2012 Newspaper Multiplatform Usage

Transcription

1 NEWSPAPER ASSOCIATION OF AMERICA Advancing Newspaper Media 2012 Newspaper Multiplatform Usage Prepared by Frank N. Magid Associates Inc.

2 Table of Contents Introduction Overview Newspaper Platform Users The News Environment The Appeal of Multiple Newspaper Platforms Using Newspaper Platforms Newspaper Digital Advertising Circulars Apps Appendix: Technical Notes Prepared by: Frank N. Magid Associates Inc Newspaper Association of America

3 Introduction Research reported here is based on a new survey of 2,518 U.S. adults who read local U.S. newspapers on a mix of four print and/or digital platforms (print, online using a desktop or laptop computer, smartphone or tablet). This research is designed to address the following issues: What are typical consumer behavior patterns regarding different local newspaper platforms? Why do readers go to newspaper media in general? Why do readers go to newspaper media on different platforms? How frequently do consumers read local newspapers on each platform? When and where? How many news brands do readers regularly follow on different media platforms? What content do readers seek on different newspaper platforms? How do newspaper media users make use of social media? What do mobile newspaper readers think of news apps vs. the mobile Web for reading newspaper coverage? How do digital newspaper readers respond to advertising on these platforms? What do digital newspaper readers think of online circulars vs. printed Sunday circulars? What design elements for current digital ads appeal to readers? The research was conducted online for the Newspaper Association of America by Frank N. Magid Associates Inc. of Minneapolis. Fieldwork was conducted from January 20 to February 1, Technical details appear in the appendix. 3 Newspaper Association of America

4 Overview Research presented here profiles past-week readers of local daily newspaper media platforms print plus the digital channels of computers, smartphones and tablets. Each platform has different usage characteristics and values for readers; however, they all share important daily newspaper brand benefits, including having advertising information that consumers act upon. Digital and mobile access drastically expands the range of typical newspaper usage occasions, with profound implications for newspaper brand marketing and for advertisers who now can reach these local news consumers in various contexts throughout the day. Multiplatform Usage Among the 8 in 10 adults who use the Internet, three-fourths (74 percent) read local daily newspapers on one or more of these channels in an average week, including: 60 percent reading print editions 48 percent reading any digital editions y 44 percent using a laptop or desktop computer y 19 percent using a smartphone y 9 percent using a tablet device (ipad or Android) (Usage estimates actually are conservative. For example, NAA s 2011 How America Shops and Spends survey found that 13 percent of adults not counted as readers in standard readership questions still consulted newspapers in the previous week for information relating to shopping information, entertainment planning, weather and the like.) Many readers use combinations of platforms: Each platform has different usage characteristics and values for readers; however, they all share important daily newspaper brand benefits, including having advertising information that consumers act upon. About one-third (34 percent) of adults read using both print and one or more digital platforms; One-fourth (26 percent) read the printed newspaper only; and One in 7 (14 percent) read only digital versions. More than half of newspaper readers use multiple platforms over the course of a week: 33 percent use two, 17 percent use three and 4 percent use all four. Demographically, these groups vary mainly by age (smartphone users are younger, while print-only users are older on average) and income (tablet owners are more affluent). Multiplatform newspaper reading is additive: Those using one platform average 3.7 days a week for that platform. Frequency increases at the same rate with each additional platform. These data illustrate the continuing importance of print for readers, the breadth of digital readership, especially as mobile expands, and the broad appeal of local newspaper brands. Media Environment: Local newspaper readers navigate a very crowded media environment for news and for other informational, leisure and social benefits. Most readers frequently multitask using several media; many combine news consumption with other activities. Even so, this research found that each newspaper 4

5 consumer follows a fairly organized routine for staying informed. Routines are framed by informational needs and the mix of platforms and brands consulted during particular times, days of the week and locations. Most consumers regularly make a point to consult a modest set of go-to news brands, which also may include television or radio brands and websites, national newspapers, pure-play Internet news sites, and regular news brands posting on Facebook and Twitter. The number of brands for regular checking typically is limited, averaging around four on tablets and fractionally less for computers or smartphones, although some readers have a much wider range. Making the consumer s list of go-to news sources is one of the fundamental challenges of newspaper marketing, but the print platform provides a strong starting point for the brand. Newspaper Media Values: Given the range of choices, why do consumers read local newspaper brands on any platform? Clearly, they are highly engaged by news. Two-thirds agree that keeping up with news is a very high personal priority. Historically, this attitude has strongly predicted newspaper reading. The addition of digital channels feeds this need, as those using tablets or both print and digital platforms are especially strong in this attitude. A 57 percent majority of mobile newspaper readers say they check news more often because they have these devices. From the survey, readers associate local daily newspapers in particular with six classes of benefits relating to platform utility, quality of information and traditional newspaper brand values, including: Broad but convenient and manageable aggregation of a wide range of information; Volume and quality of local news; Depth and detail in coverage; Useful advertising; Credibility and dependability; Ability to enjoy these benefits in whichever format is convenient. Aggressively promoting these differentiating brand values, especially to younger digital-only news consumers, is an obvious need for local newspapers. Given these general benefits, why do consumers read newspapers on different platforms? Each channel provides somewhat different functional and experiential qualities fitting some usage occasions better than others, depending on the individual user s needs and habits. Print newspapers offer a particularly satisfying and even relaxing reading experience. (One-half of readers strongly agree that they enjoy being able to hold a newspaper or book in their hands.) Secondarily, print is an easy way to get a complete news report, along with useful advertising that readers notice and seek out. For the computer newspaper platform, readers most often mention ease of using search to get further information, easy story sharing and ease of staying informed in different locations. Secondarily, they say this platform offers an easy way to get a complete news report and a satisfying reading experience. The reading experience for smartphones is less satisfying because of screen limitations, but portability makes them extremely convenient to use, especially while multitasking. Secondarily, smartphones make it relatively easy to share stories or to use the search function. 5 Newspaper Association of America

6 Finally, tablets (ipads or Android-based devices for this study) combine the great user experience of print, the portability of smartphones, and the search and sharing functionality of computers. Almost half of readers agree tablets are more for fun and relaxation than for work. Many also believe tablets give them more control over the screen than they have with computers or smartphones. Usage Occasions: The report itemizes local daily newspaper platform usage patterns for various situations and locations throughout the day. These findings explain the appeal noted earlier of being able to consume newspaper content whenever and wherever desired. Each platform is commonly used on multiple occasions. For example, scores for typical usage exceed 10 percent of users for at least eight out of 11 time frames for each platform. Readers, however, are selective, averaging two to three typical times or locations per platform. Those on multiple platforms may use one or the other in a particular time or place while some multitask with two or three. The top usage occasions vary among the four local newspaper platforms. For example, for tablets the top three periods in order are after dinner, just before bed and at home during the day. The top two locations by far are the living room/den and in bed. For smartphones, the largest numbers mention checking local newspapers at work or school, on breaks or at lunch, while the top locations are while waiting and in bed, at work and living room/den. Usage is fairly consistent over the five weekdays for each platform, excepting weekends. Print newspaper reading spikes upward on Sundays, while computer and smartphone platforms drop on Saturdays and even more on Sundays. Tablet usage is closer to flat across the entire week, which seems to result from a combination of positive user experience and numerous usage occasions. Content Interests: The survey also assessed content interests for each platform among newspaper readers. Aside from items commonly identified with particular platforms (e.g., videos, breaking news and weather for digital or circulars for print), content interests are mostly similar for print, computer and tablet channels. Leading news topics include local news, world news, U.S. news, local entertainment, sports, short news summaries and longer articles. Daily deals strongly appeal to about 4 in 10 digital readers. Smartphones are the exception, as their screens are small and they are built for extreme mobility and brief usage occasions. Leading topics by far are weather, breaking news, local news and short news summaries. Choices among multiple platforms depend on functionality and occasion. For example, those using both print and digital will look more to digital for breaking news and weather, while print readership for those topics is stronger for readers who are print only. Apps: One in 4 digital newspaper readers use special aggregator programs to organize their regular sources, while nearly all mobile platform users employ news apps. The user experience with newspaper-sourced apps is generally positive but there still is room for improvement and differentiation from mobile Web news sites an important consideration for those developing paid-content models

