Newspapers aim to ride 'Trump Bump' to reach readers

A newspaper vendor arranges newspapers showing front pages with images of Kim Jong Nam, at a news-stand outside Kuala Lumpur

A newspaper vendor arranges newspapers showing front pages with images of Kim Jong Nam, at a news-stand outside Kuala Lumpur

Published Feb 16, 2017

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New York - The Trump administration's

combative view of traditional news media as the "opposition

party" and "fake news" is turning out to be the best hope in

2017 for newspapers struggling to attract more digital readers

and advertisers.

The New York Times, the Financial Times, The Wall

Street Journal and Gannett Co are building on the

online readership they gained during the 2016 presidential

election by marketing unbiased reporting as a sales strategy.

The risk, however, is whether those new readers will attract

advertising dollars to the newspapers, some of which have been

criticized for having political leanings. An Edelman survey of

more than 33,000 people in 28 countries shows trust in the media

is at an all-time low at just 35 percent.

So far, there is reason for optimism among newspaper

executives and investors. The New York Times, which President

Donald Trump has referred to as "failing" in his Twitter

messages, added a record 276,000 digital news subscribers in the

last quarter and sees digital ad revenue up 10 to 15 percent in

the current quarter. The company said it expects to add 200,000

digital subscriptions to its news products in the first quarter.

The Wall Street Journal added 113 000 digital subscriptions

in its latest quarter, an almost 12 percent jump. The company

said that January's numbers were even higher, but it declined to

provide figures.

Financial Times digital subscriptions jumped 6 percent in

the fourth quarter to 646,000, while digital subscriptions at

Gannett's USA Today Network, made up of 110 newspapers across

the country, grew 26 percent to 182,000 in the fourth quarter.

In addition to the proliferation of "fake news" websites

that publish false stories for propaganda purposes, another

challenge for traditional media is hostility from Trump who has

on occasion described their reporting as "fake news." Republican

Trump's close adviser, Stephen Bannon, told The New York Times

in an interview in January: "The media's the opposition party"

and not the Democratic Party.

"No tilt"

To win over advertisers and readers' trust, The Wall Street

Journal ran ads online and in print during the election. One

featured a pin ball machine with the tagline, "No Tilt. Campaign

coverage that's on the level."

The paper has run ads after the election to highlight its

content as "created, curated and checked in a real newsroom."

The New York Times, which is focused on increasing its

subscriber revenue, in January launched its "Truth" campaign

consisting of online ads urging readers to sign up because,

"Truth. It needs your support."

The newspaper sees an opportunity in making sure readers

understand that it is fair and accurate and plans to launch

another marketing campaign in coming weeks, Chief Executive

Officer Mark Thompson said on the company's last earnings call.

The Financial Times is running its "Facts. Truths." campaign

promoting its coverage of the election and now the Trump

administration.

Gannett, which rebranded its publications under the "USA

Today Network," has used the election to highlight it has

journalists at local newspapers across the United States, said

Andy Yost, chief marketing officer at Gannett.

Will advertisers come?

Divisiveness stirred by the election campaign has made

brands avoid publications that appear to be politically aligned,

said Natalie Prout, a strategist at Phenomenon, a Los

Angeles-based branding agency.

For example, there is a heightened understanding in the wake

of November's election that if a brand buys an ad in The

Huffington Post, for example, it could be perceived as

supporting a liberal agenda, Prout said.

Brands are also worried about their ads showing up in what

is perceived as "fake news," so they are exercising more caution

when using programmatic advertising, where they automatically

buy digital ad spots through a third party.

Instead of listing which sites they do not want their ads

showing up on, more advertisers are choosing which sites they do

want to see their ads, said Barry Lowenthal, president of The

Media Kitchen, a New York-based media buyer.

Despite the recent bump in subscribers, newspapers still are

facing major headwinds, said newspaper analyst Ken Doctor.

"Print advertising is in free fall," Doctor said. "The

fundamentals haven't changed."

But growing digital subscribers can help attract advertisers

to other areas, such as conferences, said Suzi Watford, chief

marketing officer of Dow Jones, which includes The Wall Street

Journal.

"The more we are able to bring in people, the more we are

able to build and maintain a healthy ad business," Watford said.

REUTERS

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