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Title of the attached .pdf file: The Ad Age Magazine A-List Report, 2003. Includes “Magazine of The Year,” “Magazine Editor of the Year,” and “Publisher of the Year” sections. AD AGE MAIN 10-20-03 B 1 AADB 10/16/03 2:13 PM Page 1

AdAgeSPECIALREPORT 10.20.03 MAGAZINES: THE A-LIST

MAGAZINE OF THE YEAR

LUCKY‘Magazine About Shopping’ invents a genre; delights readers, marketers; and takes top spot on Ad Age A-List By JON FINE

ADVERTISING AGE’S Magazine of the Year does not nourish the tattered spirit of a restive nation. Nor does it locate the thus-far-faint cultural pulse that’s gradually quickening into the next big movement. Nor does it, via seduction or force, engage readers in grappling with the deeper sociopolitical issues of the day. It displays prod- uct—clothes and beauty items, ON THE WEB specifically, and the shops that sell them—with a minimum of text You can find Advertising and tells readers how to buy. Age’sA-List of 2003’s A magazine, as one senior-level top magazines online at editor at another title puts it, that AdAge.com, QwikFIND sees the world as “a series of aap07j products to be consumed.” A magazine for women, but one that does not muddy that focus with anything about relationship, health or career advice. A magazine that includes its own take on Post-it notes, to better flag the goodies readers crave. The culture warriors in the audience can start hand- wringing, if they haven’t already. But since its late 2000 launch, Conde Nast Publications’ Lucky has invented a genre, made its influence visible elsewhere—seen any eye- candy product pages in magazines lately?—and, not least, BEST TO BE ‘LUCKY’: Editor Kim France and Publisher delighted marketers and readers. Sandy Golinkin zero in on the shopping experience. “The Magazine About Shopping,” as Lucky bills itself, See LUCKY on Page S-4

The A-List A-List profiles Editor of the Year Publishing Exec Launch of Year INSIDE Starting with ‘Lucky,’ Meet some of the ‘Wicked smart’ Cullen of the Year ‘Budget Living’ builds editors pick the top 10 stars behind this year’s Murphy brings his Stephen Lacy comes following by showing magazines of the A-List honorees talents to bear at ‘The from outside to boost how to spend smart, year Page S-2 Pages S-6, S-7, S-8 Atlantic’ Page S-10 Meredith Page S-12 live rich Page S-14

PHOTO BY CHRIS CASSIDY AD AGE MAIN 10-20-03 B 2 AADB 10/16/03 2:15 PM Page 1

October 20, 2003 | Advertising Age |S-2 AdAgeSPECIALREPORT MAGAZINES: THE A-LIST

LUCKY REAL SIMPLE Parent: Conde Nast Publications Parent: Time Inc. VP-publisher:Alexandra W. Golinkin Publisher: Robin Domeniconi 1 Editor in chief: Kim France 2 Managing editor: Kristin van Ogtrop Ad pages: 1,045.9 ▲ 61.3% Total circulation: 834,802 ▲ 7.1% Ad pages: 795.2 ▲ 55.9% Subscriptions: 614,526 ▲ 7.4% Total circulation: 1,375,355 ▲ 31.3% Single-copy sales: 220,276 ▲ 6.4% Subscriptions: 1,022,454 ▲ 40.6% Single-copy sales: 352,901 ▲ 10.1% Purists pshawed and advertisers scratched The wobbly launch their heads when Lucky is far behind it, if not the announced. Seems so odd exit of the former long ago now, even Managing Editor Carrie if it’s not yet three years. Tuhy, but neither event Chin-stroke about the seems more than a mi- depressing cultural nor speed bump as implications if you must, Real Simple becomes but “The Magazine Time Inc.’s next fran- About Shopping” continues to record chise. Its numbers would be eye-popping even explosive growth. Last year in this space we if the magazine world wasn’t still mired in the wished for Lucky for Men—well, funnily enough, Never-Ending Recession. There is no other Cargo hits next spring. Is Lucky Home next? way to put it: Real Something. In a magazine market still pulling itself together, these 10 winners make the top grade with Ad Age editors for excellence in 2003

COSMOGIRL THE ATLANTIC COOKING ESPN THE Parent: Hearst Magazines MONTHLY LIGHT MAGAZINE Publisher: Kristine Welker Parent: The Atlantic Parent: Time Inc. Parents: Walt Disney Co., 3 Editor in chief: Susan Schulz 4 Monthly Group 5 VP-publisher: 6 Hearst Magazines Publisher: Elizabeth Baker Keffer Christopher C. Allen VP-publisher: Ad pages: 504.5 ▲ 14% Managing editor: Cullen Murphy VP-editor: Mary Kay Culpepper Christopher Collins Total circulation: 1,279,436 ▲ 21.3% Editor in chief: Gary Hoenig Subscriptions: 855,720 ▲ 30.7% Ad pages: 403.5 ▲ 19.9% Ad pages: 979.9 ▲ 8.8% ▲ Single-copy sales: 423,716 ▲ 5.9% Total circulation: 520,174 ▲ 3.6% Total circulation: 1,617,193 ▲ 0.8% Ad pages: 1,131.9 8.6% Subscriptions: 465,774 ▲ 1.1% Subscriptions: 1,349,038 ▲ 0.5% Total circulation: 1,692,735 ▲ 10.2% Began as an exclamation- Single-copy sales: 54,400 ▲ 30.8% Single-copy sales: 268,155 ▲ 2.7% Subscriptions: 1,656,777 ▲ 11% riddled offshoot of power- Single-copy sales: 35,958 ▼16.7% house Cosmopolitan, Ably stewarded by An oasis of strong and to take on the teen girl Ad Age Editor of the steady growth. Not even It may bear the ESPN niche then owned by Year Cullen Murphy, the third straight year name, but don’t write it Seventeen. But four years the newly-revitalized- of recession stilled off as a program guide after launch, CosmoGirl’s but-very-long-running Cooking Light’s steady for its big brother on ad pages still mushroom, Atlantic found its way upward progress. It ain’t cable. The title had and its circ is fast closing in back to, and maintains, Wallpaper or Saveur, enough substance to win on that of its once- top-of-mind status but that also ain’t the a National Magazine far-off old-school rival Seventeen. among the medium’s point. The point is serv- Award in 2003. And To make the circle complete, Seventeen is highest-brow players. ing a growing readership with sharp, while Time Inc.’s Sports where you’ll now find the antic editing style of Next, a big bet on increasing subscription well-tuned edit, and watching advertisers Illustrated outscored ESPN in ad pages through founding CosmoGirl Editor Atoosa Rubenstein. price pends for ’04. flock to it. September, topping 1,600, SI is down 6.8%.

