The May newspaper revenue figures are starting to trickle in and the trend of mixed- to decreased print revenues, off-set by rising online ad sales seem to be continuing. As we reported earlier, while recent data shows that online advertising remains health, newspapers are expected to experience a slowdown in internet revenue. In April, media industry researcher Borrell Associates projected that online ad spending for newspapers was likely drop to the low 20s this year from 28 percent last year. Both the New York Times Company and Media General reported their May revenue figures this past week:
— New York Times Company: Total internet ad revenues rose 21.4 percent in May thanks to growth in both display and classified advertising. Also, the subscription-based TimesSelect has attracted roughly 741,000 users with about 60 percent receiving the digital product through their home-delivery subscriptions, with 30 percent receiving it from online-only subscriptions and 10 percent receiving it free as college students and educators. TimesSelect started the year with 627,000 subs.
— Revenues at the NYTCO’s About.com unit rose 32.6 percent to $7.4 million from $5.6 million. May’s growth was due to increases in both display and cost-per-click ads. The unit benefited from the acquisitions of ConsumerSearch.com in early May 2007 and UCompareHealthCare.com in late March 2007. Display advertising increased primarily because of strength in the Internet, pharmaceutical and technology categories.
— The company’s overall ad revenues fell 8.5 percent to $157 million from $171 million in May 2006. In particular, the New York Times Media Group – which includes the flagship paper – saw revenues slid 9.1 percent to $93 million due to softness in national and classified ads. Release
— Media General: The owner of the Tampa-Tribune and Richmond-Times Dispatch posted strong online ad numbers just like the NYTCO, but its print division blamed a week southeastern ad market for its revenue fall-off.
— The interactive division reported a rise in May 2007 revenues of 43.1 percent to $2.8 million from $2 million the previous May, the company reported this week. The positive results were driven mostly by stronger local and national/regional spending and increases increase in adver-gaming revenues. Softness in classified advertising was partially offset by Media General’s new recruitment listings arrangement with Yahoo HotJobs. Pageviews and visitor sessions increased 24 percent and 31 percent, respectively, including the four NBC station’s websites. The stations were acquired last June.
— In line with trends at other papers, print ad revenues in May declined $6.1 million, or 14.9 percent, to $42 million from $48 million, which Media General attributed to lower spending in all advertising categories. Release
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