BRIEFS.
NewsInc • May 9, 2005 • internet advertising revenue forecasts, Hollinger
International Inc. settles suit against directors for illegal payments,
Philadelphia Daily News starts podcasting
* Internet ad predictions revised upward: The on-line commerce
analysis firm eMarketer Inc. said last week that it expects that
on-line advertising revenue will rise almost 34 percent in 2005, to
about $13 billion. Earlier it had predicted that on-line ad revenue
growth would go up 21 percent. The organization's 2005 forecast
predicts that advertising on search engines will increase 40 percent,
year-over-year, to $5.4 billion. "The reported results from Yahoo
and Google showed that I was being a little too conservative about the
Web search advertising those companies have popularized," said
David Hallerman, a senior analyst with the New York City-based
eMarketer. In addition, it expects classifieds will represent 17
percent of 2005 on-line ad spending, coming in at about $2.2 billion.
* Hollinger directors settle suit: Without admitting any
wrongdoing, liability or admission of guilt, a group of current and
former directors of Hollinger International Inc., said last week that
they had agreed to a $50-million settlement with shareholders
represented by Cardinal Value Equity Partners LP. The Chicago-based
Hollinger, publisher of the Chicago Sun-Times, has been embroiled in
lawsuits and boardroom intrigue for almost 18 months, since an
independent committee of directors determined that Lord Conrad Black
and other executives had taken at least $32 million in payments not
authorized by the board. Current and former directors involved in the
settlement include former Secretary of State Henry Kissinger, former
Illinois Governor James Thompson, former Democratic National Committee
Chairman Robert Strauss and former Archer-Midland-Daniels Co. Chairman
and Chief Executive Dwayne Andreas. The settlement will be paid by
executive and organizational liability insurance.
* Philadelphia paper promotes podcasting: The Philadelphia Daily
News released on Friday its first "podcast" -- a radio show
transmitted on the Web. Called Phillyfeed.com, the weekly series of
programs will feature news, on-the-street interviews, original music,
sports talk and other original material. "This is stuff we could
never print in the paper," said Frank Burgos, editorial page
editor of the Daily News. Called podcasts because many listen to them
on Apple's popular portable digital music player, the iPod, it is
estimated that about 22 percent of adult Americans have some sort of
hand-held music device and that about one-third of those have actually
downloaded a podcast. Friday's show -- which was identified as
"nectar for your ears" -- was sponsored by a local computer
store that sells iPods.
* No. One reason people buy a new car: It's not a mechanical
problem that motivates them; it's not that there's a new
driver in the family; it's not because of low interest rates or
low price. No, the primary reason people buy new cars is because --
they just want a new car. That's the result of a propriety
consumer survey commissioned by Vertis Inc., the Baltimore, Md.-based
supplier of direct mail and pre-prints. "The large number of
adults looking to purchase a new car gives marketers an opportunity to
communicate with their consumers when it's timely and
relevant," said Janice Mayo, Vertis' senior vice president
for marketing. The "just want a new car" category was
selected by 36 percent of those surveys, far and away the largest pick.
Other excuses -- er, reasons -- included "need a vehicle for
work," 11 percent; "current auto has mechanical
problems," eight percent; both "current lease is
expiring" and "another driver in the family," four
percent; "can afford a better vehicle," three percent, and
"prices are lower now," two percent.
COPYRIGHT 2005 The Cole Group Reproduced with permission of the copyright holder. Further reproduction or distribution is prohibited without permission.
Copyright 2005, Gale Group. All rights
reserved. Gale Group is a Thomson Corporation Company.
NOTE: All illustrations and photos have been removed from this article.