# Presentation: 496403

## Daily Newspapers and the Mail

- Mailers’ Technical Advisory Committee
- U.S. Postal Service Headquarters
- Washington, DC
- April 30, 2008

## What is The Newspaper Association of America?

- What is The Newspaper Association of America?

## 
Founded in 1887 as the American Newspaper Publishers Association

Concerns: Newsprint tariffs, copyright, libel law, and postal rates

1892 – Association forms a “Postal Committee” to fend off postal increases

- Founded in 1887 as the American Newspaper Publishers Association
- Concerns: Newsprint tariffs, copyright, libel law, and postal rates
- 1892 – Association forms a “Postal Committee” to fend off postal increases

- Newspaper Association of America

## Who Are Our Members?

- Nearly 90 percent of the daily circulation in the United States and a wide range of non-daily U.S. newspapers.

## NAA Membership Profile

-  More than **2,300** daily and weekly newspapers with paid and audited circulation.
-  **50%** of our members are group or chain-owned
-  **40%** are family or “independent” with multiple  newspaper holdings
-  Approximately **10%** are family-owned, single- newspaper companies
-  **75%** of NAA membership consists of newspapers with daily circulation under **50,000**

## First Class
  Invoices (Advertisers / Readers)
  Advertising Tear Sheets

-   Invoices (Advertisers / Readers)
-   Advertising Tear Sheets

- Daily Newspaper Industry Use of Mail

**Periodicals**
-   Outside-the-County
-   National Newspapers
-   Specialty Publications

**Standard Mail **
-   Advertising Inserts – Total Market Coverage (non-
-       subscribers)
-   Solo Direct Mail – Growing Part of Business
-   Mail Solicitations – Response to “Do-Not-Call” Legislation

- 2

## Total Postage - Daily Newspapers (2004-2006)

***Dollars Spent on Postage***

- Total Postage - Daily Newspapers (2004-2006)

## First Class Postage - Daily Newspapers(2004-2006)

- First Class Postage - Daily Newspapers(2004-2006)

## Periodical Postage – Daily Newspapers(2004-2006)

- Periodical Postage – Daily Newspapers(2004-2006)

## Standard Mail – Daily Newspapers  (2004-2006)

- Standard Mail – Daily Newspapers  (2004-2006)

## Total Market Coverage Products(inserts to non-subscribers)

## Total Market Coverage ProductsStandard Mail – All Daily Newspapers

**TMC Distribution**
-   84% distribute a non-subscriber product
-   71% send out a TMC product once a week
-   15% send out a TMC product twice a week
**Position in Market/Mail Volume**
-   63% list newspaper as #1 Standard Mailer in market
-   24% list newspaper as #2 Standard Mailer in market

- Total Market Coverage ProductsStandard Mail – _All Daily_ Newspapers

## Rates
  64% Enhanced Carrier Route High Density
  36% Enhanced Carrier Route Saturation

Entered into Postal System 
  47% Destination Delivery Unit
  27% Sectional Center Facility
  27% Bulk Mail Center

-   64% Enhanced Carrier Route _High Density_
-   36% Enhanced Carrier Route _Saturation_
**Entered into Postal System**** **
-   47% Destination Delivery Unit
-   27% Sectional Center Facility
-   27% Bulk Mail Center

- Total Market Coverage ProductsStandard Mail – All _Daily_ Newspapers

## Sample of Large NewspapersTotal Market Coverage Products

| City | Pieces Per Mailing
(Mid-Week) |
| --- | --- |
| Birmingham | 330,000 |
| Chicago | 2,385,371 |
| Indianapolis | 400,000 |
| Los Angeles | 3,520,000 |
| Miami | 570,000 |

## Biggest Postal Concerns

- Impact of the Flats Sequencing System
- 2.  	Rising Postal Rates in Cost-Cutting Environment

## Most Difficult Economic Climate in 60 Years

## Ad Trends by Quarter 2006 - 07

***Percent Change, Year-Ago, Newspaper Print Ad $***

- Source: NAA

## Cyclical and Structural Changes 

- Sectors undergoing cyclical change
-  Real estate, housing-related retail
- Sectors undergoing structural change in their own industries
-  Autos, dept. stores,  airlines, telecom, retail
-  Shrinking ad budgets, reallocated
- Media in transition
-  More options for advertisers

## Growth in Digital Newspapers

## Digital Ad Dollars

*Online Ad $ as a % of Total Newspaper Advertising $*

- Source: NAA

## Digital Audience Growing

- Total Unique Audience (millions)

- Source: Nielsen//NetRatings

## Newspaper Audience vs. News Portals

- Newspapers (aggregate)	63.1
- Yahoo! News			33.1
- CNN					30.2
- MSNBC					29.8
- AOL News				20.6
- Google News			11.1

- Unique Audience, in Millions (October, 2007)

- Source: Nielsen//NetRatings

## Multi-Media Platforms

**Notes:**
We want to talk to you today about the unique value of newspaper media in all its multi-media forms – from daily papers to their robust websites to wireless access to niche pubs to kiosks to even Podcasts.  We have a wide range of media options for you to take advantage of and customize to your situation.

Here is an excellent opportunity for you to customize this presentation by substituting your own newspaper product mix on the pictures here. 
Remember that you want to emphasize NEWSPAPER MEDIA plural we are more than just print on paper these days. Our industry footprint extends in amazing new ways

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