Newspaper Ad Spending Down in Second Quarter

  • by August 16, 2001
Newspaper advertising expenditures for the second quarter of 2001 totaled $11.1 billion, a decrease of 8.4% over the same period last year, according to preliminary estimates from the Newspaper Association of America. By comparison, total newspaper advertising had its highest increase in the second quarter last year, when it was up 6.8%.

Retail advertising showed the smallest decline in the second quarter, off 2.2% to $5.3 billion. National advertising was down 8.5% to $1.9 billion, and classified advertising slid 15.5% to nearly $4 billion.

For the first half of 2001, retail advertising was down 1.4% to $9.8 billion, national advertising declined 6.2% to $3.6 billion and classified dropped 12.2% to nearly $8 billion. Total advertising in newspapers for the first six months was $21.4 billion, down 6.5% from the same period last year.

"These numbers aren't a big surprise given the current economy," said NAA President and CEO John F. Sturm.

Within the classified category in the second quarter, real estate continued to show strength, gaining 8.0% to $782 million. Automotive declined 3.5% to $1.1 billion, recruitment sank 33.4% to $1.4 billion and all other classifieds were down 4.8% to $652 million.

For the first half of the year, real estate increased 9.7% to $1.5 billion, automotive declined 4.8% to $2.2 billion, recruitment dropped 25.3% to $3.1 billion and all other classified slipped 6.2% to $1.2 billion.

"We're now seeing the downside of having been so very successful in attracting recruitment advertising into our medium in recent years," said NAA VP of Market and Business Analysis Jim Conaghan. "Overall, the comparisons in most categories ease in the second half of this year where we can expect some improvement."

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