FOLIO: B-TO-B CEO SURVEY Will this year be a return to growth?

by Matt Kinsman
CHART 1: Approximately of your organizations revenue CHART 1: Approximately how much how much of your organizations revenue do came from came from each of these 2010? do you estimateyou estimate each of these sources insources in 2010?

201 1

2% 7% 7% 8% 6% 13%
6%

2% 7% 7% 8%

6% 5%

6%

4%
6% 5% 13%

6%

4%
e-media events

print advertising

print advertising e-media events paid subscriptions custom publishing

57%
13%

57%

13%

48%
19%

48%

paid subscriptions

custom publishing data/market data/market informationother sales other

information sales

19%
Company Revenue: Company Revenue:

<$5 Company Revenue:

million

<$5 million

$5 million+ Company Revenue:

19% online/e-media print advertising 21% events 19% custom publishing 16% paid subscriptions print advertising 21% 10%
events

CHART 2: What were the fastest growing parts of your online/e-media 52% organizations business in 2010?
52%

CHART 2: What were the fastest growing parts of your organizations business in 2010?
Company Revenue

$5 million+

<$5 million Company Revenue $5 million+

<$5 million $5 million+

custom publishing paid subscriptions other

data/market information sales 5% 16%

data/market 5% information sales online/e-media

10% other
events

7%

7%

68% 33% 12% 4%

8%

online/e-media print advertising

print advertising

events paid subscriptions

data/market 12% information sales

custom publishing

33%

20%

68%

custom publishing paid subscriptions

data/market information sales

4%
8%

20% 3% other

10

20

30

40

50

60

70

80

90

other

3% CHART 3: Compared to 2010, how do you expect your

0 organizations revenue to change in 2011? 60 10 20 30 40 50

INCREASE 15% by 30% or more 12% by 20% - 29% 30% by 10% - 19% 15% by 5% - 9% 9% by less than 5% 6% INCREASE 19% 15% by 30% orSTAYolio: MAY 2011 | foliomag.com more 30 F ABOUT THE SAME DECREASE 1% 12% by 20% - 29% by less than 5% 0% 30% by 10% - 19% 17% by 5% - 9% 0% 8%

70
78%

80

90

CHART 3: Compared to 2010, how do you expect your organizations revenue to change in 17% 2011?
78%

rom 2008 through 2010, many b-to-b publishers were holding on by their fingertips. While the same could be said for a disconcerting number of publishers in 2011, many organizations are anticipating growth and actually investing in areas that warrant it for the first time in years. Print remains the largest single revenue stream for most b-to-b publishers but continues to decline. In 2010, publishers generating more than $5 million in annual revenue saw an average of 48 percent of total revenue coming from print, compared to 57 percent for smaller publishers [Chart 1, page 30]. However, e-media was the fastest growing revenue stream last year (cited by 68 percent of larger publishers and 52 percent of smaller publishers). While the event industry was hammered almost as hard as print over the last few years (and event M&A dwindled to almost nothing in the media industry aside from UBMs acquisition of Canon Communications for $287 million), larger publishers said that was their second-fastest growing revenue stream [Chart 2, page 30]. Most smaller publishersmany of which

Company Revenue

by 5% - 9%

15%

9%

<$5 million

events data/market custom publishinginformation sales

readers (subscriptions, content sales, etc.) data/market information sales

8%

61% 41%

other 16%

3%
28%

custom paid su

other 0%

10

20

30

40

50

60

70
90

80

90

infor

0 10 20 30 40 50 60 70 80 CHART 3: Compared to 2010, how do you expect your CHART 8: Compared to 2009, about how much did your organizations operating expenses increase in each of these areas in 2010? 78% INCREASE
17% 5.6%

organizations revenue to change in 2011?

