Stagwell has announced the launch of the Stagwell News Network, a private marketplace (PMP) with launch partners that include Newsweek, Nexstar, NPR, Ozone, RealClearPolitics, The Associated Press, The Washington Post and Time.
The launch follows the holding company’s “Future of News” initiative that Stagwell began last year to promote greater advertising investment in legitimate news organizations. A key premise of the initiative is that some advertisers are holding back on investments in news due to brand safety concerns. Stagwell has done extensive research which it says proves that those concerns are overblown.
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The PMP launch coincides with an expanded presence of the Future of News initiative as this year’s Cannes ad festival.
The company is unveiling new research at the festival conducted by Stagwell’s research consultancy HarrisX among 7,126 U.S. adults, that reveals a clear loss in campaign reach and effectiveness when foregoing news advertising.
Among the findings: roughly 80.4 million U.S. adults who follow the news ‘very closely’ — view brands more positively than less engaged audiences across seven key brand and reputation metrics, including purchase intent, favorability, likelihood to recommend, and trustworthiness.
Also, among so-called “News Junkies,” the average purchase intent for 20 brand ads tested across technology, travel/hospitality, CPG, financial services, and automotive, was 66%— compared to 50% among the rest of the general population.
13.8% of U.S. adults, or approximately 36.8 million individuals, are Exclusive News Junkies, defined as those who follow the news ‘very closely’ but do not closely follow sports or entertainment.
Per the study, Exclusive New Junkies show greater post-ad exposure lift than the rest of the general population, "making it clear they are an underserved advertising audience who responds to ads.”
Nearly 60% of News Junkies and Exclusive News Junkies now follow the news more closely than they did a year ago.
“This research shows that campaigns including news in the media mix consistently outperform those that forego news, and as the population of Exclusive News Junkies expands, brands that ignore news advertising are missing the opportunity to drive real results,” said Stagwell Chairman and CEO Mark Penn.
Since 2024, Exclusive News Junkies have grown in population size by approximately 7.2 million U.S. adults, now making up 13.8% of the general population compared to 11.1% a year ago.
Since beginning news-focused testing in the second half of 2023, Stagwell has seen 2024 campaigns deliver three times the average return on ad spend (ROAS).
According to Stagwell agency Assembly’s Media Mix Model, news delivers commercial impact, with three times higher ROAS than other paid media channels.