Publishers have shown considerable faith in the internet and are beginning to reap the rewards of their web investments. That is the conclusion of a new study from the Newspaper Society which examined the online spending and strategies of trade, national and regional publishing groups.
The report, written by consultancy Blue Rubicon on behalf of Netscalibur, was based on interviews with eleven senior newspaper and digital publishing executives. It found that publishers have invested up to 30% of their brand’s reputation in their internet operations and are committed to spending more.
“The role of the brand is arguably even stronger in the digital world than it is in print,” said Danny Meadows-Klue, chairman of the Interactive Advertising Bureau. “As newspapers compete for the time budgets of their audience and do so in a world where everything is only a click away, the power of the brand is clear.”
The report also found that different online publishing models can be used concurrently. For example UK publishers are raising money from banner ads as well as subscription fees for access to online content. Blue Rubicon also dispelled the notion that newspaper and magazine websites divert consumers from print titles. In fact, it is stated that they strengthen the overall brand and attract readers and advertisers alike.
“Now is the time for the web-hosting industry to deliver on its promises to publishers,” said Simon Harrison, the UK Managing Director of Netscalibur. “Media companies are for the first time beginning to generate revenues online through a number of different models.”
“Furthermore, the reputation and performance of their print titles, and of their online offerings are increasingly interdependent. So the imperative towards system uptime has never been more critical.”
