Thursday, November 13, 2008

Newspaper Inserts Trending Down

Newspaper Industry experts cite several reasons for a recent slowdown in the retail insert marketplace, among them declining news paper circulations, rising paper and ship ping costs, as well as advertisers' desire to reach younger, text-savvy consumers. Several printers and at least one media company, however, have introduced data-intensive programs designed to convince retailers of the power of print.

“We see a decline in inserts year-over-year, of between 12% to 20% industry wide,” reports a marketing director at Quebecor World Market ing Solutions Group.

Printers point to a decrease in pages as the cause. “Retailers are increasing insert page counts for key events like Christmas, Thanksgiving, Mother's Day and Father's Day while decreasing pages for other, less key, events,”. Costly gate-folds are also used less often. Newspapers in general are no longer delivering Return on Investment for Advertisers.

“The newspaper home sub scriber has always been one of the retailer's most valued consumers, and advertisers are beginning to walk away from newspaper and insert advertising efforts,” reports a top sales officer at Valassis Communications Livonia Michigan.

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