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Wal-Mart shoppers: Get your People and Enquirer fix elsewhere

Posted Feb 4th 2009 6:45PM by Sarah Gilbert (RSS feed)
Filed under: Time Warner (TWX), Wal-Mart (WMT), Walgreen Co (WAG), CVS Corp (CVS)

A standoff between two of the nation's largest periodical wholesalers and magazine publishers over a seven-cent surcharge could keep popular celebrity and news magazines out of most Wal-Mart Stores, Inc. (NYSE: WMT) outlets this week. Some Walgreen and CVS stores would also be affected. The two wholesalers, Anderson News and Source Interlink Cos, deliver to 3,000 of Wal-Mart's 4,200 stores, and they are charging a seven-cent surcharge per magazine, which publishers like Time Warner Inc. (NYSE: TWX), Bauer Publications, and American Media refuse to pay.

A Wal-Mart spokesperson said that some stores would be without magazines this week, but wouldn't give specifics about titles or the number of stores. However, it was clear that the majority of stores would be affected; and the titles owned by the objecting companies include People, Time, National Enquirer, Star, and Life & Style. Popular celeb titles Us Weekly and OK! were not subject to the standoff.

Continue reading Wal-Mart shoppers: Get your People and Enquirer fix elsewhere

Time Warner's magazines, no big year here

Posted Sep 6th 2006 3:02PM by Douglas McIntyre (RSS feed)
Filed under: Products and Services, Magazines, Time Warner (TWX), Marketing and Advertising

The Publishers Information Bureau of The Magazine Publishers of America tracks magazine revenue and advertising pages each month. The study covers all major magazines and weekly newspaper inserts.

PIB, as it is called in the industry, takes gross pages and multiplies them by published rates for advertising pages by magazine. So, discounting is not reflected in the numbers. Assuming that the market makes all major magazine discount at about the same rate, the numbers are good from a directional standpoint.

In the period from January to July 2006 compared to the same period in 2005, the larger magazines at Time, Inc. did not do terribly well, and indication that revenue and operating profits at the group may not be strong for the second half of the year. With the costs of postage, ink, and transportation rising, mostly due to higher oil prices, margins will be squeezed unless revenue is rising smartly.

In the seven month period, Sports Illustrated ad revenue was up .9% to $346 million. Ad pages for SI were flat.

Continue reading Time Warner's magazines, no big year here