THE circulation market for consumer magazines and newspapers is being adversely affected by the availability of free content on the Internet, a report has found.
According to PricewaterhouseCoopers (PwC), print circulation figures are declining and advertising budgets are increasingly being shifted to online - a trend newspaper and magazine publishers have been affected by for many years.
Southern African Entertainment and Media Industry Leader from PwC, Vicki Myburgh, said that while readers were going online more frequently and demanding their news in a digital format, they were not prepared to pay for such a service.
"In order to open up new sources of revenue, as well as making themselves more independent of advertising business, publishers are increasingly focusing on paid content for their online products and digital revenue models," she said.
In its South African entertainment and media outlook 2011-2015 report, PwC considered the challenges of monetising digital consumers of consumer magazines and newspapers, and found that digital advertising rates were much lower than print advertising rates. This meant the migration of readers from print to digital would have an adverse impact on overall publisher advertising revenues in the short term.
Internet hits papers, mags
THE circulation market for consumer magazines and newspapers is being adversely affected by the availability of free content on the Internet, a report has found.
According to PricewaterhouseCoopers (PwC), print circulation figures are declining and advertising budgets are increasingly being shifted to online - a trend newspaper and magazine publishers have been affected by for many years.
Southern African Entertainment and Media Industry Leader from PwC, Vicki Myburgh, said that while readers were going online more frequently and demanding their news in a digital format, they were not prepared to pay for such a service.
"In order to open up new sources of revenue, as well as making themselves more independent of advertising business, publishers are increasingly focusing on paid content for their online products and digital revenue models," she said.
In its South African entertainment and media outlook 2011-2015 report, PwC considered the challenges of monetising digital consumers of consumer magazines and newspapers, and found that digital advertising rates were much lower than print advertising rates. This meant the migration of readers from print to digital would have an adverse impact on overall publisher advertising revenues in the short term.
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