November 30, 2007
[This story has been update]
CBP president Phil Boyd responds to the Rogers pull out
TORONTO-The Canadian Business Press must remain an independent association because the editorial and circulation models of consumer and business-to-business magazines are “fundamentally different,” CBP president Phil Boyd said yesterday.
Consumer magazines and b-to-b publications have conflicting interests in areas like PAP funding, CBP president Phil Boyd said, and need separate organizations to represent those interests in Ottawa.
“Most Western countries have two associations,” Boyd said. “One representing the interests of consumer magazine publishers and one representing the interests of business and professional publishers.”
Boyd was responding to questions about a decision by the Rogers Business & Professional Publishing Group to pull its 35 member magazines out of the CBP and to pursue membership at Magazines Canada, which has traditionally represented consumer publications.
Yesterday, Rogers senior vice-president John Milne said the decision to pull out of the CBP was sparked by the idea that the magazine industry is “best represented by a single voice.”
Boyd gave the example of postal subsidies from the Publications Assistance Program (PAP) as an area where the interests of b-to-b and consumer magazines conflict. “[The CBP] believes controlled circulation magazines, which account for the bulk of business and professional titles, should receive PAP assistance,” Boyd said. “For obvious reasons, Magazines Canada would prefer that PAP was only available to paid circulation magazines.”
In yesterday’s interview, Milne offered other reasons for the Rogers decision to enter membership talks with Magazines Canada. Magazines Canada is an organization with “a significant national footprint,” he said, and provides “access to professional development programs that we cannot provide on our own.”
In response to the first assertion, Boyd said, “I don’t really know what he means as both organizations are national in scope.”
As for professional development opportunities, he replied: “I’m somewhat mystified by his comments on this subject. CBP is a lead partner in…Magazines University. We also stage quarterly workshops on topics of specific interest to business and professional publishers. As of June 2007, members of CBP are also members of American Business Media and have access to the enormous resources of that organization, including all kinds of live and web-based professional and business development programs focused on the need of business and professional development.”
The non-renewal of the Rogers magazines will represent a 20 per cent loss of membership fee revenue for the CBP, or a 9 per cent loss of total CBP revenue. [Previous sentence updated from earlier version.-Ed.]. Boyd said his association has “a healthy reserve fund” and is currently recruiting new members. A new rate formula agreed upon by the CBP board two weeks ago will lower membership costs for smaller publishers with modest advertising revenues, Boyd said, and a recently changed bylaw will now allow non-audited b-to-b publishers to join the association.Regarding the Kenneth R.Wilson Awards, the annual awards given out by the CBP to b-to-b magazines, Milne said the decision to submit nominations remains in the hands of editors and publishers of the individual Rogers magazines. As for Rogers’ sponsorship of the awards program, which last year totaled $2,000, Milne said, “We look at all sponsorship opportunities on an annual basis and consider their merits on an annual basis. ”
November 29, 2007
Rogers b-to-b titles exit Canadian Business Press and enter talks with Magazines Canada
Rogers Business & Professional Publishing Group is pulling its 35 members magazines out of the Canadian Business Press (CBP). Rogers is looking to move the titles over to Magazines Canada, which does not currently represent any business-to-business publications.
At a CBP board meeting on Nov. 20, "a member" proposed a CBP amalgamation with Magazines Canada, according a CBP press release. The board rejected the proposal, arguing that members “are better served with an independent Canadian Business Press association, rather than being integrated into a consumer magazine association.”
On Nov. 26, Rogers senior vice-president John Milne sent an e-mail to CBP chairman David McClung and president Phil Boyd, announcing that Rogers would not renew its CBP membership. The e-mail also stated that the Rogers group will “…join Magazines Canada as soon as possible.”
In an interview, Milne explained the rationale for pursuing an arrangement with Magazines Canada. “We think that our industry is best represented by a single voice, and our goal is to become a part of Magazines Canada and to achieve that end,” he said.
Asked whether he expects other trade magazine publishers to follow Rogers, Milne said: “I can’t speak on behalf of the other members of the CBP.”
Milne said he would meet Magazines Canada members next week.
