Time Inc., New York Media and Atlantic Media offer three unique solutions.
Among all the changes magazine media faces—consolidation, layoffs, digital—the one consistent trend is the decline of print advertising. Moody’s estimates that print ads will continue to fall 10% through mid-2018, providing little hope for a turnaround in the traditional revenue stream that media companies used to rely on.
But, it’s also true that some companies, like New York Media and Atlantic Media, have long looked past the traditional advertising spigot, to find more reliable resources of growth. This has created some innovative strategies, where organizations have sought to use their knowledge and prestige to test new revenue streams.
We take a look at three different initiatives that may not replace the advertising losses, but provide a new way of viewing the potential still inherent within media brands.
The Recommendation Business
Last year, New York Media’s executive Director of Business Development and Strategy, Camilla Cho, decided to take a closer look at the management of affiliate links. The parent of New York Magazine had a few partners that provided its sites revenue for when readers clicked to the partners’ website, but it contributed only a tiny portion of the business. Cho, however, noticed that engagement rates were “very healthy.”
The numbers indicated that readers took the advice that writers gave concerning what’s in style, what’s worth buying, and what they can ignore. Cho wanted to see if her team could better monetise this trust.