It is officially a GREAT DAY in advertising. Not only is there this cool winter solstice / lunar eclipse thing going on, so, for those yet to happen company holiday parties, today is a good day…
But, also, just being reported by eMarketer, The Web Passes Newspapers in Ad Spending For First Time – The eMarketer Blog.
Total newspaper ad revenues from print and online ads are expected to hit $25.7 billion this year, still shy of the $25.8 billion advertisers will spend on internet ads.
“Marketers are devoting bigger shares of their budgets to digital media as they see more customers shifting time toward the web,” said Geoff Ramsey, CEO of eMarketer. “It’s something we’ve seen coming for a long time, but this is a tipping point.”
Ad dollars are leaving print… and fast!Their Q1 losses for 2009 were worse than expected, around a 27% loss in advertising revenue. This outpaced their efforts to cut costs (not surprising, good journalism is expensive). Seth Godin, on his blog, is predicting that by 2012 there will be, “no significant newspapers printed on newsprint in the US.” WOW! and entire vertical market will be gone, or almost gone in less than three years! These are both interesting reads and worth the effort to see what’s coming for online advertising. We have seen with with our clients, and in our past, efforts to cut “traditional” media spending and emphasize online strategies. We’re helping our client get better results through email and PPC marketing; things that are measurable and quickly executable.
Foxnews.com is running an AP story, here, breaking the news that Tribune Co., the owner of the LA Times, Chicago Tribune, Chicago Cubs, Orlando Sentinel (they've posted a story as well), etc., is considering filing bankruptcy. The Wall Street Journal reports that they've hired investment firm Lazard Ltd., and law firm Sidley Austin, to help them get through a Chapter 11 filing.
What will this mean for advertising agencies? In my opinion, more of what we've seen in the last few weeks, ad dollars will be moving from the offline world of shotgun style strategies to a highly targeted online world.