Chairman Robert Goyette said Magazines Canada is welcome to the idea of allowing new members into Magazines Canada. “Our policy has always been to be very inclusive,” Goyette said in an interview.
“This is a question that has to debated,” he added. “If discussions do happen, we would have to set up some sort of committee or task force to look at this and make recommendations to the board.”
Goyette is scheduled to meet with CBP chairman David McClung next week to discuss ways in which the organizations can co-operate on matter of mutual interest.
More to come as this story develops.
Magazine award changes
It’s nearly December, which means Canada’s various magazine award associations are already preparing for their annual summer extravaganzas. The National Magazine Awards Foundation (NMAF) has added two new categories— Editorial Packaging for a Single Service Article and Best Short Feature—and made significant changes to already existing ones. Meanwhile, Sherry McGarvie is stepping down as producer of the Western Magazine Awards (WMA) after four years, while the Kenneth R. Wilson Awards (KRW) ceremony is getting a new host.
National Magazine Awards Foundation president Kim Pittaway sent a letter to
board members last week announcing changes for next year's NMA, which will
features two new award categories.
NMAF board president Kim Pittaway informed board members of the new categories and changes in a letter sent last week. The Best Short Feature award will be given to a writer of a feature of 2,000 words or less. The category was added to address concerns “that short features have no place in the program despite making up a growing proportion of published works,” Pittaway writes. The Editorial Packaging for a Single Service Article category was added because there is currently “no award for recognizing editorial team collaboration on a single packaged service article.”
The changes to existing categories are as follows:
Over in the West, McGarvie leaves her post as WMA producer after four years. Corey Van’t Haaff, a CBC radio journalist and frequent contributor of medical and business articles to newspapers and magazines, takes her place.
And at the KRW Awards, long-time business journalist Deirdre McMurdy, currently a producer with Global Television, will host the 2008 ceremony. McMurdy replaces ET Canada host Cheryl Hickey, who hosted the event for the last two years.
National Magazine Awards - January 9, 2008
Western Magazine Awards - February 1, 2008
Kenneth R. Wilson Awards - February 22, 2008
November 27, 2007
Canadian publishers, U.S. advertisers and dollar parity—Part two: The upside
This September, Dreamscapes, a Toronto-based consumer travel magazine, raised its U.S advertising rates from 75 per cent of Canadian rates up to 88 per cent. As the markets would have it, the hike wasn’t big enough—today, the loonie is worth $1.019 compared to the American dollar. But with the 2008 card already mailed, Dreamscapes publisher Joe Turkel found himself in a tough spot. “We can’t go back to [advertisers] and say, ‘Sorry, we’re going to change everything on you,’” Turkel says. “People would react negatively and we’d lose a lot of business.”
Despite dollar parity, U.S. advertisers in Dreamscapes are still paying less than their Canadian counter- parts. But as American travel companies look to attract Canadians, the volume of ads has made up for the lower yield, publisher Joe Turkel says.
Turkel hopes he can eventually get American advertisers to pay the same rate as Canadians. But in the meantime, the strong loonie’s impact on the Dreamscapes bottom line has been tempered by the attractiveness of Canadian consumers to American advertisers. “[They] are more interested in the Canadian traveler than they’ve ever been,” Turkel says. “What we’re generating on a per ad basis, the yield is lower. But we’re getting more volume. We’re still a little bit ahead.”
Alex Papanou, vice-president of publishing at the Business Information Group, says the strong Canadian dollar gives manufacturers to buy new technologies from the U.S. at a reduced rate. “Anything from paper machines and linear motion equipment to motors and raw materials—these things now all of a sudden have become a lot cheaper,” Papanou says. “U.S. suppliers will notice that we have more money to spend down there and promote to our Canadian decision makers.”
Richard Hubbard, publisher of Markham, Ontario-based Pool and Spa Marketing, says just that is happening at his magazine. “We normally run at about 32 per cent for American advertising,” Hubbard says. “This year, we’re running 42 per cent U.S. advertising.”
