2013 Fall Sales Newsletter Fall Newsletter : Page 5

approach. The Teen Vogue Insider app uses the smartphone’s camera to scan the printed pages of the magazine and—without the use of QR Codes—direct users to additional, mobile-specific editorial content or advertising. It also uses the device’s location to direct users to shopping locations for advertised products. Popularly referred to as augmented reality or interactive print, this technology is finding a meaningful place in advertising and editorial pages alike. Perhaps the best way to evaluate the advertising and revenue potential of digital/mobile publishing is to look at individual features of the platform. Mobile publishing—whether in the form of a self-contained app or a mobile-optimized website—offers a wide range of content types and features. Some of these are more attractive to advertisers, while others appeal more to subscribers. Figure 2 is a visual approximation of feature perception and corresponding revenue potential. Publishers should prioritize accordingly. Features that appeal to advertisers, such as the ability to capture email and other information from an account login, have less value (or even a negative value) to potential subscribers. Subscribers may value other features, such as smooth social media integration, far more than advertisers do. For publishers, the mobile/digital feature combination should coincide with the publication’s primary revenue source, without unduly impacting the secondary source. Figure 2: The revenue importance of mobile/ digital features is relative, depending on the magazine’s editorial focus. For example, a magazine devoted to music would place Audio higher, for both circulation and advertising revenue potential, especially if the device’s music playing and purchasing capabilities were used. PAGE 5 Going Mobile: Revenue Opportunities for Publishers

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