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News

In the second quarter of 2014 prices for newspapers and magazines were stabilized

The prices for printed periodical production in the second quarter of 2014 were stabilized. For the most publications they grew in line with inflation in the country, that is, for the period from April to June their average growth rate was about 2%.

Over the past three years a definite trend was observed in the second quarter of each year: even if the newspapers and magazines got more expensive, it was insignificant. Basically, the prices were raised only in a few editions and for certain outlets formats.

Such magazines, like "Okhotnichy Dvor", "AIF. Pro Zdorovie»,«OFF-Road Drive» got the price leadership. The prices for women glossy magazines rose significantly: the price for the publication of "Atmosfera Krasoty" has grown by almost a third compared with the beginning of the year, on the «Marie Claire» mini-format - by almost 20%, "Caravan. Collection of stories" and «Beauty» - by 17%, and timely before the beach season "Khudeem Pravilno" and "Pokhudej"- by 15-16%. Many other publications for women (e.g. such as «Harper's Bazaar», «Collezioni», «Grazia», «Jamie Magazine», «Vogue», «Atmosphera", "Samaya") were worth in retail for more than 8-12%, while «Allure», «Gala Biographia", "Domashnij Ochag» mini-format, "Zhenskie Sekrety", "Caravan Istorij", "Lisa"and others - by 4-5%.

It should be noted also the rise in price of cooking magazines: the price for such publications as "Ljublju gotovit’," "Khleb i Sol" and "Shkola Gastronoma" in some retail outlets increased by 15-20%. However, "AIF. Pro Kukhniu","Lisa. Ljublju Gotovit’" and "Gastronom" you could buy even cheaper than in January 2014.

Also, according to the quarterly monitoring of the retail market of printed products, in April-June there was a moderate rise in prices in the following product groups:

Approximately 5% of the price tag rose to popular scientific journals subjects («Discovery», «GEO», «Conde Nast Traveller», «V Mire Nauki", "Sekretnye Materialy").

Automotive publications (magazines "5 Koleso", "Za Rulem", "Klakson", “Moto” and others) rose by 4 - 5%.

Cost of magazines on interior design and architecture ("Idei Vashego Doma", "Projecty Kotedzhej," "Derevjannyje Doma", "Krasivyje Kartiny", "Mezanin" and others) increased by an average of 8%.

Changes in prices at the market level (0-2%) were recorded for 36% of all publications, that have been subjected to analysis. This category includes daily and business press, crosswords, advertising, glossy men's and children's publications and magazines about the celebrities lives.

Regarding patchworks, after their sharp rise in price in the first quarter of 2014, over the next three months, they were worth cheaper an average of 2%. Prices were reduced by such publications as "Legendarnye Samolety", "Avtolegendy", "Soberi Tank Tiger" and several others.

It should be noted that by the end of the first half from the shelves disappeared  “Shape”, «Shape-Mama», «Shape-Menu" and «Shape-Uprazhneniya", closed by the "Veneto" publishing house due to financial difficulties in early March. While some outlets even in the second quarter were selling old magazines at prices that were not much lower than the previous ones.

As for the intensive growth rate of prices in different segments of the market distribution of newspapers and magazines, then in the 2nd quarter the prices of periodicals in almost all shopping sites have changed the same way. They grew up in kiosk networks, supermarkets and non-stationary points of newspapers and magazines selling in 2% on average. Minimarket press reported slightly more intensive growth of +3%. But the price of newspaper vending machines, installed mostly in the subway, in the last six months have not been increased:  about 50 publications distributed through newspaper machines, in early July were of the same price as in January 2014.

A distinctive feature of the pricing policy of distributors in the second quarter was the fact that some of them have ceased to follow the "recommended" prices by publishers. Recall that the Russian retailers are not obliged to follow the prices indicated on the covers of press magazines and newspapers , while in many European countries and the United States it is established by law. However, over the last year, many distributors (especially kiosk chains) tried to put a price on such publications as close as to the price printed on the title page. By mid 2014 such enthusiasm has dried up: the average price  of the "Telek" newspaper in the 2nd quarter was 13.5 rubles, while the "suggested" retail price was 12 rubles. And another popular publishing project - «Cosmopolitan» and renounced such practices, while its average retail price has risen from 80 to nearly 82 rubles.

As for the forecast data, the market experts expect the trend of previous years remain: in the 3rd quarter rise of prices in periodicals usually exceeds the rate of inflation in the national average. This is expected also at the end of September.

PDA’s Expert Group