7 Newspaper Digital Advertising Response NAA s 2011 How America Shops and Spends survey explored in some detail how consumers use print newspaper advertising in relation to other advertising formats. This study addresses newspaper digital platform advertising. The news here is that readers indeed respond. Online ads often work in concert with other types of advertising and it is useful to regard consumer engagement as a process. Some messages lead to a quick sale depending on the offer and the shopper s particular need at the time. Others may create awareness or suggest shopping ideas, reinforce brand concepts or spur the desire to look for more information in various ways. Two-thirds (66 percent) of our total sample of recent newspaper digital users (computer, smartphone, tablet) responded in various ways to ads on any of these platforms in the previous 30 days. Results are similar across demographic groups, including young people. Past 30-Day Response to Newspaper Digital Ads Any Digital Platform 66% Net any 56 Net became aware of product, service, sale, needed item 47 Net looked for more information by clicks, search, asking others 32 Net visited store online or in person 30 Net bought, decided to buy, where to buy 14 Referred ad to someone else Newspaper mobile users are active shoppers: eight in 10 report using their devices for various types of shopping activities. A similar question regarding ad response on newspaper mobile platforms yields only slightly lower results than those noted above. Tablet users are several points higher in nearly all categories as expected, given the attractive environment provided by that platform. Past 30-Day Response to Newspaper Mobile Ads Smartphone Tablet 59% 61% Net any Net became aware of product, service, sale, needed item Net looked for more information by clicks, search, asking others Net visited store online or in person Net bought, decided to buy, where to buy Referred ad to someone else Annoying? It is not news that much digital advertising by its nature can be rather obtrusive and unwelcome, largely because the user has limited control over the screen. About one-third of newspaper digital platform users rate the advertising as really annoying (about three times the number saying the same for print newspaper advertising). Notably, this opinion does not appear to affect newspaper digital advertising response, as those complaining about annoying ads are as likely as other readers to act upon newspaper digital advertising. 7 Newspaper Association of America

8 Ad Elements That Increase Engagement: Nevertheless, some digital ad design elements can increase the odds of reader response, according to survey respondents. They range in hierarchy from direct relevance to attention-getting ads that may or may not be highly relevant. Listed prices (cited by 54 percent of readers) along with sales or daily deals (48 percent) lead the list. They provide concrete information directly relevant for a purchase decision, along with bargains. Personal relevance drives attention, most directly when the ad is deemed relevant for people like me (47 percent of respondents). Other items imply relevance without guaranteeing it. These include promoting a local store (44 percent) and forms of behavioral targeting, including retargeting a store visited online recently (36 percent) or a product recently seen online (36 percent). At a lower level are ads that relate to a story you are reading (23 percent). Engaging describes the third category, with variable appeal. These include fun and entertaining ads (cited by 36 percent), the ability to adjust the view or information provided, as in a within-app advertisement (20 percent), or being in a video (13 percent). Young adults (18-34) lead readers in this category of ad elements. Obtrusive ad elements also can increase the odds of noting, according to 16 percent to 23 percent of respondents. These include large ads, moving images, pop-ups and ads located at the top of the screen. Smartphone users note that pop-ups and large ads are hard to miss on their small screens. Online and Print Circulars Circulars provide a different advertising experience, as readers have much more control compared to banners, pop-ups or video pre-rolls. NAA s How America Shops and Spends studies document the special appeal of this format. This Multiplatform Usage Study found that circulars are reliably among the highest-read content categories (e.g., 82 percent usage by Sunday print readers), and their appeal carries across demographic categories. Digital circulars also are widely used, netting 73 percent from our newspaper reader sample over a 30-day period. Most online circulars are sourced via store websites (43 percent of total sample) or (38 percent). Newspaper websites (14 percent) and specialty sites (9 percent) have much less reach in this distribution. Mobile newspaper platform users most often access online circulars from computers, although many also use mobile devices. Tablet users lead other platforms, with 82 percent reading online circulars; they are more likely than other device users to get circulars from newspaper websites (30 percent). Online circular usage appears to be increasing, but digital circular users especially women still prefer print versions by a 2-to-1 margin (48 percent vs. 25 percent) simply because they are mostly easier to use, especially for coupons. The only consensus operational advantage for digital is ease of comparing products and prices. Digital users strongly favor newspaper preprints for ease in dealing with coupons (64 percent) and portability when shopping (62 percent). Ease of scanning (44 percent) and general ease of use (47 percent) also favor print. The two platforms are about the same for ease of finding things and having preferred stores. Circulars provide a different advertising experience, as readers have much more control compared to banners, pop-ups or video pre-rolls. NAA s How America Shops and Spends studies document the special appeal of this format

9 Newspaper Platform Users U.S. local daily newspapers reach their readers through a mix of print and digital platforms and with multiple brands for general and specialized audiences. This report considers weekday and Sunday print general-interest newspapers as found in weekday and Sunday print editions, as well as websites and apps through desktop or laptop computers, smartphones and tablets. The largest set of readers uses both digital and print platforms over the course of a week, but sizeable groups are print only or digital only. We profile their distributions and demographic characteristics in this chapter. Platform Distribution: The main part of this study focuses on U.S. adults (age 18+) who read or looked at some combination of platforms for their local daily newspaper over the seven days prior to the survey interview. A supplementary survey enables us to size these groups in the general population. Print includes either the weekday or Sunday editions of the respondent s local daily newspaper. Six in 10 adults read print in the previous week. Among online options, 44 percent of adults read the local daily newspaper s website in the past seven days from a desktop or laptop computer. One-fifth (19 percent) did the same using a smartphone (defined as iphone, Android or BlackBerry). A smaller group (9 percent) used an ipad or Android-based tablet for this purpose (e-readers are not counted here). This leaves 14 percent as incremental reach provided by digital versions of the local newspaper. The local newspaper digital audience obviously is substantial, but there is room to grow. Presently, various sources estimate that around 46 percent of adults have smartphones and 19 percent have tablets (not counting e-readers). Both segments are growing rapidly. 9 Newspaper Association of America

10 The table below breaks down the sample by reader composition and total U.S. adults. Tables that follow are based on the primary sample of newspaper platform users. Sample Composition: Local Daily Newspaper Media Platform (Past 7-day Users) Reader Sample Total Internet Adults Net any 100% 74% Weekday or Sunday printed edition % Print Digital version from desktop or laptop Digital version using smartphone % Digital Digital version using tablet 12 9 Print only Print + digital Combinations Digital only Base: print and digital newspaper reader sample and total U.S. adults with Internet access (80%) Multiple Platforms: Because we have four platforms, users may live with different combinations of one, two, three or four of them as shown in the next table. This mix will continue to evolve as more consumers purchase smartphones and/or tablets and use them to read newspaper media. Note that we used a seven-day time frame for reference in this study. A 30-day period would have yielded higher numbers for multiple platforms, although usage would be less regular on average. This was deliberate in order to focus on regular users who account for most audience traffic. The path for most, but certainly not all newspaper media users, is to go from print to computer to smartphone to tablet. Among those who read their local newspaper by tablet, only half also use a smartphone for this purpose. We did not explore reasons for this choice pattern, but anecdotally it appears that some consumers find tablets generally satisfy their mobile needs. Also, reader satisfaction with newspapers on smartphones trails that for other platforms. Some 80 percent of the weekly newspaper media audience reads the print edition, which remains the strongest promoter of its digital brand extensions. The 20 percent digital-only share of the audience has grown over the past few years, but remains a challenge for the industry. This group lacks a strong relationship with the print brand and tends to have a somewhat less intense interest in public affairs news compared to traditional print newspaper readers. Some 46 percent of respondents use only one newspaper platform. Three-fourths of them employ print, while most of the rest read on a computer. Smartphones become significant at 20 percent among the one-third who use two platforms. One in 6 (17 percent) use three platforms, with 77 percent on smartphones and 32 percent on tablets. Only 4 percent of newspaper media users employ all four platforms over the course of seven days. Past-Week Usage by Number of Newspaper Platforms Total Sample If Use One (46%) If Use Two (33%) If Use Three (17%) If Use Four (4%) Print 80% 72% 84% 93% 100% Computer Smartphone Tablet Base: total sample of newspaper media users

11 The following tables profile the four sample groups. Smartphone users are notably younger than average, with 53 percent in the 18-to-34 age group. The print audience skews somewhat older compared to the overall average, but not drastically so. (Those using print only have an older age profile, as expected.) Tablet users are the most affluent, as we would expect, with average household incomes of $82,700. From an early-adopter-scaled question, 8 percent of our sample is usually among the very first to try new technologies, while another 31 percent is not the first but earlier than most. The net of 39 percent is shown below. Smartphone and (especially) tablet newspaper users are well above the norm. The 33 percent of respondents who read the local newspaper in the past week in print only are a bit older and slightly more affluent compared to those also using digital versions. The 20 percent who use only digital newspaper platforms are much younger, with 48 percent who are in the 18-to-34 group compared to 24 percent for the all-print segment. (Note: The print-only profile does not include readers among the 20 percent or so of U.S. adults who do not use the Internet.) Almost half (47 percent) of respondents used both print and digital in the previous week. They are midway between the other two segments in age and income. Demographics of Newspaper Platform Users Total Print (80%) Computer (60%) Smartphone (26%) Tablet (12%) Men 50% 50% 53% 55% 50% Women <$50, $50,000-$74, $75,000-$99, $100, Mean income 75.3K 76.1K 73.4K 71.3K 82.7K Have children at home 32% 31% 32% 37% 33% Hispanic African-American Early and faster-thanaverage adopters Base: total sample of newspaper media users 11 Newspaper Association of America

