Magazine Media Advertising: The 2014 Magazine Media Moguls’ Great Expectations As Told to Mr. Magazine™… Part 4 of 5January 23, 2014
The Mr. Magazine™ First Ever E-Roundtable with 10 Magazine Media CEOs and Presidents
Major Changes Are in Order: “Abandoning Old Orthodoxies and Legacy Practices…”
Out With the Old, In With the New?
What are some of the largest magazine media companies expecting from 2014 in the world of magazine media? What are Active Media Interest, American Media, Inc., Condé Nast, Dennis Publishing, Hearst Magazines, Heinrich Bauer USA, Meredith Corp., Rodale Inc., The Taunton Press and Time Inc. up to in 2014?
Well, for this installment of “The 2014 Great Expectations” the CEOs and presidents of the aforementioned magazine media companies offer their expectations regarding the future of magazine media advertising in 2014.
The CEOs and presidents are, in alphabetical order, Hubert Boehle, CEO, President, Heinrich Bauer USA, LLC, David Carey, President, Hearst Magazines, Steven Kotok, CEO, Dennis Publishing, USA, Steve Lacy, CEO, Meredith Corp., David Pecker, CEO, American Media Inc., Tim Rahr, President, The Taunton Press, Joe Ripp, CEO, Time Inc., Scott Schulman, President, Rodale Inc., Bob Sauerberg, President, Condé Nast, and Efrem (Skip) Zimbalist III, Chairman and CEO, Active Interest Media.
Now for their magazine media advertising expectations for 2014:
Hubert Boehle: Bauer Media magazines reach active buyers who shop where the advertised products are sold; with this comes great accountability to our advertisers. We will continue to stress our power at retail and offer custom made solutions to our clients.
David Carey: We will be constantly evaluating our business models to determine what makes sense and is core to success and what is outdated and slowing the industry down. It will mean abandoning old orthodoxies and legacy practices that don’t make sense in the modern media landscape. Some choices may ruffle a few feathers, but there is no room today to hold on to anything that impedes progress and growth.
Steven Kotok: Advertising brands will become savvier about which targets are best reached via print – e.g. Fashion, Thought Leader. While the trend toward multiplatform packages and content integration across multiple media will continue.
Steve Lacy: As a public company, we limit advertising updates to our earnings releases and investor conferences. All of these materials are filed with the SEC, and our next update will be Jan. 29 when we announce second quarter fiscal 2014 earnings.
Anecdotally, we’re very pleased with continuing advertiser interest in the Meredith Sales Guarantee, which uses Nielsen Homescan data to prove that advertising in Meredith magazines increases retail sales for our clients. We currently have 30 brands participating, double the number from last year at this time. They are attracted by the 10 percent sales lift and $8 to $1 ROI experienced by Year 1 participants.
David Pecker: Integrated programs that combine multiple media platforms will continue to be the focus for advertisers. Content integration and native advertising are also key, but only as long as they can be done without subverting the integrity of the brand.
Tim Rahr: We continue to experience strong double-digit growth in digital advertising and expect it to continue through 2014. On the print side we are looking to be flat. Even as they are shifting dollars to digital our clients continue to appreciate the value of print as part of an integrated package.
Joe Ripp: We will continue to shift the focus of our advertising and marketing programs toward consumer and results orientation. In 2014, our opportunity is to leverage new technologies with deep customer data, and content curation expertise. We will provide marketers with tools to deliver brand stories to specific segments of consumers across print and digital touchpoints.
In the appropriate context, branded content combined with an advertiser’s message provides marketers with a rich and engaged audience across print, desktop, mobile, social and video. Combined with advanced targeting capabilities, magazine brands can be more effective than ever before.
Scott Schulman: In 2014, we’ll be building on our digital expansion. Rodale’s, our new e-commerce venture, is gaining traction in the market and is moving into its next phase of growth this year. It’s another great example of how we’ve extended our role as a healthy lifestyle company by providing solutions for improving people’s health, wellness and environment beyond the written word. I like hearing how often we have to restock our best selling items—Rodale’s has already found a passionate audience that we can cultivate and broaden. Beyond e-commerce, our digital business is growing with great new videos and high mobile usage.
Bob Sauerberg: Our advertising partners know that Condé Nast is the only true luxury/premium content company extant. We will continue to work with marketers to connect their brands to our audience of influencers worldwide. We will continue to pioneer premium programmatic and work closely with our editors on native. The growth of our digital platforms has created a number of new opportunities for advertisers and we believe in having our content – and our advertisers’ content – everywhere our consumers are accessing it.
Skip Zimbalist: In our mature magazines, we expect print advertising revenue to be up in low single digits. In our newly launched, redesigned or acquired magazines, ad revenue will be up double digits. Digital advertising revenue will be up sharply, particularly that associated with sponsorship programs, video projects and events.
Stay tuned for the final installment tomorrow when the CEOs and presidents of the top magazine media companies reveal their expectation regarding the status and future of their audiences in 2014.
©Samir “Mr. Magazine™” Husni, 2004.