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Newspapers Beat Local TV

Posted by rantaboutit on February 16, 2007

Newspapers Beat Local TV

According to a media research firm, the newspapers are making more money from online video advertising than local TV stations, $81 million to $32 million. TV stations have a mass audience compared to targeted audience on the internet. Newspapers have been selling customized solutions, with particular success in converting help wanted and automotive classified advertisers. Time Warner Cable TWX in North Carolina is producing original video advertisements for local merchants.

This is pretty intuitive. If you know your target audience it is much more easier to sell. It is estimated that local online video advertising will surpass $5 billion, representing more than one-third of all local online advertising.

U.S Trade deficit
The U.S. trade deficit stands at $763.6 billion compared with $716.7 billion in 2005. In the month of Decemeber the trade deficit widened to $61.2 billion exceeding analyst estimates of $59.5 billion. Trade deficit was reduced in the month of September, October and November due to lower oil prices. However with increase in oil prices that scenerio has changed. December imports rose 2.1% to $186.7 billion, while exports were up 0.6% to $125.5 billion. With the increasing trade deficit, the US dollar will become weaker and weaker. This would eventually mean that investors would have more faith in basic materials (Gold and Silver) over the currency.

Pfizer over the counter

Three of the Boots pharmacies in London, will allow men to buy the impotence drug Viagra, manufactured by Pfizer Inc. PFE, without a doctor’s prescription.The cost of the drug will be $97 for four pills. I believe this is a good marketing move. This will definitely boost sales.

IBM soon to challenge Intel
IBM IBM plans to announce breakthrough in the production of DRAM (dynamic random access memory) chip technology used in PCs. This will be a challenge to Intel INTC. The new technology will act as a temporary storage unit, holding data inside a microprocessor while it is being processed. IBM claims the new technology will speed up the performance 10 times the current speed. This will definitely be something to look out for and will directly affect the stock prices in the longer run.

Southwest gets greedy
Southwest Airlines LUV is famous for air-tickets at discounted rate. Southwest is the only carrier to report profits in every quarter since the Sept. 11 attacks. You can state that in the competitive world of airline industry, Southwest has been the clear winner. However in 2006, SouthWest has raised its fares 6 times. Again recently they raised it by another $10. Other airlines are expected to follow. So why is Southwest raising fares ? This one is a no-brainer. Increasing oil prices, high maintenance cost and pressure to raise revenue says it all.

Indian stocks take a dive

Country’s central bank decided to increase the amount cash lenders must set aside to cover deposits. Inflation is the culprit that has accelerated to the fastest pace in more than two years. Wholesale price inflation increased to an annual rate of 6.58%. Indian index mutual funds and ETFs are off sharply this week and the financial sector has been particularly hard hit. The India Fund ETF IFN has been shaky all week.

For more information, here is an article from Brad Hessel

Are Photoblogs potential threat to photography stock market
Dan Heller quotes

The internet has brought down the barriers that have kept consumers out of the photo business in the first place. Now that they’re here, they have fundamentally altered the photo industry, whether intentional or not, and whether other photographers like it or not.

Alot of people look at Flickr as a medium to share/view brillaint photographs. Bloggers look at it as a photo repository where they can tag their photos and make it available to the world. However there is a potential that photoblogs can grow into a market of its own and give traditional stocks a run. Watch out Getty Images GYI and Jupitermedia JUPM.

(Source: SeekingAlpha)

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