12 The next table breaks down the sample into three segments based on combinations of print vs. digital platforms considered together. Demographics of Newspaper Platform Users (continued) Total Print only (33%) Print + Digital (47%) Digital only (20%) Men 50% 45% 53% 50% Women <$50, $50,000-$74, $75,000-$99, $100, Mean income 75.3K 78.8K 74.2K 72.0K Have children at home 32% 31% 32% 34% Hispanic African-American Early and faster-thanaverage adopters Base: total sample of newspaper media users

13 The News Environment Newspaper platform users are strongly engaged in the news while functioning in a crowded media environment involving media multitasking, multiple news brands and social media. News Engagement: Several attitude statements illustrate the news mindset of newspaper platform users. Eight in 10 say they choose local news sources based on credibility and reliability. Elsewhere, we report that they view local news and coverage quality as particular newspaper strengths. Two-thirds say that keeping up with the news daily is a high priority and 34 percent strongly agree with this value. They comprise the core of the newspaper audience. Those using tablets or using both print and digital local newspaper platforms are above average on this value. Almost two-thirds agree their news consumption has increased after starting to use mobile devices. As we see later, mobile phones and tablets expand the range of usage occasions compared to computers and print. Six in 10 at least somewhat agree they make a point of checking news soon after waking up in the morning. This is higher for those using multiple newspaper platforms. It can be hard to avoid the news, but 27 percent strongly agree they try to do that at certain times of the day and 53 percent agree they do so at least somewhat. In pre-survey focus groups, some cited early evening as family time when media are turned off, and some mentioned other times of the day or weekends. Digital device usage typically drops off on weekends. What drives frequent news checking, besides following a big existing news story? Having the ability to do so, as 57 percent who look at newspapers on mobile devices say they check news more often than before for that reason. Respondents using three newspaper platforms weekly have a larger number of usage occasions compared to those with one or two. Another expression of this is from 50 percent of smartphone users, who strongly agree that they frequently check their devices to avoid boredom while they are not busy with something else. A strong motivation for 24 percent of respondents is the desire not to be the last to know when some big event has happened. One focus group participant cited the 9/11 terrorist attacks as imprinting this mindset for him. 13 Newspaper Association of America

14 QUESTION: Please rate how much you agree or disagree with each of the following statements. News Engagement Attitudes (% Strongly Agree) I am checking news more often than before because of having portable electronic devices. I choose local news sources based on how credible and reliable they are. Keeping up with the news daily is a very high priority for me. I make a point to check the news very soon after I wake up in the morning. I make a point of turning off or getting away from the news at certain times of the day. I check news at various times of the day because I don t want to be the last to know about some big event. Base: total base of past-week newspaper platform users **mobile device users 57%** Higher for men and 18-34s Higher for tablet users and those using print and online Increases sharply with age; tablet users strong Higher for multiple digital device users 27 Flat for all groups 24 Higher for mobile device users Multiple News Brands: News consumers use multiple brands across various electronic and print platforms; this is only to be expected. Each platform works differently and may fit different usage occasions more or less well. Consumers vary in how many news brands per platform they use on a regular basis based on their personal inclinations. Most have fairly limited choice sets, while some look further afield. We are particularly concerned about digital platforms, as the choice among daily printed newspapers usually is limited. Past-week users of newspaper digital platforms note how many online sources they check regularly, with averages ranging from 3.4 for smartphones to 4.0 for tablets. One-fifth of smartphone users and one-third of tablet users are higher, ranging from five to 11 or more regular news sites. Users may encounter many news brands through search or some news aggregators with varying sources (such as Google News), but this mode of consumption is different from following particular websites. Accordingly, getting on a reader s short list of frequent digital brands is a key marketing and content issue. QUESTION: About how many different news websites (from any source), news apps or related sources do you regularly check or follow on your: Mean Number of News Websites Regularly Checked or Followed Tablet 4.0 Online by computer 3.7 Smartphone

15 Multitasking: We did not attempt to itemize usage of other media in detail, but it is clear these consumers are quite active with the various media available. A prime example: Some 45 percent of respondents say they watched cable TV news in public places, such as airports or elevators, in the past week. Among other media: 69 percent watch late local news on TV (9 p.m. or later) 64 percent watch local TV news between 6 and 9 a.m. 60 percent listen to radio news while commuting 38 percent read a national newspaper online, such as The New York Times, The Wall Street Journal or USA TODAY Newspaper platform users regularly multitask with different media. Half say they do this daily, while twothirds do so at least several days weekly. Digital users are active, especially those with mobile devices, as 8 in 10 of the latter multitask frequently over the course of each week. QUESTION: How often do you multitask, using combinations of newspaper, tablet, smartphone, computer, TV and radio at the same time? Multitasking Frequency by Newspaper Platform Users Total Print Computer Smartphone Tablet Practically every day 50% 49% 55% 62% 62% Several days a week or more often Base: total sample of newspaper media users News obviously can be a segment of one s divided attention. Two-thirds (68 percent) of respondents agree at least somewhat that they usually check for news while also doing other things, and 34 percent strongly agree. Mobile device users also lead other respondents here. As discussed later in this report, mobile devices excel precisely because of their enhanced versatility in different usage situations. Social Media: Another expression of multitasking often can be with social media. Digital newspaper platform users are active here, as 78 percent belong to Facebook, 30 percent to LinkedIn, 27 percent to Twitter and 18 percent to Google+, for a net of 85 percent. Those using social networks estimate that on average they are connected to 286 people. This skews young, ranging from 434 connections on average for the 18-to-34 age group to 219 for 35-44, 194 for and 100 for those 65 and older. Digital newspaper platform users also look for and share news on social media sites, as summarized in the following table. Reading posted news stories leads, with half reporting this activity. Around one-third report reading stories on Facebook rather than going to the originating news site. Similar numbers share or post stories on social sites. A smaller group (around one-fifth) reports following particular news brands or journalists on social media sites, which suggests that news organizations have work to do in getting credit for their brands on this channel. Around one-third of digital platform users follow retail store or product brands on social sites. Twitter reading or posting is highest among smartphone users, as they tend to be younger. 15 Newspaper Association of America

16 QUESTION: Which of the following, if any, have you done in the past seven days on or with a social network site? Check all that apply. Social Media Activities by Digital Newspaper Users in Past 7 Days Computer Smartphone Tablet Net news-related 62% 66% 67% Read news stories posted on the social network site Shared or posted news stories on a social media site Read a news story on Facebook rather than going directly to the news website Followed a particular news brand or journalist on a social media site Net store/product 30% 33% 36% Followed a particular retail store brand on a social media site Followed some other type of consumer product on a social media site Net Twitter 24% 37% 33% Read a Twitter posting Posted something on Twitter Base: past 7-day digital newspaper platform users Aggregator Programs: One-fourth (25 percent) of digital newspaper platform users and 31 percent of tablet users say they regularly use special aggregator programs or apps to organize multiple news sources on the screen. These programs include Google Current (14 percent), Pulse (7 percent), Flipboard (6 percent) and Zite (3 percent)

17 The Appeal of Multiple Newspaper Platforms Readers associate newspaper brands in general with several overall benefits relating to content, functionality and credibility. They also make distinctions among newspapers on different platforms that explain the different appeal of each. Why Newspaper Brands? Before we review why consumers look to particular newspaper platforms, we should consider why they use newspaper media in general. Respondents rated statements culled from focus group interviews, and it is clear the appeal is multifaceted. The top-rated benefit is the ability to read newspaper media in whichever format is convenient, strongly noted by 60 percent of respondents and generally agreed to by 9 in 10. This is no small thing, as later in this report we review the numerous occasions, times and locations when readers want to check the local newspaper in various digital or print formats. Another class of responses relates to news content and brand values. Particularly important is the aggregation function (86 percent generally agree and 56 percent feel strongly), or bringing together a broad range of information that can be easily reviewed. Newspapers are not constrained by the linear presentation format of television or radio, so readers can acquire much more information in a shorter period of time. This is a convenience and usability benefit anchored by strong and credible content. Depth and detail in coverage also attracts readers across platforms, as 80 percent generally associate this benefit with newspapers and 48 percent strongly agree. A third and rather crucial news-related benefit is in providing the most local news (58 percent strongly agree and 86 percent generally agree). This reflects both the larger news staffs typical of local newspapers compared to other media and also the aggregation format noted previously. Advertising also functions as content. Sunday circulars clearly drive readership, as 69 percent of newspaper media users say they make a point of looking at them and 53 percent strongly agree with this point. A broader value is having more useful advertising, noted by 61 percent of respondents. (NAA s How America Shops and Spends studies reviewed the value of newspaper advertising content in some depth.) 17 Newspaper Association of America

