Survey Finds Custom Publishing Now A Key Relationship-Marketing Tool
The 2000 survey indicates that custom publishing expenditure will increase 10.4% for the year 2000, compared to a projection of 8.0% for consumer magazine advertising expenditure. The 1999 survey sized the custom publishing industry at $1 billion plus, with nearly $700 million spent by third party advertisers.
Over 71% of custom publishers surveyed in 2000 entered the business post-1995, providing further evidence that the industry is growing rapidly. "The custom publishing industry has not yet reached its peak. Robust growth is expected to continue," noted Diana Pohly, CPC co-chair and President, Pohly & Partners. "Custom publishing has become a viable and effective marketing tool that builds customer loyalty."
Customer magazines continue to account for the largest slice of client expenditure and third party advertising (52.7%), followed by print newsletters and brochures (24.1%) and electronic media (16.5%).
"Custom publishers are now becoming integrated communication providers, offering end-to-end strategic solutions rather than limited tactical offerings," said Ed Padin, Senior Associate, P&MG.
The survey found that no large companies dominate the custom publishing market. Over 75% of respondents reported revenues of under $10 million with 8% over $20 million.
The P&MG survey found custom publishers to be most active in the following sectors:
Finance, insurance, real estate (11.7%) Technology (11%) Healthcare (7.8%) Education (5.8%) Travel (4.5%) Non-profit (4.5%) Entertainment (3.9%) Government (3.9%) Food (3.2%) Apparel (3.2%)
For more information or for a copy of the survey, contact Gina Iovino at 212-255-8455
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