Canadian purchasing power in the U.S. also extends to publishers, and according to DogSport publisher Andrew Douglas, some American companies have taken notice. “We’re a micromagazine and yet these large U.S. printers are really starting to call us a lot,” says the Guelph, Ontario-based publisher. “It surprises me that the major web companies are starting to cherry pick or at least trying to pick off smaller magazines.”
While Douglas has no immediate plans to switch to an American printer, he’s not ruling out the possibility in the future, particularly since half of his circulation is in the U.S.Despite these positives, the high Canadian dollar is still offering up more challenges than chances. And at least one publisher sees even this as a good thing. “When an industry all of sudden has tough times, it shakes things up,” says Ellen Kral, publisher at Kenilworth Media Inc. “Some of the weaker publications will fall by the wayside. Those with no editorial credibility, the ones who pander to advertisers, will be forced to reduce their rates, while the strong publications will stay standing. I really welcome it.”
November 26, 2007
Canadian publishers, U.S. advertisers and dollar parity—Part one: The downside
When Andrew and Anne Douglas, the husband-and-wife team behind DogSport magazine, felt they’d maxed Canadian circulation, they switched focus to expansion south of the border. They’ve since managed to double subscriptions to 2,500 (split evenly between Canada and the U.S.), in turn attracting more American advertisers. The influx of big American dollars was a boon for the bimonthly independent title. But when the Canadian currency hit parity with its American counterpart last month, those U.S. dollars weren’t as valuable as they were when the Douglas’s drew their 2007 budget last fall.
DogSport magazine has seen considerable U.S. growth over the last two
years, but dollar parity means American ad revenue doesn't carry the same weight it once did.
“A couple of years ago, even a year ago, we based part of our planning on the fact that we were making more money off the U.S dollar,” Andrew says. “Most of our expenses are in Canadian dollars but much of our revenue is in American dollars. It’s made life more difficult.”
The strong Canadian dollar has created a new challenge for Canadian publishers who deal with American subscribers and advertisers. With U.S. cheques weighing less than they did even six months ago, Canadian publishers like the Douglases are taking hits to the bottom line.
Faced with the new reality of dollar parity, the publishers of DogSport are re-adjusting their budget, while at the same time, continuing to pursue U.S. business.
“We’re going to have focus on quantity of subscribers,” Anne Douglas says. “We feel we’ve maxed out our subscription price [$35]—some of our competitors in the States are even a little cheaper than we are. We’re just going to have to focus on pumping up our marketing and hoping for the numbers.”
This issue isn’t only affecting micropublishers. Alex Papanou, vice-president of publishing at the Business Information Group, publisher of over 90 trade magazines, directories and newsletters, says U.S. billing represents 20 per cent of his company’s business. The easiest way to recoup those losses would be to jack up prices for U.S. advertisers, but Papanou admits that isn’t a viable solution.
“A lot of people say, ‘Hey, pass on the Canadian rates and bill them in Canadian dollars, the way U.S. [magazines] do to our guys up here,’” Papanou says. “However, when someone for years has been paying a certain amount and all of a sudden you hit them with a 20 per cent increase, you can kiss that business goodbye. It’s easier said than done.”
B.I.G. dropped its U.S. rate card several years ago as the loonie started to climb, Papanou says, but many older advertisers are on grandfathered contracts.
“We can deal with the new advertisers in Canadian bucks,” he says. “But what do you do about the grandfathered guys? Do we increase rates by 30 per cent? That’s what we would have to do. It’s not going to work. They’ll walk away from their ad programs.”
Ellen Kral, publisher of Kenilworth Media Inc., says compromise is the best solution. Kenilworth publishes eight business-to-business magazines, including two, American Chemistry and The Construction Specifier, which have U.S.-only distribution. Rather than hiking U.S. ad rates by 20 per cent, which would put them on par with Canadian rates, Kenilworth is increasing rates by 10 per cent for American Chemistry and five per cent for The Construction Specifier. (The latter’s increase is restricted by competitive pressures in the U.S., Kral says, where 66 construction magazines compete for a share of the ad pie.)
Even with those increases, Kral is cautious about the prospects for growth in 2008.
“We’re budgeting flat for next year,” she says.
Come back tomorrow for part two of this article, which will focus on the potential benefits of dollar parity for Canadian publishers.
