Naa Digital Value Proposition

Make Your Online Advertising More

Effective

A Case For Using Local Newspaper Web sites

Newspaper Web sites = Localmotion!

“Everything important is local…”

-Bill Schrier, Chief Technology Officer, City of Seattle

"Successful brands are ones that have been able to turn the local market place into the local marketing place.”

- AllAboutBranding.com

All Business Is Local

“Localization is a key component of Macy’s strategic formula for continued growth and success… As we provide for more local decision making in every Macy’s community, we are tailoring our merchandise assortments, space allocations, service levels, visual merchandising and special events store-by-store.”

- Source: Macys Inc, 2008 Annual Report, page 2

The Value Proposition of Newspaper Web sites

Five Good Reasons…

Newspaper Web sites…

#1 – Reach engaged audiences.

#2 – Are continually growing.

#3 – Offer engaging products and services.

#4 – Extend local reach for advertisers.

#5 – Encourage action.

Reason #1

Newspaper Web sites Reach Engaged Local

Audiences.

• 40% of those employed in management, financial operations or professional & related occupations.

• 40% of those have at least a four-year college degree.

• FCC Network – 63%

• 44% of those have a post-graduate degree.

• 46% of those have an individual income of $150,000 or more.

Source: Scarborough Research, Multi-Market Release 2, 2008 12 months. Visited newspaper website in past 30 days.

Newspaper Web site Visitors:

FCC Network Visitors:

20% over

$100k

63% College & Grad School

63% over 351,030,537

people

37% under 35

605,236 people

Women Use Newspaper Web sites!

% Compositi

on

Index to Total

Women

Index to Total

Online

Age 25 to 34 22% 128 109

35 to 44 24% 127 108

HH Income

$75,000 +

49% 144 103

Education College Graduates

38% 159 116

Home Ownership

Own their Home

75% 106 100

Base: 22,560,463 Female Adults who visited newspaper website past 30 daysSource: 2008 Scarborough Multi-Market Report

Men Use Newspaper Web sites! %

Composition

Index to

Total Men

Index to Total

Online

Age 25 to 34 22% 115 108

35 to 44 24% 122 110

HH Income $75,000

+61% 205 127

Education

College Graduates

46% 170 139

Home Ownership

Own their Home

78% 108 104

Base: 22,555,774 Male Adults who visited newspaper website past 30 daysSource: 2008 Scarborough Multi-Market Report

Hispanics Use Newspaper Web sites!

% CompositionIndex to

Total Hispanics

Age 25 to 34 30% 104

35 to 44 25% 113

HH Income

$75,000 +

43% 174

Education College Graduates

26.8% 233

Home Ownership

Own their Home 75% 124

Base: 4,762,882 Adult Hispanics who visited newspaper website past 30 daysSource: 2008 Scarborough Multi-Market Report

“As consumers become more sophisticated in navigating the Web, they are turning to trusted sources of news and information, like newspapers, instead of content aggregators or portals.”

- Shawn Riegsecker, President, Centro

#1 Local Site in Top Markets

• Newspaper Web sites #1 in Top 10 Markets

• Newspaper Web sites #1 in 22 of the Top 25 Markets

Source: Newspaper National Network LP  comScore – December 2008– 12 Month Average Unique Visitors

#1 Local Site in the Region

Newspapers Own the #1 Local Web site in 22 of the Top 25 Markets

Source: comScore January 2008 – December 2008 Average Unique Visitors 18+

DMA 1 -12 DMA 13-25

New York - NYTimes.com Tampa/St. Petersburg – Baynews9.com

Los Angeles - LATimes.com Seattle – SeattleTimes.com

Chicago - Chicagotribune.com Minneapolis/St. Paul – StarTribune.com

Philadelphia - Philly.com Miami/Ft. Lauderdale – Sentinel.com

Dallas/Ft. Worth - Dallasnews.com Cleveland – Cleveland.com

San Francisco – SFGate.com Denver – 9News.com NBC

Boston - Boston.com Orlando – OrlandoSentinel.com

Atlanta - AJC.com Sacramento – SacBee.com

Washington DC - WashingtonPost.com

Saint Louis – STLToday.com

Houston - Chron.com Portland – Oregonlive.com

Detroit - ClickonDetroit.com – Channel 4 NBC

Pittsburgh- Post-Gazette.com

Phoenix – AZCentral.com Charlotte – Charlotte.com

Indianapolis – IndyStar.com

Reason #2

Newspaper Web sites Are Continually

Growing.

