The average amount that companies spent on custom publishing in 2006 grew to just under $1.13 million, an 18 percent or $175,901 increase over last year’s spending, according to a new study released by the Custom Publishing Council and Publications Management.
Custom publishing now encompasses 24 percent of the total amount that companies spend for marketing, advertising and communications, the study says. Thirty-nine percent of the study’s respondents said they planned to increase their custom publishing spending next year an average of 6 percent, while 48 percent plan to keep it at current levels and 13 percent plan to decrease spending.
Other findings included:
- Spending on custom publications by companies with revenues under $1 billion reached an all-time high in 2006 increasing 11.5 percent to $990,315, representing 25 percent of the total marketing communications spending at these companies.
- Spending on custom publications companies with revenues over $1 billion, also reached an all-time high in 2006 increasing 26 percent to $1,688,462, representing 10 percent of the total marketing communications spending at these companies.
- Nonprofits are more reliant on custom publishing as a primary and central marketing vehicle than for-profits. Custom publishing budgets for nonprofits in 2006 represented 26.7 percent of total marketing communications spending, while custom publishing budgets for for-profits were 19.6 percent of total spending.
- In terms of actual dollars spent on custom publishing, nonprofits and for-profits spend similarly. Nonprofits spent $1,202,344 while for profits spent $1,050,906.