Regional Newspapers - UK - November 2007

ISSUES IN THE MARKET
Key themes
Definition
INSIGHTS AND OPPORTUNITIES
The regional press in the community
A fitter future
FAST FORWARD TRENDS
Fast Forward Trends – an explanation
Re-Birth of Cities
Location, Location, Location
MARKET IN BRIEF
Where are we now?
Changing behaviour and attitudes
Response and innovation
The leaders and consolidators
What is to come?
INTERNAL MARKET ENVIRONMENT
Key points
Multiplicity
Accessing the world
The connected consumer
The future will depend on the young
Figure 1: 11-19-year-olds who use the internet for newspapers/news, 2002-06
Local issues
The value of classifieds
BROADER MARKET ENVIRONMENT
Key points
Ageing population – good news for the present
Figure 2: Trends and projections in UK population (000s), by age group, 2002-12
Will today’s younger consumers keep reading?
Home delivery opportunities
Figure 3: Number of UK households, by size, 2002-12
Sheer pressure on time
Figure 4: Time spent on occupation per day by full-time workers, 2002 and 2006
Women at work
Figure 5: Working population by gender, 2002-12
An active housing market
Figure 6: Home buying indicators, 2002-12
COMPETITIVE CONTEXT
Key points
Issues common to regionals and nationals
Unceasing change
Media convergence
Access on the move
Threat of encroachment, from TV?
More than just news, current affairs and sports results
The oldest print medium holds its own
Figure 7: UK total sales of books, by volume and value, 2002-07
Magazines another contender
Figure 8: UK retail sales of magazines, by value, 2002-07
Spending priorities
Figure 9: Breakdown of total consumer expenditure, 2006
STRENGTHS AND WEAKNESSES IN THE MARKET
Strengths
Weaknesses
WHO’S INNOVATING?
Key points
Change and transformation
Keeping up with readers and consumers
Building on local strength
Reaching the more elusive
Bringing print together
Bringing print and online together
Pay the easy way
MARKET SIZE AND FORECAST
Key points
Revenue sources
Copy sales and circulation
Figure 10: Annual circulation of paid-for and free regional newspapers, by volume, 2002 -07
Figure 11: Annual indexed sales of paid-for and free regional newspapers (base year 2002), by volume, 2002-07
Data limitations
Sales losses
The paid-for sector: advertising revenues
Figure 12: Regional newspaper advertising revenue, by type of advertisement, at current prices, 2002-07
Adsales resilient
The importance of classified
Figure 13: Regional newspaper classified advertising revenue, by type, 2003-07
The return of the recruiters
A few brief points
The future of the market
Figure 14: Forecast of the UK regional newspaper market, by volume, 2002-12
Figure 15: Annual indexed sales a nd forecast of the UK regional newspaper market, by volume, 2002-12
Factors incorporated in the forecast
SEGMENT PERFORMANCE
Key points
The structure of the regional press
Figure 16: Actual number of free and paid-for titles, 2002-07
Paid-for and free titles
Figure 17: Total number of regional newspaper titles, grouped by type, 2002-07
Publishing frequency
Where competition bites hardest
Circulation by type
Figure 18: Circulation by type, 2005 and 2007
Circulation increases for the few
Frees are one way forward
MARKET SHARE
Key points
 SALES OF LEADING PAID-FOR TITLES
Recent circulation trends
Figure 19: Top daily paid-for titles, by circulation, January-June 2005-07
Some observations
The Manchester Evening News
The Evening Standard
Concentration of ownership
Figure 20: Top ten regional newspaper publishers by circulation, July 2005 and July 2007*
Three major changes
Titles and circulation
Figure 21: Summary of circulation and title distribution*, by publisher, 2007
Changes in circulation and titles
Figure 22: Total top ten UK regional newspaper publishers’ number of titles and weekly circulation, July 2005 and 2007
The ups and downs
COMPANIES AND PRODUCTS
Trinity Mirror
Newsquest Media
DMGT
Associated Newspapers
Northcliffe Media
Johnston Press
Archant
Guardian Media Group
News International
Midland News Association
DC Thomson
BRAND COMMUNICATION AND PROMOTION
Key points
Promotion slump
Figure 23: Main monitored media advertising expenditure by regional newspapers, 2003-07*
The importance of TV
Figure 24: Proportion of main monitored media advertising expenditure on regional newspapers, by medium, 2003-07*
The largest spenders above-the-line
Figure 25: Leading advertisers, 2005-07
Regional or national?
Moving away from above the line
CHANNELS TO MARKET
Key points
Distribution pattern
Figure 26: Volume circulation* of regional newspapers, by type of outlet, 2005 and 2007
The paid-for element
Traditional strength of the newsagent
The grocery trade
Reaching the reader
The new model
Issues for the future?
