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The power of news advertising: A win-win for marketers and democracy

The U.S. capitol building seen with a web browser window in front of it. The building is blurry outside the window and clear inside.

Illustration by Robyn Phelps / Shutterstock / The Current

In an age of media fragmentation and growing societal tension, the importance of quality journalism has never been greater. Yet paradoxically, many marketers are shying away from advertising in news media, a trend that not only undermines their own business interests but also threatens the very fabric of our information ecosystem. It’s time for a paradigm shift in how we view news advertising — not as a risky proposition, but as a powerful opportunity with far-reaching benefits.

First and foremost, let’s consider the audience. News consumers represent a highly desirable demographic for advertisers. They tend to be more educated, engaged and affluent than the average media consumer. This translates to significant purchasing power and influence. By advertising in news media, marketers gain access to a premium audience that is primed to make informed decisions about products and services and in possession of the resources required to take immediate action on those decisions. Here are just a few insights about news audience behaviors as revealed by Stagwell’s recent Future of News research, which surveyed 49,990 U.S. adults across key demographics — including age, gender, region, race/ethnicity, education and income — to align with the U.S. census:

  1. 75% of Americans follow the news closely.
  2. 25% of Americans describe themselves as “news junkies.” News junkies check the news six times a day and read an average of seven articles.
  3. 11% of Americans say that they only read or watch the news

But the advantages of news advertising extend far beyond demographics. Recent studies have consistently shown that news environments offer superior ROAS compared to virtually all other content verticals, including sports and lifestyle. This is partly due to the high level of trust and engagement that quality journalism engenders with its core users. When consumers encounter ads alongside credible news content, they are more likely to view those ads favorably and act on them.

News audiences provide a unique opportunity for unduplicated reach. In an era when many consumers are retreating into echo chambers and walled gardens, news media continue to attract diverse readership across political and social spectrums. This allows advertisers to connect with valuable segments of the population that might be difficult to reach through other channels and deliver that all-too-important growth that shareholders demand.

But the case for investing in news advertising goes beyond mere business metrics. As marketers, we have a civic responsibility to support the institutions that uphold our democratic society. Quality journalism serves as a crucial watchdog, holding power to account and providing citizens with the information they need to make informed decisions. By directing our advertising dollars toward reputable news outlets, we play a vital role in sustaining this essential pillar of democracy that nurtures business via a generally robust economy and a “level playing field” that creates commercial opportunities.

The current trend of advertisers fleeing from news content is deeply concerning. Many are citing brand-safety concerns, but this fear is almost entirely misplaced. Recent research by Stagwell has definitively debunked the notion that advertising alongside highly controversial news content poses a risk to brand or corporate reputation. In fact, the opposite is true — brands that support quality journalism are often viewed more favorably by consumers who value transparency and social responsibility.

We must also consider the broader implications of abandoning news advertising. As advertising revenue dries up, many news outlets are forced to erect paywalls, reduce newsroom staff or shut down entirely. This creates a dangerous information divide, where only those who can afford to pay have access to quality journalism. The result is a less-informed populace that is forced to turn to accessible sources, which may not be as reliable as those disappearing from their view behind a paywall.

Instead of retreating from news advertising, marketers should be doubling down on their investments in this critical sector. This means revising outdated brand-safety protocols that rely on crude keyword blocking, instead embracing more nuanced, context-based approaches. It means recognizing the value of news environments not just for their audience demographics, but for the trust and engagement they foster. The good news is that returning news advertising to their media diet can inevitably help increase the return on their advertising investments — to the delight of their CFOs.

Furthermore, we need to challenge the implicit yet inexplicable notion that walled gardens like YouTube and TikTok are inherently safer or more effective advertising environments than news sites. While these platforms certainly have their place in a comprehensive marketing strategy, they should not come into the plan at the expense of supporting quality journalism, particularly in the painfully ironic context of brand safety.

The stakes could not be higher. In the past six years alone, 1 in 4 news publishers have folded, with many more teetering on the brink. If this trend continues, we risk losing the diverse, independent voices that are essential to a healthy democracy. The consequences of such a loss would extend far beyond the marketing world, potentially undermining the very foundations of our society.

As marketers, we have the power to change this trajectory. By recognizing the true value of news advertising — both in terms of business outcomes and societal impact — we can help ensure a vibrant, sustainable future for quality journalism. This is not just about corporate social responsibility; it’s about making smart, strategic decisions that benefit our brands, our consumers and our democracy.

The time for action is now. CEOs and marketing leaders must take a hard look at their companies’ policies on advertising in news media. Are you inadvertently contributing to the decline of quality journalism? Or are you seizing the opportunity to reach valuable audiences, drive superior ROAS and support a crucial pillar of our democratic society in the bargain? The choice is clear. Investing in news advertising is not just good business — it’s a vital step toward preserving the open, informed society that we all depend on. Take steps today to return to advertising in news, for the benefit of our brands, our communities and our shared future.​​​​​​​​​​​​​​​​


This op-ed represents the views and opinions of the author and not of The Current, a division of The Trade Desk, or The Trade Desk. The appearance of the op-ed on The Current does not constitute an endorsement by The Current or The Trade Desk.