PricewaterhouseCoopers’ 2013 Global Entertainment and Media Outlook indicated that domestic newspaper revenue is forecasted to decline by a 2.9% CAGR between 2013 and 2017, with a 4.2% drop in advertising offsetting slight improvement in circulations. This is hardly surprising.
Firstly, readers enjoy free access to basic headline stories via both online sources and free dailies. Secondly, general-purpose print media publications are losing favor with advertisers that prefer specialist media that are able to target specific readers with respect to demographics and interests.
This suggests that publishers such as Time (NYSE: TIME ) , Lee Enterprises (NYSE: LEE ) , and A. H. Belo (NYSE: AHC ) will be better positioned than their generalist peers to survive and even thrive in the new media landscape.