18 QUESTION: Please rate these statements as reasons why you choose to read newspapers in any format, whether in print, online, tablets or smartphones, as opposed to other news sources. Why Newspapers on Any Platform I like to follow the local newspaper in whichever format is convenient for me. Newspapers provide a broad range of news and information in one place. Agree Strongly Agree Benefit 89% 60% When and where I want Aggregation Newspapers provide more local news Local I want the depth and detail that newspapers provide Depth I make a point of looking at the Sunday circulars Newspapers provide more useful advertising Information in newspapers is dependable Newspapers are more careful in how they present the news The local newspaper is the best source available where I live Base: total sample Results shown are 4-6 ratings (agree) on a 1-6 agreement scale or 5-6 ratings (strongly agree). Advertising Credibility Credibility is the fourth general benefit, with strong majorities of readers generally agreeing that information in newspaper media is dependable and also more carefully presented compared to other sources. (These credibility characteristics were consistently noted in focus groups conducted in the first stage of this research and they were corroborated in this survey.) Credibility is complicated and may derive from different characteristics. One clearly is the value of the news brand and associations in consumers minds developed over a long period of time through highquality reporting, writing and validation from other sources. On the other hand, part of the essence of digital reporting is that stories often are open-ended. One-third of respondents and 42 percent of mobile platform users indicated that frequent updates help make online news more credible for me. The next table breaks down the same items by three newspaper platform groups showing general agreement scores. Ratings do not vary much across groups except that digital-only readers are less positive on the two advertising-related items, as they have less exposure to printed newspaper ads, including Sunday circulars. They also are mostly less positive when we target the strong agreement ratings, which also is not surprising as their exposure is less, especially compared to those who read both print and online versions regularly. A notable exception is wanting the ability to follow the local newspaper in whichever format is convenient, which is quite flat across all groups

19 QUESTION: Please rate these statements as reasons why you choose to read newspapers in any format, whether in print, online, tablets or smartphones, as opposed to other news sources. Why Newspapers on Any Platform? I like to follow the local newspaper in whichever format is convenient for me. Newspapers provide a broad range of news and information in one place. Read Print Only Read Print + Digital Read Digital Only 89% 88% 91% Newspapers provide more local news I want the depth and detail that newspapers provide I make a point of looking at the Sunday circulars Newspapers provide more useful advertising Information in newspapers is dependable Newspapers are more careful in how they present the news The local newspaper is the best source available where I live Base: total sample Results shown are 4-6 ratings (agree) on a 1-6 agreement scale. Newspaper Platform Benefits Each newspaper platform provides a somewhat different user experience based on functionality and circumstances of typical usage situations. This section analyzes 10 reader benefits. Users of each platform rated them on a 1-to-6 agreement scale. Strong agreement scores (5-6 ratings) are shown. Print: Top-rated print benefits relate to personal feelings evoked. Print is a relaxing way to read the newspaper (66 percent) and provides a satisfying reading experience (61 percent). For some readers, sitting in a comfortable place and reading is a reward or time out. Some focus-group respondents also explained that reading on a computer or smartphone takes more effort, as one has to sit at a desk with a mouse or strain to see and operate a small screen. (Of course, for others, a screen now is the more natural way to read.) A potential digital distraction is the ease of following links to other pages and stories. Four in 10 (37 percent) of respondents strongly agree they usually are more focused when reading a print newspaper than online because there are fewer things to distract them. At a strong but somewhat lower level is a usability benefit (45 percent). Print newspapers provide an easy way to get a complete view of the news. As one respondent noted, print newspapers are finite and manageable for that reason, while digital by its nature always is open-ended. Print users also rate highly the utility of print advertising (44 percent) and that they usually notice it (41 percent). Conversely, only 12 percent say print newspapers have really annoying advertising. Obtrusiveness predicts annoyance: Some 46 percent of respondents also strongly agree that advertising in print newspapers is less obtrusive compared to online ads. 19 Newspaper Association of America

20 QUESTION: Newspapers are available to readers in different formats. Please rate how well the statements describe printed newspapers, in your experience. Print Newspaper Platform Benefits Is a relaxing way for me to read the newspaper 66% Provides a satisfying reading experience for me 61 An easy way to get a complete view of the news 45 Has useful advertising 44 I usually notice the advertising 41 Easy format for sharing stories with others 32 Makes it easy to stay informed no matter where I go 30 Easy platform for using search for further information 20 Has really annoying advertising 12 Base: past-week local newspaper print platform users Results shown are 5-6 ratings (strongly agree) on a 1-6 agreement scale. Desktop or Laptop Computers: A different mix of usability benefits from the same list leads for computer screens. Six in 10 or more strongly agree this platform is easy for using search to seek further information; that it is an easy format for sharing stories with others; and that it makes it easy to stay informed no matter where I go. The latter surely relates to laptops, which have outsold desktops for some time. About half (49 percent) rate it an easy way to get a complete view of the news, while almost as many say it provides a satisfying reading experience. QUESTION: Newspapers are available to readers in different formats. Please rate how well the statements describe newspapers on a desktop or laptop computer. Desktop or Laptop Computer Platform Benefits Easy platform for using search for further information 64% Easy format for sharing stories with others 61 Makes it easy to stay informed no matter where I go 61 An easy way to get a complete view of the news 49 Provides a satisfying reading experience for me 45 Is a relaxing way for me to read the newspaper 42 Has really annoying advertising 36 I usually notice the advertising 26 Has useful advertising 20 Base: past-week local newspaper computer platform users Results shown are 5-6 ratings (strongly agree) on a 1-6 agreement scale

21 Smartphones: This platform is all about mobility, as 68 percent of those using it for local newspaper content cite this benefit. In the next chapter, we will see that smartphones are regularly used in more places than other devices. Secondary benefits are ease of story sharing (48 percent) and easy search for further information (45 percent). Users seem to agree that extreme mobility is worth trading off other usability benefits, which are further down the list. Only 30 percent rate it as a satisfying reading experience. QUESTION: Newspapers are available to readers in different formats. Please rate how well the statements describe newspapers on a smartphone. Smartphone Platform Benefits Makes it easy to stay informed no matter where I go 68% Easy format for sharing stories with others 48 Easy platform for using search for further information 45 Has really annoying advertising 35 An easy way to get a complete view of the news 35 Is a relaxing way for me to read the newspaper 31 Provides a satisfying reading experience for me 30 I usually notice the advertising 24 Has useful advertising 17 Base: past-week newspaper smartphone platform users Results shown are 5-6 ratings (strongly agree) on a 1-6 agreement scale. Tablets: Those reading local newspapers on this platform are the most positive overall, with six of the nine benefits rated from 57 percent to 68 percent. Tablets are a hybrid combining several of the virtues of print (relaxing, a satisfying reading experience and a complete view of the news), computers (easy format sharing, easy search) and smartphones (easy to stay informed no matter where I go). Tablets have the potential to provide a particularly strong environment for advertising, but they are not there yet. Only 14 percent strongly agree that advertising on tablets is more interesting than the ads I see elsewhere online. 21 Newspaper Association of America

