‘Completely different ideas of size, scale, ambition’: Rusbridger compares his paper with the Times

November 5th, 2010 | 1 Comment | Posted by in Advertising, Business, Newspapers, Online Journalism

Mark Colvin of Australia’s PM radio programme has an interview up today with Guardian editor Alan Rusbridger. It focuses on the recent publication of figures from behind the Times and Sunday Times paywalls and finds Rusbridger as determined as ever to keep his paper free and champion open online journalism.

Comparing the Times’ new ‘slimmed-down’ online audience – which Rusbridger estimates to be about 30,000-50,000 users a month, against 37 million for the Guardian – he says the two newspapers’ digital operations now represent “two completely different ideas of size, scale and ambition”.

Perhaps the most interesting thing the Guardian editor has to say concerns the effect of the paywall on print sales, which he was expecting to rise when free digital access disappeared. The Times print circulation hasn’t plummeted since, but it certainly hasn’t shown significant gains: circulation fell by 14.81 per cent year-on-year in September, second only to the Telegraph and higher than the 12.3 per cent average for quality titles. August saw the Times’ average daily circulation slip below 500,000 for the first time since 1994.

As Rusbridger points out, the digital arm of the newspaper, rather than acting as a plain substitute which draws readers away from the print edition when free and drives them to it when paid, may serve to promote the whole brand. It may well act “like a sort of marketing device for the newspapers”, he says.

If you put a gigantic wall around your content and disappear from the general chatter and conversation about your content then people forget to buy the paper as well. So it’s a kind of double whammy.

Rusbridger continues to be one of the industry’s most vocal objectors to the paywall. As he says here, he believes that “the journalist organisations that are best placed to survive are the ones that are going to go with the technology rather than decrying it and fighting it”. To that end, his “overwhelming aim is just to keep on producing the Guardian in a form which will suit whatever technology people invent”.

Colvin asks Rusbridger about the Guardian’s increasing digital revenue – “we’re up well over 50 per cent year-on-year and last year we earned about £40 million”, Rusbridger claims – but not, disappointingly, about the paper’s tactics in any detail, its success at bringing in money in through affiliate projects for example. Tim Brooks, managing director of Guardian News and Media, landed a blow for the Guardian’s approach earlier in the week, putting the Times’ new paywall revenue in a particularly unflattering context: “We’re probably making more money from our online dating service”, he told the MediaPro conference.

No mention of the Guardian’s own losses from Colvin or Rusbridger though. Despite the paper’s continued growth of digital revenue and laudable approach to online journalism, they are still running pretty high.

Read the full interview at this link…

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Washington Post buys #election hashtag for midterms

The Washington Post sponsored the Twitter hashtag #election as part of its coverage of the US midterm elections this week.

Explains Poynter:

The Post’s sponsorship of the term #Election means that it will appear at the top of the list of Trending Topics on Tuesday. When users click on that topic, one of the Post’s tweets will appear above other tweets with the #Election hashtag – giving the Post prime real estate to promote its coverage and updates.

There were rumours flying around as to how much the Post had spent on the ‘promoted tweet’ service from Twitter, but a spokeswoman for the title said it would not comment on the cost.

Chloe Sladden, Twitter’s director of media partnerships, told Poynter that this was the first time a news organisation had used Twitter in this way.

Using new Twitter, the Post also hosted a live video stream, which it called an Election Day Twittercast, on the @washingtonpost handle.

“The Post will solicit questions from Twitter users as it simultaneously airs on the platform. The Post is among the first news organisations to be able to embed live and taped video on the new Twitter platform,” a release from the Post says.

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