How do I launch a magazine?

This week a reader asked, “How do I launch a magazine?”  I have watched countless people with good hearts and intentions launch magazines, using borrowed family and friends’ money, only to lose it all and fade from view six months later.

There are three legs to any successful magazine.

1. Ad Sales.  This is the biggie – look at O magazine.  It’s 80% ads.
2. Newstand Sales.  Yes it’s challenging to get into the big racks at Barnes & Noble but without this, you will not likely survive.
3. Subscription Sales.  If you think you can just sell ads and then give your magazine away you have reduced yourself to only one of these three legs.  With the rising cost of ink, paper and postage you have a very questionable business plan. 

I know there is a lot of appeal to having a great magazine on parenting, marriage, gourmet food or Cocker Spaniels.  But don’t let your emotions get ahead of creating a good business plan.

This is a “Recession?”

So the Super Bowl is this Sunday. A recent survey indicates that spending related to the big event could reach an all-time high of $10 billion. Consumers plan to buy nearly 4 million new television sets. And then the 158 million viewers will spend an average of $59.90 on related merchandise, including furniture, food and “beverages.”

And this doesn’t even begin to account for the money spent by the advertisers to have a shot at these 158 million TV watchers. Fox is charging a new record $2.7 million for one 30-second slot in Super Bowl XLII. 65 of those babies add up to more than $175 million in advertising revenue. Incidentally, I just did the math and that appears to be $90,000 a second. Apparently Budweiser, Pepsi, General Motors, Kraft, GoDaddy and Audi are convinced we are easily persuaded.

Doesn’t a “recession” imply that times are tough – that no one can afford anything new, not even new shoes, let alone TVs, lavish parties, booze and new cars? I think the real deal is the “recession” is an elusive term that impacts interest rates and general trends. Most of us have an incredible number of opportunities right in front of us. Thankfully, your chances for success are not determined by what happens in the White House, but by what happens in YOUR house.