1 / 23

A winning formula.

A winning formula. And our favorite critic says…. “I predict non-paid, opt-in models will become the norm. “I would rather have consumers say they want the magazine and have it delivered to their homes than wastefully dump titles in waiting rooms and the like.

stuart
Download Presentation

A winning formula.

An Image/Link below is provided (as is) to download presentation Download Policy: Content on the Website is provided to you AS IS for your information and personal use and may not be sold / licensed / shared on other websites without getting consent from its author. Content is provided to you AS IS for your information and personal use only. Download presentation by click this link. While downloading, if for some reason you are not able to download a presentation, the publisher may have deleted the file from their server. During download, if you can't get a presentation, the file might be deleted by the publisher.

E N D

Presentation Transcript

  1. A winning formula.

  2. And our favorite critic says… “I predict non-paid, opt-in models will become the norm. “I would rather have consumers say they want the magazine and have it delivered to their homes than wastefully dump titles in waiting rooms and the like. “I guarantee we would see a lift in engagement scores in magazines readers when, to get his or her favorite title for free, all a potential magazine reader must do is ask for it. “Let’s face it: How many titles really make money on circulation anymore?” Robin Steinberg, SVP, MediaVest Advertising Age, March 9, 2007

  3. Rate Base: Root of bad behavior -- Jon Fine

  4. Rate base: Hard Truth #1

  5. Rate Base: Hard Truth #2 Volume Acquisition Cost

  6. Rate Base: Hard Truth #2 Volume Acquisition Cost

  7. Rate Base: Hard Truth #2 Volume Acquisition Cost

  8. Ratebase +50M/5% profit $500M Sometimes “dumb” is smart. Annual ad revenue/subscriber: $35 Annual P&D cost/subscriber:$12 Profit before circ costs $23 Magazine profit/add’l subscriber: $10 Circulation cost for add’l subs: $13

  9. #1: ABC Changes Slow The pace and scope of ABC rules changes will slow tremendously. (Or else.)

  10. #2: More Brand-Name Closings

  11. #3: More Rate Base Cuts Joining21% of ABC titles since 2000 Source: Capell’s Circulation Report

  12. #4: New Launches? Just as many as ever – but faster decision cycles.

  13. #5: Non-Paid Circulation Gains Growing acceptance of the value of non-paid circulation: verified/qualified/controlled. ABC Paragraph 6, 6A, 6B “Verified Public Place”

  14. #6: Audience Metric Gains Growing acceptance of audience over ratebase for measurement and guarantees.

  15. #7: Subscription Prices? Down.

  16. #8: Digital? Little Change.

  17. #9: Internet’s Growing Role… Breakthrough year for magazines on the internet in content quality, audience. Visit MagazineX.com Weekly Magazine X: Internet Access Search Topic X Weekly

  18. #9: …Supported By Big Bets.

  19. #10: Internet Backlash The internet will experience an advertiser backlash that could benefit magazines.

  20. #11: Growing Scrutiny For TV

  21. $75,000+ HHI +90% 171.4 million 184.1 million #12: Magazine Readers Will Grow. MRI analysis shows that magazine readership has grown by 7% over past 10 years.

  22. Bonus Prediction Print will be relevant for a long time. We’re betting on it.

  23. Thank you.

More Related