Not a publisher in the world? Oh really?

When I was at a division of the American Lawyer Media empire, the boys in New York decided that all the papers in the chain should be the same size. And alleged that this would save on Newsprint cost. (We in the art department scoffed at the idea, as we reasoned that that ALM didn't buy newsprint company wide.) And so we redesigned the paper to match the new company layout.

Do you think they started charging less for the ads?

No.

It's wasn't a per inch proposition. It's a percentage per page proposition.

At least with ALM. Much in the same way that a magazine works. This is of course the solution to shrinking the page. First you charge for 1/4 and 1/8 and 1/16 or full page ads then you shrink the page.

And if your circ and pass along numbers go up -- as the paper is more accessible as per Mario's suggestion. Then you can even RAISE your rates.

Jacobson isn't thinking here.

Jacobson may indeed have his math wrong, but the point about advertising is still valid -- and still not addressed by Mario.

He continues to point to Europe as our tab or "compact" model while failing to recognize the very different business models.

Someone needs to do some research and maybe poll a lot of mainstream newspaper advertisers in the United States as to how they feel about advertising in a tab or broadsheet format.

Till that happens, the "Tab Craze" is just an amusing conversational topic.

Jacobson is partially right. Advertisers are charged by the size of each ad. In an economic vacuum, where you isolate other key variables, this means newspapers should print billboard-sized pages to capitalize on the increase in revenue from an increase in the ad size.

However, the economic reality of newspapers isn't a vacuum. And Jacobson's scenario ignores the most important variables in any newspaper model: readers. Even in the ad-driven model of American newspapers, without readers there are no ads. This is de facto.

We know and can chart that ad growth is directly related and proportional to reader growth. Ad size is only important within a format. A larger ad within a given market constraint (i.e. page size) is appreciated by advertisers. But, a full-page double truck in a broadsheet is a full-page double truck in a tabloid. The size of the ad is directly related to the size of the rest of the pages in the paper.

Jacobson is drawing an analogy that says a full-page ad in a tabloid is in fact not a full-page ad. It's somehow 22 percent smaller. This simply isn't true.

And even if it were, when the other economic variables enter the equation, the demand for ads should actually increase.

If we use the variable we know has a significant impact on ad growth (i.e. readership) and a compact format drives readership up, then the newspaper would actually see an increase in demand from advertisers. The ad prive level would rise. Not to mention, all this occuring while the newspaper saves on newsprint.

And that's a beautiful rose.

Here's a classic example of a journalist (or editor) who is too afraid of math to ask the tough question.

Moving from a broadsheet to a tab makes a full-page ad 50% smaller, not 22%. So, clearly, Jacobson is not saying there is a 1-to-1 ratio between physical ad size and ad revenue.

The important question, then, is where Jacobson derives that 22% figure. My guess is that the 22% figure reflects a difference in ad revenue between European papers and U.S. papers, but I'm only speculating.

I believe the 78% figure comes from the International Newspaper Marketing Association. It's out of a March 2005 NYT story.

I can't imagine U.S. advertisers paying the same amount of money for a full-page ad that is actually half the size. Duh! And will national advertisers want to reformat ads for the smaller pages.

I think Jacobsen is right. Believing that going tab will save us is nuts and doesn't begin to address the very real problems we face.

If you do not know the first newspapers they were a size tabloide and they did it for two important reasons:
To catch to ' the readers in a hurry' especially in big cities as Los Angeles, Chicago, New York, with large volume massive transportations as buses and trains and with topics of massive interest like sports, police news and entertainment. And do the advertisers adapt rapidly to the positive change of them, the most important thing is to produce newspapers that facilitate the reader, one day you to seen reading New York Times in a bus? it is almost impossible.

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