Sometimes I have to put the bourbon aside and deliver a sobering report to the industry. I do this because I love the magazine media industry, and I don’t want anyone to misinterpret the facts and actual conditions of our industry.
In turbulent times, turbulent things happen. What I have to report tonight is a reflection of the turmoil of the times we live in. I was asked by those in the know not to say what I am about to tell you, and I would have kept that promise, but we live in an instant messaging age.
A person I do not know tweeted today that Folio: Magazine is no more. Because of that tweet, I feel I am relieved of the responsibility of keeping my silence.
The demise is unfortunate but understandable. Our industry is under extreme duress, and so too are trade organizations that track our industry. Clearly, FOLIO: needed serious revenue to complete their journalistic task of monitoring and educating our industry. The logical choice before COVIV 19 was for them to focus on the conference and awards business, a decent plan if not for the pandemic.
Their plan was one that many publishers leaned towards to replace lost advertising revenue—a good idea except for the fate forced upon us by an epidemic.
What happened? Part of the answer for FOLIO: was vendor consolidation. In the mid-2000s many companies were spending serious dollars with FOLIO:, and there were in those days dozens of printers trying to reach the print publishing industry.
That revenue stream went from lucrative to zero almost overnight. Other sectors of the industry also dropped out of sight. Gone were the fulfillment companies, telemarketing companies, and investment banks. Gone too was the revenue from the many reprint companies.
Add to that the shrinking number of media companies. Years of magazine closures and layoffs left fewer brands and fewer people to enter the awards business and attend their events.
It is all a reflection of the realignment of the content distribution business formally known as publishing.
I must at this point add that Publishing Executive Magazine, the other magazine publishing trade publication, has stopped tracking the industry and is no more. Their site has not published anything new since mid-June. The only conclusion is that they are gone too, and the excellent staff displaced to hopefully new possibilities.
It costs a lot to host the staff necessary to track an industry. I believe that both publishers had a chance to make it in these crazy times and be prosperous if not for the pandemic. Now both are gone.
What does it mean? Everything and nothing, is my answer. The world will go on, and the publishing industry will go on too.
Eventually new organizations and new trade publishers will grow and arise from the ashes of the old publishing community. You’ve heard me say a dozen times that entrepreneurs hate a vacuum. When the dust settles, there will be a huge trade vacuum that needs filling.
We are on a strange road toward what will be. It has twists and turns, dips and mountains yet to climb. Yet when we get to wherever we are going, if we will look back quickly, we will see nothing but a straight and level path to how we got here, wherever that new destination is. That is the way of life and business. The road is only evident when you arrive and not a moment before.
Someday we will all look back on this period of technological and pandemic turmoil and smile. Yes, I think we may quite possibly smile. We will laugh because we survived multiple tsunamis that the world had never seen before and persevered.
There are more ways than ever to consume media and more media than ever to consume. I see that as a good situation. I will only worry if and when people stop reading. If they don’t’ stop reading, then there is an opportunity for our industry to sell relevant thought for a profit. If there is a profit to be made, then that is an ideal place for a thoughtful and inquisitive publisher to be.
A few weeks ago, I reported that it seems apparent that COVID has placed us in a time machine, a machine that accelerates whatever was happening before. If your business was in decline, that decline is now accelerated. Sadly our trade magazines have suffered under the stress and conditions of the unforgiving time machine.
My heart and best wishes go to the staffs of FOLIO: and of Publishing Executive magazine, many of whom are friends.
President, Precision Media Group
This commentary originally appeared on Bo Sacks daily newsletter and is re-published with kind permission. You can subscribe to Bo’s e-newsletter here.