By: Jennifer Saba September was a cruel month, and October is looking beastly -- all cause for fresh concerns regarding ad spending. The economic roller coaster of the past several weeks has spooked advertisers and, according to The New York Times, consumers as well. This does not bode well for ad-dependent media.
In a weekly note from Wachovia, analyst John Janedis and his team raise the possibility that newspaper ad revenue may fall even further. "Our caution on newspapers has been longstanding, but we're becoming increasingly concerned that a greater than anticipated pullback may impact ad related business that have heretofore been relatively stable."
Additionally, the note warns that cancellations for national advertisers remain near "historical levels."
Wachovia tracks ad page counts in the New York Times and The Wall Street Journal to keep a pulse on industry trends. At the Times in September, help wanted is down in the mid-30% range and real estate is down in the mid-teens. The papers made gains with department store advertising up 10%. Movie page counts fell 36%. Banks are up 44%.
At the Wall Street Journal total lineage declined in the low-single percent range while color lineage is up in the low double-digits.
Comments
No comments on this item Please log in to comment by clicking here