November 22, 2007
Humour magazine for doctors and nurses put to bed
AURORA, Ont.-Stitches magazine has been laid to rest. CLB Media Inc. closed the bimonthly humour magazine for medical professionals this summer. The last issue printed was May/June 2007.
The doctor's office got even less funny this summer, when CLB Media Inc. closed Stitches, a humour magazine for medical professionals.
CLB closed the magazine this summer due to a lack of advertising interest, says Niel Hiscox, vice-president of publishing media at CLB.
“Publishing the magazine was no longer worth the effort,” Hiscox says.
Also stopped is Stitches for Patients Heath & Humour, which was launched in 2005 and distributed with Stitches.
Editor-in-chief Randall Willis and publisher Barb Hogg-Lawrence both lost their jobs as a result of the closures. The remaining staff has been kept on by CLB in other positions.
“No one likes to turn out the lights on a magazine,” Hiscox says. “We are hoping to reincarnate it digitally early in the new year.”
The shutdown means CLB no longer has a medical book in its 29-title roster of business-to-business publications. Medical is the largest trade/professional market in Canada.
Stitches was launched by Dr. John Cocker and his son Peter Cocker in 1990. CLB purchased the magazine in November 2003. At that time, the magazine had a circulation of about 40,000 and an estimated ad revenue of $1.4 million, based on 600 pages per year. Masthead reported the Cockers were happy to sell to CLB because the magazine had been “underutilized” by advertisers and CLB had more resources and expertise to grow the title.
John and Peter Cocker could not be reached for comment.-Deanna Lampert
November 21, 2007
Video: Company president Glen Clark speaks at The News Group’s 100th Anniversary bash
Toronto-Last week, The News Group celebrated its 100th anniversary with a lavish party here at The Westin Harbour Castle. In this video, company president Glen Clark pays tribute to late company founder Ed O'Brien and his family and gives a brief recounting of the wholesaler’s history.
[An earlier version of this story misidentified Glen Clark. Masthead Online regets the error.]
Harrowsmith’s Truly Canadian Almanac proves a success
Laval, QUE-Bridget Wayland, senior editor of Harrowsmith Country Life, was tired of buying almanacs claiming to be Canadian and not finding enough Canadian content. Determined to create an annual guide written by Canadians for Canadian country dwellers–and those who wish to be—Wayland led the launch of Harrowsmith’s Truly Canadian Almanac, which premiered in September.
The first-ever Harrowsmith Truly Canadian Almanac has taken the country by storm, with the original print-run of 100,000 having already sold out.
“We had to start an almanac because there is a large niche market for it and the demand wasn’t being met,” Wayland says.
Harrowsmith printed 100,000 copies of the premier. The annual, which sells for $5.95 on newsstands, proved to be a hit and has since sold out, Wayland says. A second shipment will be on shelves before Christmas.
The almanac includes features and information on weather forecasts for the year ahead, road trips, rural celebrities, country life, calendars and lots more.
Jack Burnett, editor of the Canadian Edition of The Old Farmer’s Almanac, says he’s impressed with the Harrowsmith almanac and welcomes the competition.
“Our magazine is more traditional in the sense that we don’t have crosswords like Harrowsmith,” Burnett says.
The 2008 edition contains few ads, as advertisers were hesitant to pay for a spot in an untested product. The magazine’s success has prompted more advertisers to confirm placement in next year’s edition, Wayland says.
“There will already be some changes to look for in the next issue,” Wayland says. “We plan on carrying more family content directed at kids as well.”
Wayland continued to spread the word about her product with an interview on CBC Radio Quebec yesterday afternoon. A weekly farm panel will discuss and review the new almanac next Tuesday at 12:30 p.m. on the same station.-Deanna Lampert
November 19, 2007
Cycle Canada lives on despite LC Media’s financial problems
Brossard, Que.-Despite rumours to the contrary, Cycle Canada, the biggest selling motorcycle magazine in Canada, has not been suspended or closed, according to the magazine’s corporate owner.
Cycle Canada hasn't updated its website since August but the magazine's engine hasn't been shut off, despite the recent asset protection actions of its owner, LC Media.