ESSENCE MORE MEN’S DETAILS Parent: Essence Parent: Meredith Corp. Parent: Fairchild Publications Communications Partners HEALTH Publisher: Carol E. Campbell Parent: Rodale VP-publisher: Publisher-CEO: Edward Lewis William Wackermann 7 8 Editor in chief: Susan Crandell 9 VP-publisher: 10 Editor in chief: Diane Weathers MaryAnn Bekkedahl Editor in chief: Daniel Peres Ad pages: 512.7 ▲ 35.1% Editor in chief: David Zinczenko ▲ Ad pages: 999.9 29.7% Total circulation: 852,884 ▲ 18% Ad pages: 730.8 ▲ 31% ▲ Total circulation: 1,068,214 1.5% Subscriptions: 748,284 ▲ 20.6% Ad pages: 692 ▲ 21.5% Total circulation: 418,005 ▲ 0.1% ▼ Subscriptions: 812,116 0.6% Single-copy sales: 104,600 ▲ 2.1% Total circulation: 1,697,026 ▲ 2.3% Subscriptions: 348,030 ▼ 0.8% ▲ Single-copy sales: 256,098 8.7% Subscriptions: 1,241,467 ▲ 2.6% Single-copy sales: 69,975 ▲ 4.5% The women-of-a- Single-copy sales: 455,559 ▲ 1.4% The inclusion in Time Inc.’s certain-age niche has Let’s start by banning Women’s Group joint buy a body count made Rodale’s mass men’s the horrid coinage hardly hurts it—but up of past ambitious title is back on track. Ad “metrosexual” that inclusion in that group attempts like Lear’s pages are poised for those who market alongside the likes of and Mirabella. But it another year of double- Fairchild’s rebirthed- People and In Style took Meredith, the digit growth. The editorial again men’s title have doesn’t account for the prototypical tortoise consistently executes its seized upon. But let’s

strong newsstand in an industry still mission under Editor in finish by realizing that ✂ performance either. captivated by hares, to Chief David Zinczenko, the rise of men-who- Another strong year for this franchise, but then make it work. And the strategic fit is felicitous: who manages to stay on moisturize dovetails nicely with the new how could it not be, given that Essence’s year More neatly fills out its niche in Meredith’s track between gossip-column blurbs and Details demographics. The bonus is the kicked off with Ed Lewis winning a Henry portfolio of women’s titles alongside BH&G, nights at Elaine’s. (Did we mention the TV-star stabilized editorial product, its wit and focus and Johnson Fisher lifetime achievement award? LHJ and newcomer American Baby. girlfriend in L.A.?) voice—one willing to not take itself too seriously.

Notes: Ad page numbers are January-September 2003 year-to-date totals from Publishers Information Bureau; percentage changes are vs. year-earlier period. Circulation numbers are for six-month period ended June 30, 2003, from Audit Bureau of Circulations; percentage changes are vs. year-earlier period. AD AGE MAIN 10-20-03 B 4 AADB 10/16/03 2:16 PM Page 1

