Advertising on newspaper Web sites rose nearly 35 percent in the first quarter of 2006 from a year ago, while print ad revenue rose 0.3 percent, data from the Newspaper Association of America showed on Friday.
Combined print and online advertising revenue rose 1.8 percent to $11.1 billion in the first quarter, with spending for print ads accounting for $10.5 billion, the association said.
"Newspaper publishers are winning on the Web," said John Sturm, the association’s president and CEO. "Meanwhile, newspaper print advertising continues to hold its own in the face of overall ad softness."
The data is the latest sign of the pressures facing the U.S. newspaper industry, which is grappling with falling circulation and higher newsprint costs.
It also reflects a change in readership habits as people seeking continuous news updates and a variety of sources turn to the Internet.
Newspapers are trying to grow ad revenue at their Web sites, which now represent only about 5 percent of their total advertising revenue.
At the same time, they are trying to get younger people to start reading newspapers despite their preference for the Internet, mobile phones and other digital devices.
In the print editions, classified advertising grew 4.7 percent to $3.8 billion, while retail ad spending fell 1 percent to $4.8 billion. National advertising fell 4.8 percent to $1.7 billion. In classified ads, real estate spending rose 26.3 percent to $1.1 billion, while recruitment revenue was up 2.4 percent to $1.1 billion.
Automotive ad spending dropped 14.5 percent to $940 million.
