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Newspaper valueproposition
- 1. The Value of Newspaper Media
- 3. Today’s Challenges: A Perfect Storm Channel proliferation Importance of word-of-mouth Audience fragmentation Intense accountability Ad avoidance Blinding clutter
- 6. “ I need engagement! I need ROI! I need Impact! I have no budget!”
- 18. “ When I want a new car, I sit and wait for a car commercial on TV!”
- 20. Newspaper Media Is Accessible Where And When The Consumer Wants
- 22. Reaching Consumers When and Where They Want “ Newspapers have broadened their reach by growing their audience’s news consumption from a print-only readership to an online edition, knowing that internet savvy users are sometimes only consuming news online.” Charles Buchwalter, VP Client Analytics, Nielsen/NetRatings
- 26. Percent* Increase in 25-34 Demographic Newspaper Web Sites Extend Reach of Key Demographics The Desert Morning News ( Salt Lake City) 48.9 % Daily Herald ( Arlington Heights, Ill.) 46.3 % Tribune-Review ( Pittsburgh) 42.8 % The Tampa Tribune 36.7 % The Boston Globe 30.8 % The Hartford ( Conn.) Courant 29.7 % The Star-Ledger ( Newark) 26.8 % The San Diego Union-Tribune 26.0 % The Salt Lake Tribune 25.6 % The Seattle Times 25.1 % Newspaper Source: Newspaper Audience Database/Scarborough Research Based on net reach of 5 weekday/1 Sunday print readership vs. 5 weekday/1 Sunday print and 30-day Web usage
- 31. “ How do I become an influential?”
- 34. MORI Research 2005 “How America Shops & Spends”
- 37. Finding: Almost one-third of “non-readers” actually used the newspaper in some way in the past 7 days !
- 38. Some “Non-readers” are “Users” Q. “Even though you did not read a printed newspaper in the past 7 days, have you possibly used a printed newspaper in any of the following ways during the past week?” Net = 32% Scarborough Research 2006 Engagement Study
Notes de l'éditeur
- We want to talk to you today about the unique value of newspaper media in all its multi-media forms – from daily papers to their robust websites to wireless access to niche pubs to kiosks to even Podcasts. We have a wide range of media options for you to take advantage of and customize to your situation. Here is an excellent opportunity for you to customize this presentation by substituting your own newspaper product mix on the pictures here. Remember that you want to emphasize NEWSPAPER MEDIA plural we are more than just print on paper these days. Our industry footprint extends in amazing new ways
- The value of newspaper media really begins with you. We want to understand your challenges and opportunities and discuss how we can help. It has been our experience from working with advertisers in a lot of different businesses that you are facing some unique challenges and pressures today. And we think you’ll be surprised at how well the newspaper media can help you address these challenges.
- Today’s challenges in many ways constitute a “perfect storm” of pressures. The advertisers’ perfect storm is coming from two principle “high pressure” systems. First, there’s intense pressure on ROI. You know the facts… a shrinking mass market, audience fragmentation, and a proliferation of channels with lower reach yet higher cost. All at a time of intense accountability. If that isn’t bad enough, there is a whole other set of pressures that has happened in the new media era that we’re in, unfortunately resulting in a waning influence of advertising. Consumers are growing more skeptical. They don’t believe advertisers, they believe their brothers-in-law. Word-of-mouth has never been more important.
- We live in a blinding world of clutter. Some specifics on channel proliferation over the last 25 years; And if that isn’t storm enough, advertisers are also facing the waning influence of their advertising dollar. Many of the new communication technologies are empowering consumers to avoid advertising altogether.
- While channel surfing and the flight to commercial free programming are familiar pressures, advertisers are now besieged by a myriad of ad avoidance techniques widely available to today’s consumer. Some key facts: DVRs are now in 15 million HH and expected to reach 50% penetration by 2010 Video on demand is taking off, with day after viewing of prime time shows now available. Commercial free satellite radio now has millions of subscribers 100 million on the national “Do Not Call List” And the internet firewall/blocker business is a multi-billion $ industry Here is an opportunity to talk about the world of media in your market
- Doesn’t it feel like this sometimes? Clearly, business as usual for advertisers won’t cut it. As it’s been said and written many times in recent years, it’s a brave new world for advertisers requiring a new course of action to survive and prosper through this perfect storm.
- We believe the new course of action requires new priorities. Given the rise of ad avoidance, advertisers first priority should be to focus on “engaging consumers when and where they’re actively seeking advertising” Second, in the face of heightened skepticism advertisers must leverage the viral power of word of mouth. And third, advertisers trying to improve their ROI need to influence more people at the moment of their purchase decision. You need prompt action and purchase. It has been an historical strength of the newspaper industry and will continue to be so in the future. No matter what business you’re in or how big your budget is, these are the new priorities to win in the face of this perfect storm. And we’re here to tell you today that newspaper media are well poised to help you take on these challenges.
