FOCUS 4

4.1. Read the article. Scan the text below and say what its essence is. Explain the author’s point of view.

Where Free’s a Crowd

London’s evening newspaper faces a challenge from new freebies. Will anyone pay for news anymore?

In its 180-year history London’s Evening Standard has been hit by strikes, walkouts and even a World War II bomb. But the mischievous, opinionated tabloid has also fought off numerous foes to become the capital’s only afternoon read.

Still, the challengers keep coming. Already suffering from steep drops in circulation (currently 301,000), the Standard now has to face two new free papers that could challenge its evening dominance. One, London Lite, is published by the Standard’s own parent company, Associated Newspapers. Launched with 400,000 copies daily, it aims for young professionals seeking to ease commuter boredom, but not willing to shell out the U.S. 95¢ for the Standard. Handed out at transport hot spots around the city, the skinny read blends top headline coverage with entertainment news and reviews, gossip and sport.

Concerns about cannibalizing the Standard aside, it’s easy to understand Associated’s gambit. While the circulation of national morning newspapers has dipped 2,3 % since February, distribution of Metro, Associated’s morning London give-away, has risen almost 10% to 549,000 copies a day. “We’re keen to attract the urbanite audience on their way home,” says Steve Auckland, head of Associated Newspapers’ Free Newspaper Division.

So, too is Rupert Murdoch. His News Corp. already publishes the storied Times and tabloid Sun newspapers, but this week, it will also distribute thelondonpaper, with an opening print run and lighthearted content similar to London Lite’s. Their difference? “We’re building a genuine brand, a genuine newspaper,” says an agitated News Corp. executive who asked not to be identified. He accuses London Lite of being a spoiler, designed only to ensure that thelondonpaper doesn’t walk off with the market. “If we pulled our launch, you wouldn’t see London Lite on Monday,” he says. Auckland asserts that London Lite has been three years in the making.

Regardless, both papers now have the tricky task of luring advertisers. Deprived of an income from newsstand sales, both free sheets are at the mercy of an advertising market that’s “not in great shape”, says Alex DeGroote, media analyst at London stockbrokers Panmure Gordon. British papers’ share of overall British ad spending is expected to drop to 34% this year, down from 40% 10 years ago.

But there are bright spots: free from the heavy reliance on classified ads that the Internet is poaching from regional titles, Associated’s morning Metro boasts advertising growth just shy of 10%. “We’re bucking the trend,” Auckland says. With the same aim, thelondonpaper is striving to accommodate advertisers. Expect circular ads smack in the middle of an editorial page, says Steve Goodman, managing director of print trading at London media buying firm Group M. Goodman does worry that the evening crowd is getting thick and that London Lite could damage its corporate brethren. Two evening giveaways means the Standard is “obviously going to be losing some circulation,” he says. But that’s not guaranteed bad news. The Standard “gives you far more lengthy and in-depth comment than you will get from most free newspapers,” says Auckland. “And it caters to a slightly older audience because of that.” The migration of younger readers toward free sheets could help concentrate on the Standard’s mature readership, Goodman agrees, and two distinctly divided readerships could be an attractive proposition for advertisers.

Regardless of its ripple effects, free newspapers are definitely here to stay. Take City A.M. Targeted within London’s financial districts, the free morning business daily’s circulation has risen more than 20% over the past six months to 88,000. Celebrating its first birthday this week, the title is about to turn a profit. “We’re in a niche market,” says David Parsley, the paper’s editor. “We’re not claiming we’re going to destroy anybody.” Perhaps, but the hefty Financial Times can hardly be pleased.

As the Standard heads for higher ground, competition among the evening free sheets could get tough. In the coming months, London’s transit companies are expected to award exclusive rights to distribute within the city’s subway network and train stations. Both papers’ executives are “hard nosed”, says Panmure Gordon’s DeGroote. “These guys are about as good as it gets.” And if their new entrants match the Standard for longevity, London’s newest newspaper war could be a story worth paying for.

Source: The Time, 2006, September 11

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