Yahoo and 12 U.S. newspaper companies have reached an agreement that expands their partnership by combining newspapers local news and advertising reach with Yahoo’s resources and audience.
The McClatchy Company is the latest newspaper publisher to sign on with the consortium. The group now includes 264 papers in 44 states, along with numerous distribution channels that benefit advertisers, readers and companies that participate.
“This ground-breaking partnership creates the newspaper industry’s first full-fledged integrated online advertising network and significantly expands consortium members’ Internet presence,” said Robert W. Decherd, chairman and chief executive officer of Belo Corp.
“The consortium continues to gain momentum and will play a central role in the emerging media landscape.”
The partnership is focused on 4 areas. Increasing newspaper online advertising revenue using Yahoo’s graphical advertising technology, using local and national online sales forces, integrating Yahoo’s paid search across newspaper sites and distributing quality newspaper content on the Yahoo network.
In a call, Sue Decker, Yahoo’s head of Advertiser and Publisher Group, and acting chief financial officer, said that the partnership with the 12 newspapers was complimentary. She pointed out that Yahoo has a large audience of users and reach. As an example she cites Yahoo mail with a quarter billion users.
The newspapers in the consortium have a combined Sunday circulation of 18.5 million, while their Web sites have a total of 50 million monthly unique visitors.
“This milestone deal represents far more than an advantageous, win-win business deal for Yahoo! and participating newspapers — although it certainly is that,” said Gary Pruitt, chairman, president and chief executive officer of McClatchy.”
“The consortium also demonstrates that our members recognize this plan delivers significant benefits to our advertisers and readers, starting almost at once. We expect other newspaper companies will be joining in the near future, and they will be welcomed as allies whose participation will increase the benefits we can deliver,” Pruitt said.
