In the latest installment in a series, a healthcare editor responds to the question – is print media dying? To view earlier installments please click here.
Anthony Guerra, Founder/Editor, HealthSystemCIO.com: Print media is dying, but it’s got little to do with the traditional reasons cited for why an online vehicle is so much more powerful. Most editors and analysts note that information can be brought to the reader faster online, and therefore by comparison print — with its two-month lag times between story assignment and publication — just cannot offer the same compelling content it once did. Of course, Web sites also count audio and video among their advantages over print, as well as the ability to bring readers into the content creation process through commenting and blogging. While all these reasons help explain why online is defeating print from the readers’ point of view, that’s not what’s putting magazines out of business.
Print magazines are going out of business for two reasons:
1 — Online is simply a better buy — Media buyers must explain to their managers exactly what benefits have been gained from their spending. To be clear, there must be a direct connection between marketing dollars spent and SALES — the greater the evidence that can be provided to a media buyer about the results of their spending, the better they can determine the value of that spending, and decide whether to continue it. Vehicles which afford more precise feedback about their effectiveness are FUNDAMENTALLY more attractive to buyers than those which cannot be measured.
For example, everyone in the print business knows about the BPA and their circulation statements. The most these statements do for a buyer is give some indication of the “list” — though enough telemarketing dollars can generally get any publication the list it wants. But the list number is largely irrelevant. When I’m talking to potential buyers about my stats, I don’t even mention the list. I could have a list of 100,000 – what’s the point to a buyer if no one is opening the enewsletter? List and open rate are both silly numbers to convey when trying to attract a buyer because they give little information about those who will actually see the buyer’s advertisement. The only numbers that I want to convey are impressions, opens and clickthroughs. Those numbers are real, can’t be faked and, depending on your content, can tell buyers a heck of a lot about your readers.
In the print world, BPA just tells the list number. There is no way to gage either opens or impressions, so fundamentally it is a “faith” buy. As a buyer, it’s much easier to prove you’ve spent the company’s money well by requesting tamper-proof Google Analytics reports from your media partner. To the media buyer, online is simply a better mousetrap because they can determine know how many mice have bitten the cheese. They no longer have to take the mousetrap peddlers word for it.
Since it’s clear online is the better media buy, dollars will continue to flow in that direction. Now, we come to the part of the story where the buyer must decide WHICH online venue to use for its outreach. Fundamentally, online-only outlets will outperform print/online outfits because they can focus all their attention on that one medium. Greater focus will always yield higher quality.
2 — Print magazines have bloated infrastructures that cannot support their declining revenues. The success of a business is not measured by revenues. Those revenues only have meaning when compared to expenses – this is the margin or profit. Print publications may have revenues 10 times greater than their online competitors, but their expenses are tremendous. Obviously the publication that just went out of business found itself in a position where the gap between top line revenues and expenses ceased to exist.
With better, fresher content for readers, more concrete feedback about results for media buyers and a compelling business model, online will continue to attract more and more marketing dollars. Print magazines will either quickly move their resources online and develop a plan to phase out paper-based production or cease to exist. The future is online. The only question is who’s coming along for the ride?