National Newspapers - UK - February 2017

1. Overview

   • What you need to know
   • Definition

2. Executive Summary

   • The market
   • Print circulation sees further decline while online growth continues
   • Controversy over fake news calls into question the role of social media
   • Section 40 causes concern as press regulation battle continues
   • Brexit vote boosts print circulation
   • Ad blockers further threaten advertising revenue
   • Key players
   • The Independent becomes first national newspaper to focus solely on digital
   • The Telegraph replaces metered paywall with new premium subscription service
   • The consumer
   • Only one in four regularly purchases a print newspaper
     • Figure 1: Print newspaper purchases, October 2016
   • A smartphone is the most popular device for reading news
     • Figure 2: Devices used to read national news, October 2016
   • The BBC dominates online news
     • Figure 3: National news websites/apps visited, October 2016
   • Many are reading directly on news reader app/websites
     • Figure 4: National newspaper behaviour, October 2016
   • Readers of quality newspapers more likely to feel current newspaper journalism is worth paying for
     • Figure 5: Attitudes towards online national newspapers, October 2016
   • What we think

3. Issues and Insights

   • Ad blockers and aggregators threaten advertising revenue
   • The facts
   • The implications
   • Fake news controversy opens door for newspapers to re-establish authority
   • The facts
   • The implications

4. The Market – What You Need to Know

   • Print circulation sees further decline while online growth continues
   • Controversy over fake news calls into question the role of social media
   • Section 40 causes concern as press regulation battle continues
   • Brexit vote boosts print circulation
   • Cover prices rise further
   • New news aggregators produce mixed results for publishers
   • Ad blockers further threaten advertising revenue

5. Market Size and Forecast

   • Print circulation sees further 5% decline
     • Figure 6: Trends in total UK annual print circulation, 2011-21
     • Figure 7: Trends in total UK annual print circulation, 2011-21
   • The number of online browsers continues to grow
     • Figure 8: Trends in selected national newspaper website visits*, 2012-16

6. Market Drivers

   • Further growth in mobile device ownership
     • Figure 9: Personal ownership of consumer technology products, September 2015 and 2016
   • Cover prices rise further
     • Figure 10: Basic UK cover prices for national newspapers, January 2016 and December 2016
   • Controversy over fake news calls into question the role of social media
   • Ad blockers further threaten advertising revenue
   • Section 40 causes press concerns as press regulation battle continues
   • Brexit vote boosts print circulation
   • New news aggregators produce mixed results for publishers

7. Key Players – What You Need to Know

   • The Times increases print circulation
   • The Mail Online is most popular national newspaper website
   • The Independent becomes first national newspaper to focus solely on digital
   • The Telegraph replaces metered paywall with new premium subscription service
   • The UK’s first ever pop-up newspaper launches after referendum
   • The Telegraph launches new video portal
   • The Mail explores ecommerce further

8. Launch Activity and Innovation

   • The Independent becomes the first national title to focus solely on digital
   • The Telegraph replaces metered paywall with new premium subscription service
   • The Telegraph launches new video portal
   • The Guardian focuses on branded content with ‘Hosted by’
   • The Mail explores ecommerce further
   • The FT launches new analytics tool for journalists
   • Advertising campaigns remind people of the importance of national newspapers
   • The UK’s first ever pop-up newspaper launches after referendum

9. Market Share

   • All newspaper segments see decline in circulation
     • Figure 11: Daily national newspapers’ average print circulation per issue, 2015 and 2016
   • Popular Sunday titles see worst declines
     • Figure 12: Sunday national newspapers’ average print circulation per issue, 2015 and 2016
   • The Mail Online is by far the most popular newspaper website
     • Figure 13: Average daily unique visits to national newspaper websites, 2015 and 2016
   • The Guardian and Mail Online lead the way on social media
     • Figure 14: Social media presence of select major UK newspapers, 2016 and 2017

