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ERIC Number: ED134990
Record Type: RIE
Publication Date: 1976
Pages: 17
Abstractor: N/A
Reference Count: 0
Trends in the Newspaper Budget.
Simon, Kathryn; Bishop, Robert L.
Using data published by "Editor & Publisher," annual reports, and confidential material made available by publishers, this paper examines budgets for papers of varying sizes from 1947 to 1974. While expenses have been increasing more rapidly than revenue since 1947, newspapers are above average in rate of return on revenue. Earnings of 15% after taxes are not uncommon, though large metropolitan papers and papers with fewer than 25,000 circulation are much less profitable. The chief change in revenue over the past 27 years has been in advertising. In 1947, advertising typically accounted for two-thirds of total revenue, and national ads made up more than 12% of the total. Local and classified ads now have grown to nearly 70% of total revenue, while national ads have declined to less than 4%. Subscriber revenue has dropped from around one-third of total revenue to around one-quarter. The most startling increase has been in administrative and general expense. For the composite paper, this category represented 11% of all expenses in 1947, but 27% in 1974. Budget data are presented by circulation and a cost/demand curve for circulation and advertising is estimated. (Author/AA)
Publication Type: Speeches/Meeting Papers
Education Level: N/A
Audience: N/A
Language: N/A
Sponsor: N/A
Authoring Institution: N/A
Note: Paper presented at the Annual Meeting of the Association for Education in Journalism (59th, College Park, Maryland, July 31-August 4, 1976)