15% by 30% or more 12% by 20% - 29% 30% by 10% - 19% 15% by 5% - 9% 9% 5 by less than 5% 6% STAY ABOUT THE SAME 19% 4.8% DECREASE 1% by less than 5% 0% by 5% - 9% 0% 8% 4 4% by 10% or more 1%

CH or

Company Revenue

<$5 million $5 million+

Company Revenue
17%

<$5 million
3.5%

$5 million+
87%

distribution

distribution

production

production

circulation

20

40

60

circulation

e-media

editorial

e-media

editorial

sales

sales

INCREASE by 30% or more by 20% - 29% by 10% - 19% by 5% - 9% 2 by less than 5% STAY ABOUT THE SAME DECREASE 1 by less than 5% by 5% - 9% by 10% or more

3.4% 3.4%
1% 11% 5% 0% 0% 0% 0%

INCREASE by 30% or more by 20% - 29% by 10% - 19% by 5% - 9% by less than 5% 6 STAY ABOUT THE SAME DECREASE 1 by less than 5% 0% by 5% - 9% 0% by 10% or more 1 INCREASE by 30% or more by 20% - 29% by 10% - 19% by 5% - 9% by less than 5% STAY ABOUT THE SAME DECREASE by less than 5% by 5% - 9% by 10% or more

2.9% 2.5%
19% 51%

2.4% 2%

2.6%

12%

1.7%

5%

0% 0% 0% 0%

80

100

CHART 4: Approximately how much of your organizations revenue CHART 10: How much did these sources in 2011? do you estimate will come from each ofyour organization invest in new technology in 2010?
$500,000 - $999,999 0% e-media 14% $250,000 - $499,999 0% events 6% 1% $100,000 - $249,999 custom publishing - $99,000 1% $75,000 9% $50,000 8% paid subscriptions - $74,999 $25,000 - $49,999 data/market information sales $10,000 - 2% $24,999 other less than $10,000 7% did not invest in 2010
print advertising e-media print advertising$1M or more 0%

54%

Company $500,000 Revenue

$250,000 <$5 million

$1

mpany Revenue

Company Revenue
7% 6% 22%
46%

<$5 million

<$5 million $5 million+

$5 million+ $75,000

$100,000 -

$5 million+

23%

$50,000 $25,000 $10,000 less than did 39% not inve

$1M or more 7% 22% $500,000 - $999,999 3% events 15% $250,000 - $499,999 11% custom $100,000 - 5% publishing $249,999 $75,000 - $99,000 11% paid subscriptions $50,000 -6% $74,999 15% data/market $25,000 - $49,999 13% information sales 4% $10,000 - 2% $24,999 9% other less than $10,000 4% did not invest in 2010 5% 10 20 30 40 0

23%

$1 $500,000 $250,000 $100,000 $75,000 $50,000 $25,000 $10,000 less than did not inve

50

60

70

80

90

80

90

CHART 11: In what one area was your organizations largest technological investment in 2010?

10

15

20

25

30

35

dont have the resources or the audiincrease in overall revenue [Chart 3, of smaller publishers say they expect computer 30% hardware/software ence to build large web site said print CHART 31]. Thewhich ofof both larger is overall revenue to decrease this year.hire in 2011? shows, page 12: In majority these areas your organization planning to 20% was their second-fastest growing and smaller publishers (51 percent 30% sales 33% CMS 7% Company Revenue revenue lead generation year. stream last system and 30 percent respectively) say they Company e-media 23% Revenue Ratios Revenue 1% In 2011, 87 percent of larger b-to-b expect a double-digit increase bePrint will account for million editorial <$5 46 percent of <$5 million 11% social media 3% publishers and 78 percent ofmarketing smaller tween 10 percent and 19 percent. No revenue for larger publishers and $5 million+ mpany Revenue 8% video $5 million+ 1% p b-to-b publishers say they expect an larger 7% publishers and just 1 percent 54 percent of revenue for smaller events <$5 million webinars
other did not invest in 2010
computer hardware/software

$5 million+

0% design 2%

productioncirculation other 0% sales

4%

6% 5%

23%

21%

foliomag.com | MAY 2011 Folio: 31

web site

29%

e-media events custom publishing paid subscriptions

data/market information sales

not profitable 0%
15% 5% 6% 4% 2%

22%

10

15

20

other

10

20

CHART 5: From which sources do you anticipate increased revenue for your organization in 2011?80 30 40 50 60 70 90

$250,000 - $499,999 $100,000 - $249,999 $75,000 - $99,000 $50,000 - $74,999 $25,000 - $49,999 $10,000 - $24,999 less than $10,000 did not invest in 2010

