Magazine Media In The Digital Age
- 1. Magazine Media inthe Digital Age Chris Kevorkian Chief Marketing and Digital Officer MPA September 12, 2012
- 2. Magazines: The universalmedium
- 3. Younger = moreinvolvement
- 5. Top magazine adcategories Jan-June 2012 % 2012 TOP Magazine Ad Categories 2012 DOLLARS dollars $1,514,248,313 16.3 TOILETRIES & COSMETICS -4% in DRUGS & REMEDIES $981,569,423 10.6 dollars 8.6 -9% in APPAREL & ACCESSORIES $799,882,612 pages FOOD & FOOD PRODUCTS $772,151,454 8.3 MEDIA & ADVERTISING $762,777,371 8.2 RETAIL $650,431,982 7.0 DIRECT RESPONSE COMPANIES $541,499,900 5.8 FINANCIAL, INSURANCE & REAL 5.4 ESTATE $502,325,715 AUTOMOTIVE $449,983,227 4.8 HOME FURNISHINGS & SUPPLIES $446,314,109 4.8 ASME Internship Program PUBLIC TRANSPORTATION, Source: Publishers Information Bureau 5 4.3 Source: PIB HOTELS & RESORTS $404,462,607
- 6. Magazine circulation Jan-June 2012 • Total circulation, including digital iPad, was flat in first half 2012. • Paid subscriptions were up 1% to 260 million copies. • Single copy sales account for 10% of total distribution. • Single copy sales were down 9.6%. • General interest titles were up 27.7%. • All retail magazine sales channels were down first half. • Supermarkets, by far the top channel for magazine retail sales, were at 34% (down from 34.4% in 2011). • Unit sales of most supermarket item categories were down for the 12 months ending June 2012. Source: Audit Bureau of Circulations (ABC) 2011 6
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- 8. Digital Age ASME InternshipProgram 8
- 9. Multi-channel programs meaninfinite consumer touch points Food & Wine + Toyota Prius The Economist+ Bon Appétit + BMW “Star Chef’s Kids Cook” “Ideas on the Table” 9
- 10. Magazines power content marketing evolution Branded content spending at all-time high: $1.9 million+ per company ASME Internship Program 10
- 11. Magazines have “sendingpower” The drive to digital TV Brand Awareness Powerful brand and message awareness builder ONLINE Message Boosts brand awareness, message and sponsorship association Favorability MAGAZINE Most effective at influencing Purchase purchase intention and Intent brand favorability 11
- 12. Digital enablers powermagazine engagement ASME Internship Program 12
- 13. Smartphones: The bridgebetween platforms, programs and persuasion Ad Related Cell Phone Activities in Last 30 Days by Medium (Heavy Users Indexed to General Population). 200 150 Magazines Television 100 Internet 50 0 Visited Used Texting Redeemed Watched a Downloaded Advertiser to Mobile Video Clip an App Website Respond to Ad Coupon ASME Internship Program 13 Source: GfK MRI, Fall 2011
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- 15. Tablets hit home:increasingly popular in U.S. households
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- 17. The digital newsstandopportunity Digital newsstand across different devices and platforms Kindle Fire • Kindle Store iPad • • • Nook iOS5 Newsstand Android • Zinio Nook Color/ • iTunes • Zinio Tablet • Nook Newsstand • Next Issue Media • Nook Newsstand
- 18. Magazine media tabletstudy Nov 2011 The tablet study was conducted to provide an understanding of magazine readership, engagement and actions taken as a result of tablet usage. The study was conducted among adult magazine readers using tablets to access magazine content.
- 19. Magazine media tabletstudy Key findings Magazine readers are embracing electronic access to magazine content on their mobile devices: • 73% spend one hour or more reading electronic magazines on mobile devices. • 59% say that the amount of time they spend reading electronic issues of magazines increased since they first acquired their mobile device. • 66% expect to increase this type of reading in the next year. • Nearly 50% say their total magazine readership (both printed and electronic) has grown compared to a year ago. Source: Affinity/MPA 2011
- 20. Magazine media tabletstudy Key findings Readers of electronic magazines are engaged readers: • 63% visited the magazine’s website as a result of downloading an electronic magazine version or select content. • 74% have downloaded up to five magazine apps (median is 3.7). • 55% read both current and some back issues of electronic magazines. • 86% access an issue at least twice with the median at nearly three. • 73% read or tap on ads in electronic magazines – and those more engaged with mobile devices are more likely to see the value of the these ads. Source: Affinity/MPA 2011
- 21. Magazines + e-commerce= consumers BUY NOW 70% want the ability to purchase products and services directly from electronic magazines. Source: Affinity/MPA Program ASME Internship 2011 21
- 23. The promise … Thetablet offers an unprecedented opportunity to deliver extraordinary content in creative new ways: Interactive, immersive reader experience • • • Immediate and dynamic content • • • Broader, more affluent, educated and premium audience • • •
- 24. How we gothere October 12, 2011 iOS 5 newsstand launch. Leads to authentication/ subscriptions/push notification/automatic downloads. April 3, 2010 2012 Apple launches iPad. Opportunity for Steve Jobs includes tablet measurement Wired and TIME becomes viable. in his demo.
