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State of Media: Newsies Like Cable and a Free Web
Monday, March 15, 2010
Steve Smith

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News media consumption habits are shifting quickly, with newspapers, magazines and network TV continuing to bear the brunt of the transformation. According to its annual “State of the News Media” report, the Pew Project for Excellence in Journalism found that only cable and digital platforms saw their news audiences grow in the last year. Online news consumption measured in unique visitors grew 9.25%, but the top 7% of the 4,600 sites surveyed were responsible for 80% of the traffic. Of the top 199 news sites, 67% represent legacy media brands. Fragmentation and diminished brand loyalty continue to evolve, as only a third of users say they have a favorite Web site and 57% graze across two to five sites.

Magazines registered a significant hit last year. Of 472 titles analyzed, circulation fell 2.23% for the last six months of 2009, with newsstand sales down 9%. By PEJ’s count, the level of investment at news magazines declined significantly. It saw a 20% staff cut in Time for the year, 38% at U.S. News & World Report (which went to a monthly print schedule) and 9% at Newsweek.

PEJ projects that the business models for online content will continue to be challenged by consumer unwillingness to pay for content. Only 7% of users say in a survey for this report that they have a favorite online news source that they would pay to view. PEJ found that there is some interest in a subscription plan that would give readers access to multiple news sources.

The 2010 PEJ report is a comprehensive analysis of the news media across platforms and includes deep digs into the changing content mix at major newspapers and magazines, the state of media company ownership, and changing media consumption habits.





If you have breaking news to share please contact Steve Smith at ssmith@accessintel.com

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