11%

25

30
9% 4% 5%

11% 13%

10

66% CHART online media one area was your organizations largest 11: In what new print advertisers 62% technological investment in 2010? CHART 12: In which of thes computerexisting print advertisers 46% 30% sales hardware/software events web site 27% e-media 20% editorial CMS 11% 7% custom publishing 25% Company Revenue Company Revenue marketing 8% lead generation system readers (subscriptions, 1% 25% content sales, etc.) events 7% <$5 million <$5 million social media 3% design data/market information sales 12% 4% video $5 million+ 1% production$5 million+ 6% other 6% webinars 0%
other did not invest in 2010
computer hardware/software

2%

online media
21% 19%

new print advertisers

23%

circulation other 0%

5%

88%

web site

existing print advertisers

CMS lead generation system social media video webinars other did not invest in 2010

events custom publishing 9%

0% 0% 3%
readers (subscriptions, 4% content sales, etc.)

60% 57% 29% 61%

41%

16% 28%

data/market information sales

other 0%
5%

sales e-media editorial marketing events design productioncirculation other

17% 9% 8% 8% 1%

10

10

20

15

30

20

40

25

50

60

30

70

80

90

10

CHART 1: Approximately how mu will accountdo you percent for for 6 estimate came from each 22 30% or more 6% Company Revenue online startup 5.6% 27% larger publishers and 14 percent for <$5 million 20% - 29% 9% 5.6% ancillary service <$5 million smaller publishers. 5 2% 15% - 19% 23% $5 million+ 7% 5% startup 7% 10% -magazine 5 14% 17% $5 When Company Revenue million+ it comes to print, 60 per13% startup cent of larger publishers say they 5% - 9% 4.8% 19% <$5 million 7% acquisition of 4 4% another company less than 5% expect increased revenue from new STAY ABO 19% $5 million+ 3.6% 3.6% acquisition not profitable by 8% 19% advertisers (versus 57 percent who 7% another company 4 4% 3 anticipate more dollars from exist30% or more 4% 57% 2.9% 2 6% online startup 35% ing advertisers), while 62 percent of 20% - 29% 17% 3.5% 3.4% 3.4% ancillary service smaller publishers say they expect 15% - 19% 28% 33% startup 2 13% 3 10% -magazine 14% more dollars from new print adver16% 2.9% 20% startup 5% - 9% 17% tisers and 46 percent expect more 2.6% acquisition of 2.5% 1 2.4% 25% less than 5% another company 15% dollars from existing advertisers. acquisition 0% not profitable by 2 2% Expectations for custom pub5% another company Company Revenue: 1.7% 0 lishing and marketing services 55 10 15 20 25 30 0 0 <$5 million STAY ABO 10 15 20 25 30 35 have jumped significantly. Forty1 one percent of larger publishers CHART 7: 5: From which were each ofyou anticipate increased CHART How profitable sources do these areas CHART 2: What w ofrevenue for your organization in 2011? your organization in 2010? expect more revenue from custom organizations bu this year, compared to 25 percent Company Revenue online media 66% online/e-media events 12.8% of smaller publishers [Chart 5, CHART 14: Wh 0 <$5 million new print advertisers 62% organizations t events 19% page 32]. existing print online/ advertisers 46% $5 million+

CHART 13: Which of the following changes do you anticipate areas operatingwas CHART 6:organizationyour organizations overall profitability in 2010?in What expenses increase in each of these for your in 2011?

CHART 8: Compared to 2009, about how much did your organizations CHART 9: Compared to 2010 organizations operating expe 2010? publishers this year, while e-media
Company Revenue

distribution

distribution

production

production

circulation

e-media

data/market custom publishing info sales readers (subscriptions, print data/market information sales
other online media
existing printe-media advertisers new print online/ advertisers
content sales, etc.)

events

27% 25% 25%

12% 6%

events

10.5% print advertising

e-media events

CHART 4: Approximately how much of your organizations revenue custom publishing increasing profitability Company Revenue 14.1% Profitabilityincreasing web business 16% paid subscriptions 10% do you estimate will come from each of theseProfits are indifferent story. While sources a 2011? <$5 million data/market
delivering ROI for advertisers

