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Friday, March 13, 2009 By Kevin Arritt
These results from the Pew Research study show how Americans are increasingly choosing the internet over newspapers as their news source. - Kevin Arritt
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The
struggling economy is obviously affecting our schools and our communities, but
now it is also affecting how we learn about our world. The popularity of the
internet coupled with the economic recession is causing newspapers to seriously
reconsider how news should be presented to the public.
The
economic recession has caused advertising revenue to decrease as fewer companies are
able to give money to newspapers. Also, any debts that newspapers might have
accrued before the world economy spiraled downwards now seem impossible to
pay. Both of these were causes of media giant Tribune Co. filing for Chapter
11 bankruptcy. Tribune Co. operates the Chicago Tribune, along with multiple
other local media outlets. The company had restructured to go private and the
Chairman kept piling on the debt. Then, revenue plummeted. Chairman of Tribune Co. Sam Zell called this a “perfect storm.”
The severity of newspapers' troubles is
compounded by the fact that many Americans are turning away from print and
television media and using the internet as a way to become informed about
society. A Pew Research study found that the percent of Americans who reported
reading a newspaper the day before dropped from 58% in 1993 to 34% in 2008.
During this same period of time, the internet unsurprisingly skyrocketed in
popularity. From virtually zero percent depending on the internet for news in
the mid-1990’s when internet was still very young and not commonly used by the
average American, to 37% in The problem
with more Americans choosing to log onto the proverbial “tubes” is that it is
much more difficult for newspapers to create revenue from online readers. Most
media outlets have their content online for free, with the only revenue coming
from advertising. Not having the added revenue of selling actual copies of
newspapers does not help, especially when the economic situation is also causing
advertising revenues to plummet.
At The Tribune, the local paper that publishes The WEB,
the rise of the internet as a means to become informed has not
negatively affected the circulation of the paper, but the economic
recession has caused The Tribune to see less advertising revenue.
"As local people and businesses have been affected, that
in turn has affected our advertising volume and revenue in both retail and
classifieds," said Alexandra Hayne, the editor of The Tribune. "Tribune circulation has not been affected adversely by
the advent of digital news delivery. Print circulation has been holding pretty
steady. Interest in our websites,
however, continues to grow."
The Tribune has been forced to make some changes to compensate for lost revenue. This is one reason why The WEB is noticeably smaller this year than in past years.
"So
far, we have taken steps to reduce expenses, the most visible of which were a
staff reduction and discontinuing several popular columnists. There will most
likely be other measures we must take to cut our expenses further," Hayne said.
The hardships and cuts faced by The Tribune seem to be very representative of many other smaller news organizations.
"Smaller
news organizations, however, are in a stronger position than large ones," Hayne said. "News
organizations in smaller communities do not face as much competition as exists
in larger markets. In Ames, for
example, The Tribune is still the best and most trusted place for local news
and advertising."
Although it may be a tough time for newspapers, people are still
increasingly interested in the world in which they live. Not just the
internet, but new ways to receive news will also be important for the
future.
"I think technology - particularly
mobile technology - will continue to offer new ways for people to get
information and learn about their world. News organizations will offer an array
of products on multiple platforms, including print and digital, to meet the
needs of news consumers and the advertisers who want to reach them. One thing I
don’t see diminishing is the appetite for information. It will continue to grow," Hayne said.
The decrease in revenue for
newspapers has hurt us locally, but we still aim to keep the Ames community informed
about events and students at Ames High. The
WEB will continue to share students’ perspectives of current events,
although more content will now be hosted online at our website, AmesHighWEB.info.
In the last decade, we have
witnessed what seems to be a revolution in the way that people become informed.
As news companies continue to hurt with there being no end in sight to our
economic troubles, and with the Internet only becoming more and more popular,
we could be in for more big changes in the media industry in the next decade.
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