22 Other evidence of the transitional nature of tablets comes from four other survey ratings, for which there is no significant variation among respondent groups. Fifty-eight percent of users a majority strongly agree their tablets often are a substitute for their regular computer. (Some 86 percent agree at least somewhat.) On the other hand, 46 percent say tablets are more for relaxation and fun than for work. Many have noted in industry discussions that tablets presently are better suited for consuming content than for creating content; these two items are consistent with that idea. Another usability advantage comes from the screen interface: 36 percent strongly agree that compared to computers or phones, tablets enable me to be more in control of what is on the screen. One-third (31 percent) say they are more likely to finish a story when reading on a tablet than when reading on a computer. This result is about the same as for a similar question comparing print newspapers with computers. QUESTION: Newspapers are available to readers in different formats. Please rate how well the statements describe newspapers on a tablet device. Tablet Platform Benefits Makes it easy to stay informed no matter where I go 68% Easy format for sharing stories with others 66 Easy platform for using search for further information 66 Is a relaxing way for me to read the newspaper 60 Provides a satisfying reading experience for me 60 An easy way to get a complete view of the news 57 Has really annoying advertising 33 I usually notice the advertising 31 Has useful advertising 27 Base: past-week newspaper tablet platform users Results shown are 5-6 ratings (strongly agree) on a 1-6 agreement scale. Summary: The next table puts the four newspaper platforms together and illustrates the particular benefit profiles of each platform while also showing how tablets combine many of the virtues of the other platforms. High satisfaction (5-6 rating on a 1-6 scale) with the reading experience is about the same for print and tablet newspapers (around 56 percent), with computers a few points behind (48 percent) and smartphones well behind at 32 percent

23 Compared to print, digital platforms are less satisfactory for consumers for advertising content. This is not surprising, as many digital ads by their nature are more obtrusive while conveying limited information because of space limitations. The reader is less in control. On the other hand, this does not mean that newspaper digital advertising is ineffective, as we review in a later chapter. Platform Benefits Summary Print Computer Smartphone Tablet Is a relaxing way for me to read the newspaper 66% 42% 31% 60% Provides a satisfying reading experience for me An easy way to get a complete view of the news Has useful advertising I usually notice the advertising Easy format for sharing stories with others Makes it easy to stay informed no matter where I go Easy platform for using search for further information Has really annoying advertising Highly satisfied with reading experience Newspaper Association of America

24 Using Newspaper Platforms This chapter provides a detailed comparison of newspaper platform frequencies, usage situations and content consumed. Frequency: Respondents among platform groups noted which days of the week they usually read and the number they actually read in the past seven days. They average from 3.4 days for smartphones to 3.9 for computers, but patterns vary more than this narrow range suggests. The four platforms are additive in terms of newspaper platform usage frequency. Those using one platform average 3.7 days per week. This increases incrementally to 15.1 days for those using all four platforms. The print newspaper audience includes 36 percent who say they normally read only on Sundays. This has the impact of reducing the print frequency average significantly. Without them, newspaper frequency would be 4.3 days per week. Print newspaper reading otherwise shows the typical pattern of lower reach on Mondays, Tuesdays and Saturdays, with the Sunday audience being far larger than other days. The weekday average net of newspapers via digital platforms (72 percent to 81 percent) exceeds the average for newspapers (61 percent). (Keep in mind that we are profiling past-week users, not estimating reach.) This seems to be a function of usage occasion patterns that are discussed later in this chapter. Computers and smartphones for newspapers fall off significantly on weekends. Tablets are a different story. Users give about the same scores for each day of the week, with only a slight decline for Sundays. This reflects the versatility for usage occasions that rival smartphones and a stronger user experience that combines some of the benefits of print and computer screens. These contribute to more time spent with leisure pursuits on tablets compared to the other platforms. The four platforms are additive in terms of newspaper platform usage frequency. Those using one platform average 3.7 days per week. This increases incrementally to 15.1 days for those using all four platforms

25 QUESTION: On which days of the week do you usually read or use a local daily newspaper in the following versions? Usual Newspaper Platform Usage by Days of the Week Newspaper (80%) Computer (60%) Smartphone (26%) Tablet (12%) Net Monday-Friday 61% 81% 73% 72% Monday Tuesday Wednesday Thursday Friday Net Weekend Saturday Sunday Average # days/week Average visits/weekday N/A Base: total sample Newspaper Content Weekdays Respondents who normally read a local newspaper platform on weekdays noted which among 20 types of news and information topics they regularly read on weekdays on particular newspaper channels. The summary table that follows clearly illustrates how information needs interact with platform functionality and lifestyles. Smartphone: The first obvious point is that news consumption on smartphones is quite different from other platforms. Smartphone screens are small, the devices are built for extreme mobility, usage occasions tend to be relatively short and users skew young. Top-rated topics by far are weather (74 percent) and breaking news (70 percent), followed by local news (54 percent) and short news summaries (51 percent). At the next level are sports (44 percent), daily deals (42 percent) and local entertainment (41 percent). Other topics are well below the ratings for the other three platforms, although directionally they are in similar order. Content interests follow normal gender patterns, with women higher for advertising categories and entertainment and men higher for sports, political news and automotive. Except for weather, breaking news and short news summaries, most topics skew young, which suggests that 18-34s include a larger share of adults who make smartphones a primary news source. 25 Newspaper Association of America

26 QUESTION: Thinking of your typical weekday, which of the following topics if any do you regularly read or use from your local daily newspaper in the following formats? (Please select all that apply.) Weekdays: Newspaper Content Regularly Read Platform Print Computer Smartphone Tablet Circulars and coupons 76% 19% 11% 13% Daily deals (Groupon, etc.) Classified ads Breaking news Local news for your area World news U.S. news Politics and elections Business Opinion columns and blogs Short news summaries Longer articles Local entertainment Sports Weather Travel Crosswords and games Real estate Automotive Videos Base: newspaper platform users who normally read on weekdays Computer and Tablet: The really striking impression is how similar the topic profiles are between these two groups of users, both in rankings and absolute numbers. In a way this is not surprising, because the tablet group is mainly a subset of the computer platform group. Top-rated items for both include breaking news, local news, weather, world news, U.S. news, short news summaries and videos. At the next level are local entertainment, sports, daily deals, longer articles and politics/elections

27 Print: Those reading the local weekday newspaper in print regularly have strong news interests; their ratings on most items are as high or higher compared to those on digital platforms. Two items are notably higher than on other platforms: circulars and coupons at 76 percent and local news at 81 percent. Classified ads (38 percent), crosswords and games (37 percent), real estate (30 percent) and automotive (26 percent) also lead, but to a lesser extent. Videos obviously are a nonfactor for the print audience. Daily deals (28 percent) and breaking news (49 percent) also lag behind the digital platforms. Most topics in print are of greater interest to older readers. At least two factors are in play. It has been well documented that older adults have a generally greater interest in following the news. Additionally, older adults are more likely to rely on print and not so much or at all on digital sources. Thus, their attention is less divided. We can see this effect by comparing print survey respondents who also have used digital newspaper platforms for local newspapers in the previous seven days. Compared to those using both print and digital, print-only readers are far more likely to rely on the printed newspaper for breaking news, short news summaries, weather and daily deals. These are all online staples. The print + digital segment is far ahead on longer articles, which supports the idea stated in our focus groups that long stories are easier to read in print. Sundays The next table shows Sunday topic interests among readers on different platforms who usually read on that day. Ratings for each platform are a bit lower for the most part compared to weekdays, but for different reasons. The Sunday print audience is composed of two types of readers: those who read the newspaper only on Sundays and those who read both weekdays and Sundays. The former group typically has relatively less interest in hard news categories, so it reduces the overall averages somewhat for Sundays. News website traffic normally is much lower on Sundays than on weekdays, partly because much computerbased news consumption is done within the context of the work day. A table earlier in this report showed the difference for an average weekday (56 percent) vs. average weekend day (32 percent) for our sample of past seven-day users on the computer platform. For smartphones, the difference was 10 points (44 percent average per weekday vs. 34 percent average for weekend days). For both computer and smartphone platforms, Sundays are around five points lower than Saturdays. This is partially because Sundays typically are slow news days, but also because the Sunday printed newspaper absorbs time that might go to other newspaper platforms. Interestingly, however, tablet usage is closer to flat across the seven days of the week. Saturday at 48 percent is the same as on weekdays; Sunday is only 6 points below at 42 percent. This appears to illustrate both the large number of usage occasions that work for tablets as well as the inclination to use them mainly for leisure activities as opposed to work-related tasks associated with desktop or laptop computers. 27 Newspaper Association of America

28 QUESTION: Thinking of your typical Sunday, which of the following topics if any do you regularly read or use from your local daily newspaper in the following formats? (Please select all that apply.) Sundays: Newspaper Content Regularly Read by Platform Print Computer Tablet Smartphone Circulars and coupons 87% 22% 21% 19% Daily deals (Groupon, etc.) Classified ads Breaking news Local news for your area World news U.S. news Politics and elections Business Opinion columns and blogs Short news summaries Longer articles Local entertainment Sports Travel Weather Crosswords and games Real estate Automotive Videos Base: newspaper platform users who normally read on Sundays

