What's behind the newsstand dive? At least six reasons for decline, says Hearst exec

Folio: The Magazine for Magazine Management, August, 1989 by Michael Garry

What's behind the newsstand dive?

NEw York City-Why have newsstand sales declined in recent years for the 400 or so magazines monitored by the Audit Bureau of Circulations (ABC)? Frank Herrera, vice president and director of distribution for Hearst Magazines, cited reasons for this trend at the recent Magazine Publishing Congress:

* For larger titles, newsstand purchases are made for the most part by women. But with more women in the workplace, fewer have time to read magazines, bringing down sales.

* Cover prices, which hit a wall in 1987, are on the rise again in response to the higher cost of publishing. But, Herrera pointed out, consumers are very price sensitive, making cover price hikes a risky business. Women's titles like Family Circle, Woman's Day and Good Housekeeping all lost newsstand sales after raising cover prices. "Higher prices also make for a better subcription offer, which cannibalizes newsstand sales," he added.

* The proliferation of special interest titles has cut away single-copy sales of more established magazines. General interest women's titles like Cosmopolitan lost readers to publications concentrating on one segment of its coverage, like fitness. The three major outdoor magazines, moreover, suffered with the advent of numerous regonal hunting and fishing titles. Of the 3,000 magazines sold at the newsstand, only 135 have circulations above 100,000--and those titles have suffered a single-copy drop of 17 million copies per issue, said Herrera.

* "Time Inc. has contributed to the demise of newsstand sales more than anybody," Herrera asserted, pointing to the firm's numerous sweepstakes, premiums and television pitches. "Consumers conclude that you have to be crazy to buy on the newsstand," he said. Ironically, Herrera added, publishers are finally realizing newsstand sales are far preferable to expensive "quick-fix" subscription campaigns.

* While illiteracy continues to plaque the publishing industry, what Herrera and others term "aliteracy"--disinterest in reading among those who can--may pose just as serious threat. Many young people, particularly, said Herrera, have adopted a lifestyle that leaves very little time for reading.

* Certain newsstand titles continue to feel the effects of the Meese Commission report on pornography, issued three years ago, claimed Herrera. If anything, the trend has worsened, spreading from men's sophisticate titles--the "skin magazines"--to mainstream publications like Esquire, Cosmopolitan and Sassy.

"Some women's books are being thrown off the newsstand because the ads are too hot," said Herrera. Recently, Esquire was removed from three supermarket chains in the South and West because of a provocative photograph of the Olympic diver Greg Louganis.