Newspaper ad revenues not only continue to plummet; if anything, the rate is accelerating.
Global spending on newspaper print ads is expected to decline 8.7% to $52.6 billion in 2016, according to estimates from GroupM, the ad-buying firm owned by WPP PLC.
That's the biggest drop since 2009's recession. In response, expect less actual news in print as organizations continue to lay heads across the chopping block.
The New York Times Co. and Wall Street Journal-owner News Corp, likely have further head-count reductions on the way, and the Guardian and the U.K.’s Daily Mail recently eliminated jobs.
Broadcasters have been managing to retain their advertisers, in general, and digital ad revenue has grown by ten times over the past 15 years. For print media, it's been a death-spiral. Circulation and subscriptions are rapidly declining, and advertisers - particularly retail and telecom - are leaving print in droves. And it's not just newspapers, although they've been taking the heaviest losses; magazine ads are expected to see a nearly 3% reduction this year as well.
Part of the phenomenon is likely due to increased use of tablets and smartphones, but by no means all; print newspapers have achieved the dubious distinction in recent years of demonstrating how to cut their own throats. They allowed quality to slide while encouraging intellectual dishonesty and in many cases, simply reprinting press releases. When newspapers relinquish their credibility, what do they really have to offer?