By Mondo Times editors
Boulder Colorado USA
Posted on August 2, 2010 at 2:09pm

Defying Magazine Trend, Cosmo Nudges Its Big Rate Base North

-- Advertising Age Magazine reported on August 2, 2010:

"Hearst's Cosmopolitan is increasing the paid circulation guarantee it gives advertisers by 100,000 copies, to 3 million copies from 2.9 million, in a move that defies the trend of shrinking circulations at the largest magazines.

For decades magazine publishers chased the largest possible circulations -- offering potential subscribers vanishingly cheap subscription prices and paying heavy costs for paper, printing and delivery -- because big advertisers were drawn to the biggest audiences. But costs and competition from new media have both increased, leading many of the biggest titles to rethink that approach.

Magazines that cut their circulation guarantees, called rate base, in recent years include TV Guide, Time, Reader's Digest, Playboy, Newsweek, U.S. News & World Report, Prevention, OK, Outdoor Life, Ski, Skiing, Star and Woman's Day. Most recently Meredith said in early July that it will chop rate base by 16% at Ladies' Home Journal, to 3.2 million from 3.8 million, and by 11% at Traditional Home, to 850,000 from 950,000. Meredith said it would test higher subscription and newsstand prices for both titles, a bid to collect more revenue from readers and to rely a little less on advertising.

The full story:
http://adage.com/mediaworks/article?article_id=145205

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