The Economist has suffered an 11 percent fall in profits as a result of declining ad revenues, reports Jennifer Faull of The Drum.
Faull reports, “However, to capitalise on uptick in subscribers, it has increased its marketing budget over the ‘next few years’ in the hopes of stemming further losses.
“In its annual report, it revealed that less than 20% sales came from advertising, compared with 23% in 2015 and 40% in 2010.
“It said that despite largely avoiding the massive downturn other news companies have suffered, ‘the virus eventually caught up with us, and how.’
“Chairman Rupert Pennant-Rea described the last year as ‘painful.'”
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