13.5%

circulation

e-media

e-media

editorial

editorial

sales

sales

print advertising

revenue growth

21%

$5 million+

14% 6%
41%

22.1% 88%
60% 57% 61%

21.8%

data/market events info sales custom publishing

readers (subscriptions, print content sales, etc.) data/market information sales

custom publishing paid subscriptions 16%

data/market 28% information sales

other 0% 0

10

20

other

30

15.5% 8% 13.5% 2% 10 15 7%

9%

tools for advertisers 28 percent of larger publishers7% say 54% other 17% revenue diversification they had a profitincreasing market share 15 margin between 16% online/e-media creating 2010 (and 16% percent and 19 percent inlive events events editorial integrity 13% zero said they werent profitable), 10% cutting Company Revenue print advertising cost 12% spin-off businesses 57 percent of smaller publishers 10% custom publishinghiring 20% 5% said their profit margin <$5 be- 4% was million paid subscriptions staff stability 4% data/market $5 million+ tween zero and 9 information sales other 4% percent [Chart 6, 8%

informationnew marketing creating sales 5%

20

25

40

50

60

70

80

90
46%

print advertising 32 Folio: MAY 2011 | foliomag.com

revenue growth3% increasing profitability 0 10 increasing web business

delivering ROI for advertisers

other

CHART 8: Compared to 2009, about how much did your organizations e-media operating expenses increase in each of these areas in 22% 2010?

revenue diversification organizations

creating new marketing CHART 3: Compared to 201 tools for advertisers 1 revenue to ch

distribution

circulation

e-media

editorial

sales

20

90

$50,000 - $74,999 $25,000 - $49,999 custom publishing readers $10,000 - $24,999 (subscriptions, content sales, etc.) less than $10,000 4% data/market information sales did not invest in 2010 5% other 0%

13% CHART 2: What were the fastest growing parts of your 41% 9% 16% organizations business in 2010?

15%

61%

custom publishing paid subscriptions

data/market information sales

20% 4%
8%

28%

online/e-media 5 10 0 events 10

20

15 30 19%

20 40

50

25

60

52%
30 70

35 80

90

Company Revenue 40

other

3%

<$5 million $5 million+

10

20

30%

data/market e-media information sales editorial 11% marketing 8% other 5 events 7% design 4.8% online/e-media 4% production6% events circulation 5% 4 4% other 0% print advertising
sales e-media 3 editorial marketing events 2 design productioncirculation 1other

21% CHART 8: Compared to 2009, about how much did your organizations CHARTexpenses increase in each of theseorganization planning to hire in 2011? 12: In which custom publishing of these areas is your areas in 2010? 16% operating paid subscriptions sales 33% 10% 6 Company Revenue
print advertising 5%
23%

7%

5.6%

Company Revenue <$5 million

<$5 million $5 million+

$5 million+

68%

33% 12% 20%

8% 2.5%
3.5%
37% 31% 2.4% 44%

custom publishing 3.4% 3.4% paid subscriptions

data/market information sales

4% 2.9%

page 32]. Events and CHART 3: Compared to 20 e-media were organizations revenue to c the most profitable areas for larger publishers, while data and informaINCREASE 15% by 30% or more tion sales was 20% - 29% profitable 12% by the most by 10% 17 area for smaller 5%- 19% [Chart 7,30% by publishers 15% - 9% 9% by less than 5% 6% page STAY ABOUT THE SAME least profit32]. Print was the 19% DECREASE 1% able area for both large and small by less than 5% 0% by 5% - 9% b-to-b publishers (13.50% percent and 8% by 10% or more 1% 17 10.5 percent, respectively).
by 30% or Operating20% - more 1%11% and Expenses by 29% by 10%Investment Technology5%- 19% 19% by - 9% STAY ABOUT THE SAME 12% INCREASE

