• by Michael Shields , September 13, 2004

The consumer magazine industry has had four months of growth in a row, and the industry appears to be heading for a turnaround.

In August, ad pages totaled over 15,000, which was up 3.1 percent from last year. This marks the fourth consecutive month of growth, according to the Publishers Information Bureau (PIB).

Revenue growth was even more robust, with total magazine rate-card-reported revenue for the month at $1.46 billion, representing a year-over-year increase of 13.7 percent. In fact, the growth in ad revenue appears to be outpacing the growth typical in yearly rate card adjustments, which may be indicative of increased revenue streams for magazines.

A tough start to the year is holding back any significant growth for 2004, as pages are up just 1.1 percent year-to-date, though revenue has increased a solid 8.5 percent. Yet the signs are pointing toward a strong finish.

"With more sustained growth, I'd say it marks the beginning of a turnaround," said Ellen Oppenheim, executive vice president and chief marketing officer of Magazine Publishers of America.

"You look for three things [when trying to measure] a turnaround," she added. "You look for consecutive periods of growth, you look for size, and you look for breadth."

August's numbers delivered all three, though it was breadth that perhaps made for the month's best story, as nine of the 12 major advertising categories recorded both page and dollar increases, led by double-digit page and rate-card-reported revenue gains in Financial, Insurance & Real Estate; Retail; and Public Transportation, Hotels and Resorts. Another good sign is the Automotive category coming to life, with the fall expected to be even stronger, according to Oppenheim.

Year-to-date, half of the 12 major advertising categories saw an increase in revenue and pages over the same eight-month period in 2003.