Meredith Guarantees Print ROI for Select Advertisers
Requires 12-month commitment; free space offered if goals not met.
Meredith Corp.—publisher of titles such as Better Homes & Gardens and Ladies Home Journal—has introduced The Meredith Engagement Dividend, a product that offers advertisers guaranteed sales for their investment in Meredith magazines.
Participation requires a 12-month advertising commitment in Meredith magazines (commitment is based on category, with minimum levels of frequency and is only open to national advertising schedules). If guarantees aren’t met, Meredith will give that advertiser free space until it achieves the agreed ROI.
To prepare for the program, Meredith and Nielsen teamed up to measure ROI for higher frequency ad campaigns that ran in Meredith magazines from 2009 to 2010. Participating advertisers will have access to Nielsen analytics.
The partners say that much of the past research done for magazines focused on purchase intent or brand engagement, not specific sales ROI.
The Meredith National Media Group has shown some softness recently on the advertising side, with total advertising revenue falling 4 percent to $501.38 million in fiscal 2011.
However, according to Meredith reports, advertising rates grew in magazines and the average ad revenue per magazine page increased by more than 5 percent. Operating profit margin jumped 17 percent as operating profit grew 6 percent to $180 million.