LC Media, the Brossard, Que.,-based owner of Cycle Canada found itself in deep dept after a spree of magazine acquisitions and launches over the last two years. In 2004, the company acquired Cycle Canada along with its French counterpart Moto Journal and other assets of Turbopress Inc. for an estimated $2.5-million.
To protect its assets from creditors, LC Media recently sold shares to The Fédération des travailleurs du Québec (FTQ), a federation that funds Quebec companies on the verge of bankruptcy. LC Media then made a proposal to its creditors, offering them a severance fee in order to relieve its debt. The creditors voted in favour of the proposal on Nov. 8 and a judge is expected to approve the proposal on Nov. 30.
LC Media vice-president Jean Lemieux says all of LC Media’s magazines will continue to be published, and suggests further acquisitions are planned. Along with Cycle Canada and Moto Journal, LC Media also publishes Le Guide de l’auto, Le monde de l’auto, ATV Guide/Le guide du VTT, Le monde du VTT, ATV Trail Rider and the recently launched Scooter.
In January 2008, Lemieux will take over as the company’s president, replacing Frédéric Couture.
Costa Mouzouris, editor of Cycle Canada, says his operating budget has not been affected by LC Media’s recent financial troubles. Mouzouris took over as the magazine’s editor in July 2005, after award-winning editor Bruce Reeve quit, citing disagreements with the new ownership.
The 36-year-old title, which has a CCAB audited circulation of about 24,000, is published 10 times a year and geared toward motorcycle enthusiasts. It carries Canadian stories on road tests, touring, racing, dual-sport and off-roading, as well as product comparisons and motorcycle buyer’s guides. The November/December issue is currently on newsstands, while the January issue goes to print later this week.
Ad sales for the magazine have been declining recently, Mouzouris says. He attributes this to a Westward shift of the Canadian motorcycle market, and increased competition from Internet advertising. The magazine’s circulation has also dropped, with single copy sales down 31 per for March 2007 compared to March 2006.
“The challenge will be to show our advertisers that we are still going strong,” Mouzouris says. “Their confidence has been shaken.”
Weak U.S. dollar may lead to higher paper prices
The strong loonie is giving Canadian publishers buying U.S. paper a price break. “Everything is priced in U.S. dollars,” says Stephen Atkinson, managing director of paper and forests research at BMO Capital Markets. “Everything should be cheaper.”
But the weak American dollar could eventually result in a price increase for U.S.-produced coated free-sheet and coated groundwood paper, analysts say.
“If you are buying U.S.-based paper, you have an advantage, but that advantage is probably going to be short-lived,” says Pierre Lacroix, a forest and industrial products analyst at Desjardins Securities.
European paper exports to the U.S. will decrease because of the U.S. dollar’s weakness against the Euro, Lacroix says. This development—combined with a U.S. tariff imposed on Chinese high-gloss paper in March—will tighten supply south of the border, and give American producers “some leeway to increase prices,” Lacroix says.
Mill closures in recent years mean that Canada produces only a small amount of coated free-sheet and coated groundwood papers—the two stocks used by most magazines. As a result, most Canadian publishers must import paper. An increase in U.S. prices could result in increased imports from Europe and Asia, analysts say.
Canada is a major producer of uncoated or supercalendered paper, which is used by a small number of magazines. Those prices will probably go up as well, says Patricia Mohr, an independent analyst of commodity markets at Scotia Capital.
“When the American dollars from exports are translated, it now means fewer Canadian dollars. Operating costs are going up because of higher energy prices, for one thing, and probably higher pulp prices,” she says. Canadian producers will either push these costs onto buyers or close more mills, thereby tightening the market and driving prices up
November 15, 2007
The News Group celebrates its 100th anniversary
Michael Fox, senior VP of circulation and development at Rogers, shares a word and a handshake with News Group CEO Jimmy Pattison.
Three key players on the News Group Canadian team: president Glen Clark, vice-president Kevin Brannigan, and vice-president sales, Glenn Brillinger.
(For an in-depth look at the many issues facing the Canadian newsstand, see Scott Bullock’s cover story in the upcoming Nov/Dec issue of Masthead.)
