NEW YORK: A new report from EPS Market Inelligence and Advisory Service that examined national newspaper markets in the U.S. and U.K. says that in order to remain competitive, newspapers need "an appreciation of the capabilities and potential of an interactive medium, and an understanding of how news can fit into the broader trends sweeping the web."
The executive summary of the report highlighted issues as to how the business model, content and delivery of the newspaper is evolving as more and more advertising is focused online.
"The decline of a major revenue stream, classified advertising, is a severe threat to the newspaper industry if it continues at current levels or worsens," the report concluded. "Furthermore, the availability of largely free news sources online means that, particularly for younger generations, news consumption habits are shifting away from the print newspaper."
It noted that very few newspapers have been able to sustain a pay-for-content business model, and that advertising was the key to revenue online.
