That shift is
going to sting, because classifieds can make up more than 35% of newspaper revenue. Mike Simonton, a media industry analyst at Fitch Ratings, notes that the Internet's share of real-estate and auto
classified advertising is going to move higher. "Newspaper advertising should remain under pressure until newspapers are better able to address the threat of online advertising."
While some big real-estate franchisors say newspapers are still essential to selling a home, younger brokers, home sellers and buyers are more focused on the Internet. "For our agents, newspapers are an old standby," says Abby Lee, director of regional advertising in Denver for RE/MAX. "With younger agents, there's a trend of going online. There's a realization that's where they need to be."