Magazine Advertising - How much does it cost?

Discussion in 'General Chat' started by nate10184, Jan 13, 2009.

  1. nate10184

    nate10184 Senior member

    Messages:
    1,271
    Likes Received:
    47
    Joined:
    Oct 31, 2006
    Location:
    NY, NY
    Can someone familiar with advertising please explain this to me. I was having a discussion with some friends about how much magazine advertising costs but when I look it up I can't figure out exactly what the numbers mean.

    http://www.mediaza.com/MIDir/portali...1&subpanel=140

    Does this mean that a full page 4-color ad in GQ costs $82,507 per issue if you order it for 12 issues? That would be about $980k per year. Am I interpreting the "12x" wrong?

    Do these brands really spend this much in advertising across several different magazines?
     
  2. HEWSINATOR

    HEWSINATOR Senior member

    Messages:
    1,050
    Likes Received:
    0
    Joined:
    Apr 21, 2006
    Location:
    Edmonton
    Yes, they do spend that much on advertising.
     
  3. nate10184

    nate10184 Senior member

    Messages:
    1,271
    Likes Received:
    47
    Joined:
    Oct 31, 2006
    Location:
    NY, NY
    Yes, they do spend that much on advertising.

    I always think of brands discussed here as more of niche items but I guess in reality they are pretty big companies. Zegna, for example, advertises in several mags. Can't believe they spend that kind of dough.

    Even Lobb advertised in Men's vogue.
     
  4. cchen

    cchen Senior member

    Messages:
    2,573
    Likes Received:
    379
    Joined:
    Mar 19, 2006
    Location:
    NYC / HK / London
    I'm quite sure that a huge % of their budget goes to advertising. They have to. If they don't, the only people who know about certain niche brands (Lobb, for example) will be those who do a lot of research, like those here on SF
     
  5. why

    why Senior member

    Messages:
    9,735
    Likes Received:
    405
    Joined:
    Oct 7, 2007
    Most of those companies don't pay that price. I'm sure they all work deals.
     
  6. Pylon

    Pylon Senior member

    Messages:
    202
    Likes Received:
    0
    Joined:
    Sep 9, 2008
    Location:
    Boston, Massachusetts
    Yes, the 12x means a minimum of 12 times (magazines often require the issues to be consecutive or within a certain period of time to get that rate) to get that rate per ad.

    For the market penetration/reach/frequency that you can probably get with a publication like GQ, I don't think those rates are completely outrageous... just simply on the expensive side. You can pay a couple thousand for a single-issue full page ad in a local publication with a limited circulation, so extrapolate that to a national or international publication with a broad circulation and the rates don't seem so outlandish.

    Don't forget to tack on an additional 15% of the ad's cost if it bleeds (and as you'll notice, probably 80-90% of the full page ads bleed, or in other words, have printing which runs right up to the edge of the paper with no whitespace border).

    But yes -- sometimes deals are worked out and rates are almost always negotiated. "Hey, if you contract to buy 24 consecutive months at the full-page level, I'll give you the 48x rate" Conde Nast might also package advertising deals with their other publications (such as "Hey, buy 6 months of full page ads in GQ and we'll give you the same ad space at 50% off in Details, or a free 1 month full page in Details..." etc.
     
  7. FIHTies

    FIHTies Senior member Affiliate Vendor

    Messages:
    2,959
    Likes Received:
    4
    Joined:
    Apr 28, 2004
    Location:
    Back and Better Than Before
    Most of those companies don't pay that price. I'm sure they all work deals.

    Advertising is really expensive but almost no one pays those numbers.

    One of the hardest things I find as a retailer is finding the correct place to advertise for the correct amount which is usually a crapshoot and then when it doesnt work they tell you that the name of the game is repetition.
     
  8. Davidko19

    Davidko19 Senior member

    Messages:
    2,411
    Likes Received:
    5
    Joined:
    Aug 6, 2008
    Ive worked at placing ads in much smaller mags, but yea, thats right.

