VITAMEDIAS
Newspapers Miss Out On $300 Mil. In Online Advertising: Newspapers are missing out on nearly $300 million annually by failing to use the Internet to serve new advertisers and enter new fields, says a new study from Harvard Business School's Clark G. Gilbert and Borrell Associates Inc. of Portsmouth, Va.
From surveying online operations at over 250 daily newspapers in the U.S., the study estimates the entire industry's 2002 online advertising revenue at $550 million, or about 40% of local Internet ad spending. The study's authors suggest that newspapers can boost their current online projections by $650 million annually by 2005 -- if they adjust their new-media strategies.