FAQs

Q: Can ad sales offset the cost of producing a customer publication?

A: The APA recommend that all their members charge a fee to cover costs, as customer publishing is a valid and proven marketing tool. It's quantifiably proven by the APA, the Direct Marketing Association and the Branded Content Marketing Association that customer magazines are one of the most effective - and cost-effective - means of engaging consumers.

As with any form of communication that contributes to brand performance, clients must be committed to the marketing objective to truly reap the benefit, and must provide funding accordingly. We always make it clear to prospective or reviewing clients that third-party advertising should at best be viewed as a contribution or a cost offset, rather than providing full funding for a customer magazine.

Q: How big is the market?

A: Mintel research commissioned by the APA reveals that despite a slow-down across the majority of media sectors, the customer publishing industry is still flourishing. It is now worth just over £900 million, with turnover topping £473 million. Furthermore, based on current trends, Mintel estimates the value of the total customer publishing industry to reach £1 billion by 2013. In real terms, taking into account price inflation, this represents a healthy 10 per cent increase.

Q: How can I find out more about customer publishing for my brand?

A: If you have marketing responsibility for a brand or organisation, the APA run a free consultancy service called ASK. Through a series of meetings and consultations, we will execute a thorough investigation of your brand and its marketing needs before giving you our independent assessment of how customer publishing could help you. This guidance can be anything from providing key research on the industry to helping you create a shortlist of potential publishing partners.

With decades of experience at the highest levels of publishing, the APA are perfectly positioned to guide you and your company through the entire pitch process, from initial consultation to final launch, helping you select the best publishing solution and the ideal agency to make that solution work.

For more information on APA ASK click here

Q: How can I gain access to customer publishing research?

A: If you have marketing responsibility for a brand or organisation, the APA run a free consultancy service called ASK. Through a series of meetings and consultations, we will execute a thorough investigation of your brand and its marketing needs before giving you our independent assessment of how customer publishing could help you. This guidance can be anything from providing key research on the industry to helping you create a shortlist of potential publishing partners.

With decades of experience at the highest levels of publishing, the APA are perfectly positioned to guide you and your company through the entire pitch process, from initial consultation to final launch, helping you select the best publishing solution and the ideal agency to make that solution work.

For more information on APA ASK click here

Q: How can you prove the return on investment for a customer publication?

A: The most reliable way of proving the effectiveness of customer publications is the APA's Advantage Study. First undertaken in 2004 and updated every year since, the study is the first of its kind across all marketing media as the research not only proves the value of the medium, but is also serves as a benchmark for the industry, giving clients clear evidence of the performance of their titles against industry standard. Exploring consumer engagement and impact, the study now takes in 24,000 interviews across 70 titles, giving an invaluable perspective on the industry and a vital insight into how consumers react to advertiser-supplied content.

Among its many impressive results, the Advantage Study shows that readers spend an average of 25 minutes with a customer magazine - that's 25 minutes for the brand to build or enhance the relationship it has with the target consumer. The study also breaks down into sectors, namely Automotive, Financial and Retail, where the results are no less impressive. In Retail for example, 78 per cent of readers respond in some way to the publication, whether that's visiting a store or buying a featured item.

For more information on the APA Advantage Study, click here

Q: How do customer magazines compare to other forms of marketing?

A: Customer magazines are the consumers' top communications choice. According to research commissioned by the Direct Marketing Association (Participation Media 2007), they are the most relevant and informative form of direct marketing, generating the highest level of positive response from consumers in both perceived (33.6 per cent) and actual behaviour (56.5 per cent).

Of the twelve forms of communication surveyed, customer magazines were revealed as the most passed-on medium (5 per cent) and the medium most likely to be filed away for later (37.9 per cent). They were also the least ignored, thrown away, cancelled or unsubscribed, demonstrating the high value placed on customer magazines by consumers.

Q: How do customer magazines reach the target audience?

A: Marketers are realising that a ‘one message fits all’ approach or ‘mass marketing’ is not delivering the desired results; consequently, we have seen a shift towards one-to-one marketing. The evolution of customer magazines has in some ways reflected this trend. Growing numbers of customer magazines are now segmented and versonalised both geographically and according to life stage and lifestyle. Currently, 14 per cent of customer magazines are segmented to reflect different readers.

The most common way for customers to receive customer magazines is to either pick them up in-store or via the post. Currently, two thirds of magazines are posted and a quarter of titles are distributed in store. According to research by Millward Brown, 79 per cent of consumers prefer to receive their customer magazine via the post and 58 per cent are more likely to read magazines and respond to offers if it is personally addressed to them. Royal Mail can deliver to 99.9 per cent of the population, guaranteeing to brands that they can reach their customers wherever they are.

Q: How much digital activity do customer publisher agencies currently undertake?

