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circulation volume

That is the message global media consultants Simon-Kucher & Partners is hoping to send to news publishers, with a report that makes the case for significant increases in newspaper cover prices.

Price hikes are frequently seen as tangible proof of a newspaper’s declining fortunes, a desperate attempt on editors’ parts to combat dwindling revenue. Take for example Jeff Jarvis’s reaction to the NYTimes’s decision to raise the price of its print edition by 25 percent, from $2 per copy to $2.50. Jarvis doubted the viability of such a move, believing that it aimed to “support an outmoded economic model.” Newspapers, he argued, have lost much of their pricing power as online content puts paid to the advertising models that once made newspapers a powerful economic force. Jarvis’s reflections on the impact digital has had on newspaper ad revenue is valid in the main, but his assertion that increasing cover prices is an exercise in futility finds a counter-argument in SKP’s recent study.


Amy Hadfield


2012-09-03 16:07

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