230 likes | 315 Vues
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.
E N D
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
Rate Base: Root of bad behavior -- Jon Fine
Rate Base: Hard Truth #2 Volume Acquisition Cost
Rate Base: Hard Truth #2 Volume Acquisition Cost
Rate Base: Hard Truth #2 Volume Acquisition Cost
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
#1: ABC Changes Slow The pace and scope of ABC rules changes will slow tremendously. (Or else.)
#3: More Rate Base Cuts Joining21% of ABC titles since 2000 Source: Capell’s Circulation Report
#4: New Launches? Just as many as ever – but faster decision cycles.
#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”
#6: Audience Metric Gains Growing acceptance of audience over ratebase for measurement and guarantees.
#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
#10: Internet Backlash The internet will experience an advertiser backlash that could benefit magazines.
$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.
Bonus Prediction Print will be relevant for a long time. We’re betting on it.