Magazine junkies get their fix of freebies, compliments of The News Group.
November 14, 2007
Mixed opinion on SEM circ building
Publishers are always looking for cheaper and better ways to sell subscriptions. A new method that’s been gaining traction recently is search engine marketing (SEM). Is SEM a legitimate way to reduce costs and increase sales, or just another fad?
Search engine marketing is a web-based form of advertising used primarily to draw traffic to a magazine’s website in order to sell subscriptions. The publisher pays for certain “key words.” When the key word is typed in a by a search engine user, an ad for the magazine will appear on the results page. Key words are available to the highest bidder.
Don Lange, senior vice-president of Cornerstone Group of Companies, provided Masthead with a report on data collected through the first nine months of 2007 based on 23 Cornerstone clients—including titles from publishing giants Transcontinental and Rogers—currently using SEM.
The data shows that over 15,000 new subscriptions were generated through SEM during this period. The average cost per conversion for the magazines observed was $13.56, though some magazines had a cost per conversion rate as low as $5, according to Lange. The average cost per conversion for direct-mail campaigns is in the $20 range, according to Eithne McCredie, vice-president at Abacus Circulation, a consulting firm.
“Obviously some pubs do much better than others,” Lange says. “What is interesting is that budgets have never gone down, and in almost 90% of the cases have gone up. So, we do expect to see even better results next year.”
McCredie at Abacus is skeptical about SEM. The benefits are still unproven, she says, and points to a personal example that suggests SEM is not for every magazine.
“We tried search engine marketing with a client in a niche market and it sucked,” McCredie says. “Traditional methods are still the best.”-Deanna Lampert
November 12, 2007
Canada’s marketing future looks good, says CMA study
NATIONAL-Autumn is the season for turning clocks back, but it’s also the season when magazines are inundated with forward-looking studies. The latest fall forecast comes from the Canadian Marketing Association (CMA), which predicts continuing slow growth for magazine advertising over the next five years. The CMA report also carries encouraging information reflecting the sales impact of magazine advertising campaigns.
A recent study by the CMA predicts slow-
but-steady growth for magazine advertising over the next five years.
The study was conducted by Global Insight, a company that specializes in demographic and economic forecasting, with funding support from Canada Post.
It forecasts that advertising expenditure in magazines will expand at a compound annual growth rate of 2.3 per cent over the next five years, going from $695.9-million in 2007 to $761.1-million in 2011.
For b2b titles, the CMA expects compound annual growth of 2.1 per cent to 2011, while consumer mags will improve by 2.5 per cent.
Turning to the sales impact of magazine marketing campaigns, the CMA reports a 4.5 per cent compound annual growth rate from 2004 to 2007. Magazine campaigns were worth $5.4-billion in increased sales to advertisers, according to the CMA.
Overall, the report carries a very positive outlook for the future of marketing. None of the media studied were projected to see losses over the next five years, despite warnings from some commentators and analysts that traditional media such as newspapers and magazines are in decline.
“A large percentage of the ad spend in Canada will continue to be allocated to traditional media,” notes Ed Cartwright, the CMA’s senior director of communications. “Solid overall growth continues in all traditional media categories with television, direct mail and out-of-home experiencing the most rapid growth.”
November 7, 2007
Pulp & Paper hires a new editor-in-chief
MONTREAL-Business Information Group has appointed Nan Ryder as editor-in-chief of Pulp & Paper magazine. Ryder, who has worked as an editor at both BC Home and Grocer Today, began her new job on Oct. 30.
Nan Ryder was recently hired as the new editor-in-chief of Pulp & Paper.
Ryder replaces Anya Orzechowska, who is moving to Dubai, UAE, where she will continue to work for Pulp & Paper as an associate editor.
“[Ryder] brings to Pulp & Paper Canada an expertise in developing magazines, websites and a wide variety of promotional materials,” Orzechowska says, adding that she looks forward to working together with Ryder.
Ryder has previously worked as a freelance writer and as a teacher at Vancouver Community College and Langara College. She also started and ran two promotional companies called Shoot the Moon Communications and Marketing and Streetcards Promotions Inc.
