What this shows is that whilst the media industry at large is experiencing tougher times due to the economic downturn, customer magazines are showing strength with new launches and extended circulations of titles. The average circulation for actively purchased magazines is down 6.8% but customer titles are bucking this trend, such as British Airway's High Life which has seen circulation growth of 13.8% in the last six months. As shown by research we commissioned from Mintel, the industry is now worth £904 million and is set to grow to £1.2 billion by 2012 with a strong outlook for the future.
"Retail titles have seen a consolidation of position, responding to the recession as consumers seek more value from brands. Titles for both Tesco and Asda have seen circulation increases in the last six months with titles for other retailers such as Waitrose have maintained their circulation. With these titles offering engaging features and offers to their customers, they are an attractive brand extension for consumers in a climate which sees consumers consistently getting less for their money and marketers seeking more value from their budgets. It is this vital role in consumer retention which has bolstered the position of the medium in recent months as brands look to extend their brand offering with existing consumers. The ability for magazines to engender loyalty in consumers was reinforced by recent Royal Mail research which showed that 78% of the UK's most trusted brands publish a customer magazine.
The ability to engage and entertain customers with relevant editorialisation of brand has long been recognised by major brands. These figures show that brands, especially from competitive sectors such as retail and aviation, are recognising the value of magazines in engaging consumers. The medium is so effective because it allows for consumers to receive a physical embodiment of a brand in times when they are receiving less and less for their money. Still the 25 minute medium, customer publications allow for longer engagement than any other marketing tool and so continue to prove themselves a wise investment."
"Most importantly, these figures are testament to the measurability of our medium and that brands are recognising the increased need for ROI in the current climate. As well as circulations, representing the reach of a title, customer magazine effectiveness can be measured through response and so proving the worth of investment from direct consumer interaction with a brand. With budgets being tightened in all media, it has never been more important to account for every penny spent and customer magazines allow for this."
Vertical - Print
Julia Hutchison, COO, APA comments: "The success of customer magazines has been exacerbated by the recent downturn, which has caused difficulty for the media landscape at large. Customer magazines now account for 12 of the top 20 magazines by circulation and 29 of the top 100.
These figures show that brands, especially from competitive sectors such as retail and aviation, are recognising the value of magazines in engaging consumers. The medium is so effective because it allows for consumers to receive a physical embodiment of a brand in times when they are receiving less and less for their money. Still the 25 minute medium, customer publications allow for longer engagement than any other marketing tool and so continue to prove themselves a wise investment."