2.6% 2%

43%

other
9% 8% 8%

17% 3%

30

nue

5%

35

creased for both large 0% small DECREASE and by less than 5% CHART 3: Compared to 2010, how do you expect your b-to-b publishers and 0% again will by 5% - 9% 0% 0 10 20 30 40 50 in 2011, accordingmore respondents by 10% or to 0% organizations revenue to change in 2011? 0 (larger publishers expect operat-20 4 0 78% INCREASE ing expenses to jump 6 percent in 15% by 30% or more9: Compared to 2010, about how much do you anticipate your CHART CHART 4: Approximately how much of your organizations revenue by 20% - 29% e-media, while smaller publishers organizations 12% estimate will come from each of these sources in 2011? operating expenses will increase in each of these areas in 2011? do you CHART 10: How 30% by 10% - 19% 17% expect a 5 percent increase). 15% by 5% - 9% 9% 6 print advertising 6% Company Revenue $1M or more 0% 54% by less than 5% 6% Larger publishers will see the $500,000 - $999,999 0% <$5 million e-media 14% STAY ABOUT THE SAME 5.6% 19% $250,000 - expenses lowest rise in operating$499,999 0% DECREASE events 6% 1% $5 million+ 1% Company Revenue $100,000 - $249,999 by 5 than5% 0% less 5% Company Revenue in circulation (followed- $99,000 1% $75,000 by editocustom 9% 0% 9% 8% by 5% - publishing <$5 million million 7% $50,000 - $74,999 <$5 rial), while smaller publishers will by 10% or subscriptions paid more 1% 17% 4.4% 8% $25,000 - $49,999 6% $5 million+ million+ the lowest increase in spending $5 4 data/market see $10,000 - $24,999 2% information sales 3.8% less than production against distribution and$10,000 87% 7% INCREASE other 3.6% 3.6% did not invest in 2010 by 30% or more 1% 3.2% (2.9 percent for each). 3 print advertising 11% $1M or more 7% 46% by 20% - 29% 2.9% 2.9% 2.8% Seven percent of larger publish$500,000 - $999,999 3% 51% by 10% - 19% e-media 22% 2.5% 19% by 5% - 9% ers invested $1 $250,000 - $499,999 in million or more 15% $100,000 - $249,999 5% by 2 than 5% events less new technology last year (while the $75,000 - $99,000 STAY ABOUT THE SAME custom publishing 12% 5% DECREASE 0% majority say they$50,000 -- between spent $74,999 paid subscriptions 6% $25,000 $49,999 by 1 than 5% 0% less data/market $10,000 - $24,999 $100,000 and $249,999. The majority 9% by 5% - 9% 0% 4% information sales less than by 10% or more other 0% of smaller publishersinvest$10,000 (39in 2010 percent) 4% 2% did not 5% 0 10 20 30 40 50 60 70 80 90 0
distribution distribution production production circulation editorial
distribution distribution production production circulation

10

20

30

40

1.7% 50 60

spending on e-media inby less than 5% 5% 70 Tech80 90

editorial

e-media

e-media

1%

20

40

60

circulation

e-media

editorial

e-media

editorial

sales

sales

circulation

sales

sales

80

100

any Revenue

5 million million+

$1M CHART 14: What would you consider your web site or more 0% $500,000CMS organizations 7% priorities for 2011? - $999,999 0% top $250,000 - $499,999 0% lead generation system 1% 45% revenue - $249,999 1% $100,000growth social media 3% increasing profitability 47% 1% $75,000 - $99,000 video 1% increasing web business 38% 7% $50,000 - $74,999 webinars 0% delivering ROI for advertisers 24% 6% $25,000 - $49,999 creating new marketing 22% other tools for advertisers 2% $10,000 - $24,999 17% revenue diversification did not invest in 2010 less than $10,000 increasing market share 16% creating live events did notcomputer invest 16% hardware/software in 2010 Company Revenue
editorial integrity 13% web site $1M or cutting cost more10% CMS $500,000 - $999,99910% 3% spin-off businesses lead generation system $250,000 -hiring 5% $499,999 social media staff stability 4% $100,000 - $249,999 4% video other 4% 0%

computer hardware/software

CHART 11: In what one area was your organizations largest technological investment in much did your organization invest in new technology in 2010? CHART 10: How 2010?
30% 20% Company Revenue

CHART 12: In wh

<$5 million $5 million+

22% 23%

sales e-media Company Revenue editorial 11% <$5 million marketing 8% events 7% $5 million+ design 4% production6% circulation 5% other 0%

21% 23%

39% sales

7%

<$5 million
11% 11% 13% 41% 39% 15% 49%

9%

$5 million+

19%
23%

29%

80

19% revenue diversification 17% increasing market share CHART 13: Which of 12% creating live events for 5% editorial integrity your organization cutting cost 7% foliomag.com 34 Folio: MAY 2011 |spin-off businesses 7% online startup hiring 5% ancillary service staff stability 3% startup 30%

$75,000 - $99,000 webinars 0% $50,000 - $74,999 revenue growth other 3% $25,000 - $49,999 increasing profitability did not invest in 2010 increasing web business $10,000 - $24,999 delivering ROI for advertisers less than $10,000 0 creating new marketing didtools forinvest in 2010 not advertisers

e-media editorial marketing events design productioncirculation other

9% 8% 8% 1%

5%
4% 5 20% 5%

9%
31%

0 15 20 25 30

10

10

90

5 the following changes do you anticipate 10 15 20

in 2011?

