Canadians Echo the Trend: News Advertising Study Reveals Brands Can and Should Advertise in Trusted News Environments
Rhea-AI Summary
Stagwell (NASDAQ: STGW) has released new research in partnership with The Globe and Mail revealing significant opportunities for brands in Canadian news advertising. The study, conducted among nearly 10,000 Canadian adults, shows that 22% of Canadians are 'news junkies' who check news five times daily and read 8.8 articles per day.
The research demonstrates that 71% of Canadians are regular news readers, consuming an average of 6.5 articles daily. Importantly, the study found no brand safety issues across key demographic groups, including Gen Z, moms, high earners, and university-educated adults. Purchase intent metrics showed comparable effectiveness of news advertising versus other content categories like sports and entertainment.
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News Market Reaction
On the day this news was published, STGW gained 1.73%, reflecting a mild positive market reaction. This price movement added approximately $22M to the company's valuation, bringing the market cap to $1.32B at that time. Trading volume was elevated at 2.7x the daily average, suggesting notable buying interest.
Data tracked by StockTitan Argus on the day of publication.
Stagwell (STGW) releases third regional wave of its News Advertising study fielded among nearly 10,000 Canadian adults
Stagwell partners with The Globe and Mail to unveil the research at event bringing together Canadian journalists and industry leaders for discussions around the importance of investing in news advertising
Key Findings Include:
22% of Canadians are 'news junkies,' checking the news an average of five times per day and reading an average of 8.8 news articles per day.- An even larger share,
71% , are news readers, reading an average of 6.5 news articles/stories per day. - Canadians are just as likely to follow news as they are sports (
22% vs.21% , respectively). - Canadians are more likely to follow news (
22% ) than they are entertainment (14% ). - No brand safety issues were detected among key demographic groups for advertisers, including Gen Z, moms, high earners and university-educated adults.
- Among Gen Z, the average purchase intent for brands whose ads were placed next to news articles on domestic political content was
61% , compared to59% for sports and61% for crime—differences that are statistically insignificant. - Among high earners, the average purchase intent for brands whose ads were placed next to news articles on global politics was
65% , compared to69% for business, and64% for entertainment—differences that are also statistically insignificant.
This latest study, conducted by Stagwell's research consultancy HarrisX, builds on Stagwell's Future of News initiative, prior
"As we expand our brand safety research to
"We're proud to partner with Stagwell to bring the Future of News initiative to
Stagwell and The Globe and Mail will explore these findings and more at the Future of News Canada Summit today.
About Stagwell
Stagwell is the challenger holding company built to transform marketing. We deliver scaled creative performance for the world's most ambitious brands, connecting culture-moving creativity with leading-edge technology to harmonize the art and science of marketing. Led by entrepreneurs, our specialists in 45+ countries are unified under a single purpose: to drive effectiveness and improve business results for our clients. Join us at www.stagwellglobal.com.
Methodology
The Future of News Canada Study was conducted among 9,675 adults across
Media Contact
Madison Wick
PR@stagwellglobal.com
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SOURCE Stagwell Inc.
