The Impact of Newsroom Investment on Newspaper Revenues and Profits: Small and Medium Newspapers, 1998–2002

Abstract

This study used Inland Press Association data from 1998 to 2002 for newspapers with less than 85,000 circulation and found a positive relationship between newsroom investment and circulation revenue per copy, advertising revenue per copy, total revenue per copy, and gross profit per copy. The strongest relationships were between newsroom investment and total revenue per copy and advertising revenue per copy. For both variables and for all five years, newsroom investment accounted for at least 20% of the variance in these financial performance variables.

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