October 20, 2003 | Advertising Age |S-4 AdAgeSPECIALREPORT MAGAZINES: THE A-LIST

With its seductive business model and single-minded focus, Lucky hits a home run in the magazine game. MAGAZINE OF THE YEAR:LUCKY Advertisers and readers like what they see, so look out for line extensions and, more importantly, more MAKING SHOPPING MORE FUN magazines like it. LUCKY from Page S-1 some idiot celebrity wore it down a red carpet advertiser” discount—a deal unheard of in the Lucky’s “stickers” page, which allows readers launched to what VP-Publisher Alexandra because some publicist gave it to her for free.” halls of Conde Nast—which for some to flag pages of must-have items. In the past, “Sandy” Golinkin admits was some advertiser Such “soul death”-styled charges are old advertisers still runs, at lesser levels than at this page had the word “Lucky” on it, and bewilderment. But Lucky has attracted nearly a hat to Lucky founding Editor in Chief Kim launch, until the end of this year. Ms. currently it shows scaled-down pages from million subscribers and newsstand buyers who France, as her detailed response to them Golinkin says such ad pages only account for the current issue. ASME members express find its pragmatic approach to fashion irresistible. testifies. “I can see why people would think that 10% of the title’s 2003 total, which is expected concern over reader confusion: ad or editorial? It’s spawned a male-aimed offshoot, Cargo, at its it means the magazine world is going to hell to approach 1,500. If Lucky had ended 2002 “I draw the line really scrupulously. parent company. Hearst Magazines and Time when this really hot magazine is a magazine with that ad page total, it would have been in Without that line drawn, Lucky has nothing,” Inc. are considering their own takes on titles with without paragraphs,” she says. “I get that. At the the company of such powerhouse titles as says Ms. France, who’s a member of ASME. shopping components. (A Hearst spokeswoman same time, all I ever tried to do was to fulfill a Glamour and O, the Oprah Magazine. “It is not deceiving the reader in any way,” confirmed such a title is in development; a Time need, and by doing that I wasn’t trying to squash Lucky has also pushed hard into a regional offers one non-Conde Nast industry Inc. spokesman declined comment.) anything meaningful in our culture.” (Ms. sell unique to Conde Nast, hitting 14 different executive. “ ‘The Magazine About It’s not that hard to see why. Lucky is a France’s byline appears with some regularity in markets each month with localized retail Shopping’—that’s really straight.” very seductive business model. In a time the “The New York Times Book Review.”) sections. One-time full-color ad page rates for when magazines must scrap for every ad and “I really did feel very strongly that women such sections range from $11,400 for New CELEBRITY ANGLE newsstand dollar, a shopping magazine that had a more satisfying relationship with their York to $5,150 for Toronto. (The magazine’s Indeed, Lucky’s unvarnished focus had the odd won’t require the staff heft of, say, a catalogs than they did with their fashion standard open page rate is $55,160, which will effect of making In Style, with its pages of newsweekly is budgetary manna. Advertisers magazines, because their catalogs gave them the rise 11.2% to $61,325 after a 5.9% rate base celebrity red-carpet snaps and fantasy layouts and especially retailers love Lucky’s fostering clothes that they wanted in sizes that fit them increase in January from 850,000 to 900,000.) of stars’ home lives, seem slightly dated and an old-media version of what Microsoft’s Bill and at prices they could afford,” she continues. “Because of their non-traditional format,” prudish, as if it felt an institutional need to dress Gates once termed “friction-free capitalism.” Nevertheless, even Ms. France, previously says Ms. McNeely, “they are able to break out up what, at heart, was a re-edited catalog. Lucky creates an editorial environment that a deputy editor at New York Magazine in its But celebs have started appearing on Lucky’s is, essentially, all about marketers—making Kurt Andersen glory days, sounds slightly covers—starting with singer Mandy Moore in for a pretty formidable commerce machine. scared at what her Lucky has wrought. “I draw the line September—in a move that reverses the title’s “Everyone’s talking about accountability “Does my jaw drop in focus groups where no-celebrities stance when it launched. (Which and return on investment,” says George women look at the ‘Ask the Editors’ column”— scrupulously. also helped differentiate it from In Style.) Janson, senior partner-director of print at a relatively straightforward question-and- “I completely contradicted myself,” Ms. WPP Group’s Mediaedge:cia, New York. answer feature—“and say, ‘I don’t want to read Without it, ‘Lucky’ France cheerfully admits, but she cites “Lucky does that in a very profound way,” he that page because there’s too much text there’? concerns about sticking out on a crowded continues, citing “compelling case studies” of Yes. That freaks me the hell out.” has nothing” newsstand—and, presumably, that segment’s marketers that have run ads “and seen an “It was, almost, so simple that people were role in further pumping up Lucky’s circulation actual lift in sales.” confused,” Ms. Golinkin says of her pre- of the Conde Nast straitjacket in terms of the numbers. “It wasn’t a decision I came to Perhaps most miraculously, the deft and launch attempts to sell Lucky. She recalls, in different things they can do.” comfortably, but once I thought about it, I felt inclusively hip tone of the magazine now wins particular, one early sales meeting in which “a But despite the sharp and smart execution like we were stupid not to try it.” grudging kudos from some who’ve decried it high-level figure” stood up and offered some of its mission, Lucky’s very nature makes Even without the celebs, though, readers as another signpost of an ever-more- heartfelt condolences. some look at it oddly, and the magazine’s and the marketplace embraced Lucky. Which imminent cultural apocalypse. “I just want you to know,” she says this non-traditional format—with its inherent is why Ms. Golinkin now looks forward to person said, “that the agency really supports plasticity in the separation of advertising and conquering the last challenge. SOUL DEATH? Conde Nast, and we know that you must be editorial—have raised eyebrows. “I look forward to the day when Lucky “The execution of Lucky is much smarter than uncomfortable that you haven’t found your Lucky has long been a topic of wins an ASME award for general excellence,” anyone could have hoped for,” says New York way yet, and we’re really sorry that this conversation for the American Society of she says, “even though we don’t have articles. Magazine (and Folio:) columnist Simon magazine looks like a catalog. We’re sure you Magazine Editors, which sponsors the Because I think it will be when the magazine Dumenco, who nonetheless doesn’t entirely will figure it out.” National Magazine Awards and sets forth industry admits they accept Lucky for being back off from an earlier assessment that Such assessments were more common standards governing the ad/edit divide. wildly different, but extraordinarily product-obsessed magazines like Lucky and than you’d think today. “I thought it was The most recent iteration of ASME wonderful for readers.” Time Inc.’s In Style represent a sort of “soul stupid when I first heard about it,” says Pam guidelines, amended in September, contains a Ms. France has a less sanguine view: “I death” for American culture. “It’s a step away McNeely, senior VP-group media director at passage warning against listing brand names certainly know not to expect a general from the usual sort of women’s magazine Interpublic Group of Cos.’ Dailey & on covers or cover flaps in connection with excellence award from ASME.” inanity about why you should consume Associates, Los Angeles. “I wasn’t quite contests, after Lucky and other magazines But, she adds, “I don’t care so much. I something,” by positing “you should consume catching the cultural significance of it.” made such moves. know I’ve got the readers, and that something because of its merits, not because The launch was aided by a “charter ASME has also expressed concerns over community respects me.” ■ AD AGE MAIN 10-20-03 B 6 AADB 10/16/03 2:17 PM Page 1

