Diversification Is Continued Imperative for Mag Industry
A study conducted by consulting firm PwC confirms what a many publishing leaders already know: As advertising and circulation revenues decline, diversification becomes a business imperative. “Advertising for print is down. Circulation is down. Revenues are projected to be flat,” says PwC partner Greg Boyer. “To make up for these declines, magazine publishers need to innovate in a variety of ways.” In particular Boyer sees mobile and video as a bright spot for the publishing industry.
According to the Global Entertainment and Media Outlook 2017-2021 report released in June, the compound annual growth rate (CAGR) for magazine circulation and advertising revenue over the next five years is 0.19%. In terms of dollars, that’s a mere $300 million increase, approximately, in industry revenue.