Magazine Advertising Down, But Household Basics Endured

Monday, January 19, 2009

According to Publishers Information Bureau (PIB), total magazine rate-card-reported advertising revenue for the full-year 2008 closed at $23,652,018,533, posting a 7.8% decline against the previous year. A total of 220,813 advertising pages were generated throughout the year, a drop of 11.7% compared to 2007.  In the fourth quarter, PIB revenue showed a 13.8% decrease compared to 2007's fourth quarter.  There were 60,814.50 advertising pages counted for the quarter, a decline of 17.1% compared to the same period in 2007.

Ellen Oppenheim, Executive Vice President and Chief Marketing Officer, MPA, says "... magazines have been affected by the economic slump... for longer-lead time monthlies, consumers cut spending during the summer... (causing) advertisers to put buy fewer ads in year-end magazine issues...  In the fall and early winter, rising unemployment and steep stock market declines led to restrained ad spending in weekly titles."

In 2008, declines were seen across the top 12 magazine advertising categories, in both PIB revenues and pages. The most significant decreases were seen in the most beleaguered of sectors: Automotive and Home Furnishings & Supplies. Financial, Insurance & Real Estate. Drugs & Remedies, also saw double-digit declines.

There were bright spots in some of the more recession-resistant subsectors, says the report. For example, ad page and revenue gains were seen for household soaps, cleansers & polishes, and discount department & variety stories within the Retail category, reflecting a budget-conscious environment. In the fourth quarter specifically, growth was seen within Food & Food Products, for basics like dairy, produce and meats; within Apparel & Accessories, for clothing accessories like handbags or hats; as well as within Toiletries & Cosmetics, for personal hygiene & health products.

Full Year Ad Spend Category Totals (2008 vs. 2007)

 2008

Class Name 
 Dollars
 %Chg
  Pages 
 %Chg

Toiletries & Cosmetics 
 2,476,298,686
 -3.9
 18,104.86
 -9.3

Drugs & Remedies 
 2,223,066,800
 -14.5
 16,706.73
 -16.3

Food & Food Products 
 2,099,542,708
 -1.2
 13,573.26
 -7.5

Apparel & Accessories 
 2,035,274,756
 -6.5
 22,429.39
 -8.2

Retail 
 1,881,949,565
 -0.8
 17,892.46
 -7.1

Media & Advertising 
 1,743,892,205
 -2.1
 14,992.89
 -2.8

Direct Response Companies 
 1,670,112,388
 -8.5
 16,364.13
 -11.2

Automotive 
 1,602,279,970
 -20.5
 14,000.83
 -24.3

Home Furnishings & Supplies 
 1,384,338,034
 -11.5
 11,922.41
 -17.9

Financial, Insurance & Real Estate 
 1,231,277,017
 -11.0
 11,954.58
 -17.3

Public Transportation, Hotels & Resorts 
 1,152,174,703
 -1.6
 14,232.81
 -5.3

Technology 
 974,403,735
 -9.7
 9,084.52
 -14.7

Source: Publishers Information Bureau, January 9th, 2009  


Fourth Quarter Ad Spend Category Totals (2008 vs. 2007)

 2008

Class Name 
 Dollars
 %Chg
  Pages 
 %Chg

Toiletries & Cosmetics 
 730,169,827
 -1.7
 5,408.81
 -8.0

Apparel & Accessories 
 608,439,307
 -10.0
 6,403.49
 -12.2

Drugs & Remedies 
 563,573,094
 -18.8
 4,301.07
 -19.3

Retail 
 543,299,935
 -13.2
 5,075.20
 -16.1

Food & Food Products 
 498,841,110
 -13.4
 3,300.90
 -17.6

Media & Advertising 
 497,708,642
 -5.1
 4,345.32
 -7.2

Direct Response Companies 
 439,891,206
 -12.1
 4,310.62
 -13.0

Automotive 
 439,748,768
 -21.7
 3,814.14
 -25.8

Home Furnishings & Supplies 
 438,285,079
 -18.0
 3,710.25
 -22.8

Financial, Insurance & Real Estate 
 324,020,824
 -32.8
 3,071.99
 -36.5

Technology 
 317,409,924
 -5.3
 2,788.14
 -14.7

Public Transportation, Hotels & Resorts 
 294,687,827
 -12.9
 3,911.28
 -13.5

Source: Publishers Information Bureau, January 9th, 2009


Please visit these links for magazine totals 2008 Full Year, ad revenue, for magazine totals 4th quarter, ad pages, or for magazine category totals, year 2008 and 4th quarter.

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