October 20, 2003 | Advertising Age |S-6 AdAgeSPECIALREPORT MAGAZINES: THE A-LIST A-LIST PROFILE: ESSENCE ‘SPIRITED’ TAYLOR CONNECTS By JANET STILSON Group’s UniWorld Group, New York, notes that “editorially, they seem to be doing less and USAN L. TAYLOR, editorial director of less ‘How to catch a man.’ That used to be their Essence, has been showing people the reason for being ... They look better than ever. stuff she’s made of ever since she was 13. Their covers are fabulous.” S Shortly after Ms. Taylor moved And for those improvements, Ms. Taylor from Harlem to Queens and started seventh is quick to give credit to her editor in chief, grade at a Catholic school there, a nun pulled Diane Weathers. her hair when she was writing on the Such impressions among the ad set may blackboard. “Susan turned around and said, account for Essence’s big growth during the ‘Don’t you do that to me!’ ” recalls Kathleen first nine months of this year. The magazine’s Lane, a marketing consultant who’s one of ad pages were up 29.7% over the same period Ms. Taylor’s oldest friends. “Everyone in 2002, according to Publishers Information gasped. Her spunkiness and daring were Bureau, and ad revenue increased by 32.6% incredible.” —all in a somewhat shaky ad economy. That’s not exactly what one would expect from Ms. Taylor’s serene countenance as she GROWING DESPITE DOWNTURN sits in her office above Times Square or from “Even in periods of downturns or recessions, her inspirational “In the Spirit” columns in we continue to grow revenue, and we grow in Essence—just as one wouldn’t necessarily circulation as well,” says Edward Lewis, who expect much grit beneath the glamor-babe has seen the 33-year-old publication through covers of this monthly. several such periods. CHRIS CASSIDY RETHINKING: Edward Lewis and Susan L. Taylor have managed to extend the Essence brand in difficult times. But as a 33-year veteran of Essence and its Mr. Lewis is a co-founder of Essence as longtime editorial leader, Ms. Taylor has well as chairman-CEO of Essence made sure that alongside lighter subjects like Communications Partners, which counts with a larger proportion of editorial to than half that of the more established Essence. fashion and beauty, there’s substance in the Time Warner as a 49% owner. One benefit of advertising, moving from 56/44 ad-to-edit Karen Jacobs, exec VP-director of print pages of this member of Advertising Age’s that linkage is Essence’s inclusion in Time ratio to 53/47 more recently, he says. investment at Publicis Groupe’s Starcom 2003 magazine A-List. Inc.’s Women’s Group joint buy. The magazine is just one way Essence Worldwide, Chicago, notes Essence may face “There’s a large group of African- While subscriptions were down slightly Communications makes money. There’s also challenges on another front as well: “I hear American women who want to see major (0.6%) in the first half, according to the an investment in Latina, as well as the annual that the teenage pop segment in America is changes take place in our community,” Ms. Audit Bureau of Circulations, renewal rates Essence Awards show and Essence Music one that sees itself as multicultural. ... As teens Taylor says. “There’s great cause for black are currently 58%. And single-copy sales Festival. A product line includes eyewear, grow up, will they still feel the same need and people to feel angry, when you look at how climbed 8.7%, according to the audit bureau, hosiery and books. And coming up next: two connection to magazines that speak more we’re demonized in the news.” despite a newsstand price hike from $2.75 to new magazines earmarked for 2004 and specifically to one cultural niche or another?” Connecting with those people in ways that $2.99 last October. 2005. There’s also a TV channel in the works. In Ms. Taylor’s view, mainstream resonate positively is what Essence is about. “This is the first time that we didn’t take a Still, Essence can certainly expect challenges women’s magazines can only go so far. “We Sure, the September issue had a big cover dip in sales [when there’s been a price hike], and from the magazine competition. Heart & Soul, say we are a mirror,” she says, “the only place teaser that read: “Why he won’t marry you.” in fact our sales increased,” Mr. Lewis says. for example, saw an ad-page increase of 39.4% where black women can read deeply about But Earl Black, associate media director at WPP Part of the sales retention may have to do through September, though the 368 total is less themselves.” ■ AD AGE MAIN 10-20-03 B 7 AADB 10/16/03 2:18 PM Page 1

October 20, 2003 | Advertising Age |S-7

A-LIST PROFILE: COSMOGIRL VOICE IS ITS STRONG POINT By JENNA SCHNUER on the rise, up 21.3% to 1.3 million for the first half, says the Audit Bureau of Circulations. ND THEN THERE were … lots. Yup, Aggressive rate-base increases of about five years ago the major titles in the 25% per year have become status quo at teen category were Seventeen, Teen, CosmoGirl. “We get the strong existing ad Aand YM. Now Teen is gone, newly group to pay for the rate base increases,” Ms. adopted Seventeen is undergoing a major Welker says, adding that half of all ad makeover under Hearst Magazines, and spending in the teen category comes from a there’s a slew of new girls, including Teen group of 20 advertisers, and CosmoGirl gets Vogue and ElleGirl, in town. The standout: 21% of those dollars. Hearst’s CosmoGirl, with a powerful editorial Ms. Welker is looking for the next growth product and ad story that earn it a spot on spurt to come from smaller advertisers. Advertising Age’s A-List. Although she stresses CosmoGirl won’t offer Launched in 1999, CosmoGirl has always discounts for buying both titles, Ms. Welker had its eye on the numbers big sis racks up. says Hearst will emphasize that between “If you look at Cosmopolitan,” says CosmoGirl and Seventeen the company CHRIS CASSIDY CosmoGirl Publisher Kristine Welker, catches the attention of 75% of teen girls. AT ‘COSMOGIRL’ HELM: Publisher Kristine Welker and new Editor Susan Schulz charge ahead with double-digit ad growth. “there’s our road map.” The CosmoGirl team—and the CosmoGirl’s ad page total of 504.5 through magazine’s advertisers—all agree: The title’s September is up 14% from a year ago, key strength is its voice. In a word, CosmoGirl a chance to feel good about who she is, the larger, but faltering, Seventeen, and Ms. according to Publishers Information Bureau. is about empowerment. Through initiatives whether she’s an athlete or into volunteering.” Schulz, then executive editor at CosmoGirl, got Circulation of the 10-times-yearly magazine is like the get-an-internship Club 2024, “we Because of the sexy reputation of big sister the nod to move up to the title’s top edit spot. actually give [readers] real opportunities, not Cosmo, “We took a wait and see attitude A CosmoGirl staffer for three years, Ms. model contests,” says new Editor in Chief [about CosmoGirl], and now we’re Schulz is good to go: “Yes, there are big shoes Susan Schulz. “It feels like a person, not a completely on board,” says George Janson, to fill, but I have a different taste in shoes, and magazine.” senior partner-director of print at WPP they’re just as cool.” Group’s Mediaedge:cia, New York. Mr. The official pen-passing takes place in the EMPOWERING MAGAZINE Janson, whose clients include Chanel and November editor’s letter. “The whole vibe was From the advertiser side, Jamie Gluck, VP- Masterfoods USA, adds that CosmoGirl to point out to the reader that I’ve been there brand marketing at Hot Kiss, says the seems “to take a holistic approach to the lives all along,” says Ms. Schulz. “They do know magazine’s voice is “empowering and of teenagers [vs. the celebrity- and fashion- me, they just don’t know they know me.” independent.” Though the apparel marketer geared coverage of other titles]. They have Hot Kiss’ Mr. Gluck isn’t worried a bit advertises across most of the teen titles, Hot dimensionalized the category.” about the change. “Atoosa’s legacy for the Kiss runs most of its ad pages in CosmoGirl, The CosmoGirl team has been incredibly book is the team she built,” he says. which Mr. Gluck considers “synergistic” steady since the launch. The first big change was “Atoosa and I are friends, but even sisters with his company’s image. announced this summer after Hearst’s are competitive,” Ms. Schulz says. “I know Laurianne Murphy, director of media acquisition of Seventeen from Primedia. she’s going to make Seventeen great, and I’m