10. Brand Research

    • Brand map
      • Figure 15: Attitudes towards and usage of selected brands, January 2017
    • Key brand metrics
      • Figure 16: Key metrics for selected brands, January 2017
    • Brand attitudes: quality newspapers’ reputations drive an increased willingness to pay
      • Figure 17: Attitudes, by brand, January 2017
    • Brand personality: The Guardian is viewed as the most ethical
      • Figure 18: Brand personality – Macro image, January 2017
    • Popular newspapers are considered low-brow
      • Figure 19: Brand personality – Micro image, January 2017
    • Brand analysis
    • The Guardian has high levels of trust
      • Figure 20: User profile of The Guardian, January 2017
    • The Financial Times has a strong identity
      • Figure 21: User profile of Financial Times, January 2017
    • The Times lags only behind the Guardian on trust
      • Figure 22: User profile of The Times, January 2017
    • The Daily Telegraph trails other qualities on differentiation
      • Figure 23: User profile of The Daily Telegraph, January 2017
    • The Daily Mail is considered relatable
      • Figure 24: User profile of Daily Mail, January 2017
    • The Daily Express struggles to stand out
      • Figure 25: User profile of Daily Express, January 2017
    • The Daily Mirror scores well on accessibility and value but doesn’t make as strong an impression as rivals
      • Figure 26: User profile of Daily Mirror, January 2017
    • The Sun divides opinion
      • Figure 27: User profile of The Sun, January 2017

11. The Consumer – What You Need to Know

    • Only one in four regularly purchases a print newspaper
    • A smartphone is the most popular device for reading news
    • The BBC dominates online news
    • Many have read news directly on an aggregator website/app
    • One in five has used an ad blocker
    • There is limited trust in online national news
    • Many find text news preferable to video
    • Younger people are more interested in VR news

12. Print Newspaper Purchases

    • Only one in four regularly purchases a print newspaper
      • Figure 28: Print newspapers purchases, October 2016
    • Major events encourage people to buy newspapers
      • Figure 29: Print newspaper purchases, by age, October 2016

13. Devices Used to Read National News

    • A smartphone is the most popular device for reading news
      • Figure 30: Devices used to read national news, October 2016
    • Readership via smartphone peaks among 25-34s
      • Figure 31: Devices used to read national news, by age, October 2016

14. National News Websites/Apps Visited

    • The BBC dominates online news
    • The Guardian is the most popular online national newspaper
      • Figure 32: National news websites/apps visited, October 2016
    • Two out of five only use one source
      • Figure 33: Repertoire of national news websites/apps visited, October 2016

15. National Newspaper Behaviour

    • Many are reading directly on news reader app/websites
    • The Sun launches new edition on Snapchat
      • Figure 34: National newspaper behaviour, October 2016
    • Social media plays an important role for younger people
      • Figure 35: Social media behaviour, by age, October 2016
    • One in five has used an ad blocker on an online newspaper

16. Attitudes towards Online National Newspapers

    • Newspapers need to strike the right balance with video content
      • Figure 36: Attitudes towards online national newspapers, October 2016
    • Only some feel current national newspaper journalism is worth paying for
    • There is limited trust in online news websites/apps
    • Younger people are more likely to prefer editorial judgement to algorithms
      • Figure 37: Agree with statement ‘Having the stories ‘selected’ for me by editors/journalists is better than by an automatic system based on previous reads, what friends are viewing etc’, by age, October 2016
    • Younger people are more interested in VR news
      • Figure 38: Agree with statement ‘watching stories using virtual reality technology appeals to me’, by age, October 2016

17. Appendix – Data Sources, Abbreviations and Supporting Information

    • Abbreviations
    • Consumer research methodology

18. Appendix – Market Size and Forecast

    • Forecast
      • Figure 39: Trends in total UK newspaper circulation, 2016-21
    • Forecast Methodology

To learn more about the companies covered in this report please contact us.