Digital magazines are experiencing growth, while "e-ink" technology could allow book-like electronic documents with replaceable content.NEW YORK—Technology has been a two-edged sword for the publishing industry, slicing readership and shredding traditional business models in one direction, while also cutting new paths to improved reach and influence for established brands.
A panel of experts at the Circulation Management Show here Friday explained how magazines can make the most of new technology. Mike Oberman, CEO of Omeda Communications Inc., opened by noting that application is often more profitable than innovation.
"The publishing business is currently in the mode of applying technology rather than inventing technology," Oberman said, adding that the intelligent leveraging of existing tools such as databases and online response mechanisms can still do a lot to help publishers meet their circulation goals.
Click here to read how some periodical publishers are using digital editions to increase the circulation of print editions.
One hopeful exception is the potential introduction of the oft-predicted "e-ink," a display technology that someday could enable the creation of publications that look and feel like books but have electronic pages on which content can be replaced: "a technological breakthrough that will make a huge difference in what we do," Oberman said.
He also noted that while traditional forms of publishing are holding up for the moment, they are unlikely to serve us 20 years from now.
Some recent research on digital magazine readership was presented by Dave Zinman, senior vice president of marketing and product management at Zinio Systems Inc., a digital-magazine service company.
Zinman said he views digital magazines as a kind of bridge to the e-ink technology over which Mr. Oberman expressed optimism. Zinio's research shows across-the-board growth in digital magazine circulation, ranging from 25 to 38 percent in this last half of 2004.
The largest percentage of titles offered with digital versions are business titles, but digital consumer publications make up the bulk of overall circulation. The full report is available here.
Zinman also reported that multimedia elements in digital publications are becoming increasingly popular with advertisers. His research indicates that rich media has a substantial impact on readers.
As an example, he described how Advertising Age enhances its digital editions by including full video playback of the television commercials it covers, whereas the print edition can only include screen shots. "It gives the digital edition unique value," he said, "especially in business publications."
Some publishers also distribute electronic editions several days earlier than the print versions, an important "value add" for business publications that offer time-sensitive information.
Another example Zinman cited was the June 20 digital edition of Business Week, which includes several ads in animated rich media formats as well as "digital blow-in cards" to capture new subscriptions.
One advantage of electronic editions is that they can be easily and economically delivered to places where print subscriptions are impractical. In the first quarter of 2005 Zinio sold 25,000 subscriptions for electronic editions, and 48 percent of those subscriptions came from outside the United States.
Several attendees concurred with his expressed belief that electronic editions can increase a magazine's reach and increase the quality of circulation for controlled circulation titles at little or no marketing cost. As an aside, Zinman pointed out that electric magazines using Zinio technology had even been used on the International Space Station.
The session ended with a short exchange on the unsettled issue of whether technology really does drive circulation. "Editorial drives circulation," Oberman said, but he suggested that technology can enable editorial to drive circulation more effectively.
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