Indian Magazine
Congress
February 24, 2014
Had Newsweek been in
India,
print issue of Newsweek
would have continued to
thrive and grow.
Magazines in 2013 grew by 5%
Print: 10%; Overall Advertising 11.1%
1325
1400
1262
1150
1200
1000
1202
899
786
800
672
678
2006
2007
624
581
600
491
426
400
200
0
2003
2004
2005
Source: Pitch Madison Media Advertising Outlook 2014
2008
2009
2010
2011
2012
2013
2014 Proj
Magazines are growing in emerging
economies
Magazine Expected CAGR Growth
(2012- 2017)
 Global consumer magazine market
US$81.9bn in 2012
Kenya
9
Nigeria
9
(CAGR of less than 1% over 5 years)
 The largest market, USA, is
expected to de grow (-1.3% CAGR
over 2012-2017)
China
7
Brazil
7
South Africa
7
 Emerging economies are growing at
faster clip and proving to be
resilient
Source: PWC – Global Entertainment and
Media Outlook (2013- 2017)
One comes across many such
remarks, indicating inherent
strength in Indian Publishing
Industry
Rising Incomes and
Aspiration, are positive
drivers for
magazine’s growth
in emerging economies
5 insights, reinforce
Magazines as a great
medium
Insight # 1
96
95
Ad attention
116
Magazines
are
#1
in reader
engagement
Inspirational
99
95
112
Life-enhanching
89
103
111
Social Interaction
101
96
106
0
TV
50
Internet
100
Magazines
150
Insight # 2
““I often find the advertising
annoying”
Magazine
Ads are
Least
Annoying
TV
51%
Radio
23%
Websites
18%
Newspapers
11%
Magazine
10%
0%
20%
40%
60%
Insight # 3
Magazines
Magazines capture
undivided
attention
91% of consumers when they read
magazines are least likely to engage in
other activity
Source: Simultaneous Media usage study
91
TV
80
Online
75
Radio
73
0
20
40
60
80
Insight # 4
Magazines Websites TV
Magazines
ads are
I pay attention to or notice ads
145
85
90
Ads fit well with the content
It is a way to learn about new
products
139
96
86
135
100
77
Noticed
Inspires me in my own life
135
96
88
Gets me to try new things
131
100
81
I get valuable info from the ads
Ads help me make purchase
decisions
I am more likely to buy products in
ads
130
96
83
130
100
85
125
95
85
Inspires me to buy things
122
109
78
I trust it to tell the truth
113
107
84
It is an escape for me
111
77
114
and
Influential
Insight # 5
Magazines
Magazines
talk to
Super
Influencers
42
Internet
38
Radio
30
TV
4
Newspapers
2
0
10
20
30
40
50
5
Why magazines have an Edge
1.
# 1 in engagement – Thanks to segmented audience of
magazines
2.
Ads are least annoying – Increasing efficacy of
advertisements
3.
Undivided attention – Critical in today’s era of multi screen
consumption
4.
Ads are Noticed and Influential – Opinion Makers
5.
Speak to influencers – In era of social media connectivity,
amplification of those with social clout : Critical
WHY MAGAZINES SHOULD
FEATURE IN MEGA MEDIA
PLANS?
Magazines can deliver on media
numbers for high reach plans
 Key Finding of Madison’s M:Spectra
 Once 70 @1+ thru TV is achieved
 Incremental reach is cheaper by using other media than
TV
 Magazine could feature purely as cost efficient choice
once diminishing return sets in TV
M:Spectra is a Madison proprietary tool that estimates combined
reach across media

A proxy for single source data that is unavailable in India
Similar findings from other markets
TV only (100% of
Budget)
All
Light
Women Viewe
rs
Gross Ratings
400
163
Net Coverage (1+)
73.2
50.9
TV 75% + Magazines
25%
All
Light
Women Viewe
rs
Gross Ratings
493
309
Net Coverage (1+)
86.7
75.8
Shifting 25% of budget from TV to
Magazines resulted in
• Increase in gross ratings from 400 to
493 amongst All Women
• Increase in 1+ reach from 73% to 87%
Amongst Light Viewers of TV, “TV
alone” plan was inadequate
Adding Magazines doubled Gross
ratings and increased reach from 50 to
76 doubled amongst light viewers
 However, selection criteria should
not be only based on Maximizing
media numbers
 But Medium’s ability to improve
brand scores on key parameters
 Madison Touch Point Study points
A proprietary study to
understand role and
influence of different
media in different
categories
FMCG, Top 6 Metros,
Female 25+, Sample Size : 200+
Magazines play a key role in amplifying “Suitable
for my needs” and in helping make Final Decision
Paid
Owned
80.0
You tube videos
Earned
TV
Radio
70.0
Important to note:
Multimedia usage is important!
60.0
Recommendation
by neighbours
friends ,family
collegues etc..
