Things Could Get Worse For Print Publishers

Over the past decade, as consumers and advertisers turned to digital media, U.S. print publishers have suffered a precipitous decline of advertising revenues. Newspaper ad spending in the United States peaked in 2000 and has since fallen more than 70 percent to a 50-year low if inflation is considered. Magazines have suffered a similar fate and, according to an analysis by Macquarie Capital, things could get even worse for print publishers.

Comparing the share of time spent with selected media to the respective medium's share of advertising expenditure reveals that print advertising revenues could drop another 70 percent, if it were to be proportionate to the time consumers spent with print media. On average, Americans only spend 4.6 percent of their media time reading newspapers or magazines, yet print still accounts for almost 20 percent of total media ad spending.

The opposite holds true for mobile: Americans spend 19.9 percent of their media time on mobile devices, yet mobile advertising only accounts for 4.3 percent of total ad spend.

If the numbers at hand are any indication for the future growth of advertising mediums, mobile advertising is about to take off. For newspapers and magazines however, the worst may be yet to come.



Infographic: Things Could Get Worse For Print Publishers | Statista
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