- Which brings us to the true value of the newspaper media. Newspaper advertising is a proven answer to these new priorities: In an opt-out world, consumers opt-in to newspaper advertising On-line and in print, NP advertising is a destination for consumers not a distraction to be avoided It’s a proven strength of newspaper media that’s never been more relevant and yet many advertisers never think about it that way. We’d like to change that, because there are some surprising truths about newspaper media that you should know.
- But don’t just take our word for it. Everything we’re about to share with you today is based on independent, third party research. All quantitative and projectable. We want to make our case, but you need to know that it’s a fact based case. Our sources include: (read list) And we’ll be glad to share the entire studies with you so you know we’re not just being selective. You may wish to add your local research company to this list
- There’s a great deal of compelling evidence that newspaper media ads are indeed an integral and desired part of the content. Consumers turn to newspaper ads to inform their purchase decisions, large and small. Some specific facts you should know…
- One irrefutable proof point is the absence of the negative. To gauge consumer resistance to advertising, Yankelovich recently asked consumers where they’d like to eliminate advertising and only 10% chose newspaper, while over 3 times that many wanted to eliminate advertising on TV and online, 22% from radio and 16% from magazines. Said in the reverse, 90% of the population want their newspaper advertising. A recent Scarborough study produced the same results. The Yankelovich research is 2004 their national study The same data actually reinforces in the brand new 2006 Scarborough engagement study
- So not surprisingly, newspapers are by far and away the most dominant medium where consumers go with the express purpose of checking out the ads, by a whopping 6:1 ratio. Talk about the ads being a destination… this is the proof. MORI research conducted the updated How American Shops and Spends Research in October of 2005. This is a sample of over 4000 telephone interviews nationally. It is an update of a 1999 study with surprisingly unchanged results.
- Not only do they go to check out the ads, it’s their preferred medium to receive ad info, again by nearly a 6:1 margin. So, newspaper ads are not just a destination for advertising, it’s the preferred destination. MORI did not single out newspaper website use for this study. Hence, when you add newspaper websites, it would be likely that the newspaper media number would be higher.
- And it’s not just a chore; consumers actually look forward to this kind of advertising 5:1. Which is in many ways the definition of an engaged consumer… one that’s eager to hear what the advertising has to say. They’re eager for a good reason: because the advertising is getting more interesting and we are now doing very different, intrusive, impactful kinds of units.
- Like this corner cutting ad that appeared in a Chicago newspaper. The reversed L-shaped ad shows the 2005 Mini Cooper turning corners around the Chicago paper’s Rape Report section.
- This clever Neutrogena ad is a page stopper! The microdermabrasion instrument is shown erasing news copy and drives the point home by stating that… “It does the same thing to rough skin, sun damage and age spots.”
- An Eye popper…Goal Post shape Target ad that surrounds World and Regional news.
- It goes something like this (read caption). What other medium can say that?
- Part of the reason for this unequaled engagement in the advertising is the newspaper’s unequaled convenience as an ad medium, again more than every other major medium. More than twice as convenient as the internet! It is the most convenient advertising because you can touch it, feel it, cut it out, and comparison shop with it. Few media give that kind of convenience to consumers. Don’t take our word for it. This is based on a lot of data, and we have also talked to a lot of people. So I want you to hear a short clip of advertising decision makers from different disciplines talking about this phenomenon of being a destination, not a distraction. The How American Shops and Spends research is available on the www.naa.org/advertiser website. It has great information that tells a great story. Familiarize yourself with it and share it.
- Another reason it’s convenient is that it’s accessible when and where the consumer wants to engage. Portable, permanent, and multi-media, newspapers are uniquely suited to the needs of today’s time-shifting, place-shifting consumer One of the most under appreciated strengths of newspaper media is that it’s everywhere today’s mobile consumer wants to be. It’s convenient for the consumer and it can be a powerful way for advertisers to capitalize on channel synergies. As with the opening slide, place your product mix here if you wish
- Newspaper multi-media has been getting a lot of attention lately… Including this recent USA TODAY cover story. [Read headline and subhead] This is a 2006 USA Today story talking about how newspapers are diversifying into a multi media growth plan.
- And the folks at Nielsen/NetRatings know this to be true. Their VP of client analytics recently observed (read quote).
- Indeed newspaper websites have a robust and growing online audience. [Read points] The online audience for newspapers hit record levels again in the first quarter of 2006, peaking in March at nearly 58 million visitors. Audience reach also hit a record high at nearly 38 percent that month. Averages for the quarter put reach at 56 million, accounting for a reach of 37 percent of all online users, according to Nielsen//NetRatings. Growth was steady over the last year, but the quarter marks an 8 percent increase in reach over the same period in 2005, as well as audience gains at a time when Internet audience usage typically recedes from Fall highs. Visits per person also showed an incremental increase. Newspapers are more than print on paper, we can begin to Halo newspapers with the growing impact of our websites. Local data is welcome
- We know this issue of duplication is important to a lot of advertisers. Yeah, they’re on-line, but are they the same people? Are you really reaching new people? A brand new MORI research study talks about the power that print and online bring. Again, if you have local database your website, add it here.
