@ EconWomen: Women-Focused Publishers Say Display Has Room To Grow
Plenty of publications, including the WSJand AdAge, are declaring the end is nigh for ad networks, even juggernauts like Glam Media, because display ads are going to be hammered in the coming months. Not so, according to Scott Schiller, Glam’s EVP, global marketing. At our EconWomen conference, Schiller and Fairchild Fashion Group President Dan Lagani said that they expect their respective business models to hold up next year. And while we wouldn’t expect them to come out and say their companies were in deep trouble (even if they were), the trio did offer some stats to justify their measured optimism.
There’s still plenty of money to go around: Schiller said Glam’s revenues have grown by 200 percent year-over-year—and while projections for the coming year are “reality-based,” there’s still room for marked growth. “Let’s get some perspective. Display is going to grow to be about 20 to 30 percent of the digital pie over the next five to ten years. Whether that’s $3 (billion) to $4 billion, that’s still a lot of room to grow from our perspective. As a medium, we haven’t become experts at creating the right ad products to bring marketers online ... There will be pressure on ad network performance, but all media will feel that same pressure [to perform]. It’s up to us to show the engagement.”
WWD expects good things for both print and digital: Lagani said that digital revenues would make up close to 15 percent of the total ad base for Womens Wear Daily by the end of the year. The company also expects growth “well into the mid-double digits” next year. “Digital became a necessary part of the business, not from an ads standpoint but as a distribution solution ... you can’t have a global product and be printed in one location, especially if you’re creating new content every day. Now about a third of WWD’s paid subscribers are digital, and the ad model grew out of that.” And none of that growth has come at the expense of print, he said. “The digital business has grown pretty significantly, but traditional has grown quickly as well ... We’ve had great ad success in the medium that’s been pooh-poohed as dying. Maybe print won’t flourish in the form of broadly distributed news that you can get everywhere, but if you have a specialty that no one else is doing, then you can thrive.”
Posted In: Advertising, Media & Publishing, Women-Centric Content, Magazines, Companies
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