• by Ken Liebeskind , June 12, 2001

Magazine advertising revenue suffered its biggest recent drop in May, with spending at $1,503,944,138, a 9.4% decrease from last year, the Publishers Information Bureau announced yesterday. Advertising pages were 22,368, an even steeper 16.9% drop.

Year-to-date, advertising revenue decreased 1.9% closing at $6,676,380,757, and ad pages were 101,990, down 9.4% over last year.

The numbers are gloomy but hardly surprising, since all media are reporting drops. Magazine advertising held steady last year, with drops beginning in Q1 2001, according to Ellen Oppenheim, executive VP/CMO of Magazine Publishers of America. She says the numbers were actually up for January but have fallen since, with May's drop the biggest so far.

She says she doesn't make projections, but thinks the turnaround "won't be immediate. We'll watch month to month to see how it continues."

The good news to report is that certain ad categories were up. Four categories -- toiletries and cosmetics, drugs and remedies, transportation and hotels and resorts reported gains.

"Positive growth in these categories demonstrates that magazines continue to be valuable advertising vehicles," Oppenheim says.

But other major advertising categories showed drops, including technology, retail, financial, insurance and real estate, media and advertising, home furnishings and food products.

There have been year to date gains in seven categories: toiletries and cosmetics; apparel and accessories; drugs and remedies; food and food products; transportation, hotels and resorts; direct response companies; and home furnishings.

Oppenheim couldn't comment on individual magazines or publishing companies, simply noting that the ones that run more ads from the successful categories are doing better.

She says that many magazine companies are looking for revenue from other sources, such as events sponsorships and retail promotions.