CTVglobemedia - Competitors

CTVglobemedia Competition

Now Viewing CTVglobemedia's competition in: Newspapers and News Organizations

Recent Developments

News Organizations Cut Costs with Layoffs - Declining circulation and ad revenue are leading to layoffs at many US news organizations. Gannett will eliminate 1,000 jobs across its newspaper operations; McClatchy plans to cut about 10 percent of its workforce and instituted a year-long pay freeze across the company starting September 1. Industry experts cite rising use of Internet news sites as a key cause of declining newspaper circulation, and blame Internet classified ad services such as craigslist for declining ad revenue.

Ad Revenue Declines - Total print and online newspaper ad revenue declined 12.8 percent in first quarter 2008 compared to the same period in 2007, according to the Newspaper Association of America. Classified ad revenue fell 25 percent; national ad revenue, 9.5 percent. Online ad revenue grew 7.2 percent year-over-year in first quarter 2008, but was lower than the 22 percent year-over-year growth of first quarter 2007.

Subscriber Sues Newspaper for Making Staff Cuts - A subscriber to the Raleigh News & Observer is suing the newspaper for cutting staff and the size of the paper. The plaintiff, who renewed his subscription shortly before the paper announced on June 16, 2008, the layoff of 70 staff members and cuts in the number of news pages, alleges that the paper is now not worth what he signed up for and therefore the cuts breach the paper's contract with him. The plaintiff says that he could cancel his subscription, but filed the suit to keep the paper from reducing news coverage.

Competitive Landscape

The health of the economy drives both advertising and readership. The profitability of individual companies depends on marketing expertise, as most costs are fixed. Large companies benefit from economies of scale in sharing resources and by providing a range of outlets for advertisers. Small publishers can compete successfully by serving smaller markets. The industry is fairly labor-intensive: average annual revenue per employee is about $120,000.

Full Industry Overview For Newspapers and News Organizations

Newspapers and News Organizations Industry Forecast

from Hoover's/D&B subsidiary First Research

The output of US newspaper publishers is forecast to grow at an annual compounded rate of 4.6 percent between 2008 and 2013.

Newspaper Publishing Growth Dips and Recovers

First Research forecasts are based on INFORUM forecasts that are licensed from the Interindustry Economic Research Fund, Inc. (IERF) in College Park, MD. INFORUM's "interindustry-macro" approach to modeling the economy captures the links between industries and the aggregate economy.