CHRIS CASSIDY planning for Bonne Bell Cosmetics, another CosmoGirl founding editor (and Helen Gurley going to make CosmoGirl even greater than it NEW CHALLENGE: Atoosa Rubenstein to enliven Seventeen. CosmoGirl advertiser, says it “gives every girl Brown protégé) Atoosa Rubenstein, moved to was before.” ■ AD AGE MAIN 10-20-03 B 8 AADB 10/16/03 2:19 PM Page 1

October 20, 2003 | Advertising Age |S-8 AdAgeSPECIALREPORT MAGAZINES: THE A-LIST A-LIST PROFILE: ESPN THE MAGAZINE IRREVERENCE SNAGS FANS By JANET STILSON 1 million-to-2 million circulation category. “We feel we can be to athletes what F EVER THERE WAS a moment that Rolling Stone was to musicians in the ‘70s and defines ESPN the Magazine, it was when what Vanity Fair was to celebrities in the San Francisco 49ers receiver Terrell Owens ‘80s,” Mr. Hoenig says. Ifollowed up a touchdown on “Monday The strategy has certainly paid off for Night Football” last year by pulling a Sharpie ESPN the Magazine. Its nearly half- pen out of his shoe, inscribing the ball and century-old competitor, Time Inc.’s Sports handing it to an acolyte in the stands. Illustrated, is still clearly a champion with “The preponderance of people over 35 close to 1,700 pages of advertising through

thought this was a travesty and a disgrace. And the first three quarters of 2003, compared CHRIS CASSIDY the majority of people under 35 thought it was with ESPN the Magazine’s 1,131.9 pages, NOT YOUR FATHER’S SPORTS MAGAZINE: Editor Gary Hoenig and Publisher Christoper Collins aim to keep it “cool.” the coolest thing in the world and great according to Publishers Information Bureau. entertainment,” says Gary Hoenig, who has But SI’s ad pages are down 6.8% from a year the silvered beard and fine mess of office debris earlier, while ESPN the Magazine is up group media director at Interpublic Group of Audit Bureau of Circulations figures that one would expect from the editor in chief of 8.6%. Cos.’ Dailey & Associates, Los Angeles. show the magazine’s single-copy sales fell the most male of all magazine species. The title’s performance has scored ESPN “They missed out on a lot of business,” she 16.7% in the first half of 2003. Mr. Collins, The sheer audacity of Mr. Owens’ move the Magazine a spot on Advertising Age’s says. “But they realized the error of their however, contends the publication started to made it cover story material for ESPN the A-List. ways and embraced all sports. The readership trend up in that area during the last couple of Magazine, which directly aims at the “cool” has grown, and it’s a much more relevant months, and that ESPN the Magazine never set, employing a style that’s big on visuals and REACHING GUYS 18-34 publication.” factored in newsstand sales as a big part of its articles that tend toward the irreverent. That’s There’s nothing to suggest ESPN the Ms. McNeely also gives ESPN the growth. in keeping with what was the modus operandi Magazine’s performance is eating into SI’s Magazine kudos for not falling into the trap of But the loss is “pretty significant,” in the of the magazine’s cable TV forebear at the advertiser base, says Christopher Collins, VP- merely serving as a TV listings guide for the opinion of George Sansoucy, senior VP- time the every-other-weekly was created publisher of the ESPN title, which is the ESPN TV network, as has been true for some director of print and convergence for almost six years ago. product of a joint venture between ESPN other spinoff magazines of TV channels. Interpublic’s Initiative Media, New York. The magazine’s stories may be lean, but parent Walt Disney Co. and Hearst Magazines. Despite all the success, ESPN the Nevertheless, Mr. Sansoucy draws no ultimate don’t tell Mr. Hoenig and crew that the Media buyers say ESPN the Magazine has Magazine has had to contend with a growing conclusions. “The newsstand situation [for wordcraft is wimpy. Mr. Hoenig says there actually helped grow the number of number of laddie titles that are going after the magazines as a whole] is in amazing flux,” he was a “staff rebellion” about two years ago, advertisers that consider magazines an same advertisers. And that’s kept ESPN the says. “I’m not seeing any trending per se.” when the edit team took exception to the opportunity for reaching the 18-to-34-year- Magazine on its spikes. “In the last year and a On the plus side, total circulation climbed opinion the content wasn’t as potent as it old male base. half, we’ve gone from being the hunter to the 10.2% to 1.7 million in the first half. ESPN the could be. The validation came this year, when Originally, ESPN the Magazine only hunted,” says Mr. Collins. Magazine expects it to reach 1.75 million by ESPN the Magazine won a National targeted major sports like basketball, football The publisher doesn’t divulge his yearend, and will raise its rate base 6.1% to that Magazine Award for general excellence in the and baseball, notes Pam McNeely, senior VP- magazine’s renewal rates. But he can’t avoid number from 1.65 million in January. ■ AD AGE MAIN 10-20-03 B 10 AADB 10/16/03 2:20 PM Page 1