A: According to independent research commissioned by the APA, customer publishers' digital output has grown 114% since 2005, with an estimated increase of 33 per cent for 2008 compared with 2007. The survey, which polled 30 customer publishing agencies, six brands and six digital agencies, also discovered that the emergence of fresh platforms such as social media, user-generated content and podcasts, means publishers now deliver digital work to 45 per cent of their clients.

Q: What are customer magazines used for?

A: Hundreds of companies across all industry sectors are discovering that a customer magazine can deliver measurable results – increasing customer loyalty, generating new business, promoting brand awareness and boosting sales. For example, research has shown the sales of featured products in Homebase Ideas see significant uplift, with readers spending 3.5 times more than non-readers. Furthermore, readers were found to regard Ideas in the same way as a paid for title such as Ideal Home.

Q: What are going to be the key digital trends of 2009?

A: Key new trends this year include behavioural targeting (a technique used by online publishers and advertisers to increase the effectiveness of their campaigns), the impact of video and how to effectively integrate it, unlocking the mobile internet, harnessing the power of online communities and understanding where publishers fit in the social web. It's an incredibly fast-paced business which attracts some of the country's finest creative and technical talent, bringing with them new ideas and processes that will revolutionise the industry.

Q: What is a customer magazine?

A: Customer magazines are magazines published by companies or organisations for their customers/ members. They provide an effective and sophisticated form of marketing communication, with millions of readers enjoying well-targeted editorial and responding positively to the ‘soft sell' that a customer magazine allows. While customer magazines are recognised by consumers as marketing collateral, Henley Centre research shows, that they are treated differently because ‘they give as well as take'.

Successful customer magazines produced by professional publishing agencies work to specific objectives which must be measured and met. These magazines balance the needs of the client against the aspirations of the reader. Achieving that balance isn't easy but, as hundreds of companies can testify, the rewards are great.

Q: What is the target audience of customer magazines?

A: It is very difficult to define the target audience of a customer magazine as ‘customer' means different things to different titles. For example, the ‘customers' for Camouflage, a magazine produced for the British Army Recruiting Group, are teenage boys and girls interested in the Army. Camouflage's objective is to develop such enthusiasm into eventual career options.

However, in terms of the overall market, the most important target audience is existing customers (77 per cent), underlining the key role that customer magazines play in companies' customer retention strategies. Prospective customers (48 per cent) are also an important audience. For customer magazines aimed at staff (14 per cent), business partners (16 per cent) and dealers or distributors (10 per cent), it is significantly lower, but this is expected to become increasingly important as the medium evolves.

Q: What makes a good customer magazine?

A: As with any magazine, editorial that is relevant to the audience is the key to success. If the editorial does not appeal to the audience, the reality is the magazine will not be read - a waste of both time and money. The production values and quality of the design and editorial content are continuing to improve as customer magazines become an increasingly important component of the marketing mix.

Magazines are able to communicate effectively because the consumer is in control of the media consumption, as opposed to the intrusive nature of media such as TV and radio. Readers expect the advertising in their magazine to be relevant to them, and as a result, see it as an essential part of the medium itself.

Q: Where does the APA stand on environmental issues?

A: The APA is fully committed to driving best practice throughout the industry on vital environmental issues. There is an APA Green Committee made up of key figures from member agencies that meets regularly to discuss the latest developments in all areas of the customer publishing industry. These areas include paper sourcing, efficient distribution processes and the use of biodegradable polywraps, as well as encouraging staff to make their own green contribution and promoting eco-friendly issues within the publications themselves.

Q: Who uses customer magazines?

A: Almost all sectors are utilising customer magazines as a marketing tool, including B2B and consumer-focused businesses, charities and organisations such as the AA. However, in terms of market share, retailing & distribution are the most popular types of customer publishing, accounting for 32 per cent of the total number of titles published between them (APA/Mintel publications survey.)

Financial services titles have increased their share since 2004, whereas the number of retailing/ distribution titles - and their market share - has declined. Other important sectors include automotive, charities, other leisure/sport and utilities, and public sector. The retailing/distribution sector decreased from 17 to 15 per cent in 2005, while the financial sector increased slightly from 13 to 14 per cent in 2005.

Q: Why should I choose a customer publishing agency to produce my brand’s digital offering?

A: Customer publishers have an instinctive feel for consumer engagement, with most having years of experience in producing effective print solutions for top name brands. As well as the traditional editors and writers, they also now employ staff with specialist digital skills, able to deliver complex digital solutions across a range of media. The traditional and specialist staff are also now working together to produce integrated print-digital solutions - a highly effective way to engage with a number of key audiences. The recent APA@ digital study found that the majority of major customer publishers are now delivering more advanced digital work (microsites, transactional sites, communities, interactive entertainment) that's increasing the value of current and future industry revenue.