• by Larry Dobrow , July 15, 2003

A new study commissioned by the Custom Publishing Council (CPC) has revealed that consumers and business professionals have warmed to custom publications, with 91% of consumers agreeing that custom pubs are an important source of information.

Among business pros 94% called custom pubs important. While the CPC spun the results as a sign that the gap between custom and consumer publications is narrowing, that probably isn't entirely the case. After all, much of what the custom publishing business produces isn't for sale - even GM couldn't wangle its way into, say, an Citigroup employee publication. Nonetheless, the survey does provide compelling evidence that key consumer and business audiences are responding to custom publications like never before.

"Custom publishing is becoming a preferred way for companies to communicate with their customers," says Chris McMurray, CPC chairman and chief executive officer of McMurray Inc. "And that's the reason nearly every [company] is doing it - the average company spent around $800,000 on custom publications in 2002."

Central to the report, dubbed "Effectiveness of Custom Publications: A Study on How Consumers Respond to Custom Publications," was a comparison of custom pubs with other marketing vehicles. According to McMurray, the reason he sought to gauge custom publications' place in the marketing food chain is simple: "Whether you're selling ad pages or doing web sites, you're competing for the dollars that get allocated to a marketing agenda. I was curious to see where exactly [custom publications] fit into the equation."

While several of the study's findings are likely to catch the attention of the media business, one clearly stands out: 78% of consumers and 74% of business professionals who read custom pubs think they are a more effective vehicle for companies to talk about products or services than other forms of advertising. And these readers are also speaking with their wallets: 57% of consumers and 30% of business professionals said they have purchased a product or service highlighted in a custom publication.

Even non-readers of custom pubs seem to regard them highly, with 64% of consumer non-readers and 72% of business professional non-readers saying they believe custom publications are a better vehicle for companies to inform them about products and services than other ad mediums. "To see custom publishing compare so well with other media, especially among the business professional audience, is enormously encouraging," McMurray enthuses.

The study was the fourth of five research projects planned this year by the CPC; previous ones examined corporate America's spending on custom publications and the size, circulation, paid advertising and other characteristics of custom publications. McMurray says the studies are central to his organization's goal of providing information and support to a business that has long suffered from a knowledge deficit.

"For years, everybody was struggling to find information like this," he recalls. "From a growth standpoint, it's one of our main challenges." The CPC's membership has grown to 42 companies, up from 25 a year ago.

Not surprisingly, given his position as one of the industry's chief cheerleaders, McMurray forecasts continued growth for custom publications. "You'll see more spending on them, and probably an increase in their size and quality," he says. "Custom publications tend to be a stable, almost fundamental part of marketing programs - they're not something you turn on and off."