29 Print Newspaper Occasions Respondents in each platform group checked off general times of the day and particular locations where they regularly look at their local newspaper on the relevant platform. Most regular print readers of local newspapers subscribe and have the paper in hand early in the morning. Usage is concentrated (13 percent) just after waking up and especially at breakfast (31 percent). Other large scores are for at home during the day (26 percent), at work or school (23 percent) and after dinner (18 percent). Younger readers often fit the paper in later in the day, as they are less likely to subscribe for home delivery. They are above average for reading at breaks, lunch, at work or school and while commuting. Readers are fairly settled in their reading time patterns, as they average only 1.6 periods out of the 11 measured. Among reading locations, the living room or den (48 percent), kitchen (34 percent) and at work (24 percent) dominate. Young adults are above average for reading in bed, at coffee shops or restaurants and while waiting. Men lead in reading in the bathroom, as they do for other newspaper platforms. QUESTIONS: Thinking of your typical weekday, when do you usually read or use a local daily newspaper and in which format(s)? Again, thinking of your typical weekday, in which of the following places do you regularly read or use your local daily newspaper in the following format? Times Print Higher For Breakfast 31% 65+ At home during the day At work or school 23 Men After dinner 18 At breaks Waking up 13 Age 65+ At lunch 13 Men Just before bed 7 Commute to work After work commute Dinner 5 Average # times 1.6 Locations Living room or den 48% 45+ Kitchen Work 24 Waiting Bathroom 13 Men 65+ Bed Coffee shop or restaurant Home office 9 Deck or patio 8 School 3 Gym 2 Running errands 2 Average # locations Newspaper Association of America

30 Computer Newspaper Occasions Reading newspaper content with a desktop or laptop computer happens regularly at various times and locations, most often during the workday at work or school (39 percent) or at breakfast or at home during the day for older adults. Several time frames skew young, although there are not such patterns for those reading after dinner or immediately after waking up. Top locations include the living room or den, at work or home office. Some read in bed, presumably with laptop computers. QUESTIONS: Thinking of your typical weekday, when do you usually read or use a local daily newspaper and in which format(s)? Again, thinking of your typical weekday, in which of the following places do you regularly read or use your local daily newspaper in the following format? Times Computer Higher For: At work or school 39% 18-34, At home during the day 29 Age 65+ After dinner 23 At breaks Just before bed , At lunch Waking up 16 Breakfast 13 Age 65+ After work commute Dinner Commute to work 3 Average # times 1.9 Locations Living room or den 43% Work 37 Home office 31 Men, 65+ Bed Kitchen Waiting 9 Deck or patio 8 Bathroom 6 Coffee shop or restaurant School 6 Commuting 4 Gym 2 Running errands 2 Average # locations

31 Smartphone Newspaper Occasions Consumers reading newspaper content by smartphones are likely to do so at all times of the day and at any number of locations. Top times of the day include at work or school, breaks, at lunch and just before bed; all times are in double figures except for at dinner. Another survey question found that a great many smartphone users said they often check news when not busy with something else to avoid boredom. It turns out that waiting leads among locations at 44 percent, closely followed by in bed, at work and in the living room or den. One-fourth check news in the bathroom. Users average more than three locations for typical usage and two time frames. QUESTIONS: Thinking of your typical weekday, when do you usually read or use a local daily newspaper and in which format(s)? Again, thinking of your typical weekday, in which of the following places do you regularly read or use your local daily newspaper in the following format? Times Smartphone Higher For: At work or school 30% 18-34, At breaks 27 Men At lunch 24 Just before bed 22 Commute 18 At home during the day 18 After dinner 18 Waking up 18 After work commute 12 Breakfast 11 Dinner 7 Average # times 2.1 Locations Waiting 44% Women, 42 Bed 18-34, Work 39 Living room or den 37 Commuting 26 Bathroom 25 Men Coffee shop or 25 restaurant Running errands 23 Kitchen 19 Home office 16 Deck or patio 12 School Gym Average # locations Newspaper Association of America

32 Tablet Newspaper Occasions Readers also consume newspapers on tablets in multiple time periods and locations. More so than for other platforms, the periods after dinner and just before bed are especially popular. Many readers check tablet newspapers when waking up or at breakfast, lunch and breaks, in addition to during the day either at home or at work. Top locations by far are the living room or den (65 percent) or in bed (50 percent), but most others also are in double digits. QUESTIONS: Thinking of your typical weekday, when do you usually read or use a local daily newspaper and in which format(s)? Again, thinking of your typical weekday, in which of the following places do you regularly read or use your local daily newspaper in the following format? Times Tablet Higher for After dinner 33% Just before bed , At home during the day Breakfast 19 At work or school , At lunch At breaks 18 Men, Waking up 17 After work commute Commute to work Dinner 8 Average # times 2.1 Locations Living room or den 65% Bed , Kitchen 30 Work 26 Men Waiting 23 Home office 21 Bathroom 20 Men, Deck or patio 19 Coffee shop or 18 restaurant Men, Commuting 13 Running errands 7 School Gym Average # locations

33 Summary: Newspaper Occasions The following tables and charts summarize the four platforms by times and locations measured. In general, the day parts show the need for news varies in predictable ways during the day and largely depends on available technology and what is convenient at the time. Computers at work desks enhance the newsgathering impetus on the job. Tablets expand newspaper consumption in the evening. QUESTIONS: Thinking of your typical weekday, when do you usually read or use a local daily newspaper and in which format(s)? Again, thinking of your typical weekday, in which of the following places do you regularly read or use your local daily newspaper in the following format? Time Print Computer Smartphone Tablet Waking up Breakfast Commute to work At home during the day At work or school At lunch At breaks After work commute Dinner After dinner Just before bed Location Print Computer Smartphone Tablet Living room or den Bed Kitchen Work Waiting Home office Bathroom Deck or patio Coffee shop or restaurant Commuting Running errands School Gym Newspaper Association of America

34 This chart plots times of day for reading local newspapers in print or by computer. Note that the curves are fairly similar, except for print dominating at breakfast and computers being more important at work. 50% 40% 50% 30% 40% Print Print Computer Computer 20% 30% 10% 20% 10% 0% Waking up Breakfast Waking up Commute Breakfast Home during day Commute Work Home during day School Work At lunch School At breaks At lunch After work commute At breaks Dinner After work commute After dinner Dinner Just before bed After dinner Just before bed This chart plots the two mobile platforms by times of day. Tablet usage patterns are similar to those shown above for computers, except for a greater emphasis on evening use for tablets and more during the day for 50% computer platform newspapers. Smartphone Tablet 40% 50% 30% 40% 20% 30% 10% 20% Smartphone Tablet 10% 0% Waking up Waking up Breakfast Breakfast Commute Commute Home during day Home during day Work Work School School At lunch After work commute At lunch After work commute At breaks At breaks Dinner After dinner Dinner After dinner Just before bed Just before bed

35 Multiple Platforms Pre-survey focus groups indicated that some newspaper readers who use different platforms switch among them during the same usage occasions. Survey data support this idea. This table looks at respondents who use all three of the digital newspaper platforms and shows the mix of platforms they typically use. For example, for this group, 17 percent typically check the newspaper on a computer when waking up, as do 18 percent on a smartphone and 20 percent on a tablet. If Use Computer + Smartphone + Tablet Newspaper Platforms Time Computer Smartphone Tablet Waking up 17% 18% 20% At home during the day At breaks After dinner The next table shows net newspaper readership across these three platforms for the same four time frames and how many typically look at different devices. For waking up, 36 percent check any digital platform for the local newspaper, while 23 percent look at one device, 8 percent look at two and 5 percent access all three. Digital-intensive consumers tend to be earlier adopters; we might expect less overlap as more consumers use smartphones and tablets. But that remains to be seen. If Use Computer + Smartphone + Tablet Newspaper Platforms: # Platforms Used Time Net Any One Platform Two Platforms Three Platforms Waking up 36% 23% 8% 5% At home during the day At breaks After dinner Newspaper Association of America

36 Newspaper Digital Advertising Most readers respond in various ways to advertising they encounter on newspaper digital platforms. Those who use mobile platforms are particularly active in shopping. Newspaper platform users also have opinions about what makes them more likely to respond to ads. Reader Response In the early days of digital advertising, measurement of consumer response focused on mouse clicks. Over time, practitioners determined that clicks were problematic by themselves because their incidence is quite modest and declining. It became more apparent that various other positive responses were common and important. Online ads often work in concert with other types of advertising and it is more useful to regard consumer engagement as a process. Some messages may lead to a quick sale depending on the offer and the shopper s particular need at the time, while others may create awareness or reinforce brand concepts, or suggest shopping ideas and the desire to look for more information later. Because of screen-size limitations and other factors, this referral function may be more important for most digital ads compared to formats on other media platforms. Users of newspaper digital media noted which, if any, of the following types of responses they made to store or product ads on newspaper websites in the previous 30 days. Two-thirds (66 percent) said they acted in one way or another, an average of three types of responses. Creating awareness of a product, store or sale, picking up shopping ideas and/or being reminded of existing needs led, with 56 percent of respondents regarding newspaper digital ads. Looking for more information in various ways was next at 47 percent. Visiting a store or website in response to an ad followed at 32 percent. Some 30 percent of digital platform users remembered making a purchase decision. A smaller group (14 percent) referred the ad to someone else

