News Corporation's Times newspaper group said it would begin increasing the rate it charges advertisers by 8 per cent next month, it was reported this morning.
This is despite protests from some media buyers that a minor uplift in the titles' circulation and the launch of a compact edition did not warrant the change, the Financial Timesreported, citing commercial director Mr Mike Gordon.
The rate card increase, which will affect the Timesand the Sunday Times, represents the newspaper company's first increase in black-and-white advertising rates in three years and the first rise in colour advertising rates in 18 months.
Mr Gordon said the increase reflected a 50 per cent rise in demand for colour advertising and the emergence of the compact edition as the newspaper group's lead product, which led the company to re-evaluate its advertising rates.
But rival newspaper groups were quick to ridicule the move, which one executive said reflected the extent to which the Timesis suffering financially because of the costs associated with publishing two titles - the broadsheet and compact - indefinitely, according to the newspaper.