Audience Growing At More Than Twice the Rate of The Internet

Source: //NetRatings NetView Custom Analysis 2009

Percent Growth In Unique Visitors, Same Period, Year-Ago

3.2%

10.5%

0.0%

2.0%

4.0%

6.0%

8.0%

10.0%

12.0%

Q1 '09 Internet Growth Q1 '09 NewspaperWebsites

Accelerating Growth

Unique visitors to newspaper web sites totaled 73.3 million in the 1st quarter of 2009 – 11% increase over the same period last year.

Page views averaged over 3.5 billion per month throughout the quarter, compared with 3.1 billion during the same period last year.

44% of all active internet users visited newspaper web sites.

Source: Nielsen Online – Adults 18+ - 2009

Online Newspaper Audience Continues to Grow

Unique Users January 2004 – January 2009

30,000,000

40,000,000

50,000,000

60,000,000

70,000,000

80,000,000

Jan

-04

May-0

4

Sep

-04

Jan

-05

May-0

5

Sep

-05

Jan

-06

May-0

6

Sep

-06

Jan

-07

May-0

7

Sep

-07

Jan

-08

May-0

8

Sep

-08

Jan

-09

43,330

73,308,926

Up 77%

Source: Nielsen Online – Adults 18+ - 2009

Local online users trust Newspaper Web sites more than local TV station sites, portals, online yellow pages, city guides, local magazines sites

and classifieds!

Source: Online Publishers Association (OPA) and Jupiter Research, 2008

77% of frequent web visitors are more

satisfied with local content on Newspaper Web sites vs. portals

Q: About how often do you visit the following sites? (select one)Q: How satisfied are you with the way your local community is covered by the following Web sites? (select one for each)

Source: Online Publishers Association - Local Online Media: From Advertising to Action – Jupiter Research - August 2008

Reason #3

Newspaper Web sites Offer Engaging Products and

Services.

Newspaper Web sites Provide Functionality and Web 2.0

Features• Some of the types of interactive features offered on the

web sites of the top 100 US Newspapers in 2007 and 2008 are as follows:

• RSS• Blogs• Niche• Video• Online Portals• Social Networking (Facebook)• Mobile

Source: Bivins Group 2008

Reason #4

Newspaper Web sites Extend Local Reach For Advertisers.

“Local businesses of all types are realizing that they need a visible online presence in order to compete in their marketplace.”

- Blizzard Internet Marketing, August 2008

Currently, 66% of Newspaper Online Revenue is Local

Total= Approximately $3.2 Billion

66%

34%

$1.1 Billion

$2.1 Billion

Local

National

Source: Borrell Associates May 2008

Source: Borrell Associates, 2008

“With strong brands and trusted environments, local media sites deliver concrete

results for advertisers.”

- Pam Horan, President Online Publisher’s Association

Reason #5

Newspaper Web sites Encourage Action!

46% of local online 46% of local online content users took content users took action after seeing action after seeing ads on a local ads on a local Newspaper Web Newspaper Web site.site.

Action!

Online Publishers Association and Jupiter Research’s Spring 2008

“Brands are starting to realize just because content and advertising is delivered digital

doesn’t mean the rules for successful advertising have changed.  Amazing

creative placed with highly-regarded and well-respected media brands, like online

newspapers, is still the most effective way to build brands and drive ROI.”

- Shawn Riegsecker, President, Centro

Newspaper Web site Visitors Spend More Online

• 44% of those who visited newspaper web sites in the past 30 days spent $500 or more in online purchases in the twelve months.

• That compares with 37% of Internet users overall.

Source: Scarborough Research, Multi-Market Release 2, 2008 12 months.

56% of adults trust

ads on a Newspaper Web site.

Source: OPA and Jupiter Research, August 2008

Why Use Newspaper Web sites?

Five Good Reasons…

Newspaper Web sites…

#1 - Reach engaged audiences.

#2 – Are continually growing.

#3 – Offer engaging products and services.

#4 – Extend local reach for advertisers.

#5 – Encourage action.

Don’t Miss The Train

Newspaper Web sites = Localmotion!

Include Newspaper Web sites in your advertising plans today!