Digital Magazine and Newspaper Editions: Best Practice Cases
Advertisers aren’t charged extra for exposure in the e-edition, except when they want to
add animation or other rich media to their ads. Instead, Navy News raised its basic ad
rates across the board — its first ad rate increase in three years.
Results
� Despite the problems accessing the e-edition inside the Ministry of Defence
(MOD) network (see below), Navy News has judged its e-edition to be a success.
They are pleased with their usage statistics.
� The sales staff is finding it easier to sell ads in the publication if the e-edition is
part of the offer; they are finding that media buyers at ad agencies are
increasingly familiar with digital editions and are interested in them.
� Navy News is now attracting bigger advertisers, which submit larger, nicer-
looking ads — advertisers such as car companies and the Royal New Zealand
Navy.
Lessons Learned
� The biggest issue Navy News encountered with its e-edition was that the MOD
network’s firewall blocks all Flash-based content, meaning that computers
within the MOD network can’t receive Flash-based digital editions. Navy News
is trying to resolve this by working with the MOD to integrate the YUDU e-
edition into its infrastructure.
� Some readers still prefer hardcopies and have not cancelled their print
subscriptions, even if they are paying for them.
� In the future, Navy News intends to expand advertising and encourage more
advertisers to be more adventurous with animation, and to increase the amount
of rich media used in editorial content.
Gilbane Group Conclusions
The initial lack of familiarity with digital editions among users and advertisers has
created a “Catch-22” situation for many publishers, which have balked at both raising
ad rates and charging for subscriptions to their digital editions. Navy News is finding its
way out of this Catch-22. Its decision to raise ad rates across the board is a clever way to
increase direct revenue without drawing undue attention to the new publication.
Publishers should consider following this example instead of counting on increased
readership and reader involvement (e.g., click-throughs) for enhanced revenue “later
on.”
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©2008 Gilbane Group, Inc. http://gilbane.com