37 QUESTION: Thinking about newspaper websites on any type of computer or mobile device: In the past 30 days, did you take any of the following actions in response to reading or seeing a product or store advertisement on your local newspaper s website? Acting on Local Newspaper Digital Ads in Past 30 Days Net any 66% Net became aware of product, service, sale, needed item 56 Became aware of sale 42 Became aware of product or service 28 Were reminded that you needed something 22 Picked up shopping ideas 19 Net looked for more information by clicks, search, asking others 47 Used online search to find out more about product 34 Clicked on ad to learn more 24 Inquired or learned more about item of interest 22 Net visited store online or in person 32 Went to store or website to learn more 23 Visited retail store or showroom 20 Net bought, decided to buy, where to buy 30 Decided where to buy 20 Bought something advertised 18 Bought something else at store or website 14 Referred ad to someone else 14 Base = if read local newspaper on any digital platform in past 7 days Response results are very similar across demographic groups. For example, men net to 67 percent across all items, while women are 65 percent. Age groups vary from 71 percent for to 66 percent for and 65 percent for older adults who use newspaper digital platforms. Earlier, we reported that around one-third of newspaper digital platform readers rate advertising on these platforms as really annoying. These readers, however, still respond to newspaper digital platform ads at the same rate as others who do not rate them as annoying. The same holds for mobile reader response discussed in the next section. 37 Newspaper Association of America

38 Mobile Reader Response A similar question asked regarding ads on newspaper mobile platforms yields slightly lower but still substantial results as expected. Tablet users are several points higher in nearly all categories. For both smartphone and tablet newspaper media users, 6 in 10 say they responded to newspaper mobile ads in the previous 30 days. Around half gain awareness of a product or sale or shopping needs. Four in 10 respond by looking for more information. One-fifth to one-fourth visit a store online or in person. One-fourth to one-third make a purchase decision. And 1 in 10 smartphone users and 1 in 6 tablet users refer the ad to someone else. QUESTION: Thinking about newspaper websites on any type of computer or mobile device: In the past 30 days, did you take any of the following actions in response to reading or seeing a product or store advertisement on your local newspaper s website? Acting on Local Newspaper Mobile Ads in Past 30 Days Smartphone Users Tablet Users Net any 59% 61% Net became aware of product, service, sale, needed item Became aware of sale Became aware of product or service Were reminded that you needed something Picked up shopping ideas Net looked for more information by clicks, search, asking others Used online search to find out more about product Clicked on ad to learn more Inquired or learned more about item of interest Net visited store online or in person Went to store or website to learn more Visited retail store or showroom Net bought, decided to buy, where to buy Decided where to buy Bought something advertised Bought something else at store or website Referred ad to someone else Base = if read local newspaper on any mobile platform in past 7 days

39 Mobile Shopping Activities Respondents who use smartphones or tablets for reading local newspapers also are active shoppers with these devices. Eight in 10 from each group do at least one of the listed activities. Tablet users are more likely to do general online shopping (56 percent) compared to the smartphone reader group (35 percent). The smartphone group is more likely to scan barcodes or quick codes to get coupons or to use in-store shopping applications, and for purchasing tickets. The two groups have similar and high scores for entertainment-related information. Question: Do you regularly use your smartphone (tablet) to: Mobile Shopping-Related Activities by Newspaper Platform Users Smartphone Tablet Shopping (net) 82% 80% Get movie information Check out restaurant, bar, retailer or product reviews Access websites for entertainment information and planning Use a barcode or quick-code scanner to get Web information on a product or ad Online shopping Get coupons while shopping Use in-store shopping applications Use for ticketing Base: check local newspaper on smartphone or tablet Ad Elements That Increase Engagement Respondents also identified design factors that increase the odds they will notice digital ads. The 14 factors tested fall under four broader categories and in concept are similar to what we would find regarding nondigital ads. Listed prices (54 percent) along with sales or daily deals (48 percent) lead the list. These provide concrete information of direct relevance for a purchase decision, along with suggestions of bargains. Personal relevance also can be a powerful incentive. The most direct expression is that the ad is relevant for people like me (47 percent). Other items in this series imply relevance without guaranteeing it. These include promoting a local store (44 percent) and forms of behavioral targeting, including retargeting a store visited online recently (36 percent) or product recently seen online (36 percent). The weakest predictor is if the ad relates to a story the user is reading (23 percent). 39 Newspaper Association of America

40 Engaging describes the third category. These include fun and entertaining ads (36 percent), the ability to adjust the view or information provided, as in a within-app advertisement (20 percent), or being in a video, which has only 13 percent support among respondents. Video ads that are not highly engaging tend to create annoyance, as viewers have to mark time waiting on the desired content. The last group also has modest scores (16 percent to 23 percent); we characterize these elements as obtrusive. They include large ads, moving images, pop-ups and ads located at the top of the screen. Smartphone users led other platforms in citing pop-ups and ads that take up a large amount of space on the screen as encouraging notice. Such ads are hard to miss on small smartphone screens. Young adults (18-34) lead older age groups in citing the attraction of fun and entertaining ads, moving images and ads taking up most of the screen or the top of the screen. QUESTION: Under which of the following circumstances are you more likely than average to notice an advertisement on a website or app? Digital Ad Elements That Attract Attention The ad includes prices 54% Prices & The ad indicates a sale or daily deal 48 Bargains The ad is relevant for people like me 47 The ad is from a local store 44 Ad is from a store that you visited online recently 36 Ad is for a product you looked at recently online 36 As is for something that relates to a story you are reading 23 The ad is fun and entertaining 33 Ad lets you manipulate the screen to adjust view or information provided 20 The ad is in a video 13 Ad occupies a large space on the page 23 Ad shows something that is moving 20 The ad is at the very top of the page 17 Ad pops up on the screen 16 Base = total sample of newspaper platform readers Personal Relevance Engaging Obtrusive

41 Circulars Preprint circulars remain wildly popular and a crucial component of the Sunday printed newspaper. Most newspaper website users also use digital versions of circulars while noting functionality problems with current formats. NAA s How America Shops and Spends studies have documented the special appeal of advertising circulars for consumers. The typically thick Sunday bundle testifies to this format s continued effectiveness for advertisers. Sunday circulars reliably are among the highest-read sections of the paper after the front news section; their appeal carries across demographic categories. In the current survey, we found that 82 percent of past-week readers of the printed local Sunday newspaper also had read or looked into printed Sunday circulars in the previous 30 days. Among our entire sample of newspaper platform users (print and digital), some 73 percent say they read print newspaper circulars in the 30-day time frame. Past-week print newspaper readers score higher, as we would expect, with 82 percent reporting reading these circulars in the past 30 days, and 87 percent reporting they regularly read or use circulars specifically from the Sunday newspaper. Similarly, 77 percent of print newspaper readers agree they make a point of looking at the Sunday circulars. Different survey questions and interviewing procedures were used in the How America Shops and Spends studies, but these results are generally consistent with those reported here. For example, among Sunday newspaper readers in the latest study, some 68 percent reported reading Sunday circulars regularly and 90 percent said they did at least occasionally. The next table demonstrates that usage is quite broad-based. Younger adults are below average, but still show strong usage at 54 percent for ages and 63 percent for ages Average usage begins with ages Income categories are notably flat beginning at the $50,000 level. QUESTION: In the past 30 days, have you read or looked into any printed advertising circulars that came with a weekday or Sunday newspaper? Read Newspaper Preprint Circulars in Past 30 Days Total 73% Men 71 Women <$50, $50,000-$74, $75,000-$99, $100,000-$149, $150, Northeast Census Region 72 Midwest 78 Southern 72 Western 67 African-American 73 Hispanic 69 Base = total newspaper platform users (print and/or digital) 41 Newspaper Association of America

