Gourmet Magazine Ends
06/10/09 08:10 Filed in: In the News
After 64 Years, Gourmet Magazine Ends
What The News Brings Brings To Your Business
Conde Nast announced yesterday that it will cease publication of their popular Gourmet magazine. Citing an advertising dive of 50% since last year, the company made the decision to shelve the magazine. The news was shocking, especially noting the 64-year successful history of the title. Other titles were also dropped in the cut.
Yesterday, fishing around for commentaries from the gourmet trade magazines, it was troublesome to discover the void in the blogs. Is the news almost too much to digest? Or, could the trade blogs be assimilating the information, as the authors take time to sort through what this development may mean to the trade?
There are implications to the overall market, but I’m not completely confident to say how the fallout could translate to your business, but I will make some guesses, based on our own personal experiences in the publishing trade.
When our company made the decision to discontinue printing Gift Basket Review magazine, the absence of the publication sent a signal across the board that the gift basket industry had changed to the extent that a print magazine could not be properly financed and marketed -- at least temporarily. At the time, I spent many sleepless nights, tossing the closure decision for months until I was certain there was no better choice. Now, with the dead fall of the consumer Gourmet magazine, I am reassured that my take on the market changes was accurate. Consumer trends in the publishing biz generally follow trade events.
Gourmet foods are luxury purchases, and that market has suffered in this recession. People still love a small indulgence and enjoy giving them. But in tough times, the luxury splurges become less frequent. As more people find it socially acceptable to forego the splurge, choosing more affordable options (in other words, all their friends are backing off on spending, too), the effect snowballs and the market experiences overall decline.
I believe the demise of Gourmet is a clear signal to tighten up and get more value centered in the gift basket business. The pendulum has swung back, and highly ornamental baskets are likely to take a backseat to full food value. I expect consumers and corporate clients to continue to buy thank you and appreciation gifts this holiday season, but I also believe the orders will be for tins and boxes of treats, stacks, and wrapped stand-alone gifts. When gift baskets are ordered, the signs of the times prepare us for more modest gift basket choices. To be sure, a segment of buyers will still want lavish, huge gift baskets, so be prepared with at least a couple of designs in the line. But overall, especially with the emphasis on obesity figured into the equation, the trend is likely to go with smaller portions and presentations.
This may simmer down to less labor-intensive orders which could mean less hiring of temps in the gift basket business. More food value and fewer enhancements also points to savings in floral supplies. Overall, a gift basket business might be able to pull the same profit as previous years by cutting back on labor, inventory, and costly decorative enhancements.
In light of the market changes, consider saving the budget by putting scant enhancements on the outer wrap of the gift basket. One floral pick used wisely in combination with streaming trails of ribbon can give the basket a beautiful outer presentation. Use tissue paper generously inside the basket to fill in any empty spaces.
Think positive and PLAN to succeed. There’s a good chance your well-thought plans will be successful.
What The News Brings Brings To Your Business
Conde Nast announced yesterday that it will cease publication of their popular Gourmet magazine. Citing an advertising dive of 50% since last year, the company made the decision to shelve the magazine. The news was shocking, especially noting the 64-year successful history of the title. Other titles were also dropped in the cut.
Yesterday, fishing around for commentaries from the gourmet trade magazines, it was troublesome to discover the void in the blogs. Is the news almost too much to digest? Or, could the trade blogs be assimilating the information, as the authors take time to sort through what this development may mean to the trade?
There are implications to the overall market, but I’m not completely confident to say how the fallout could translate to your business, but I will make some guesses, based on our own personal experiences in the publishing trade.
When our company made the decision to discontinue printing Gift Basket Review magazine, the absence of the publication sent a signal across the board that the gift basket industry had changed to the extent that a print magazine could not be properly financed and marketed -- at least temporarily. At the time, I spent many sleepless nights, tossing the closure decision for months until I was certain there was no better choice. Now, with the dead fall of the consumer Gourmet magazine, I am reassured that my take on the market changes was accurate. Consumer trends in the publishing biz generally follow trade events.
Gourmet foods are luxury purchases, and that market has suffered in this recession. People still love a small indulgence and enjoy giving them. But in tough times, the luxury splurges become less frequent. As more people find it socially acceptable to forego the splurge, choosing more affordable options (in other words, all their friends are backing off on spending, too), the effect snowballs and the market experiences overall decline.
I believe the demise of Gourmet is a clear signal to tighten up and get more value centered in the gift basket business. The pendulum has swung back, and highly ornamental baskets are likely to take a backseat to full food value. I expect consumers and corporate clients to continue to buy thank you and appreciation gifts this holiday season, but I also believe the orders will be for tins and boxes of treats, stacks, and wrapped stand-alone gifts. When gift baskets are ordered, the signs of the times prepare us for more modest gift basket choices. To be sure, a segment of buyers will still want lavish, huge gift baskets, so be prepared with at least a couple of designs in the line. But overall, especially with the emphasis on obesity figured into the equation, the trend is likely to go with smaller portions and presentations.
This may simmer down to less labor-intensive orders which could mean less hiring of temps in the gift basket business. More food value and fewer enhancements also points to savings in floral supplies. Overall, a gift basket business might be able to pull the same profit as previous years by cutting back on labor, inventory, and costly decorative enhancements.
In light of the market changes, consider saving the budget by putting scant enhancements on the outer wrap of the gift basket. One floral pick used wisely in combination with streaming trails of ribbon can give the basket a beautiful outer presentation. Use tissue paper generously inside the basket to fill in any empty spaces.
Think positive and PLAN to succeed. There’s a good chance your well-thought plans will be successful.