1$ or 5 Quarters

[db7]

Price creep has been affecting the best interests of newspapers for years. Two percent this year, 1 percent that year, 4 percent another, etc. The cumulative effect over time are full run rates unaffordable to most advertisiers. Are major market newspapers headed for a demise similar to dinosaurs, so burdened by their own ponderous weight (operating costs and rates) that thay cannot move quickly enough to compete for food (market share) with smaller, agile (less expensive) competitors?

When was the last time your newspaper reduced rates? There are consultants preaching that action today. Reduce rates, run more ads and make the profits in volume.

Is the newspaper of the future destined to be fewer full or half page ads, and more quarter page and 10-inch ads?

[ds2]

Increasing rates are a factor, as agencies see our CPMs rise and risk-averse clients balk at committing huge chunks of their promotion budgets to a medium that is under fire. (Funny how every other medium, but the web, is losing numbers at the same or greater rate, but the only one that gets ink about it is newspaper.) But, I am not sure that cutting rates will reverse the trend. We have held our rates for a couple of years and created deeply discounted rate classifications. The expected wave of business has not materialized. I don't have any answers. I'm just a sales grunt. But, I think that, because of our past arrogance, we opened up huge opportunities for our competitors. That is business that is not likely to return. Now the future is said to be found on the web. There will always be a place for the paper product, but I hope that we don't give away the burgeoning online market while we treat it like an interesting little side project.

[db7]

ds2,
Your last message rings so true. For the sake of conversation, allow me to agree then disagree.
First, concerning

Originally Posted by ds2

(Funny how every other medium, but the web, is losing numbers at the same or greater rate, but the only one that gets ink about it is newspaper.)

I agree completely. Pogo, years ago in a newspaper comic strip, got it right, "We have met the enemy, and he is us." 'Nuff said.

Second, concerning

Originally Posted by ds2

But, I think that, because of our past arrogance, we opened up huge opportunities for our competitors. That is business that is not likely to return.

Arrogance, like any offense, can be pardoned IF the offenders are sincere enough and change their ways. The key word is IF. I believe newspapers can win that business back. It will require the newspaper to go to the customer and repair the relationship with presents of service, creativity, market research, reliability and results. As the customers grow jaded with other media, they can come back to the newspaper. Remember, IF is the key, and it's all on newspaper advertising departments to bring customers back (don't expect any help from other departments - like it says above, "he is us").

Great reply ds2, I wonder if any other folks have thought to share on this topic?

Lastly, GREAT game last night! Water Bowl will go down in history like the snow cloud game. I loved it! It looked like a Steeler game from the 70s (without the mud). Did you see the punt that hit and stuck? Go STEELERS.