25

30

35
6

CHART 9: Compare 40 organizations opera

CHART 12: In which of these areas is your27% organization planning to hire in 2011?
23%

5.6% 5%

print advertising e-media

10
14%

20

30

40

50

60 54% 70

80

custom publishing

CHART 3: Compared to 2010, how do you expect your events 6% organizations revenue to change in 2011?
9%

78% INCREASE subscriptions paid 8% 15% by 30% or more data/market 12% bysay theyinformation less than $10,000. 20% - 29% spent sales Revenue growth and increasing 2% 30% by 10% - 19% 17% The majority of large publishers profitability are the top priorities other 15% 7% by 5% - 9% 9% by less than 5% 6% spent the bulk of their tech investfor both larger and smaller b-toTAY ABOUT THE SAME 19% print advertising ment on the Web site while smaller b publishers in 201146% Revenue [Chart 14, DECREASE 1% Company by less than 5% 0% e-media 22%page 36] as is increasing the Web publishers spent the most on comby 5% - 9% 0% <$5 million 8% by 10% or more 1% events 15% 17% business and delivering ROI for puter hardware and software.

$1M or more 0 $500,000 - $999,999 0 $250,000 - $499,999 0 $100,000 - $249,999 Company Revenue $75,000 - $99,000 $50,000 - $74,999 <$5 million $25,000 - $49,999 $5 million+ Meanwhile, 35 percent of larger $10,000 - $24,999 less than $10,000 publishers plan to launch an online did not invest in 2010

90

INCREASE paid subscriptions 6% by 30% or more 1% larger data/market publishers have bySmaller and 11% 20% - 29% information sales 4% by 10% - 19% many 9% the same19% of priorities in 2011. by 5% other 2% by less than 5% 5% TAY ABOUT THE SAME 12% DECREASE 0% by less than 5% 0% by 5% - 9% 0% by 10% or more 0%

Whats Next

custom publishing

5%

advertisers. Cutting costs remains87% a top priority for 10 percent of smaller 51% publishers.

$5 million+

startup while 20 percent expect to $1M or more launch a new print magazine in $500,000 - $999,999 2011 (a fairly high number con$250,000 - $499,999 sidering the shift away from print $100,000 - $249,999 $75,000 - $99,000 in recent years). Last year, just 12 $50,000 - $74,999 percent of larger publishers said $25,000 - $49,999 they expected to launch a new print $10,000 - $24,999 less than $10,000 product. Were being profitable by
did not invest in 2010

10

20

30

40

50

60

70

80

90

computer hardware/software

CHART 11: In what one area was your organizations largest technological investment in 2010?
20 40 60 80 100
30% 20%

web site

CMS CHART

10: How7% much did your organization invest in new technology in 2010?

lead generation system 0% 1% $1M or more $500,000social media 0% 3% - $999,999 $250,000 - $499,999 0% video 1% 1% $100,000 - $249,999 webinars 0% 1% $75,000 - $99,000 other 2% $50,000 - $74,999

Company Revenue

Company Revenue <$5 million

<$5$5 million+ million $5 million+

7% 6% 22% 23% 7%

$25,000 - in 2010 did not invest$49,999 $10,000 - $24,999 computer less than $10,000 hardware/software did not invest in 2010 web site $1M or CMS more $500,000 - $999,999 lead generation system $250,000 - $499,999 $100,000social media - $249,999

23%

sales e-media editorial marketing events design productioncirculation other 0 sales e-media editorial marketing events design productioncirculation other

21% 19%

39%

29%

3%

did less invest$10,000 not than in 2010 did not invest in 2010

$75,000 - $99,000 video $50,000 - $74,999 webinars $25,000 - $49,999 other $10,000 - $24,999