October 20, 2003 | Advertising Age |S-10 AdAgeSPECIALREPORT MAGAZINES: THE A-LIST EDITOR OF THE YEAR The Atlantic Monthly shows it can increase advertising and circulation by publishing journalism of substance, courtesy of its managing editor, Cullen Murphy. Now, its ambitious goal is to make readers pay a lot more for that CULLEN MURPHY content in 2004. Caitlin Flanagan turn many a tart and lovely politics and domestic affairs, and books. “We phrase, its stock-in-trade is its big-think have to choose our targets wisely,” says Mr. deep-dig pieces, an arena in which it’s Murphy. “The question becomes, with arguably bested all contenders in recent limited space and resources, where do you years. Among many others: William place your bets and where do you have the Langewiesche on the World Trade Center most impact?” cleanup, the crash of EgyptAir Flight 990 and Which reflects the choices that serious, today’s sea piracy; Robert Kaplan on the ambitious monthlies face today. The Atlantic is differing roads the Middle East could take as not scaled to reach a million in circulation. On typified by Yemen and Eritrea; and Mark the ad side, it’s made nods to affinities for Bowden’s primer on interrogation. “special” editorial packaging. But the annual In them, the magazine still displays a theme issues it publishes—“State of the culturally contrapuntal tendency to, as one Union” and “Education,” both initiated by Mr. editor puts it, “let its articles find their own Murphy—are clearly driven by intellectual lengths,” and explore nuance to arrive at rather than marketplace concerns. Mr. conclusions that resist bumper-sticker or nut- Murphy mulls starting a business-themed paragraph summation. issue, but that’s a far cry from unabashed ad- The magazine’s stepped-up game has won seeking plays like a fashion issue. notice. “The Atlantic was always running these really great, long stories, but in the past HARD TO MAKE A BUNDLE couple of years they managed to apply that “It’s hard to find a model where you’re going expansiveness to pieces a little more urgent to make a lot of money with this particular and a little more immediate,” said Robert form,” admits John Fox Sullivan, group DARREN MCCOLLESTER Levine, a senior editor at Wired. publisher of The Atlantic, which nevertheless By JON FINE Year puts out every month. In his 18 years at The Atlantic, Mr. Murphy occupies the No. 4 spot on Ad Age’s A-List. Mr. Murphy’s office is as text-dense as his played key roles in both its tweedy tradition and The question is how to reach break-even or O THE IMPROMPTU walking tour magazine. Its bare-brick walls are lined with its reinvention brought about by the late Editor marginal profitability. The Atlantic looks to guided by Cullen Murphy, managing furlongs of books ranging from Andrei Michael Kelly and the dollars devoted by new do this by putting the onus on its readers—as editor of The Atlantic Monthly, Gromyko’s memoirs to Ace Backwords’ how- owner and Chairman David Bradley. He was many magazines have threatened but few reaches Copp’s Hill Burial Ground— to on homelessness, “Surviving on the former Editor in Chief William Whitworth’s have attempted—by dropping rate base by S Boston’s second-oldest cemetery— Streets.” A stack of recent magazines includes No. 2 when Mort Zuckerman owned The 27.8% to 325,000 from 450,000 and doubling just as his interviewer asks him about the Vanity Fair and The New England Journal of Atlantic, and remained in that role for the newly its average subscription price to $30. health of long-form magazine journalism. Medicine, although not the U.S. Army War charged locomotive Mr. Kelly cheerily piloted. It’s a bold move in an industry not known “I would much rather have more and College quarterly Parameters, which Mr. (One of Mr. Murphy’s main tasks was making for boldness. Mr. Sullivan, by way of better competitors than to have this being left Murphy later touts. The most noteworthy sure Mr. Kelly’s train ran on time. In its loving bolstering his case, says the magazine posted as some kind of exotic species that lives only in office art is an enormous “Prince Valiant” obituary for Mr. Kelly, killed in April while steady single-copy sales increases while captivity, basically,” he says, while comic strip, which he writes and his father covering the Iraq war, The Atlantic noted his boosting cover price to $4.95. surrounded by tilting headstones bearing illustrates. “wallets and cell phones litter three continents.”) “We are producing a really fine product for epitaphs blurred by time. “The middle ground Mr. Kelly stepped down to become editor educated people, most of whom have some between news potato chips”—the light-bites BOSTON IN ‘ATLANTIC’ DNA at large in September 2002, at which point means and are willing to pay for a fine desk jockeys glean while zooming around the It’s not the smart-set glamor one finds in the Mr. Murphy became The Atlantic’s top product,” says Mr. Murphy. “We are now Web—“and the vast meals served in books offices of Conde Nast Publications’ New editor. But insiders are quick to point out the putting this on the line.” has almost disappeared.” But, says Mr. Yorker, which remains the key foil for The unusually collaborative relationship Mr. Arguing against The Atlantic is Murphy, “My bet is that I am not the only Atlantic (and vice versa) among serious Murphy enjoyed with Mr. Kelly, and also the magazines’ inconclusive track record in person in the world who misses this.” magazines. Both titles’ DNA reflects rarefied qualities of Mr. Murphy’s tenure now monetizing multiple National Magazine We’re about to find out if he’s right as The versions of their hometowns. The New Yorker becoming apparent. Awards. (The Atlantic has racked up five in Atlantic, where a surprisingly high is glossier, and at one with its city’s speed-of- “He is very organized, very efficient and the past two years.) Arguing in its favor, as percentage of the magazine world’s best- light discourse and voracious cultural and wicked smart,” says Charles Mann, a Mr. Murphy does, is the public’s appetite for crafted and most-deeply-thought pieces has intellectual appetites. The Atlantic is less flashy, longtime Atlantic correspondent. “A very serious non-fiction—examples in the book appeared over the past few years, plans an unconcerned with any kind of fashion or strong and directive editor.” world include Eric Schlosser’s “Fast Food ambitious attempt to make its readers pay celebrity, and more attuned to academic values. Some of those directives, Mr. Murphy Nation” and David McCullough’s John more. Key factors in its favor, of course, are (The Boston roots also account for its forgivable says, involve additional adjustments to the Adams biography. Much of The Atlantic’s the quiet authority of Mr. Murphy’s obsession with most things Kennedy.) magazine’s metabolism via rejiggering native habitat may have disappeared, but leadership, and the smart and surprising Though The Atlantic’s book-reviews- deadlines to allow later closing on news pieces. perhaps this exotic breed can survive in the magazine that Advertising Age’s Editor of the cum-essays from Christopher Hitchens and As well, a continued focus on foreign affairs, wilds of today’s marketplace. ■ AD AGE MAIN 10-20-03 B 12 AADB 10/16/03 2:21 PM Page 1