42 Online Circulars Usage of online versions of advertising circulars for various sources also nets to 73 percent from our sample of multiplatform users over a 30-day period. This overstates usage among all adults, because about one-fifth of adults do not use the Internet. The second column below adjusts for that factor, yielding a net of 57 percent. (Such an adjustment is not relevant for the print circular estimate.) Most online circulars are sourced by store websites (43 percent of total sample) or via (38 percent). Newspaper websites (14 percent) and specialty sites (9 percent) have much less reach in this distribution. Women are 10 points ahead of men in getting circulars by , which is consistent with earlier research. A majority of online circular readers (61 percent) say they use two or more of the sources listed here. As we would expect, the more types of sources they use, the greater their interest in online circulars is based on choice questions discussed later in this section. QUESTION: In the past 30 days, have you looked online for the electronic version of the weekly advertising circular in any of these ways? Method of Receiving Electronic Version of Weekly Circular (Past 30 Days) Multiplatform sample Adjusted base: all adults Net any 73% 57% Go directly to store s website to click and review the ad circular for the week You receive an advertising circular or link sent by You get the online circular on your newspaper s website You go to a website such as shoplocal.com, zip-2-save.com or similar sites that list advertising circulars from various store brands Base = total newspaper platform user sample (print and/or digital) Second column adjusted to account for those without Internet access Users of different newspaper platforms are mostly about average on sources they use for online circulars. Tablet users lead others, with 82 percent using circulars from any source. They are more likely than other device users to get circulars from newspaper websites (30 percent). Mobile newspaper platform users still are most likely to get online circulars using a desktop or laptop computer, although significant numbers use mobile devices. Among past-week tablet users, some 48 percent read circulars on their tablets, while 59 percent use a computer. For smartphone users, 33 percent look at circulars via their smartphones, while 63 percent use a standard computer

43 Print vs. Online Circulars By coincidence, we have 73 percent each in our sample that read printed newspaper circulars and online circulars from various sources. As it happens, 79 percent of print circular readers also saw online versions in the past 30 days, and 79 percent of online circular readers also saw print newspaper circulars. Given this symmetry, we might expect close to an even split in preference for online vs. print circulars, but that is not the case. Respondents who read online circulars in the past 30 days favor printed newspaper circulars by a 2-to-1 margin (48 percent vs. 25 percent). The margin would have been wider had we included all respondents in the question. Women are especially strong in favoring print (52 percent) over online (19 percent) circulars. Young adults divide about evenly between the two up to age 34, but a strong print preference starts at age 35. All income groups and Census Region areas also favor print. Usability Favors Print Circulars: By a 45 percent to 27 percent margin, online circular readers favor that platform over print regarding ease of comparisons among products and prices. However, this is the only operational advantage they see as a group. They strongly favor newspaper preprints for ease in dealing with coupons (64 percent) and portability when shopping (62 percent). Ease of scanning (44 percent) and general ease of use (47 percent) also favor print. The two platforms are about the same for ease of finding things and having the stores I want. QUESTION: How would you compare printed newspaper circulars with online circulars that you have seen? Please select which format is better for each item below. Preferred Circular Source (If Used Online Circulars) Newspapers Online No Preference Prefer overall 48% 25% 28% Easier to deal with coupons Easier to take with me shopping Easier to use Can scan more quickly Easier to find things Includes the stores I want Easier to make comparisons Base = adults who read online circulars in past 30 days 43 Newspaper Association of America

44 The next table profiles those who prefer newspaper vs. digital circulars overall. QUESTION: How do you prefer that most advertising inserts or circulars you look at be delivered? Preferred Source for Advertising Circulars (If Used Online Circulars) Newspapers Online No Preference Total 48% 25% 28% Men Women <$50, $50,000-$74, $75,000-$99, $100,000-$ $150, Northeast Census Region Midwest Southern Western African-American Hispanic Base = newspaper platform users who read online circulars from any source in previous 30 days

45 Apps Apps are in widespread use on mobile devices and for a variety of purposes. Almost all respondents having mobile devices in this study (97 percent) use at least one among the 11 app categories listed in the next table. Profiles and perceived functionality are a bit different between smartphones and tablet devices. Tablet users (83 percent) are more likely than smartphone owners (75 percent) to have news apps, whether from newspapers, TV or radio sources, or from other sources such as pure-play digital sites. The net among news sources is not substantial, but individual items such as for newspaper sites show wider gaps of 11 to 14 points. Weather is the leading single item for both devices. Facebook is the other app with majority status, with 69 percent for smartphones and 64 percent for tablets. Twitter is less significant, with 32 percent for smartphones and 25 percent for tablets. Retail store or shopping apps also are significant, with 39 percent for smartphones and 50 percent for tablets. QUESTION: Which, if any, of the following types of apps do you use on your smartphone (tablet)? Apps Used on Mobile Devices and Satisfaction Ratings Smartphone Tablet Net any news sites 75% 83% Weather sites Facebook Sports sites Any retail store or shopping app News from television channels or networks News from your local daily newspaper News from a national newspaper Twitter News sites not affiliated with newspapers, TV or radio News from radio stations or networks Other social media program Mean number of apps Satisfied with newspaper apps on device (4-5 rating on 1-5 scale) 44% 50% Base: smartphone and tablet local newspaper platform users 45 Newspaper Association of America

46 News Apps: Most who use mobile devices for newspaper media have news apps. Their experience with newspaper-sourced apps is generally positive, but with room for improvement and differentiation. App user experience is increasingly important as newspapers introduce paid-content models. Readers look for compelling content, but ideally screen experience and functionality also should be a step up compared to standard websites. Satisfaction ratings for newspaper apps on mobile devices are fairly positive, with 44 percent being satisfied among smartphone news users and 50 percent for tablet news users (ratings of 4 or 5 on a 1-5 scale). These ratings are about the same among owners of the major device brands. Readers with apps divide, with slightly more using news apps (39 percent) than the mobile Web (28 percent) most of the time for accessing news sites. Twenty-nine percent say they use both equally. It also is likely that more than a few are not always sure whether they are using an app or a Web address. The following tables review preferences on various usability metrics between apps and standard websites among those who presently use mobile news apps with smartphones and tablets. For smartphones, the big advantage for apps is faster screens. There is less agreement on other features, with narrow advantages for attractive screens, intuitive interfaces and ability to share stories. Smartphone owners favor the mobile Web for careful news production, higher-quality ads and more frequent updates. Screen sizes, small fonts and slim ad inventory likely contribute to these impressions. Overall, smartphone users divide about equally regarding the general app vs. website experience. Tablet users are more positive overall and also see strong app advantages for screen loading, attractive screens, intuitive design and, to a lesser extent, general organization. QUESTION: In your experience, which format for newspapers (website vs. app) is better described by the following, or is there no difference? Newspaper Smartphone Apps vs. Websites User Experience Comparisons Newspaper Smartphone App Better Newspaper Website Better No difference A better experience, generally 28% 32% 39% Loads faster More attractive screens More intuitive to use Easier to share stories with others Better organized Is updated more frequently Has higher-quality advertising News is more carefully produced Base: if use smartphone newspaper apps

47 Newspaper Tablet Apps vs. Websites User Experience Comparisons Newspaper Tablet App Better Newspaper Website Better No difference A better experience, generally 31% 21% 48% Loads faster More attractive screens More intuitive to use Easier to share stories with others Better organized Is updated more frequently Has higher-quality advertising News is more carefully produced Base: if use tablet newspaper apps 47 Newspaper Association of America

48 Appendix: Technical Notes The Newspaper Association of America contracted with Frank N. Magid Associates Inc. of Minneapolis to conduct the research described in this report. Research was conducted in two stages, beginning in November 2011 with three mini focus groups each in the Washington, D.C., Austin and Denver markets. Groups explored various aspects of how consumers use multiple newspaper platforms in daily life and also helped frame questions used in the national survey that followed. The second stage was a large-scale online survey conducted from January 20 to February 1, The survey was drawn from a large commercial respondent panel. Respondents ages 18 and up were screened for having used at least one of four newspaper platforms for reading their local daily newspaper in the previous seven days. The 2,518 interviews averaged 25 minutes in length and the four platform samples included: 1,896 print newspaper readers 1,480 readers via a desktop or laptop computer 864 readers via a smartphone (iphone, Android, BlackBerry) 734 readers via a tablet device (ipad or Android). The survey included oversamples of these four categories especially mobile device users so the data needed to be adjusted statistically to balance these groups accurately in relation to each other. Accordingly, a second online survey of 1,179 adult respondents among the general Internet population was conducted to obtain targets to balance the four platform groups properly in the main survey and to enable weighting by gender, age, race, ethnicity and Census Region. The resulting weighted sample thus references users of any of the four newspaper platforms among adults with Internet access. Approximately 78 percent of U.S. adults have Internet access, and 74 percent of those with Internet access use one of the four platforms over the course of one week. This study thus excludes print newspaper readers who do not use the Internet

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