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Google’s FTC presentation

March 10, 2010

Ad growth in the last 20 years?
Best performer Cable TV, worst, newspapers.

Hal Varian, Google’s chief economist had some interesting facts in his FTC presentation.

Total online revenue has grown to 25-33% of newspaper ad revenue, while newspaper online ad revenue is only 3-5% of the total newspaper ad revenue. Which agrees with the proportion of pages they visit, 3% online and 97% on print.

Approximately 50% of the total costs could be saved if newspapers dropped the paper from “newspapers“.

Cable TV, billboards and… direct mail?? are the winners in ad growth. While we could almost draw a straight line for the downward slope for newspaper revenue shrinkage since 1990, and for circulation per household since 1950.

Interestingly, newspaper ad revenue predicts recessions. There’s a steep drop since the year 2000…

Local news has fared better than national, worse off: classifieds.

43% of online users get their news from their phones, mostly for the weather, and 46% jump to at least 6 different sites to get their news.

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