Could a different advertising strategy have saved Newsweek’s print edition?
Weber stresses that the point is to stimulate more discussion around segmentation. Magazines may need to break away from the factors (like size, color, placement, volume commitment, etc.) that they have traditionally used to differentiate prices.
Lastly, how can they switch from selling products to selling solutions with better bundles? Magazines need to reorient their portfolios toward selling ad solutions.
Magazine publishers may still wonder how they can protect their print ad revenue amidst digital disruption. After all, digital ad prices are generally lower.
Kyle Poyar, a consultant at Simon-Kucher, warns that this does not mean magazines should abandon print – it is still a viable source of revenue.
“An ongoing analysis of their perceived value, segmentation options and bundling solutions, in addition to looking at their competitors’ offerings, will be the key to success in the print format going forward,” said Poyar.
To read the entire study, click here.
Simon-Kucher & Partners, Strategy & Marketing Consultants
Simon-Kucher & Partners is a global consulting firm with 650 professionals in 25 offices worldwide focusing on Smart Profit GrowthSM. Founded in 1985, the company has over 25 years of experience providing strategy and marketing consulting, and is regarded as the world’s leading pricing advisor.
Source: Press Release