#United States #New York #digital advertising #Local Media Consortium #Subscription Growth

Local Media Industry Adaptation in 2026

As the local media landscape evolves, vital changes are on the horizon for 2026, according to an insightful survey conducted by the Local Media Consortium (LMC). With subscriptions hitting a plateau, media houses are pivoting towards cross-platform digital advertising to rejuvenate their revenue streams.

The LMC's annual Local Media Industry Insights Survey sheds light on the challenges and opportunities that lie ahead for local publishers. As the digital landscape continues to shift, understanding these dynamics is crucial for sustained success. The survey indicated that 72% of publishers experienced either flat or increased digital revenues in 2025, and an impressive 85% expect to see similar growth the following year.

Subscription Challenges and Revenue Trends

However, the survey also painted a troubling picture regarding subscriptions. A staggering 383% surge in respondents identifying subscriptions as a major challenge indicates that many consumers are hesitant to pay for news, mirroring findings from a recent Medill survey revealing only 15% of individuals willing to finance access to news coverage.

Fran Wills, CEO of LMC, acknowledged this challenge, stating, "Subscription growth has plateaued, and AI-driven search is reshaping traffic patterns." As a response, many publishers are now developing innovative cross-platform advertising strategies, seeking to drive revenue in the upcoming year through engagement programs and targeted ad campaigns.

Digital Revenue Snapshot of 2025

The report revealed that nearly half of the respondents (47%) noted an increase in overall digital revenue, which encompasses both advertising and consumer contributions. Digital ad revenue showed a promising rise, with 37% reporting gains, thanks largely to cross-platform campaigns, branded content, and enhanced video offerings. Consumer ad revenue experienced mixed results with 30% reporting an increase and 33% remaining stagnant.

Success factors for the year included various digital initiatives such as video on-demand services, email newsletters, and innovative website/app redesigns. Notably, 41% cited digital subscriptions as a significant success, while reliance on agency services has significantly declined.

Major Challenges Ahead

Despite positive trends, local media outlets faced several hurdles in 2025. The surge in challenges surrounding advertising and digital subscriptions has been alarming, particularly due to reduced traffic caused by AI-generated search summaries, difficulties regarding brand safety in advertising, and shrinking ad expenditures from small businesses.

Furthermore, the reported challenges around staffing and technical resources signify that the industry has much work ahead to adapt to these shifting circumstances. In response, the LMC is enhancing initiatives like NewsPassID, which aids marketers in ensuring that ads run beside credible local news, and expanding its Digital-On-Demand Services (DODS) program to improve the technological capabilities of publishers.

Looking Forward: 2026 and Beyond

As the LMC looks to 2026, the focus will shift towards monetization methods rather than extensive experimentation. Nearly 61.5% of local media organizations intend to bolster their digital revenue budgets, emphasizing advertising monetization, audience growth, and better utilization of audience data.

As the attention intensifies on advertising growth, the organization anticipates an increased push for cross-platform advertising specifically in audio and video formats, responding to demands for scalable and performance-driven solutions. New advertising model innovations and audience engagement tactics are expected to take precedence over artificial intelligence in the coming year.

While AI remains a crucial factor in streamlining operations and sales, the fundamental aspect of human-driven journalism will continue to be prioritized. The insights gathered from these surveys are crucial as local media navigate the challenges of a rapidly changing environment in their endeavors for sustainability and success.

Survey Methodology

Conducted between September 22 and October 17, 2025, this survey reached LMC members and non-members from various media sectors, including newspapers, broadcasting, and online news across North America and Puerto Rico. The annual analysis serves as a compass for industry prospects, needs, and evolving challenges.

About the Local Media Consortium

The Local Media Consortium, harnessing the collective strength of over 150 media companies, delivers substantial economic value through digital partnerships across major markets in the United States, Canada, and Puerto Rico. By collaborating on technology offerings with companies like Google and Meta, the LMC maximizes its member engagement, reaching 200 million unique monthly visitors and generating over nine billion page views, solidifying its authoritative presence in the media landscape.