October 20, 2003 | Advertising Age |S-12 AdAgeSPECIALREPORT MAGAZINES: THE A-LIST PUBLISHING EXECUTIVE OF THE YEAR Financial background helps Meredith’s publishing group chief make the quick decisions necessary after 9/11 and the recession. Now the self-described ele- phant hunter is building a solid team to fix the sore spots and extend the STEPHEN M.LACY brands to keep Meredith growing. according to TNS Media Intelligence/CMR. readers were, well, getting older. Ms. Operating profits for the publishing group, Salvatore’s new team “gave [the 100-year-old which includes a total of 17 subscription-based title] a shot of B-12,” says Mr. Kaplan. titles, hit $46.4 million in the fourth quarter, LHJ’s turnaround was “phenomenal,” Mr. ended June 30, up 24% from the previous Atorino says, adding it’s one of the most year. Meredith noted especially strong “unheralded success stories” in the industry. performance for Ladies’ Home Journal and At yearend, LHJ’s ad pages will be up 23% over More, saying both titles boosted ad pages by 2002, to 1,500, according to the publisher. more than 30%. For all of fiscal 2003, operating profits for the publishing group LINKING WITH CHRYSLER climbed 17% to $139.3 million. Other elephantine initiatives under Mr. Lacy Meredith was at the “right place at the include a bevy of Better Homes & Gardens right time,” says Ed Atorino, director at brand extensions—from a licensing deal with investment bankers Blaylock & Partners. Home Interiors & Gifts to the expansion of “The trends [like home decorating and food] BH&G special-interest publications and went their way, and they capitalized on it.” custom publishing deals for clients including One of the most successful ad programs DaimlerChrysler and DirecTV. under Mr. Lacy has been the Home Initiatives Two other subjects that put a sparkle in Group. Started two years ago, the group Mr. Lacy’s eyes include book publishing and “pursued 90 to 100 accounts where we put the Internet. Meredith aggressively courted together programs to dominate their budgets,” book partners in the home and food arenas. Its he says. The group creates plans that go beyond best sellers include titles for Home Depot and

CHRIS CASSIDY specific titles or ad programs. Focused on cable hit “Trading Spaces,” and recently “breaking down silos,” Mr. Lacy and the other published titles with cable channels HGTV By JENNA SCHNUER Kerr named Mr. Lacy publishing group company executives emphasize that the brand and Food Network. On the Internet side, the president when Christopher Little left. The that matters most is Meredith itself. company has just about hit a three-year goal ONEY GUY. Elephant hunter. Elvis group had already seen years of growth so Mr. Lacy, a self-described “elephant of 1.5 million subscriptions through the impersonator. “the biggest challenge was to keep the hunter,” doesn’t like to waste time on small BH&G Web site, at half the cost of offline An odd package but, in the form momentum going,” Mr. Kerr says. Then came projects. They require just as much attention subscription acquisition. of Stephen M. Lacy, president of Sept. 11, 2001, and the recession. “Then it was as larger, “move the needle” initiatives, but Next up for the publishing group: a focus MMeredith Publishing Group, one how will we lead the pack coming out?” Mr. don’t contribute as much to the bottom line. on women in earlier stages of life and on that works extremely well. Kerr says. Mr. Lacy’s efforts toward that end “One of our mantras is that bigger is Hispanic women. A foundation was set for Mr. Lacy joined Meredith Corp. as VP- have put him in the spotlight as Advertising better,” says Jerry Kaplan, exec VP-Meredith both areas with the 2002 acquisition from chief financial officer in 1998 and, for most of Age’s Publishing Executive of the Year. Publishing Group. “The focus is on Primedia of American Baby Group, which 2000, ran the company’s interactive and generating revenue and putting out the best includes Spanish-language titles and a integrated marketing operations. He was MILITARY TALK product we can.” magazine popular with first-time moms. named group president in November 2000. Mr. Lacy and the other Meredith executives Mr. Lacy is also focused on putting the Research into the needs of Hispanic “There is a benefit to coming in and pepper their conversations with military and right team in place to meet those goals. consumers is ongoing. “You’ve got to be there looking at things without the emotion. The sports language. It’s a striking contrast to the “One of Steve’s great strengths is his early and seize your position,” Mr. Lacy says. financial background allows me to make a home and garden subject matter the company ability to pick and motivate talent,” says Mr. But Mr. Lacy also recognizes that you can’t decision more quickly,” says Mr. Lacy, 49, concentrates on, but also a fitting mind-set: Kerr. But once Mr. Lacy installs them and build a company on strategy alone. Giving who before coming to Meredith had never Strategic planning and strong leadership have gives them the resources they need, Mr. your employees a pat on the back and a good worked in publishing. contributed a great deal to the company’s Atorino says, he leaves them alone. laugh helps. Like three years ago at the At Meredith, the publishing bucket growth and bottom line. Case in point: the revitalization of Ladies’ company’s E.T. Meredith Awards for includes magazines, books, brand licensing, For 2003, Meredith predicts a combined Home Journal under new Editor in Chief Creative Excellence, when the planned Elvis interactive media, integrated marketing, and 16% ad page growth for its six biggest titles Diane Salvatore. Although the title had strong impersonator backed out. Mr. Lacy stepped database and information systems operations. over 2002. Through September, Meredith’s circulation, there was little excitement over it into the jumpsuit and, Mr. Kerr recalls, Meredith Corp. Chairman-CEO William ad pages were up 14.5% from a year ago, in the ad community, and the magazine’s “brought our troops to their knees.” ■ AD AGE MAIN 10-20-03 B 14 AADB 10/16/03 2:22 PM Page 1

