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New York newspapers see circulation drop

By Mark Harrington | mark.harrington@newsday.com

6:58 PM EDT, April 28, 2008

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New York's trio of tabloids saw further declines in paid circulation during the six months ending March 31 in a trend that experts said justifies a consolidation wave likely to result in the sale of Newsday.

According to a report released yesterday by the Audit Bureau of Circulations, paid weekday circulation for Newsday continued a downward trend, declining another 4.7 percent to 379,613 copies for the six months ending March 31 compared to the prior year. Newsday's Sunday circulation was down 4.8 percent to 441,728 copies. Six months ago, weekday circulation dropped 5.6 percent and Sunday was off 4.3 percent.

"The strength of the Newsday brand is bigger than circulation alone; Newsday's combined reach, including circulation, readership and interactive audience remains strong and steady," said Newsday Publisher and chief executive Timothy P. Knight. "Newsday reaches 72 percent of all Long Island adults every week, and our daily readership reach is first among the top 50 major US markets. Newsday.com's audience continues to grow, most recently measured at 3.2 million unique visitors and 66 million monthly page views."

The Daily News, The Post and The New York Times also saw circulation declines. The Daily News' weekday circulation declined 2.1 percent to 703,137 copies, while Sunday circulation saw a steeper 9.2 percent drop to 704,157 copies. Weekday circulation at The Post dropped 3.1 percent to 702,488 copies, while Sunday circulation plunged 8.6 percent to 401,315.

The Times saw circulation declines -- paid weekday circulation dropped 3.9 percent to 1,077,256, while Sunday circulation declined 9.2 percent to 1.46 million.

Sammy Papert, a media consultant at Belden Associates in Dallas, said the numbers fuel the argument that consolidation may be one of the few avenues left to newspapers in an industry seeing drops in circulation and advertising revenue.

According to sources, New York Post owner Rupert Murdoch and Daily News owner Mort Zuckerman have both made $580 million offers for Newsday. Murdoch is said to have a handshake agreement in principle to buy Newsday in a deal expected to turn his money-losing Post into a profitable operation.

"If indeed three titles become two or one tomorrow it will be because consumers demand it," Papert said. "I think consolidation is a good thing."

Jack Myers, editor and publisher of Jack Myers Media Business Report, an industry publication in Manhattan, said the circulation declines are "all the more reason Murdoch and Zuckerman should be complimented for continuing to believe in and support newspapers." In addition, he said, declining circulation numbers raise questions about legislative calls for restrictions on media ownership. "The only way to create a viable newspaper industry is to create cross-media revenue opportunities," said Myers, who added he expects circulation declines to continue as readers migrate to the web.

It's not just the New York market that saw circulation drops.

For the nation's 530 daily newspapers reporting to the bureau, weekday circulation declined 3.57 percent, while 601 reporting Sunday newspapers saw a 4.59 percent drop.