Dailies are struggling - ABC Q1 figures

“Weekend titles have also been static at best with several holding their circulation with aggressive increases in third party bulk activity, while community and free newspapers circulation are up mostly due to new entrants,” Gordon Patterson, ABC VP said.

There has been a mainly static trend and slight decline for B2B magazines, while the year-on-year analysis shows a healthy reduction in ‘bulk non-requested' circulation by 41%.

Rising printing costs

“This performance is due to increasing inputs costs, rising printing costs and postal rates and the desire to right size,” Patterson explained.

The ABC latest figures also disclose that consumer magazines continue to experience difficult times despite efforts to consolidate circulation. “While there are exceptions, generally we see positive moves in controlling free and third party bulks,” Patterson noted.

“Of particular significance has been the move to female interest category and while small, it nevertheless reflects positive movements compared with previous analysis.

“Although not audited, we understand that print orders are being more closely monitored by publishers due to economic pressures. Lastly the strategy and benefits of twinning titles seems to have slowed.”

Furthermore, the introduction of new titles of custom magazines has slowed from 21 to six, while there was a limited (if any) cannibalisation as existing titles show growth. However, 14 new titles have made a remarkable entry into the free magazines section - the best category with 19% growth and 7% on average growth among existing titles.

Declining local economic climate

“There is a little doubt that the woes in the print industry have been exacerbated by the declining local economic climate,” Patterson said.

“Trends from abroad still reflect that our competition is not within but coming from other media offerings and platforms - although many of these will and may have been crippled by load shedding issues.”

According to recent statistics, globally consumers have increased their time spent online by 27%. “In the US, we see 6 - 7% time spend treading either magazines or newspapers while in SA the figure now stands at 13 - 16% respectively,” Patterson said.

“The significant efforts by many titles to ‘right size' themselves need to be recognised and applauded. These efforts can only be seen and appreciated within the composition of their ABCs. Look beyond the single figure.”

Look at the big picture

However, while emphasising the importance of circulation figures - calling the numbers a ‘hard currency of our industry' - Mike Leahy, of IBIS Media Data, warned against misusing and manipulating them, saying there are no easy answers to complex situations.

“I do believe that most publishers would prefer an additional revenue stream of copy sales and subscriptions but that they might choose otherwise is hopefully a function of positioning and strategy,” Healy said.

“And it is the duty of the buyer to make an informed assessment, to weigh and compare and decide.

“Be truthful and realistic, look at the big picture, interpret the meaning of the numbers, look for patterns and establish implications and trends, take time to dig (it does not come easy), understand the definitions, know that within the numbers are people, individuals, don't be afraid to ask and apply common sense,” he advised.

For more information, go to www.abc.org.za.