Advertising in Online Newspapers

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Overview


Many newspaper companies now have online versions of their print counterparts. This is due mostly in part to the advances in technology which now has most every person on the internet at some point during the day. The shift to online media has caused many advertising agencies to come up with new ways and ideas to reach their consumers.

Reasons for using Advertising on Online Newspapers



There are many reasons for advertising on online newspapers. One CEO, Richard Anderson, CEO and founder of Village Soup, states, "We're giving the small business the ability to continue doing what they do best, and that's to serve." (Carpenter, 2010).
Typically, the most popular sources of news are web sites run by local newspapers. These web sites are also the largest sources of online advertising in their local communities (Farhi, 2008).
Advertisers should also be aware that “time spent online as a percent of overall time spent with media has been going up every year for the last 15 years,” (Spanfeller, 2010).

Limitations to using Advertising in Online Newspapers



Though many people are on the internet, online newspaper audience hasn’t grown much in the past few years. In fact, between August 2006 and August 2007, the number of unique visitors was only up 2.3% (Farhi, 2008).


Costs of using Advertising in Online Newspapers



The prices for Advertising on Online Newspapers vary from company to company. VillageSoup charges $20 a week for businesses to advertise on his newspapers’ websites (Carpenter, 2010). For other companies, the price may be higher or lower.
One reason for the varying prices of online advertising is the fact that some companies, such as the The Wall Street Journal, Newsday and the Financial Times, among others, introduced a pay-wall on their website, which charges subscribers a monthly fee (Ives, 2009).

Reach and Frequency



Many online newspapers are free, but the Corporations that own the local newspapers have contemplated charging readers of online newspapers. The Financial Times implemented a frequency-based pricing model in 2007 (Ives, 2009). Their website, FT.com, had more than 121,000 paying subscribers, which is up 22% from 2008 (Ives, 2009). TideSportsExtra charges $59.95 for an annual membership as well as $10 for a month (Ives, 2009).


Advertisers who are successfully using Advertising in Online Newspapers


Many newspapers, including the USA Today, The Wall Street Journal, and The New York Times, among many other smaller newspapers have online versions that coincide with their print counterpart.
Richard Anderson, founder and CEO of VillageSoup (located in Maine), started his journey into the online world in 1997 (Carpenter, 2010). Thirteen years later, Anderson has seen his company buyout local print competitors up to 6 papers (Carpenter, 2010).


References



Carpenter, M. (2010, March/Apr). A Success Story. Columbia Journalism Review, Vol. 48 Issue 6, p. 17-18. Retrieved from Academic Search Complete database.
Farhi, P. (2008, December/January). Online Salvation. Amercian Journalism Review. Retrieved from Google Search database.
http://www.ajr.org/Article.asp?id=4427

Ives, N.. (2009, October). Newspapers grapple with how-or even whether-to erect a pay wall. Advertising Age, Vol. 80 Issue 36, pgs. 3,57. Retrieved April 11, 2010, from ABI/INFORM Global. (Document ID: 1896967481).
Spanfeller, J. (2010, Feb. 15), Time Is Running Out on Legacy Media Brands. Adweek, Retrieved from http://www.adweek.com/aw/content_display/community/columns/other-columns/e3i82693d9fec5d7f34b6339acc8612af4c