• Mediaweek, Sunday, July 5, 2009 9:53 PM

Time Inc.'s Maghound, a Web-based magazine subscription service, was supposed to be a promising innovation with a Netflix-like approach. Maghound members pay a monthly fee for a set number of titles -- packages start at $4.95 for three. The members can swap out, cancel or add titles at any time. The first 30 days are free.

Yet, as Maghound nears its one-year anniversary, participating publishers say it has been negligible as a source of subscription sales, sometimes accounting for less than 1% of sales. Dave Ventresca, Maghound president, explains that Time Inc. hasn't done much to market the site while it works out the bugs. So far, initial orders are averaging about five magazines per month.

Ventresca indicates that Maghound will ramp up its marketing in the months ahead. Plans include a word-of-mouth campaign, expanded direct mail and e-mail promotions, more banner ads, and a branding ad campaign in Time Inc.-owned magazines, which include Time and People.

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