Online media revenues breathe life into print-centric thinking

Photo: therese flanagan
“While online revenue is still dwarfed by print revenue for most publishers, many are starting to see real revenue growth online exceed the real revenue loss in print on a quarterly basis. That’s a huge justification for publishers investing online; a final warning shot for publishers resisting (and yes, there are still plenty of them out there) online investment.” #

The business magazine master himself, Pat McGovern, confirmed the trend: #

“At the American Business Media Spring Meeting in May, IDG Communications chairman Pat McGovern, head of a company that has been criticized for not committing sooner to the Web, spoke of how the company is now making more money online than it is losing in print.” #

Agencies and marketers have been telling publishers that they were shifting budgets away from print to online media for several years. Circulation has been flat or falling across the print world. Readerhsip time spent figures have all been pointing online. #

“Every year our print ad market contracts in terms of total advertisers and total pages and revenue and our print circulations fall. There is nothing on the horizon that indicates any sort of reversal of this trend…Transformation involves a deep cultural shift in attitude to put online first and stop over protecting print.” #

The signals are everywhere, crystalized for the shortsighted in big red figures on the balance sheets. #

  1. Facinating post. So what happens to all the publishers with paid-for content web sites? Do they dissappear under the weight of free to air sites?

  2. We are currently focusing on ways to improve our online content to further target electronic advertisement. Would you mind telling me a bit more about the “several other effective and often more profitable methods for marketing online than standard banners.”
    I am just now delving into ways to bring in more ad revenue to our Web site, and any information you have would be helpful.