Jim Bussiere, senior publisher at Pulp &Paper, says Ryder impressed him immediately.
November 6, 2007
Printing magazine closes after 23 years
St. Albert, AB—Second Impressions, a magazine for the printing industry,has ceased publication after 23 years. Publisher Loretta Puckrin says she felt it was time for a change in her life.
The final cover of Second Impressions, which ended its 23-year run this summer.
The final issue of Second Impressions was printed in the summer. The bimonthly magazine covered management in the printing industry and included how-to pieces for printers looking to improve their businesses. It most recently had a circulation of 6,500.
Puckrin and her son Jonathon were the magazine’s only staff. Jonathon has decided to go back to school at Athabasca University for a BA. Puckrin works for Northern Alberta Printers Association, where she is responsible for weekly newsletters and setting up business meetings.
Puckrin says she is enjoying her retirement from publishing, but enjoyed the experience while it lasted.
“I will miss the learning part of publishing,” she says. “It was like being a professional student.”-Deanna Lampert
November 5, 2007
PricewaterhouseCoopers predicts slow-growth for Canada’s magazines
NEW YORK-Consumer/end-user spending on magazines in Canada will decrease by 1% over the next five years, according to a study by PricewaterhouseCoopers (PwC). Spending, which reached $573-million for 2006, will drop to $568-million by 2011 (all figures in $US.).
PricewaterhouseCoopers predicts Canada's magazine publishing industry will grow by an annual compound rate of 1.8% over the next five years.
The global magazine publishing market grew by 2.6% in 2006 to $101-billion, the slowest growth since 2003, according to PwC.
“Circulation decreases in the United States and Canada contributed to the slowdown,” the Outlook says.
It’s not all doom and gloom in the crystal ball of the world’s largest professional services firm. PwC predicts a compound annual growth of 3.1% for Canadian magazine advertising over the next five years. Magazine publishing in Canada will continue to grow slowly, according to the study, increasing from $1.39-billion in 2006 to $1.5-billion by 2011.
The Internet is unsurprisingly the fastest-growing segment of the Canadian entertainment market. Internet advertising in Canada increased by 42.6% to $706-million in 2006. PWC predicts the Internet advertising will surpass magazine advertising in Canada by year’s end.
PwC used mostly “confidential and proprietary sources” to assemble Global Entertainment and Media Outlook: 2007-2011, a 900+ page document that also tracks growth in the television, film, newspaper publishing and recorded music industries among others.
Regions studied included Canada, the United States, Latin America (6 countries), Asia Pacific (14 countries), and Europe (25 nations including the Middle East and Africa).-Deanna Lampert and Marco Ursi
November 2, 2007
Outdoor Photography Canada wins small business award
BRAMPTON-Outdoor Photography Canada has won the first ever Start-Up Business of the Year award from Brampton’s Small Business Enterprise Centre.
“It was a combination of their goals exceeding their expectations with regards to their high subscription sales, visuals and the passion and vision behind the magazine which made them standout,” says Cassandra Baccardax, manager of Small Business Services in Brampton.
Roy Ramsay, a former weddings and portraits photographer, launched Outdoor Photography Canada in April 2007. The quarterly blends landscape, wildlife, nature, and sport photography with how-to articles. Circulation is already up to 25,000 from the 6,000 and page count will soon be increased, Ramsay says.
“We won this award because we came well prepared and we have a business plan that is going perfectly,” Ramsay says.-Deanna Lampert
November 1, 2007
Reader’s Digest Association enters direct-mail partnership with Williams Lea
Williams Lea, a global corporate information solutions provider, will take over promotional direct-mail printing operations for The Reader’s Digest Association (RDA), as part of a new partnership announced last week. The partnership will be effective in 19 countries, including Canada.
Williams Lea will outsource all promotional operations related to printing, while RDA will remain in charge of creative.
Globally, 100 RDA employees who work on promotions have been transferred to Williams Lea. Williams Lea has assigned 70 of its employees to work on RDA promotions.
RDA estimates the deal will save the company $130 million over the next three years.-Deanna Lampert
|Been there says:|