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Staggering 21% growth in online newspaper advertising expenditure

Date: 11-21-2007



Newspaper Association of America (NAA) reported that online advertising expenditures for newspaper increased by 21.1% to $773 million in the third quarter as compared to the same period a year ago. The share of online newspaper advertising in total newspaper ad spending increased from 5.4% in last year's third quarter to 7.1% this year.

NAA has been reporting the online ad spending since 2004 and this third quarter figures mark the 14th successive double-digit growth for newspaper website advertising. In 2004, the NAA reported an annual increase of 26.70% in online newspaper spending, which continued its growth by 31.48% in 2005 and 31.46% in 2006. This growth illustrates the significance of online newspaper advertising in today's online marketing industry.

Newspaper Association of America is a nonprofit organization representing the $59 billion newspaper industry and more than 2,000 newspapers in the U.S. and Canada.

Brands coupling to create new ones

In order to attract more and more consumers, big companies are teaming their brands to launch altogether a new product.

The latest in the line is the launch of Puffs Plus facial tissues by Procter & Gamble Co. which has the scent of Vicks, reports Associated Press. Combining P&G's two brands—Vicks and Puffs, this product aims at bringing back consumers' childhood memories of mothers treating their colds with Vicks ointment. In the past, the company had blended Olay skin care with CoverGirl makeup and Secret deodorant; Febreze scent freshener and Downy with Tide detergent; and Scope mouthwash with Crest toothpaste.

Other companies have also been launching new products by adding ingredients from one brand to another. Unilever launched the Lever 2000 soap by mixing Lever soap with Vaseline ingredients. This year, it added Snuggle air freshener to All laundry detergent. Similarly, last year, Dial Corp. mixed Renuzit air freshener into Purex detergent. In another brand combination, specialty coffee retailer Starbucks Corp. joined hands with chocolate maker Hershey Co. to develop new confections.

AT&T Inc. to acquire pay-per-call technology company Ingenio

AT&T Inc. plans to acquire Ingenio, a privately held enterprise, which provides Pay Per Call search and directory solutions.

The buyout is expected to finish by early January, 2008. According to the company's press release, AT&T plans to integrate Ingenio's Pay Per Call solutions into its directory service and local search advertising portfolio that includes the YELLOWPAGES.COM Network, AT&T Real Yellow Pages, and 1-800-Yellow Pages. By using this service, AT&T can manage its advertising programs and generate valuable phone leads.

AT&T currently delivers print directories to more than 83 million residences and businesses in 22 states and has a premier online presence nationwide with the YELLOWPAGES.COM Network.

New Era to Fire Workers after Thanksgiving?

Seemingly, because Mobile, Alabama, workers joined the Teamsters Union "to win fair wages and fight for their human dignity" back in July, their company now plans on retaliating. New Era Company is ready to fire 35 of its 100 workers immediately following Thanksgiving. Only 15 of the 35 will be called back to work.

Teamsters General President Jim Hoffa said, "[Mobile workers] formed a union because they wanted to improve their poverty-level pay and end the racial discrimination they face every day...These layoffs are another shameful tactic by New Era to scare and punish workers for seeking fair pay and a fair chance to move ahead without being hobbled by racial discrimination."
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