Please Take Our Survey: Industry Outlook 2008
Thank you for being a loyal reader of ViewPoint, Verified's e-newsletter. As we progress through the new year, Verified is asking its clients to help define their greatest challenges for the year ahead.
Please complete our short, three-question survey that will take no more than five minutes of your time. Your feedback is invaluable to us and we look forward to hearing what you have to say.
African Americans Increasingly Important for Advertisers
As the U.S. becomes increasingly diverse, ethnic markets present new and valuable opportunities for advertisers. With a population of 39 million, now more than ever African Americans are crucial to our consumer economy.
According to the 2007 Selig Center for Economic Growth's report titled The Multicultural Economy – Minority Buying Power in the New Century, "The buying power data...and the differences in spending by race and/or ethnicity suggest that as the US consumer market becomes more diverse, advertising, products and media must be tailored to each market segment."
Looking at the numbers, the African-American market is extremely lucrative. The Selig Center projects that the U.S. buying power of African Americans will increase from $318 billion in 1990 to $1.1 trillion in 2012. In addition, the African-American population is growing faster than the total population (27%), is younger (31.2 years), is becoming more educated, is increasingly setting cultural trends and is widespread instead of concentrated in a few markets like other ethnic groups.
The Survey of Business Owners by the U.S. Census Bureau in 2002 showed that the number of firms owned by African Americans increased by 45% between 1997 and 2002. This is about four and a half times faster than the 10% increase for all U.S. businesses.
The spending habits of African Americans as a group are not the same as other ethnic consumers. They tend to spend more on certain products such as phone services, utilities, apparel, footwear and groceries than other groups. In addition, African Americans prefer to shop in person rather than online.
Less than 1% of U.S. advertising dollars are spent using African-American media. Many advertisers think they can reach African Americans via mainstream media and may think advertising in African-American media is ineffective. Advertisers tend to rely on images of African Americans in the mainstream media to reach them instead.
Jeff Burns, former Vice President of the Johnson Publishing Company, which publishes Ebony magazine, said, "Reaching is not selling. By and large, media buyers do not sit down and think of black media and may refuse to address the fact the black consumer has the wherewithal to purchase their products." He adds, "But black media is a direct invitation from the marketer to the consumer to purchase."
Cynthia Perkins-Roberts, VP at Cable Advertising Bureau, said that African-American print media is a major source of information for the community. Credibility is given to African-American print media because it is from "our perspective." According to Perkins-Roberts, African-American newspapers are trusted more than mainstream media—80% trust newspapers and 87% trust magazines.
Vernon Whitmore, Publisher of The Globe, a free weekly newspaper in Oakland, California, said, "The black press offers insights into African-American society, culture, and history. It acts as a voice of the community and offers key signs of the buying trends." In addition, Whitmore said, "African Americans trust news from black media more than general media. They are very brand loyal. That loyalty extends to advertising as well."
Many advertisers need to be educated as to the value of ethnic media. Perkins-Roberts said, "One of the most frustrating marketing practices is underestimating the relevance of Black media. Since it's a given that more Black Americans are using general market media today, it's no wonder that the primary strategy for many marketers is to reach these consumers through general market media vehicles. Like the general market, Black Americans use a wide variety of media, but unlike the general market, they embrace Black media."
According to the 2005 report from the State of the Media, getting hard numbers on ethnic media is difficult. Print media is rarely audited and most of the information is only anecdotal.
As America's ethnic communities continue to grow and their publications multiply, measurement is increasingly important to attract national and regional advertisers. Ethnic media is mostly owned by small, locally owned companies.
One of the things that makes circulation auditing so difficult for some companies is that their bookkeeping and records haven't been done according to the practices of mainstream publishing. In addition to providing metrics, auditing can help publishers to change their records so that auditing becomes more affordable.
Eleanor Boswell-Raine, Associate Publisher of The Globe, said that auditing was an essential part of the business plan when Whitmore was thinking about launching The Globe. They wanted to start out with a reputation being an audited newspaper. "We are actively delivering this message to sister papers up and down the coast," said Boswell-Raine.
