The consumer magazine industry suffers from similar issues to the news industry due to the shift to online content and the period of 2020-2022 being heavily impacted by covid-19. These problems severely affect the revenue made by magazine businesses and therefore force adaption or pose a threat of bankruptcy which plagues the print industry in general but especially the magazine industry.
A focal factor which has forged change within the magazine industry is the emergence of online media that becomes a more profitable and engaging market that successful titles harness and take advantage of in order to maintain interest and profits. Successful brands focus on 'affiliate marketing' which works by selling other companies' product for them through advertisements on their websites. This type of advertising is common place within online media and the most affluent magazines such as 'Future' improve and optimise this process in order to gain the most amount of revenue possible.
Moreover, the emergence of social media platforms such as Instagram are to blame for a loss of revenue within the magazine industry. These platforms essentially act as magazines and newspapers and due to their vast userbase they have a greater traffic than effectively all magazine sites so outperform establish titles.
The print magazine industry has suffered a much greater fall in revenue than the online industry with print advertising revenue falling even further and a massive drop in sales making the appeal of print magazines even lesser than they were previously. In 2020, £669 million was spent on magazines less than half of the £1.4 6illion in 2000. Also, there is a sharply accelerated fall in the advertising revenue down 33% from 2019 to 2020.
Circulation of magazines has also been affected by this fall in revenue with ABC figures showing a fall of 700 titles in 2000 to 241 by 2021. The category hit the most by this are men's magazines while Music magazines have fallen in circulation by 92% between 2002-2021. These mean that the physical sales of magazines have decreased due to a lack of physical copies being sold to the public as the cost required for production is greater than the revenue.
Furthermore, subscription culture in the UK has not developed as it has in the USA with it making up under 20% of revenue compared to 27% of revenue within the USA in 2021. Subscription is based in the news and current affairs categories and the boost in revenue from this isn't felt in the music magazine industry.
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