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FOLIO:'s 2006 Advertising Sales Salary Survey



By Linda Zebian
08/28/2006

The conclusion from this year's ad sales survey: Internet advertising is your friend. Many of our respondents name the continued rise in online products as the main factor that could affect compensation. The shift to online however, may be the next step in ad sales, considering online advertising eliminates the need for production and distribution expenses, which come second in a long list of concerns. To compare how your salary stacks up to the rest of the industry, click here.

Methodology
The survey sample of 722 was selected by Red 7 Media and Readex Research and represented all FOLIO: subscribers classified as sales management at the time of sample selection. Data was collected via mail survey from June 5 to July 19, 2006. The survey was closed for tabulation with 279 responses (a 39 percent response rate). To ensure representation of the audience of interest, results have been filtered to include only those 222 respondents who indicated they work full time and that their job functions are best described as advertising sales director; advertising sales or regional manager; or advertising salesperson, account executive, or category manager.

The margin of error for percentages based on all 222 respondents is 5.5 at the 95% confidence level. Conducted by FOLIO: and Readex Research

SALARY BY CATEGORY: ADVERTISING SALES DIRECTOR
Advertising sales directors are embracing the rise in Internet advertising, with 75 percent of respondents claiming online sales responsibilities. They also expect compensation for new responsibilities online; with 58 percent of respondents anticipating an increase in pay this year, 32 percent of which expect a raise of 10 percent or more.

B-to-b ad sales directors bring home the highest salaries for the second year in a row, topping off with an average of $72,500 ($18,000 less than what was reported in 2005), followed by consumer directors, who earn an average of $68,200. Sales directors in the Northeast earn about $20,000 more than their counterparts in other parts of the country, with an average salary of $84,200. Midwestern, southern and western ad directors earn similar salaries around $63,000. Those who manage controlled magazines earned a mean salary of $73,200 while those who work on paid titles make significantly less with a mean of $56,600.

Ad directors appear to be more positive about Internet sales compared to last year's "Google-phobic" respondents, citing "selling more digital revenue like e-newsletters and Webinars as sales generators that will affect compensation. However, some are still pessimistic about the internet boom claiming, "Movement of print to online lowers total revenue and commission."

AVERAGE SALARY BY: GENDER Male $71,300 Female $63,900 AGE Under 40 $59,800 40 or older $73,000
EDUCATION Graduated college $71,100 Postgrad degree $68,700 HOURS WORKED 40 $56,700 41-49 $69,100 50 or more $73,100
IN NEW YORK CITY AREA Yes $94,500 No $63,500
GEOGRAPHIC DISTRIBUTION Northeast $84,200 Midwest $64,700 South $62,600 West $63,700
YEARS IN PUBLISHING INDUSTRY 10 years of fewer $60,800 10-19 years $64,500 20 years or more $83,200
YEARS IN PRESENT COMPANY 5 years or fewer $64,800 5-9 years $70,800 10 years or more $72,800 YEARS IN CURRENT POSITION 3 years or fewer $60,700 3-9 years $76,900 10 years or more N/A NUMBER OF PUBLICATIONS WORKED ON 1 magazine $59,100 2 magazines or more $73,100
NUMBER OF EMPLOYEES SUPERVISED None $53,200 1-4 employees $60,500 5 employees or more $85,000 COMPANY REVENUE Less than $10 million $53,200 $10 million or more $83,700
REVENUE OF RESPONDENT'S PUBLICATIONS Less than $3 million $54,100 $3 million or more $81,200 PAID/CONTROLLED PUBLICATIONS Paid only $56,600 Controlled only $73,200 Mix of both $73,600

SALARY BY CATEGORY: ADVERTISING SALES OR REGIONAL MANAGER
Male regional managers earn about $20,000 more than their female counterparts, a change from last year's survey, which showed male and females bringing home almost the same salary.

Consumer magazine advertising sales and regional managers take the lead again this year with a reported mean salary of $86,400, more than $30,000 more than the b-to-b regional sales manager, and double what the average association regional manager earns. For the second year in a row, regional managers are the most optimistic about seeing an increase in pay, 63 percent of respondents expect an increase, 37 percent of which expect an increase of 10 percent or more. Sales managers selling paid-only publications make almost twice as much as those who sell for controlled titles or a mix of both, receiving a mean compensation of $103,500. The Northeast pays the most with regional sales managers earning an average of $75,500, followed by the West where they earn an average of $70,400.

