Can digital growth offset print ad losses at newspapers?

07/29/2010 | Wall Street Journal, The

Online newspapers, with their professionally produced content, are able to charge much higher ad online rates than portals or social-networking sites. For April, the online newspaper category charged $6.99 CPMs, compared with $2.60 for portals and 56 cents for social networks. However, the steep growth in digital advertising revenue at newspaper companies is at best offsetting print losses, according to this analysis. Martin Peers writes that for investors, it's not a foregone conclusion that newspapers' "digital potential can outweigh the challenges in their legacy business."

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