- 25. MPA Tablet MetricsTask Force MPA led a team – a broad coalition of members in sales, marketing, consumer marketing, consumer research and insights – to take on the challenge.
- 26. Input solicited fromleading agencies “It’s been two years, you must “Metrics will help encourage have something on clients to invest in tablet subscriptions and readership.” creative.” “Numbers will help us convince clients they “Getting publishers to should be in this space.” agree to the same thing? Good luck with “Everyone has a different term for that.” the same thing. It’s confusing.” “How soon and how often can we get numbers?” “Will everyone give us the exact same information?”
- 27. Focus on threekey elements > Metrics > Time Frames > Tablet Terms
- 30. Tablets The range of tablet/wireless touchscreen devices including iPad, Kindle Fire, and all larger than smartphone devices.
- 31. Tablet Issue The genericterm for a tablet edition of a publication.
- 32. Tablet Reader An individual who has opened a magazine issue on their tablet at least once. Device level readership.
- 33. App Downloads The installed containers (or shells) on tablet devices where issues are downloaded
- 34. Tablet Issue Subscription Paid subscriptionto the tablet issues of the publication
- 35. Tablet Issue Subscription Paid subscriptionto the tablet issues of the publication
- 36. Paid Single Issues Tablet issue access via the purchase of a single issue from a digital newsstand
- 37. Authenticated Access Digital issue access provided to print edition subscribers
- 38. SFP (Straight FromPrint) Editorial or advertising content where the page on the screen looks exactly like the print page. With no interactive enhancements except for the activation links
- 39. SFP+ Editorial or advertising content where the page on the screen looks exactly like the print page — with some interactive enhancements (beyond activation of links)
- 40. DFT (Designed For Tablet) Editorial or advertising content where the page on the screen has been re-designed specifically for reading on the tablet and is meant to be displayed at 100% (that is, there is no need to tap and zoom) Editorial- O Magazine
- 41. EFT (Enhanced For Tablet) Adding enhancements and bonus content to designed for tablet (DFT) editorial or advertising content to more fully utilize the tablet medium (e.g.,hotspots, photographic slideshows, video, audio, in-app Editorial- GQ browser)
- 42. SITI (Special Interest Tablet Issues) contain the native or uniquely curated content that is not part of the regular frequency Ad- Cook Fresh
- 43. So what’s next? Adoptionand use of metrics, timelines and terminology: • It’s early days; only a handful of the companies that created the guidelines can currently provide metrics. • Key publishers have joined the MPA Tablet Metrics Task Force: Active Interest Media, American Express, The Economist, National Geographic, New York Magazine, Rodale. • Development of corresponding measures for advertising and engagement.
- 44. Tablet metrics: Continuingthe conversation Voluntary Tablet metric guidelines received a positive reception by the media community – and we continue to move ahead to: • Share the information with agency and client communities to socialize within their organizations. • Facilitate development of innovative and forward-thinking editorial and advertising tablet creative. • Partner with magazine media to ensure that metrics are shared as they become available • Extend adoption globally.
- 45. Magazine media socialmedia study MPA released a benchmark study on social media and the magazine reading experience in 2012, conducted by GfK MRI. The study revealed that social media usage among adults 18-34 enhances the magazine reading experience.
- 46. Magazine media socialmedia study Key findings • Magazine readers are highly connected social media users…with a very high propensity “to share” content. • The benefits accruing from readers’ desire to “connect and to share” will be significant for both editors and advertisers. • Content that has real value to consumers is the key to social interaction with brands.
- 47. Magazine media smartphonestudy A benchmark smartphone research study was conducted to understand the impact of smaller screen on magazine content engagement and actions taken. The study was conducted by GfK MRI among adult magazine readers 18-34 who own smartphones and read magazine content on them.
- 48. Magazine media smartphonestudy Key findings • Among magazine readers, there is pervasive downloading of magazine content onto Android and iPhone devices. • Magazine content on smartphones is stimulating increased magazine usage in total. • Melding of smartphones and magazine content is resulting in very high levels of content “socialization.”
- 49. SUMMARY Magazine Media in the Digital Age: Summary • Magazine media are evolving to maximize and leverage digital opportunities. • MPA took a leadership role in defining tablet audience metrics - and will lead the effort to establish advertising and engagement metrics. • Tablets and smartphones will prove to be the ideal web- based platform extensions for magazines (and their advertisers). • Advertisers who “take the plunge” now will reap significant benefits as magazine apps come of age.