Crash of Magazine Sales Accelerates
Where do you Advertise?
“Crash of magazine sales speeds up, Time Inc. down 13% in just 3 months. A decade-long implosion of magazine sales, led by weekly news mags, appears to be speeding up, with major name brands like Time suffering double-digit declines in just the last three months, according to the group that has charted the death of print.” (Source)
“MagNet Data reports that newsstand and other retail sales fell 10.3 percent in the third quarter of 2015, from 128.8 million to 115.5 million. The cash lost: $69 million, or a one-year drop of nearly 10 percent. MagNet found that the weekly category, where most news magazines are, was hit the hardest. “Looking at title sales it is still apparent that the weekly category leads the decline factor,” said the analysis.”
The media blog site MediaPost sized the ongoing trend this way: “The downward trend in newsstand sales is continuing — and may even be gathering speed.”
Some examples of the decline in the third quarter:
- Time Inc. sales down 13.1 percent, revenue off $11.3 percent.
- Hearst sales down 21.9 percent, revenue off 20.3 percent.
- Wenner Media, publisher of Rolling Stone, down 15.9 percent, revenue off 15.1 percent.
- Conde Nast sales down 9.3 percent, revenue off 7.2 percent.
Many print magazines have already failed and been turned into websites. Those that have survived have been in a death spiral of spending and staff cuts. Jann Wenner, for example, slashed his payroll 10 percent, downsizing his firm that includes Rolling Stone, Us Weekly and Men’s Journal.
Why do you advertise?
Stupid question, right? I won’t insult your intelligence with an answer, the real questions you need to be thinking about are how well your advertising is working and is the ROI justified? The information above tells us that if we’re spending money advertising in magazines, the odds are that your reach an your ROI has been decreasing for years.
What should you be doing?
The funny thing about advertising is that even when your message connects, most people will still go online to get more information. As a result, beefing up your online presence is equally or even more important that your advertising. The good news is that doing so is much less expensive than almost any advertising and the effect lasts indefinitely. Without spending thousands on your website, the best thing you can do is to list your business in the Flathead Guide. The official Flathead Valley Business Directory.