["The great thing in the world is not so much where we stand, as in what direction we are moving." -Oliver Wendell Holmes (American Physician, Poet, Writer, Humorist and Professor at Harvard, 1809-1894)]
iPad App Subscriptions Grown Through Bundling
http://www.mediabiznet.com.au/news/home.do?newsId=5510
Today’s iPad magazine enthusiast is someone who buys a magazine app twice a month, purchases an average of three apps per transaction and spends more than $10 per purchase. He or she buys magazine apps in the same transaction as sports apps, games, and apps related to other enthusiast interests.
A dataset provided exclusively to eMedia Vitals by eDataSource provides a unique look at the purchasing habits of anonymous individual consumers from Aug. 12 to Oct. 31. The data shows profiles of three types of users that consumer marketers and audience development professionals should be developing specific strategies for:
* New Users: someone recently purchased an iPad and is loading up on apps to see what they like
* Magazine Enthusiasts: someone who buys a magazine app at least twice a month
* iPad Zealots: someone who has two transactions a month of $20 or more
While nearly one-third of all iTunes transactions involving a magazine app were less than $5, over 48 per cent of transactions were for more than $10 and consisted of more than 3 apps. The price per app in transactions of $10 or more jumps considerably, demonstrating less price resistance than the casual buyer.
Bundle related magazines apps into a single offer
According to the data, the more apps purchased, the more paid per app. Users who buy multiple apps at one time are less price-sensitive than the one-off casual buyer. This suggests that publishers should consider bundling multi-brand subscription offers to iPad users or cross promoting quickly after a single app purchase. This can be accomplished in one of several ways:
* Using the app’s push notifications to suggest a purchase
* House ads cross promoting other brands with a link directly to the brand in the app store
* Using an existing circulation and fulfillment service to create a multi-brand iPad subscription offer (which could also offer print)
Reach out to related non-magazine app providers for bundles
Remember the old Sports Illustrated TV commercials? You get a one-year subscription to Sports Illustrated, the Swimsuit Issue, a calendar of your favorite team, and the football phone! One of the key characteristics of the Zealots category is that they buy expensive apps like NHL GameCenter at the same time that they buy GQ.
Use this same strategy to test bundles of your brand with other non-magazine apps. Use Google Ad Planner or Quantcast to find sites and users interests of your audience. You can see on GQ’s Google Ad Planner profile that their readers 15x more interested in Deadspin than an average Website. So, partnering with top-selling sports apps on some bundled offers might reap rewards.
Targeting new iPad users can increase app sales
The data also suggests targeting new iPad users, as they make large purchases right away. While we have not been able to identify a telemarketing or email list of new iPad users, we have seen some successful strategies that can be employed here.
The New York Post’s iPad marketing is one to use as a model. They intercept any iPad browser attempting to access nypost.com, and they redirect them to an iPad offer. Initially, it was an interstitial, but today you have to subscribe via their app in order to access their content on your iPad. This tactic can be modified easily, and it can at least target iPad users who are new to your site.
1. Develop three offers: a single brand offer, a multi-title bundled offer, and a choice between a bundled offer or a single brand
2. Test the single title subscription offer and the choice offer to returning iPad visitors
3. Test the multi-title bundled offer and the choice offer to new iPad visitors
Targeting new iPad users, enthusiasts and zealots with customized offers ensures your brand won’t be so reliant on Apple’s Newsstand for app discovery and increases your yield per transaction.
Source: emediavitals
Tablets Attract Magazine Readers
http://www.mediabiznet.com.au/news/home.do?newsId=5513
New research composed exclusively of Tablet and eReader owners, reveals that male Tablet owners are particularly interested in reading digital magazines and that Tablets are generating readership of back issues of publications.
According to the GfK MRI iPanel, almost three-quarters (71 per cent) of Tablet owners say they are interested in reading magazines on their device. Men, in particular, are open to digital magazine reading: 77 per cent of male Tablet owners expressed interest in reading magazines on their device versus 68 per cent of female owners. Among younger male Tablet owners, ages 18 to 34, 85 per cent expressed interest in reading magazines on their device.
Digital magazines seem to be sparking new reading behaviour among consumers, says the report. 19 per cent of Tablet owners who read a magazine on their device in the last 30 days also took the opportunity to read back issues of a title during their reading session, with little difference between genders, as 20 per cent of males having read back issues compared to 19 per cent of females.
Risa Becker, SVP Research at GfK MRI, says “The fact that younger men who own Tablets are interested in reading digital magazines bodes well for digital magazine advertisers, since this demographic has been historically hard to reach.”
The most popular way in which Tablet owners read a magazine or magazine-related content is with an App, according to the GfK MRI iPanel:
* 65 per cent of Tablet owners who read a magazine on their device in the last 30 days did so via an App
* 47 per cent of Tablet owners accessed magazine content on their device by visiting a magazine’s website
* 37 per cent read a digital reproduction of a magazine, which includes both print content and advertisements.
Tablets Helping Publishers Sell Back Issues
http://www.mediabiznet.com.au/news/home.do?newsId=5508
Good news for publishers when Apple launched the tablet, single copies were the only way most magazines were available. Because single issues usually were priced the same as the print edition, readers balked at having to pay almost as much for a single digital issue as a year’s print subscription.
Now digital subscription options are available to consumers, and single issues have turned out to be a good way of selling back copies of magazines, which has been cumbersome to do in print.
At U.S. based publisher Hearst Magazines, 30 per cent of its single copies sold on tablets are back issues, according to president David Carey. Hearst sells digital editions of lots of its brands including Cosmopolitan, Esquire and Popular Mechanics on the iPad, and with single issues representing 10 per cent to 15 per cent of its digital editions volume, back issues make up some 4 per cent of the total.
Carey calls back issues the “long tail” of digital editions. “Like book publishers, we’re making our ‘back list’ more easily accessed by readers,” he emailed. “Much of the content is truly timeless.”
Enthusiast publisher Bonnier has had a similar experience. At its Popular Science, which has been on the iPad since its launch, back issues have accounted for 40 percent of its single digital copies sold this year, said Gregg Hano, Popular Science’s publisher. At sibling title Popular Photography, the figure is 41 percent.
It’s hard to see news-driven magazines selling a lot of back issues, but for those with evergreen content, back issue sales have the potential to be big business. Martha Stewart Living and Everyday Food report that one-fourth of their digital single copies sold on the iPad are back issues. “Our readers have always told us they archive every issue of our magazines and regularly refer back to them, and they’re archiving issues digitally now as well,” a Martha Stewart Living Omnimedia rep said.
Similarly, people also are drawn to back issues like Popular Science’s Best of What’s New that have a long shelf life, Hano said. Even with Bonnier’s back issues being priced lower than current editions ($2.99 versus $4.99), he said, “We have found this to be really good for our business.”
Pleased by the appeal of back issue sales, publishers are now mulling how to make the most of them by getting them in front of readers in tablets’ app stores. They may have to wait, though. At least for now, the sale of multiple back issues is limited to the iPad; sources said only one back issue per title is available on Barnes & Noble’s Nook and the Kindle Fire.
Source: Adweek