Nationally placed advertising has been a mainstay of newspaper advertising sales for a long time. Now Federated Department Stores is shifting much of its spending to TV and direct mail. Perhaps newspapers will survive by cultivating a local market. Not much margin there, unfortunately.
"I think what we're seeing is some progress in some areas where newspapers are making inroads, slight though they might be," said John Kimball. "In specialty retailing, for instance, it would appear that there's a marketplace there that's being untapped. Newspapers individually are also working very hard with advertisers in their own marketplaces that may not have traditionally been seen as such."