Regional managers credit the most rewarding aspects of their jobs to be the relationships they build with clients. A respondent says: "My great staff is most rewarding, especially the input from all aspects: Editorial, circulation, fulfillment and advertising."

AVERAGE SALARY BY: GENDER Male $73,100 Female $53,200
AGE Under 40 $55,700 40 or older $72,100
EDUCATION Graduated college $69,000 Postgrad degree $64,900
HOURS WORKED 40 $41,700 41-49 $74,200 50 or more $73,100
IN NEW YORK CITY AREA Yes $76,700 No $60,000
GEOGRAPHIC DISTRIBUTION Northeast $75,500 Midwest $53,400 South $70,400 West $51,800
YEARS IN PUBLISHING INDUSTRY 10 years of fewer $52,400 10-19 years $72,500 20 years or more $77,900
YEARS IN PRESENT COMPANY 5 years or fewer $65,800 5-9 years $66,500 10 years or more $80,700
YEARS IN CURRENT POSITION 3 years or fewer $61,900 3-9 years $67,800 10 years or more N/A
NUMBER OF PUBLICATIONS WORKED ON 1 magazine $63,700 2 magazines or more $64,700
NUMBER OF EMPLOYEES SUPERVISED None $58,400 1-4 employees $66,500 5 employees or more N/A
COMPANY REVENUE Less than $10 million $43,300 $10 million or more $74,100
REVENUE OF RESPONDENT'S PUBLICATIONS Less than $3 million $50,000 $3 million or more $71,100
PAID/CONTROLLED PUBLICATIONS Paid only $103,500 Controlled only $57,800 Mix of both $56,800

SALARY BY CATEGORY: SALES PERSON, ACCOUNT EXECUTIVE, OR MANAGER
For the second year in a row, b-to-b and consumer account executives and managers earn comparable salaries. Male account managers, however, reported earning almost $10,000 more than females, on average.

Like their superiors, account executives and managers are taking on responsibilities other than selling print advertising. Three quarters of respondents say they have taken on additional responsibilities outside standard aspects of their job descriptions, with 61 percent of respondents saying they were involved with online selling and 30 percent for events. In comparison, 61 percent say they expect a pay increase of 10 percent or more.

Consumer and b-to-b sales executives earn similar salaries, earning an average of $52,800 and $51,200 respectively. Areas of concern include advancements in online user tracking. Says one account manager: "The fact that it's easier to measure Internet advertising results is making companies demand more measurable results from their print advertising. Companies are quicker to stop advertising if they don't see an immediate return on their investment."

AVERAGE SALARY BY: GENDER Male $56,000 Female $46,800
AGE Under 40 $46,200 40 or older $56,100
EDUCATION Graduated college $48,600 Postgrad degree N/A
HOURS WORKED 40 $57,200 41-49 $44,100 50 or more $53,400
IN NEW YORK CITY AREA Yes $50,800 No $51,800
GEOGRAPHIC DISTRIBUTION Northeast $48,800 Midwest N/A South N/A West N/A
YEARS IN PUBLISHING INDUSTRY 10 years of fewer $43,200 10-19 years N/A 20 years or more N/A YEARS IN PRESENT COMPANY 5 years or fewer $45,800 5-9 years N/A 10 years or more N/A YEARS IN CURRENT POSITION 3 years or fewer $45,800 3-9 years N/A 10 years or more N/A NUMBER OF PUBLICATIONS WORKED ON 1 magazine $44,900 2 magazines or more $54,300
NUMBER OF EMPLOYEES SUPERVISED None $52,300 1-4 employees N/A 5 employees or more N/A COMPANY REVENUE Less than $10 million N/A $10 million or more $56,700
REVENUE OF RESPONDENT'S PUBLICATIONS Less than $3 million $39,100 $3 million or more $58,700 PAID/CONTROLLED PUBLICATIONS Paid only $52,300 Controlled only N/A Mix of both $47,400

By Linda Zebian
08/28/2006







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