    The listed rates are simply the companies starting point. They will always bring it down. Its really all about negotiating. you really have to see the whole rate card to get a feel for their pricing strategy but you can easily get 15-20% off the listed rate. Plus you can always get other freebies: Preferred product listing, free placement in a buyers guide, PR blurbs, etc...

    The magazines make their money off advertising. You piddly $20 subscription a year means nothing. I knew a guy who would send in a random check amounts ($3.82,for example) just to keep his subscription going and the companies still honored it.

    When a client examines a magazine you want to see A) PAID subscriptions and B) NON PAID subscriptions. If GQ has 100k more paid subscribers than esquire that means a greater market penetration for qualified buyers, not just hand outs at a trade show.
     
  9. Milhouse

    Milhouse Senior member

    Messages:
    2,059
    Likes Received:
    0
    Joined:
    May 11, 2007

    The magazines make their money off advertising. You piddly $20 subscription a year means nothing. I knew a guy who would send in a random check amounts ($3.82,for example) just to keep his subscription going and the companies still honored it.


    I always thought that would be the case. When I get some magazine offer with a "preferred customer" rate of somewhere around 80% off of the newstand price, the only explanation is that subscription income is next to nothing.

    I filled out some market research survey once and they gave me a free 6 month subscription to some lame computer magazine (I hate computers, so I wasn't real happy with the reward for the survey). I never returned any of the subscription cards, never paid a cent, never gave anyone a credit card number or anything, and I still get that damn magazine.
     
  10. Dakota rube

    Dakota rube Senior member

    Messages:
    14,506
    Likes Received:
    192
    Joined:
    Jan 14, 2005
    Location:
    A bit better than yesterday, all day vomiting for
    I get free magazines all the time. Some of them are even readable.
     
  11. JLibourel

    JLibourel Senior member

    Messages:
    8,608
    Likes Received:
    397
    Joined:
    Aug 7, 2004
    Agree with the foregoing comments that a lot of magazines sell below rate card, just as you don't customarily pay full sticker price for a car.

    Anybody know what the paid circulation of GQ is to demand $82.5K for 12X/4C? If their CPM (cost per thousand) is similar to ours at Gun World, it must be somewhere in the vicinity of 800,000.
     
  12. unpainted huffheinz

    unpainted huffheinz Senior member

    Messages:
    1,523
    Likes Received:
    1
    Joined:
    Jan 8, 2008
    Location:
    Arena of the Unwell
    Anybody know what the paid circulation of GQ is to demand $82.5K for 12X/4C? If their CPM (cost per thousand) is similar to ours at Gun World, it must be somewhere in the vicinity of 800,000.

    Esquire's total circulation is about 700,000, and I got the impression that GQ is more than that.
     
  13. fredfred

    fredfred Senior member

    Messages:
    1,138
    Likes Received:
    2
    Joined:
    Feb 20, 2008
    Location:
    New York City
    Looks like TOTAL (paid and unpaid) GQ is about 770,000 copies in the US, another 30K in canada. (listed on separate tab on that webpage)

    Nobody pays "rack" (full) rates except in unusual circumstances. 15-20% off just for asking. Up to 50% off if you are willing to take what space remains at the last minute.
     
  14. SoCal2NYC

    SoCal2NYC Fashion Hayzus

    Messages:
    12,204
    Likes Received:
    5
    Joined:
    Apr 8, 2007
    Location:
    Manhattan
    I always think of brands discussed here as more of niche items but I guess in reality they are pretty big companies. Zegna, for example, advertises in several mags. Can't believe they spend that kind of dough.

    Even Lobb advertised in Men's vogue.


    Zegna is an enormous company.
     
  15. Massey

    Massey New Member

    Messages:
    1
    Likes Received:
    0
    Joined:
    Jan 19, 2013

Share This Page

Styleforum is proudly sponsored by