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Online erodes print media market share
As newspapers in the US flock to sign deals with online firms such as Yahoo, Britain's redoubtable money publication the Financial Times has predicted woes for print media in the UK.More and more classified advertisers are turning to the internet as the benefits become steadily clearer and the traditional newspaper sector is bearing the brunt.
Merrill Lynch has lowered its newspaper advertising forecast from flat to down 0.5 per cent, and believes this will be down 1.5 per cent next year. Lehman Brothers analysts have reiterated this view, predicting that newspaper revenues will fall by four per cent in 2007.
Research firms such as GroupM expect an increase in brand advertising online, helped along by the prevalence of broadband internet connections that affords a greater use of video.
The UK has also been named as the fastest-growing advertising market, ahead of both the US and Japan.
The FT's prediction was backed up by the recent Digital Future Project survey, which showed how strongly users felt about the internet.
According to the research, 43 per cent of internet users "feel as strongly" about their virtual community as they do about their real-world community.
News and Public Relations news posted on 05 December 2006
