In 2008, 525 magazines folded in the US, a trend showing no signs of slowing this year with about 90 closing in the first quarter alone.
What do these closures mean?
Aside from the thousands of jobs that have been eliminated, it means advertising revenues are decreasing as well – Myers Publishing reports a 9% drop – forcing companies that once relied solely on print to shift toward other avenues to remain solvent.
According to eMarketer, print ad spending will fall 16.2% this year from $14bn to $10.9bn.
And only those companies who successfully harness the internet to offset this decline will prosper.
WSI, the world’s largest internet consulting franchise and number one internet business franchise for nine consecutive years in Entrepreneur magazine, is leading the way in servicing the online advertising market.
The company expects to award 225 franchises in 2009, an increase of almost 30% on the previous two years.
Fueling this growth is the rapid shift in focus from traditional advertising mediums such as TV, radio and print to online marketing.
It’s not a one-time sale, either, as WSI franchisees build long-term business relationships with clients, developing multiple revenue streams and incremental recurring revenue from services like website hosting, visitor traffic monitoring and reporting, consulting fees and internet marketing campaign management.
“It’s all about understanding the power of the relationship,” says WSI president Ron McArthur.
“Our internet marketing consultants understand that the relationships they build with their clients are the key to their success.
“It’s not about getting into the nitty-gritty of building a website for a client and never talking to them again.”