50.0
Newspapers
40.0
30.0
Health/Women's
mag cooking
sections
WOM health/Diet
Bloggers
WOM Diet/health
expert
Brand FB
page/website
Product Packaging
Gen Info
pc Info
Brand manages health & weight
Suitable for my needs
Make Final Decision
Cooking Oils could probably do without TV but
NOT WITHOUT health/women’s magazines
Paid
Owned
80
You tube videos
Earned
TV
Radio
70
Important to note:
Multimedia usage is important!
60
Recommendation
by neighbours
friends ,family etc..
50
Newspapers
40
30
Health/Women's
mag cooking
sections
WOM health/Diet
Bloggers
WOM Diet/health
expert
Brand FB
page/website
Product Packaging
Gen Info
Spc. Info
Good for health/heart
Brand suitable for me
Convinces you to try
If Shampoo brands do not consider magazines, they
are opting for a sub optimal strategy
Paid
Owned
80
Consumer reviews
Earned
TV
Radio
70
Important to note:
Multimedia usage is important!
60
50
DOC/ Beauticien
expert
Newspapers
40
30
WOM Beauty
Bloggers
Womens mag
Brand FB
page/website
Celebrity Endorser
Product Packaging
Gen Info
Spc Info
Premium brand
Brand suitable for me
Trial
Similar evidence from International Studies
Process
Impact of Magazine
Aided Brand
Awareness
No significant
difference
Ad Awareness
-do-
Message Association
TV showed the biggest
percentage point
change.
Brand Favorability
Magazines held a
significant lead
compared to either TV
or online.
Purchase
Intent/Consideration
Magazines
significantly
outperformed other
media in driving
positive shifts in
purchase
consideration/intent.
study
Diverting a portion of campaign budget to magazines
improves effectiveness of lead media
1.1
0.8
 Marketing Management Analytics
(MMA), studied 186 brands across
13 different product categories
 If brands increased allocation to
magazines, effectiveness of TV
increased.
0.6
 Increase in brand metrics
(awareness)
0-4%
4-10%
10 + %
At Madison, we have seen it in action
• Saffola’s score as an expert on
heart case increased from 59%
to 67%
Print
contributed to more than 50% of
the brand equity uplift.
We can garner more
benefits by thinking
“out of the box”
Being Innovative in magazine pays
Execution
Index
Standard flat advertisement 100
Inserts – linked to ad
112
Innovation
120+
Sampling
141
 Sampling thru magazines is a “no
brainer”
 Segmented audience
 Publishers need to find innovative
ways to minimize leakage
 As with any media, it pays to be
innovative
Being Innovative
 Not just a round shaped ad instead of square
one
• Clutter breaking but limited shelf life
 Sustainable Innovation is by leveraging
inherent strengths of magazines
• Leveraging Magazine credibility
• Speaking to influencers
• Precise message for segmented audience
Magazines offer stature
TIME Person of the year
By Co-creating iconic properties, marketers can
build stature for their brands
Requirements to create iconic properties:
 Appealing to core audience
 Being consistent
(Femina Miss India has been running since 1964)
 Marketers need to embrace partnership
 Not ride on established property but co-create and
invest over long horizon for maximum impact
Brands can use magazines to talk to Influencers
For Marico, we took social media outside of online world
 Insight that drove Marico’s
thought process
 Magazines build buzz. They
excel in reaching people who
shape attitudes and behavior.
 Source: GfK MRI Fall 2011
Skoda targeting small set with relevant message
Simply Superb with Mansworld
“Legend is Back” was
integrated into the editorial content
Ride to Glory with Harper Bazaar
Superb
targeted successful woman from
different fields who spoke about their
mantra of success
Results
• Massive 20,000+ enquiries recorded after the
launch
• The search on Google for the brand Octavia
shot up by 550%
• Sale target set for 2 months was achieved in
just 3 weeks; whopping 1000+ cars were sold
• The entire success of the launch got highly
appreciated and recorded as best practices by
the Skoda headquarters
Brands can use magazines to talk to Influencers
For Marico, we took social media outside of online world
MANTRAS FOR
MARKETERS
 Magazine offer segmented audience
 Evaluate on Cost per incremental Output (sales/brand metrics)
vs. CPT
 Multimedia is the only sustainable approach to beat clutter
 Allocate 10% to magazines, it improves effectiveness of other
90%
 Innovate
 Magazines remain the best media to speak to influencers
 Innovation pays. If it is safe, it is risky.
 Partner with publishers
 Co-Create enduring properties building on credibility offered by
magazines
RECOMMENDATION TO MY
PUBLISHER FRIENDS
 Commission research to amplify efficacy
 Study and record engagement metrics (ad avoidance
/ Influence in purchase decision)
 Segment audience well and be true to your
customers
 Embrace digital media. An opportunity not a
threat
 Magzter – Early example of how magazines can
benefit from digital media/ mobile explosion
 Magazines have more to gain
• Content rules : Online or Offline
• Credibility of your magazines cannot be easily replicated