president and CEO, The Deal LLC
When other publishers talk about change, Worth has enacted it at The Deal, creating a successful and profitable online paid strategy with The Deal Pipeline.
One of the biggest conversations about the â€śevolutionâ€ť of the magazine publishing industry over the last few years, especially since the onset of the precipitous advertising decline, has centered on how to monetize content online.
The Deal LLC has navigated a changing print medium and created a thriving online paid content business in The Deal Pipelineâ€”which essentially is a massive vertical search engine for the deal world that launched in 2007. Today, it carries more than 35,000 subscribers from approximately 450 companies that own a license to it. In fact, The Pipeline has reduced The Dealâ€™s dependence on advertising so much that licensing of its online content now makes up more than two thirds of the brandâ€™s overall annual revenue.
In late 2006, The Deal president and CEO Kevin Worth took a hard look at the brandâ€™s competitive environment. â€śA couple thoughts went through my head at the time,â€ť says Worth. â€śThere will be an economic pullback that will have a natural impact on cyclical advertising. We didnâ€™t know what the advertising impact would be but we knew that we were sitting on a lot of great assets that we could do a lot more with.â€ť
Worthâ€™s idea of â€śaltering the courseâ€ť became so ingrained into the culture at The Deal that it was often referred to internally as â€śATC.â€ť â€śThe basic idea was that we were going to situate the company to take advantage of a few trends that we saw coming,â€ť says Worth. â€śWe wanted to become more digital and to participate more in areas that would generate higher growth revenue, namely information and marketing services.â€ť
Worth says he wouldnâ€™t mind it if traditional advertising rebounded a bit, too. â€śYou have to have the right catcherâ€™s mitt out,â€ť he says. â€śWe spent a lot of time making sure that our suite of marketing services for our clients is the appropriate products in terms of execution, audience and pricing. Thatâ€™s still a change process and will continue to be.â€ť
VITAL STATS: The Dealâ€™s Pipeline licensing business now makes up more than two-thirds of the brandâ€™s overall annual revenue.