Pew Research — Local Information Need Buoys Newspapers

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By Douglas A. McIntyre Published
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The death of newspapers and local TV may not be a death at all. Editors of these media will need to understand what consumers want from them before there can be any considerable turnaround from a period in which some have lost half of their revenue.

A new study from the Pew Project for Excellence in Journalism and Internet & American Life Project, done in conjunction with John S. and James L. Knight Foundation, shows that people look to newspapers to provide information on community events and local crime, government reports, housing and politics. Local TV stations are primary sources for weather, local news, and traffic.

The message from the research is that the extent to which local media help Americans to keep informed on national and international news is a poor investment of resources. Pew reports that “Newspapers (both the print and online versions, though primarily print) rank first or tie for first as the source people rely on most for 11 of the 16 different kinds of local information asked about — more topics than any other media source.” The emphasis of the point is on “local.”

Pew warns that the traffic to local radio and newspaper sites could be undermined by the rise of internet-only local news sources. This would imply that new services like Aol’s (NYSE: AOL) Patch may have success if the portal continues to invest in this initiative. Papers and radio still hold one advantage — they are the incumbents.

Incumbency is only as valuable as the effort to take advantage of it. The habit of local newspapers to provide national news as part of the primary reporting on their front pages and as a large part of their overall coverage is wasted. It lowers the amount of space, or at least the most visible space, for information that is most useful for their readers — at least according to Pew.

Newspapers and local radio may be able to retain or even increase their market presence, but only if editors move coverage toward what the consumer wants. That means abandoning the pretense that they are effective sources for news from outside their own markets.

Douglas A. McIntyre

Photo of Douglas A. McIntyre
About the Author Douglas A. McIntyre →

Douglas A. McIntyre is the co-founder, chief executive officer and editor in chief of 24/7 Wall St. and 24/7 Tempo. He has held these jobs since 2006.

McIntyre has written thousands of articles for 24/7 Wall St. He is an expert on corporate finance, the automotive industry, media companies and international finance. He has edited articles on national demographics, sports, personal income and travel.

His work has been quoted or mentioned in The New York Times, The Wall Street Journal, Los Angeles Times, The Washington Post, NBC News, Time, The New Yorker, HuffPost USA Today, Business Insider, Yahoo, AOL, MarketWatch, The Atlantic, Bloomberg, New York Post, Chicago Tribune, Forbes, The Guardian and many other major publications. McIntyre has been a guest on CNBC, the BBC and television and radio stations across the country.

A magna cum laude graduate of Harvard College, McIntyre also was president of The Harvard Advocate. Founded in 1866, the Advocate is the oldest college publication in the United States.

TheStreet.com, Comps.com and Edgar Online are some of the public companies for which McIntyre served on the board of directors. He was a Vicinity Corporation board member when the company was sold to Microsoft in 2002. He served on the audit committees of some of these companies.

McIntyre has been the CEO of FutureSource, a provider of trading terminals and news to commodities and futures traders. He was president of Switchboard, the online phone directory company. He served as chairman and CEO of On2 Technologies, the video compression company that provided video compression software for Adobe’s Flash. Google bought On2 in 2009.

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