Sites vs Yahoo! Local Sites
Trends in Publication
Marketing and The Internet
written by Ray Wyman, Jr.
This business report was compiled December 2000 for an Internet
In major markets across the U.S., online newspapers are some of the
most recognized and visited Web sites among local-oriented Internet
destinations. According to aggregated marketing surveys from more than
10,000 online consumers in 17 major markets from January to June 2000,
66 percent of all online consumers were, on average, aware of online
newspaper Web sites. Nearly half (48 percent) of online consumers had
visited the local newspaper site, and more than 22 percent (an estimated
4.97 million online users) had visited in the past 30 days.
In addition to driving strong traffic, NFO found that online newspapers
also drive a higher volume of more valuable traffic for potential advertisers
and their efforts to attract shoppers. As a result of visiting the newspaper
Web sites in the research, nearly 1.4 million online consumers report
contacting a business in the previous 30 days and more than half of
those 750,000 made either online or offline purchases.
Each of the 17 markets in the NFO study had local competition from
America Online's Digital City service, Lycos Cityguide, and Ticketmaster/CitySearch.
In addition, NFO also assessed the performance of online newspapers
against Yahoo's local city guide equivalent, Yahoo!Local, in seven major
markets (Atlanta, Boston, Chicago, Los Angeles, Miami, Minneapolis,
and Washington D.C.). Across these seven markets, online newspapers
had an average awareness of 74 percent among online users compared to
34 percent for Yahoo!Local; 56 percent of online users visited newspaper
sites, on average, compared to 16 percent for Yahoo!Local; and 28 percent
indicated visiting newspapers' sites in the past month relative to Yahoo!Local's
It is clear from this study that within the local markets major newspapers
have found a way to effectively leverage their existing traditional
brands to drive significant online traffic volume. Online newspapers,
as other online forms of traditional print media, are in a strong position
to build significant user traffic that is not only interested in gathering
news and local market information, but it is also interested in shopping.
The most compelling value for prospective online advertisers is that
this model offers enhanced exposure from print and online vehicles;
for publishers, the compound revenue potential should be irresistible.
Business Professionals still Rely on Print
The Internet and business-to-business magazines are synergistic not
competitive media, concludes a year-long survey of executives and professionals
conducted early last year by Cahners Business Information. Contrary
to the images of dot-connected executives armed with laptops, Internet-capable
cell phones, and PDAs only 12 percent of those that buy or set the specifications
for projects look to the Web first. Business-to-business magazines remain
the most popular place to seek out information on products and vendors.
When starting new projects, 39 percent of professionals look to magazines
first, this number is unchanged from last year. Sales representatives
were listed by only 12 percent of those surveyed down from 20 percent
a year ago.
The importance placed on magazines will not diminish in the near future,
according to the survey findings. Almost two-thirds (65 percent) of
those responding said their reliance on professional magazines is likely
to intensify through the year 2002. One-third (33 percent) said they
will rely on professional magazines in the 21st century as much as they
do now. Only 2 percent predicted a decrease in magazines' importance.
According to the
Newspapers Association of America (NAA) and the Magazine Publishers
Association (MPA), there are 1,483 daily newspapers, about 9 thousand
smaller non-daily newspapers, and 17,815 magazines published in the
United States today.
According to information
from the 1999 edition of Standard Rates and Data Service (SRDS), more
than half of all newspapers have a circulation of less than 250 thousand
and more than 70 percent of all magazines have a circulation of less
than 100 thousand.
According to the
Federal Communications Commission (FCC), there are 12,717 radio stations
and 1,663 television stations licensed to operate in the United States
as of September 29, 2000. According to the CIA World Factbook, as of
January 2000, there are over 21,500 television stations and over 44,000
radio stations worldwide. On average, each commercial broadcaster has
an audience of 800 thousand, with about 200 to 400 advertisers annually.
NOTE: The Magazine
Publishers Association draws data from five other sources: the National
Directory of Magazines, Standard Rate and Data Service, Audit Bureau
of Circulations, BPA International, and the Publishers Information Bureau.