Local Media Industry Looks to Optimize Cross-Platform Ad Growth in 2026 Amid Subscription Plateau, LMC Survey Finds

Annual survey results underscore how publishers are rethinking sustainability amid structural shifts in discovery and monetization

NEW YORK, Feb. 11, 2026 /PRNewswire/ -- Cross-platform digital ad revenue growth is set to dominate local media strategies in 2026 as subscription growth flattens, according to the Local Media Consortium's (LMC) annual Local Media Industry Insights Survey. The survey asked industry professionals about the state of the local media landscape in 2025 and their outlook for the year ahead.

The findings reveal that 72% of publishers saw digital revenue up or flat in 2025, and 85% expect similar growth in 2026. At the same time, subscription challenges surged dramatically with a 383% year-over-year increase in those citing subscriptions as a top challenge – echoing a recent Medill survey showing only 15% of consumers are willing to pay for news.

"Subscription growth has plateaued, and AI-driven search is reshaping traffic patterns," said Fran Wills, CEO of the LMC. "Publishers are responding with new, innovative cross-platform ad strategies and audience engagement programs to drive revenue in 2026."

2025 Digital Revenue Trends

Nearly half (47%) of respondents reported overall digital revenue – comprised of advertising and consumer revenue – was up in 2025, while 24% said it was flat and 19% saw declines, particularly among independent media in major metros.

• Digital ad revenue: 37% reported an increase, 30% flat, 23% down. Growth was driven by cross-platform campaigns, branded content, and video offerings.
• Consumer ad revenue (subscriptions, donations): 30% up, 33% flat, 6% down.

Top successes cited for 2025 included video/OTT/CTV, email newsletters, digital advertising revenue, and website/app redesigns. In addition, 41% of survey respondents cited digital subscriptions as a top success and 80% fewer  respondents cited agency services as successful as the growth rate from third-party ad products like search and social began to plateau.

2025 Challenges

The biggest hurdles were advertising, digital subscriptions and traffic declines, with a 383% spike in survey respondents reporting subscriptions as a top challenge versus last year. Contributing factors included AI search summaries reducing traffic, advertiser brand-safety concerns, and small-business ad spend cuts. Other challenges included staffing and training, and tech resources.

To address these issues, the LMC is expanding initiatives like NewsPassID to provide marketers with the ability to advertise adjacent to brand-suitable content from credible local news outlets and growing its Digital-On-Demand Services (DODS) program to provide publishers with digital tech resources and training. The LMC also recently announced a partnership with the Reynolds Journalism Institute to connect newsrooms with more resources via the News Media Help Desk.

2026 Outlook: Priorities and Trends

Looking ahead, publishers are entering 2026 with a sharper focus on monetization discipline rather than experimentation. Nearly two-thirds (61.5%) of local media companies plan to increase digital revenue budgets, prioritizing advertising monetization, audience growth and engagement, and deeper use of audience data and insights.

As attention shifts toward ad growth, the LMC expects increased investment in cross-platform advertising, particularly in video and audio, reflecting demand for scalable, performance-oriented solutions. New advertising models (60%) and audience engagement (56%) have overtaken artificial intelligence as the top trends to watch in 2026.

That shift does not diminish AI's role. Instead, publishers increasingly view AI as an operational enabler supporting sales, workflow optimization, and product development, while maintaining a clear commitment to human-driven journalism and content creation.

Survey Methodology

The survey was conducted September 22 – October 17, 2025, among LMC members and non-members, including executives and professionals across local newspapers, broadcast, and online news outlets in North America and Puerto Rico. This annual survey helps the LMC better understand industry challenges, opportunities and needs to help prioritize initiatives.

About the Local Media Consortium

The Local Media Consortium delivers more than $60M in annual economic value through digital partnerships and strategic initiatives on behalf of more than 150 local media companies in top markets across the United States, Canada, and Puerto Rico, and includes more than 5,000 newspaper, radio, TV and online-only news outlets. By harnessing the combined volume and scale of its members, the LMC reduces costs and increases revenue with technology and service providers like Google, Meta, AdCellerant, and others. The aggregated LMC audience footprint spans 200 million unique monthly visitors, and its member companies serve more than nine billion pageviews to consumers. More information is available at localmediaconsortium.com.

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SOURCE Local Media Consortium