Where are Newspapers Now?

Newspaper ad revenues continue in the doldrums.John Barlow of Barlow Research Associates, Inc. reminds me that it’s been awhile since I blogged about the dire straits of America’s newspaper industry. The twin whammies of a major economic recession along with the rapidly changing ways Americans are getting their news have hammered advertising revenues and profits, leading to organizational restructuring, bankruptcies, and more.

But with the recession bottoming out (hopefully?), there was hope that the decline in newspaper ad revenues might be arrested as well.

Well, the latest industry survey doesn’t provide much cause for celebration. A poll of ~2,700 small and mid-size businesses conducted this summer by Portland, OR-based market research firm ITZBelden and the American Press Institute finds that ~23% of these businesses plan to cut back on newspaper advertising this year.

The kicker is that these revenues are being spent, but they’re being put to use in other advertising media.

The ITZBelden survey found that a similar ~23% of companies plan to up their 2010 digital ad spending anywhere from 10% to 30%. This compares to only about 10% planning to increase their print advertising by similar proportions.

Moreover, the survey findings reveal that small and mid-size U.S. businesses have moved into digital marketing in a significant way. Not only do more than 80% of them maintain web sites, they’re active in other areas, including:

 ~45% maintain a Facebook or MySpace page
 ~23% are engaged in online couponing
 ~13% are involved with Craigslist
 ~10% are listed on Yelp! or similar user-review sites

One area which is still just a relative blip on the screen is mobile advertising, in that fewer than 4% of the respondents reported activities in that advertising category.

Where are these advertisers planning to put their promotional funds going forward? While newspapers should continue to represent around one quarter of the expenditures, various digital media expenditures will account for ~13% of the activity, making this more important than direct mail, TV and Yellow Pages advertising.

There was one bright spot for newspapers in the survey, however. Respondents expressed a mixture of confusion and bewilderment about the constantly evolving array of digital marketing communications options opening up … and they’re looking for support from media experts to guide their plans and activities.

And where do they see this expert advice coming from? Newspaper ad reps.

Perhaps the Yellow Book’s “Beyond Yellow” small business advertising campaign – you know, the one that touts not only the Yellow Pages advertising but also web development, online advertising, search marketing and mobile advertising – is onto something.

Search Engine Rankings: Page 1 is Where It’s At

All the hype you continually hear about how important it is to get on Page 1 of search engine result pages turns out to be … right on the money.

In a just-released study from digital marketing company iCrossing, nearly 9 million “non-branded” search queries conducted on Google, Yahoo and Bing were analyzed, with the clickthrough percentages from the first, second and third pages of the search engine results (SERPs) tallied.

It turned out that more than 8.5 million clickthroughs were made from the first page of results – a whopping 95% of the total. The rest was just crumbs: Clicks off the second page came in under 250,000, while third-page clicks clocked in at a paltry ~180,000.

The results were essentially the same for the three major search engines (all at 95% or 96%) – so it’s a clean sweep across the board and clearly behavior that fits all across the spectrum.

What this suggests is that when searching on generic or descriptive terms, most people will not go past the first page of results if they can’t find a site link that interests them. If they don’t hit paydirt on the first page, they’re far more likely to try another search using different keywords or phrases until they find a site on Page 1 that does the trick.

Comparing this newest iCrossing study with research from a few years back reveals that Page 1 clicks represent an even higher proportion today; earlier studies from a few years back had it pegged at 80% to 90%.

The implications of this study are be clear: if you’re looking to attract visitors to your site via generic or descriptive subject searches, you’d better make sure your site is designed so that it achieves first-page ranking … or your web efforts will be for naught.

That being said, the recipe for success in ranking hasn’t changed much at all. Despite all of the tempting “link juice” tips and tricks out there, the main keys to getting high rankings continue to be creating loads of good web content … speaking the same “language” as searchers (however inaccurate that might be) … and maintaining lots of good links to and from your site to increase its “relevance” to search engines.

No doubt, it’s getting tougher to achieve Page 1 ranking when there’s so much competition out there, but it’s well worth the effort.