I was interested in what the newspaper companies are saying about the current 3% drop reported in the latest Audit Bureau of Circulation on sale of newspapers. In perspective 2008, it was about 2% down on the previous year, last year in 2009 it was about 1% down.
This time with such a big drop, their main reason was.
The Newspaper Works CEO Tony Hale said that uncertain economic conditions, especially in the retail sector, had contributed to the decline in printed newspaper sales in the latest quarter,
.
You can read the full statement there.
One problem with this argument, I think is that retail sales are marginally up this quarter. In any case, if retail is their major concern now maybe they should talk to one of their largest retailers newsagents to find out more.
Update: A few people asked me what are my opinion for the next quarter. I predict for some of the smaller papers, a huge drop because the Audit Bureau of Circulations will probably change their rules because of the controversial deals for university students, teachers and sporting clubs. Some newspapers like Fairfax's Melbourne Age these may add up to 30% of total sales.