October 20, 2003 | Advertising Age |S-14 AdAgeSPECIALREPORT MAGAZINES: THE A-LIST LAUNCH OF THE YEAR Not a personal finance magazine, not just a women’s magazine, Budget Living wins a loyal base of fans by spreading its mantra of “Spend smart. Live rich.” This year’s Launch of the Year finds its niche by promoting style, joy and the BUDGET LIVING satisfaction of saving a buck. yourself advice. The title launched in October 2002 with a “Women’s magazines today are not giving rate base of 300,000. It was bumped to the info on how to buy a car, how to invest in a 400,000 in April/May 2003. In 401 (k), how to save for your kids’ college February/March 2004, the rate base will rise fund and all those aspects of one’s life,” Mr. again to 450,000, and with a frequency boost Welsh contends. “Women had to go to the old to 10 times per year in October 2004, yet boys’ club, the Fortune magazines, the another increase to 500,000. Budget Living’s Money magazines, which have less than 20% newsstand sell-through is a “little over half,” female readership, to find out the kind of says Mr. Welsh. At chain bookstores, the sell- information they needed to run their lives.” through is a stellar 60%. In his role as co-founder and publisher of Budget Living, Mr. Welsh met with 30 A LOT OF FAITH candidates before finding his editor in chief. The magazine ran 474 ad pages through the After launching Rodale’s Organic Style, first seven issues, according to the publisher. Sarah Gray Miller, 32, was taking some time “We had a lot of faith that it was going to away from the magazine industry. Her succeed,” says Mark Brown, Detroit-based former boss, Dorothy Kalins, pushed her to group communications planning director for meet with Mr. Welsh. (Ms. Miller wore a $5 WPP Group’s J. Walter Thompson USA. jacket she had customized with new buttons.) The magazine’s philosophy of After meeting with Mr. Welsh in January “affordability without sacrificing style” is a 2002 over a few beers, Ms. Miller realized she “spot-on match” for his client, Ford Motor ‘BUDGET’-CONSCIOUS: Publisher Donald “couldn’t stop turning the idea around in my Co.’s Ford Focus, Mr. Brown says. Welsh and Editor Sarah Gray Miller head.” She met with him again in March, and Budget Living advertisers run the gamut CHRIS CASSIDY delivered a budget and architecture for the from Target Stores to Estée Lauder Cos. to By JENNA SCHNUER The executive wanted to launch a magazine soon after. Sony Corp. magazine, with the same thrust as Fortune or Ms. Miller’s name isn’t plastered across On Nov. 23, a weekly Budget Living UPI AUNCH-HAPPY Donald Welsh Money, that his daughter would read. From the cover of Budget Living, but her life is syndicated column will launch in 25 to 50 usually gets his ideas while that point, Budget Living was on its way— well-represented inside. She’s used her newspapers. Also going to print is “Home vacuuming. The business brains and marks 2003 as Advertising Age’s Launch apartment and friends for photo shoots, and Cheap Home,” the first Budget Living book behind a mountain of titles including of the Year. long before she even met Mr. Welsh, she was from Perigree Books, a division of Penguin L Budget Travel and Muppet The recession also inspired Mr. Welsh, as living the title’s tagline: “Spend smart. Live Group (USA); it will hit bookstores in May Magazine, Mr. Welsh spent one carpet- well as “finding out how powerful women’s rich.” 2004, and “Party Central” will follow in cleaning spree thinking about his auto savvy buying power is today, and that it was chic to Eight issues in, Budget Living Media’s October. daughter’s car-shopping experience. be cheap. Those things were all happening” all namesake title is clearly a hit—with readers Mr. Welsh is currently working with the The 33-year-old woman was infuriated at the same time. and advertisers. One of the 30,000 reader Beanstalk Group, a brand licensing when a salesman would only address her not- e-mails they’ve received: “I would want management company, to put Budget Living as-car-capable husband. Big mistake. Mr. NOT SOLELY ABOUT FINANCES Budget Living to be my ‘Magazine on a housewares, like sheets, on store shelves. He Welsh , 59, believes the current crop of Not solely a finance magazine, Budget Desert Island’; tough choice, because for brain wouldn’t mind a partnership with a large money-focused magazines does the same Living also has elements of Time Inc.’s vastly candy you can’t beat People, and for brain store, much like the one Martha Stewart has thing. In the U.S., 52% of assets are owned by successful Real Simple, itself one of Ad Age’s protein The New Yorker or The Economist, with Kmart Corp. In the works is a TV show, women and that will grow to 60% by 2010, A-List magazines for 2003 and Magazine of but for overall joy, style and satisfying which, Mr. Welsh says, is “the final piece we Mr. Welsh says. the Year in 2002. Both titles offer up do-it- content I would have to go with BL.” don’t have yet.” ■ AND NOW A WORD FROM YOUR READERS More than eight in 10 people read magazines. That’s a piece of good news from an online survey Knowledge Networks conducted for Magazines: The A-List. But there’s more to the story. The nationwide consumer panel consisted of 1,355 respondents surveyed in August/September.Among the findings:

WANTING MORE ... OR LESS WHY SOME DON’T One in five respondents says there are too few family-themed magazines; 59% say there are too many entertainment titles. Among the 14% who don’t read magazines, their reasons for not:

Note: Respondents could give more than one answer or reason. Go to knowledgenetworks.com for more data including respondent reaction to magazine ads, and breakdowns of responses by age and household income.