Categories: OLD Media Moves

Business news industry grows, but will ad dollars follow?

Brian Steinberg of Advertising Age writes Monday that with the business news category expanding due to the launch of Fox Business Network, the question is whether the ad dollars spent in the segment will grow as well.

Steinberg wrote, “These financial-news outlets give blue-chip advertisers such as Microsoft Corp., General Motors Corp., IBM and AT&T the chance to reach a valuable demographic — chiefly upscale, older men. Consolidation among financial-services firms and technology companies make keeping the coffers full these days a much tougher task.

“‘I’m not sure there’s room to grow the audience,’ said Tim Spengler, chief activation officer at Interpublic Group of Cos.’ Initiative. Without investor euphoria to drive market expansion, he said, business media will have to steal consumers and ad dollars from each other as part of ‘a zero-sum game.’

“Indeed trends show a choppy category. Ad spending in 2006 at CNBC fell about 29.2% from 2004, according to TNS Media Intelligence (the figures reflect spending on the core media property, not across all venues). In the same time period, ad spending fell about 7.8% at Fortune and about 15% at BusinessWeek. Meanwhile, ad spending is up about 5.5% at Forbes and about 18.4% at The Wall Street Journal. Some of the biggest advertisers in the publications are the companies that own them. The Journal’s biggest advertiser in 2006 was its corporate parent, and Forbes Inc. was one of Forbes’ five biggest sponsors in the same year, according to TNS.”

Read more here.

Chris Roush

Chris Roush was the dean of the School of Communications at Quinnipiac University in Hamden, Connecticut. He was previously Walter E. Hussman Sr. Distinguished Professor in business journalism at UNC-Chapel Hill. He is a former business journalist for Bloomberg News, Businessweek, The Atlanta Journal-Constitution, The Tampa Tribune and the Sarasota Herald-Tribune. He is the author of the leading business reporting textbook "Show me the Money: Writing Business and Economics Stories for Mass Communication" and "Thinking Things Over," a biography of former Wall Street Journal editor Vermont Royster.

Recent Posts

CNBC taps Sullivan as “Power Lunch” co-anchor

CNBC senior vice president Dan Colarusso sent out the following on Monday: Before this year comes to…

23 hours ago

Business Insider hires Brooks as standards editor

Business Insider editor in chief Jamie Heller sent out the following on Monday: I'm excited to share…

23 hours ago

Is this the end of CoinDesk as we know it?

Former CoinDesk editorial staffer Michael McSweeney writes about the recent happenings at the cryptocurrency news site, where…

2 days ago

LinkedIn finance editor Singh departs

Manas Pratap Singh, finance editor for LinkedIn News Europe, has left for a new opportunity…

3 days ago

Washington Post announces start of third newsroom

Washington Post executive editor Matt Murray sent out the following on Friday: Dear All, Over the last…

4 days ago

FT hires Moens to cover competition and tech in Brussels

The Financial Times has hired Barbara Moens to cover competition and tech in Brussels. She will start…

4 days ago