Retrenchments and title hibernation the order of the day following completion of the Pacific takeover.
I suspect the cutting of 60 of the staff from Pacific Magazines and the pausing for up to six months of production of Men’s Health, Women’s Health, Elle, Harper’s Bazaar, OK! and NW is more in response to the collapse in advertising as a result of COVID-19.
I don’t see the pause of titles as a collapse in magazines in Australia. I could be wrong. It will be mid 2021 before we can determine if that is the case.
It is a tough time for any magazine publisher as they struggle to find ways to make their titles more appealing to rapidly changing consumer interests and doing do in an environment with so much ad spend on hold. There has been a significant shift that agile magazine publishers are tapping into through existing titles and one-shots.
Right now, too, cover price is a key source of income, with ad revenue down. This means over the counter sales matter more than ever. This is good as it aligns retailers and publishers more so than usual. Hopefully we see cover prices respond accordingly.
Looking at data for a broad cross-section of newsagencies, magazine sales are strong in high street and regional / rural situations. But more on that later in there week.
I feel for the Pacific folk let go today. Given risks that emerge in any takeover, changes were bound to happen.
subscription price is too cheap, thats whats has killed the magazine in retail. plus delivery drivers and people packing the magazine has made so many mistakes in deliverying the maganies .they have never listened to the retailer what problem we face.
Ken, the percentage of subscription sales compared to over the counter does not support your argument.