THE CONSUMER – READERSHIP HABITS AND ATTITUDES
Key points
Attitudes to local media and advertising
Figure 27: Agreement with selected lifestyle statements, 2003-07
Local newspapers and the Internet
The value of advertising
Figure 28: Views of advertisements on websites, July 2004 and May 2007
The value of online ads
Children’s views of newspapers
Figure 29: Agreement with selected lifestyle statements, 7-10s and 11-14s, 2002-06
Children now and in the future
Figure 30: Type of newspaper regularly read, 2003-07
Growth of the frees
Readership in brief
Figure 31: Regular newspaper readership, July 2007
Profile of readers
How much does readership vary
THE CONSUMER – ATTITUDES AND MOTIVATIONS
Key points
Main areas of interest
Figure 32: Important factors when choosing a newspaper to read, July 2007
What do regional readers look for?
News, sport, and something fluffier
Some things don’t change
The main sources for news
Figure 33: Where news items are usually sourced from, July 2007
Primacy
How regional and local readers vary
How all readers vary
Attitudes to print and online
Figure 34: Attitudes to newspapers, by newspaper readership, July 2007
Print strengths
Threats
How regionals, locals and nationals compare
FURTHER ANALYSIS – REPERTOIRE ANALYSIS
 CROSS ANALYSIS
 REPERTOIRE ANALYSIS
Figure 35: Repertoire of newspapers read, July 2007
Who reads most
How the categories rank
Figure 36: Repertoire of newspapers read, by type of paper read, July 2007
Sourcing news
Figure 37: Repertoire of newspapers read, by where news items are usually sourced from, July 2007
Attitudes to newspapers
Figure 38: Repertoire of newspapers read, by attitudes to newspapers, July 2007
Consensus
Shades of opinion
APPENDIX
Advertising data
Abbreviations
Internal market environment
Figure 39: TV viewing in UK households, 2002-06
Figure 40: Used the Internet at home or elsewhere in the last 12 months, 2003-07
Figure 41: Used the Internet at home or elsewhere in the last 12 months, by demographic sub-group, by demographic sub-group by gender, age, socio-economic group, marital status, lifestage, presence of children, mintel’s special groups, working status, tenure, region, ACORN category, media usage, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, 2007
Figure 42: Frequency of using the Internet, 2003-07
Figure 43: Websites browsed for information purposes in the last three months, Nov 2002-July 2007
Segment performance
Figure 44: Total number of regional newspaper titles, by type, 2002-07
Market share
Figure 45: Circulation distribution summary, by publisher and type, 2007
Figure 46: Title distribution summary, by publisher and type, 2007
Figure 47: Top ten regional newspaper publishers’ market share of paid & free daily titles, July 2007
Figure 48: Top ten regional newspaper publishers’ market share of weekly paid-for titles, July 2007
Figure 49: Top ten regional newspaper publishers’ market share of weekly free titles, July 2007
Brand communication
Figure 50: Main monitored media advertising expenditure on regional newspapers, by medium, 2003-07*
The consumer – Readership habits and attitudes: Detailed demographics
Figure 51: Agreement with selected lifestyle statements, by demographic sub-group, by demographic sub-group by gender, age, socio-economic group, marital status, lifestage, age of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, household size, car usage, detailed lifestage, 2007
Figure 52: Agreement with selected lifestyle statements, by demographic sub-group, by demographic sub-group by gender, age, socio-economic group, marital status, lifestage, age of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, household size, car usage, detailed lifestage, 2007
The consumer – attitudes and motivations: Detailed demographics
Figure 53: Type of newspaper regularly read, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 54: Type of newspaper regularly read, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 55: Type of newspaper regularly read, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 56: Regular newspaper readership, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 57: Important factors when choosing a newspaper to read, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 58: Important factors when choosing a newspaper to read, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 59: Important factors when choosing a newspaper to read, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 60: Important factors when choosing a newspaper to read, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 61: Where news is sourced from, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 62: Where news is sourced from, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 63: Where news is sourced from, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 64: Attitudes to newspapers, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 65: Attitudes to newspapers, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 66: Attitudes to newspapers, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 67: Attitudes to newspapers, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Further analysis – Repertoire analysis detailed demographics
Figure 68: Repertoire analysis, by gender, age, socio-economic group, marital status, lifestage, presence of children, Mintel’s Special Groups, working status, tenure, region, ACORN category, technology usage, newspaper readership, commercial TV viewing, supermarket usage, household size, car usage, detailed lifestage groups and terminal education age, July 2007
Figure 69: Repertoire of newspapers read, by important factors when choosing a paper, July 2007