Verified in the News
Verified Audit Circulation has received the attention of several major trade publications and newsletters recently.
You can see articles in Folio:, Circulation Management, The Circulator, DMNews, New American Media, National Mail Order Association, and Ink, as well as in many blogs.
Free Community Newspapers
In addition, over the next few months we will be doing presentations at the National Association of Hispanic Publishers Conference in Atlanta, the Circulation Management Conference & Tradeshow in Chicago, and the Cal-West Circulation Managers Association conference in Sacramento.
Newspaper Association of
America Annual Convention and NEXPO
4th Annual Marketing to
The min Day Summit: Maximizing
Your Magazine Brand in a Digital World
26th Annual National
Association of Hispanic Publishers Conference and Expo
34th Annual Association
of Alternate Postal Systems Conference
New Communications Forum
Cal Western Circulation
Managers' Association 89th Sales Conference
Association of Free Community
Newspaper Annual Conference and Trade Show
Association of Directory
Publishers 2008 Annual Convention
Association 2008 Publishing Conference
National Magazine Awards
Canadian Community Newspaper
Association Annual Convention
you have an event that you would like to announce, please
Two-Thirds of Americans Dissatisfied
with the Quality of Journalism
A new WeMedia/Zogby Interactive poll shows that 67% of Americans believe traditional journalism is out of touch with what Americans want from their news. In addition, the survey found that while almost 70% of Americans think journalism is important to the quality of life in their communities, two-thirds are not satisfied with the quality of journalism in their communities.
The online survey documented the shift away from traditional sources of news, such as newspapers and TV, to the Internet, most dramatically among so-called digital natives, people under 30 years old.
According to the study, websites are regarded as a more important source of news and information than traditional media outlets:
Andrew Nachison, co-founder of iFOCOS, said "...we have documented a crisis in American journalism that is far more serious than the industry's business challenges... Americans recognize the value of journalism for their communities, and they are unsatisfied with what they see. While the U.S. news industry... frets about its future, Americans are dismayed by its present..."
The survey finds the Internet not only outweighs television, radio, and newspapers as the most frequently used and important source for news and information, but websites were also cited as more trustworthy than more traditional media sources by 32% of the respondents.
Although 64% of Americans are dissatisfied with the quality of journalism overall satisfaction with journalism has increased to 35% from 27% who said the same in 2007:
© 2008 MediaPost Communications
Tips & Techniques – Circulation
Analysis by ZIP/Postal Code
Verified's Audit Reports and Publisher's Statements include a Circulation Analysis by ZIP/Postal Code. This report must be completed annually, or twice a year if you would like updated figures on the semi-annual Publisher's Statement. The analysis is a breakdown of the total distribution for one representative issue. The analysis offers a geographic "snapshot" of your circulation to help advertisers better understand your distribution area.
Only the ZIP/Postal Codes where there is a distribution of 25 copies or more (aggregate) need to be included in the analysis. For example, if you distribute only 15 copies Target (bulk) in a ZIP/Postal Code but 22 Free Carrier Copies, it should be included in the analysis because the total distribution is 37 copies. You need to total all types of distribution when determining if a ZIP/Postal Code should be included.
To create your Circulation Analysis by ZIP/Postal Code, first sort your distribution list by ZIP/Postal Code. Enter the number of copies distributed within each code in the Wizard.
Use the same method for calculating the total copies in each ZIP/Postal Code for all other types of distribution as well.
The analysis is based on gross distribution only. The total copies distributed in all ZIP/Postal Codes should match the total gross circulation for the corresponding day on the Quarterly Printing and Distribution report. ZIP/Postal Codes where less than 25 copies are distributed are classified as Miscellaneous. In general, miscellaneous copies cannot exceed 10% of the total distribution.
If your publication is distributed across a large geographic area (states or provinces) a different analysis is available. Please contact us to discuss the alternative reporting methods.
|© 2008 Verified Audit Circulation.|