0% 0% 3%

4%

11% 9% 23% 11% 15% 13% 9%

90

0
0

4% 5%

5%

0
10

10 15

20

15

25

20 30

35

25

40

30

30%

CHART 13: Which of the following changes do you anticipate CHART organization these areas is your organization planning to hire in 2011? for your 12: In which ofin 2011?
sales e-media online startup editorial 11% ancillary service marketing 8% startup events 7% magazine design 4% startup production6% acquisition of circulation 5% 4% another company other 0% 33% 23%

CHA orga

27% 23%

Company Revenue

6 5 4 3
35%

<$5 million $5 million+

13%

Company Revenue

<$5 million $5 million+

44% 37% 43% 31%

acquisition by another company sales

e-media online editorial startup marketing ancillary service events startup design magazine productionstartup circulation acquisition of other another company

7%

17% 9% 8% 8% 1%

33%

2 1

20% 25%
10 20 30 40 50

acquisition by another company

5% 5

30

10

15

20

25

30

CHART 7: How profitable were each of these in each of these areas in 2011? organizations operating expenses will increase areas

CHART 9: Compared to 2010, about how much do you anticipate your

foliomag.com | MAY 2011 Folio: 35

35

other did not invest in 2010

3%

5%

0
20 25

productioncirculation other

8% 8% 1%

10
0

15

10

20

20

25

30

30

40

es do you anticipate
online startup ancillary service startup 27%

30 CHART 13: Which of the following changes do you anticipate for your organization in 2011? 9: Compared to 2010, about how much do you anticipate your CHART

organizations operating expenses will increase in each of these areas in 2

6
5.6%

27%

23%

6%

Company Revenue

<$5 million

23%

magazine startup

513%5% 4
3.6% 3.6%

Company Revenue$5 million+

Company acquisition of Revenue 4% another company

acquisition by $5 million+ another company online startup ancillary service startup startup

<$5 million
4.4%

<$5 million

$5 million+
3.8% 3.2% 35%

7%

3
35%

2.9% 2.9%

33% magazine

2 1
5%

33% 20%
distribution distribution production production circulation

2.8% 2.5%

20% 25%

e-media

e-media

editorial

20 areas

25

30

35

0 10

15

20

25

30

35

growing our smaller publications, said one respondent. Company Revenue events Meanwhile, 27 percent of smaller <$5 million b-to-b publishers plan to launch an online/ $5 million+ online startup, while just 13 percent e-media are planning data/market a magazine startup. When it info salescomes to mergers and acquisitions, 25 percent of larger print publishers say theyre looking to buy 22.1% another company, compared to events 4 percent of smaller publishers. Just 5 percent of larger publishers expect 21.8% online/ to be sold, compared to 7 percent of e-media smaller publishers. data/market info sales

CHART 7: How profitable were each of these areas of your organization in 2010? 12.8% 13.5% revenue growth
increasing profitability increasing 14.1% web business
delivering ROI for advertisers

CHART 14: What would you consider your <$5 million organizations top priorities for 2011? $5 million+
38% 24% 22%

Company Revenue

45% 47%

10.5%

20

METhOdOlOgy 25

print

17% revenue diversification increasing market share 16% creating live events 16% 22.1% editorial integrity 13% cutting cost 10% 21.8% spin-off businesses 10% hiring 5% 15.5% staff stability 4% other 4%

creating new marketing tools for advertisers

Company Revenue

<$5 million $5 million+

The survey sample of 1,000 was selected 0 5 by Folio: and Readex Research from domestic subscribers with executive management titles in b-to-b and consumer publishing. Data was collected via mail survey from January 14, 2011 to February 28, 2011. Results were filtered to include only those who say they are involved in b-to-b publishing. The margin of error based on those 217 respondents is plus or minus 6.2 percent at the 95 percent confidence level.

revenue growth increasing profitability 10 increasing web business

delivering ROI for advertisers
creating new marketing tools for advertisers

13.5%

49%

15

20
31% 20% 19% 17% 12%

41% 25 39%

revenue diversification increasing market share creating live events editorial integrity cutting cost spin-off businesses hiring staff stability other

5% 7% 7% 5% 3% 3%

10

20

30

40

50

36 Folio: MAY 2011 | foliomag.com

editorial

sales

sales

acquisition by another company

circulation

acquisition of another company

25%