Newspapers continue to win over new readers worldwide

More people read newspapers than ever before… the only difference is that they are not sticking just to the print version.

Driven by new digital platforms, the global circulation of newspapers was up 1.1 per cent in 2011, according to the World Association of Newspapers (WAN).

The increase also stems from interest shown by readers in Asia, North Africa and the Middle East. Over the last nine years, Asia saw a 16 per cent increase in newspaper consumption and ranked third among regions in global circulation.

In comparison, newspaper circulation fell 3.4 per cent in Europe and by 4.3 per cent in North America.

Yet, more than 2.5 billion people read newspapers at least once a week.

Online

On the internet, the newspaper audience is 600 million, and among those who read the newspaper on the web, 500 million also read the print version.

The number of newspaper readers is higher than the number of global internet users. Of the global audience on the internet, 40 per cent read online newspapers. In 2010, this share was 34 per cent.

“The problem is not one of audience; we have the audience,” said Wan-Ifra’s vice-president, Larry Kilman. “The challenge is largely one of business, of finding successful business models for the digital age.”

Newspaper advertising revenues are declining as those lost in print have not been replaced by digital advertising.

The study found that this decline correlates with a lack of “intensity” when it comes to digital news reading. Digital news consumers spend less time and visit fewer pages on digital platforms than they do in print. This lack of intensity is reflected in newspapers’ share of digital revenues.

Alternatives

In the US, while 7 in 10 Internet users visit news sites, only 17 per cent do so daily. In fact, only 2.2 per cent of advertising revenues for newspapers came from digital platforms last year.

This shows a clear trend: the reader is mobile and has more alternatives to garner information.

The WAN survey found that 6 in 10 users of tablets abandoned other forms of access to information content. More than half access news daily, and 30 per cent say they now spend more time on journalistic content after purchasing the device.

It is interesting that some publications, such as the New York Times, found some success by getting more online subscribers after introducing pay wall.

The new technology offers multiple opportunities for news organisations to meet the demand for information. But what could be the reason for the difficulty in monetising the audience?

For sure the business model needs a rethink.