- And the newspaper website reader is an attractive audience. Their mean age is 38, and they have a household income of $70K. 54% have college degrees And they’re very active online…shopping, buying, and banking. Surprised? MORI power user study just released profiles the impressive demography of newspaper website users. Think about what it adds to your print package. Add in local research as well here.
- Its been said many times that… newspapers don’t reach younger demographic groups. Well, when you consider the strength of newspaper websites, critics will have to sing a different tune. This slide shows the top 10 newspapers that had the largest percent increase in the 25-34 demographic group after combining 5 weekday/1 Sunday print and 30-day Web usage. The Desert Morning News leads the way with a whopping increase of 48.9%. Source: Newspaper Audience Database/Scarborough Research.
- The second new priority for advertisers is to leverage the viral power of word of mouth. Everybody’s talking about it, but mostly in the context of new media. The fact is, the medium that reaches more of the most influential consumers today is newspapers.
- This has been a hot topic for marketers in the last few years, beginning with Malcolm Gladwell’s “The Tipping Point”, and more recently by “The Influentials” - a book about the “one American in 10…(read headline).
- Based on the most recent MRI wave, 41% of Influentials are heavy users of newspapers, more than any other medium. A lot more than TV and radio. These consumers can help today’s advertisers harness the viral power of word of mouth and become not just your prospects but your advocates. Most advertisers are familiar with the notion of Influentials, those people who influence others to buy. Let’s remind them that you influence influentials in newspapers. This research comes from the annual MRI research and a source most advertisers accept.
- Not only are they reading the newspaper but they’re sharing that information with friends & family. [Read points] This data is from a brand new study conducted by Scarborough dealing with engagement. It is a sample of over 4000 telephone interviews. It talks about more than who reads or uses the newspaper but how involved they are with the medium. These days, ad agencies want active users and not just the chance to be seen by targeted consumers. This study will be posted on the naa.org/advertiser website soon.
- It’s a real, budget extending asset. And one of the most contemporary advantages the newspaper media offer.
- The third and final priority in charting a new course is to reach your target audience “at the moment of decision” to ensure that it has real impact on purchase decisions and in turn, your ROI. Again, a major strength that newspapers have been long known for.
- Newspapers have a slam dunk story when it comes to the medium most valuable for planning shopping. Want to get your brand, product or service on the shopping list? Newspaper is where you’ve got the best shot at making it happen. In a world gone mad about ROI (return on investment), newspaper are the original results media. This should not be a surprise to your customers but why not remind them?
- Some people have the perception that newspaper readers are just checking classifieds and inserts when planning a purchase. That’s simply not the case… Based on the most recent MORI 2005 How America Shops and Spends study, 87% of readers say they look at ROP advertising when paging through the paper.
- And…that same study shows that most readers check Inserts when considering a purchase, at 87%. Consumers check both ROP advertising and Inserts. How about that one-two punch!
- Based on MORI’s 2006 Preprint Study, newspaper readers not only check Inserts, they actually hold on to them. 45% hang on to inserts for 2-4 days and 33% keep inserts for 5 or more days. How’s that for extending the shelf life of your advertising message?
- Do non-readers use newspapers at all? The answer is a resounding yes! Scarborough’s 2006 engagement study found that almost a third of “non-readers” actually used the newspaper in some form or fashion in the past 7 days.
- …And how do these ‘Non-readers” use the paper? In a myriad of ways. When asked the question, “ Even though you did not read a printed newspaper in the past 7 days, have you possibly used a printed newspaper in any of the following ways during the past week?” The responded by saying that they use newspapers to… Checking sales in local stores Comparing prices Reading the comics Checking the weather, sports scores, TV listings and horoscopes
- Scarborough’s 2006 Engagement Study asked the question, over the past 7 days, have you either read or used the printed newspaper. This slide shows that when you combine both Readers and Users, newspapers have a strong story to tell. 83% of adults stated that they were either readers (75%) or Users (8%) of the printed newspaper in the past 7 days.
- Here are some cases in point. [Read points] All the examples here are national advertisers but it would be a good idea to add some local success stories to the presentation here.
- In another test for J Jill, newspaper helped attract 22% more new customers with 44% more unit sales at 44% higher average sale with no drain on overall margins. Pretty impressive, don’t you think? One more example and again feel free to modify with your own. Testimonial blends nicely with research to build an effective story.
- So in conclusion, when it comes to navigating this perfect storm of declining ROI and rising ad avoidance, newspaper media are uniquely suited to helping you… Engage consumers when and where they are actively seeking advertising Leverage the viral power of word of mouth and reach people at the moment of decision So you are not done, now you can transition to your discussion about specific needs that your newspaper can address.
- Indeed, the value of newspaper media is clear, and has never been more relevant: It’s opt-in media in an increasingly opt out world. It’s where the advertising is a destination, and not a distraction. Thank you.