Posted Mar. 20, 2008
The board of the Audit Bureau of Circulations has given its initial approval to a broad set of strategic rule modifications for U.S. newspapers.
The changes will provide important data to advertisers, while more clearly defining paid circulation and creating a new “verified” reporting category for other circulation channels. They are also intended to simplify ABC rules, reduce certain audit costs and provide greater pricing and marketing flexibility for publishers.
Some rule modifications will take effect April 1, 2009, with the balance implemented Oct. 1, 2010. The ABC board is expected to give final approval to these rule changes at its July 2008 meeting, following development of specific rule language and review by its members. ABC will consider the application of these changes for the Canadian newspaper market after further input from its Canadian members.
The U.S. rule modifications that will take effect April 1, 2009, include:
-- Ease certain reporting requirements for mid-size newspapers. Currently, newspapers with average paid circulation of less than 25,000 are not required to be audited annually nor report averages for each day of the week, if published daily. This threshold will be raised to 50,000.
-- Implement a flexible pricing model where newspapers will be considered “paid” by ABC regardless of the price for which a copy is sold. This will bring ABC’s U.S. newspaper division in line with current practices in its periodical divisions, as well as with price qualification standards in the Canadian newspaper market.
-- Allow newspapers to convert current home subscribers to a greater frequency, provided the subscriber can opt out of the program, the new frequency is delivered for a minimum of 12 weeks and advertisers are notified of such programs at least 120 days in advance.
-- Begin phasing out intermittent subscriptions from average paid circulation. In 2009, a maximum of 50 intermittent days may be claimed. In 2010, the maximum drops to 25 days, with all intermittent subscriptions to be reported as “verified” circulation beginning in 2011.
The following U.S. rule modifications will take effect Oct. 1, 2010:
-- Revise the definition of paid circulation so that it is more straightforward, represents payment by an individual reader or specialized channel and continues to be reported separately on ABC Publisher’s Statements and Audit Reports.
-- Adopt a paid/verified reporting model where “other paid circulation” (e.g., copies purchased by sponsors or distributed to schools and newspaper employees) will be reported as “verified” circulation.
Reclassify copies distributed at hotels and subscriptions purchased by businesses for designated employees to a new paid-circulation category, “Business/Traveler.”
ABC has created a new section of its Web site where, in the coming weeks, newspaper members will be able to review specific rule language, an implementation timeline, FAQs, webinars and a prototype Publisher’s Statement.
Newspaper Preprint Tool Launched
The ABC board also approved the launch of a new online tool to help newspapers and their advertisers better plan for preprinted insert ad production requirements. The new Preprint Projection Center allows newspapers to provide confidential distribution forecasts to help their advertisers better gauge printing and production requirements months in advance. The tool enhances productivity by eliminating the need for newspapers to contact multiple advertisers individually to update them with preprint quantities, zones, dates and distribution information.
The Preprint Projection Center launches April 1 and is free for ABC members.