PRESENTATION OF THE COMPANY’S SECTOR
The main measured figures in respect to the profitability of periodical Press is circulation and attracted advertisement spending.
Periodical Press is distinguished in different areas depending on:
- The different release frequency of magazines, which can be weekly, bimonthly, monthly or greater
- Their distribution and circulation range, which can be all over Greece or a local destination
- The general or specific category in which they belong
Total media advertisement cost 2006 and 2007
| 2006 COST € | % ON TOTAL | 2007 COST € | % ON TOTAL | % OF CHANGE |
| TV | 793.555.287 | 33,86 | 941.520.297 | 35,47% | 18,65% |
| Magazines | 978.271.748 | 41,74 | 1.047.879.468 | 39,47% | 7,12% |
| Newspapers | 452.379.252 | 19,30 | 499.732.045 | 18,82 | 10,47% |
| Radio | 119.364.988 | 5,09 | 165.596.520 | 6,24 | 38,73% |
| Total | 2.343.571.275 | 100 | 2.654.728.330 | 100 | 13,28% |
Source: Media Services
Since the beginning of ‘80s up to nowadays, there has been a rapid development in the technology of sector units, through the installation of state-of-the-art presses and a high vertical integration. This development led to:
- Reduction of required release time
- High quality of produced prints
- Low penetration of imported prints on the domestic market
The successful performance of IMAKO and its active involvement in technological developments of the publishing sector and trends in the periodical Press are due to:
- The implementation of new technologies for the vertical integration of the production process
- The company’s partnership with other publishing firms in the areas of prints distribution and production
- The further differentiation of the company’s prints in specialized topics and the improvement of its financial figures
CIRCULATIONS AND MARKET SHARES IN 2006 & 2007
Nitro
| CIRCULATIONS 2006 | CIRCULATIONS 2007 |
| | %
| | %
|
| NITRO | 38.397 | 30,33% | 34.708 | 38,26% |
MAX
| 24.607
| 19,43%
| 22.632
| 24,95%
|
| FREE | 63.613 | 50,24% | 33.371 | 36,79% |
TOTAL
| 126.617
| 100,00%
| 90.711
| 100,00%
|
Pink Woman
| CIRCULATIONS 2006 | CIRCULATIONS 2007 |
| | %
| | %
|
| PINK WOMAN | 53.220 | 12,40% | 54.054 | 13,01% |
GLAMOUR
| 92.739
| 21,60%
| 76.627
| 18,44%
|
MIRROR
| 69.941
| 16,29%
| 75.642
| 18,20%
|
| COSMOPOLITAN | 88.091 | 20,52% | 85.532 | 20,58% |
LIPSTICK
| 43.959
| 10,24%
| 37.945
| 9,13%
|
YOUNG
| 42.833
| 9,98%
| 49.579
| 11,93%
|
JOLIE
| 38.568
| 8,98%
| 36.194
| 8,71%
|
TOTAL
| 429.351
| 100,00%
| 415.573
| 100,00%
|
In Style & Real Simple
| CIRCULATIONS 2006 | CIRCULATIONS 2007 |
| | %
| | %
|
| IN STYLE | 37.246 | 11,36% | 35.038 | 10,97% |
| REAL SIMPLE | 24.348 | 7,43% | 15.674 | 4,91% |
ELLE
| 53.372
| 16,28%
| 52.120
| 16,32%
|
M.FIGARO
| 37.206
| 11,35%
| 37.607
| 11,77%
|
M.CLAIRE
| 33.420
| 10,19%
| 33.482
| 10,48%
|
V.BEAUTE
| 28.832
| 8,80%
| 30.182
| 9,45%
|
CELEBRITY
| 38.751
| 11,82%
| 42.053
| 13,16%
|
TOTAL
| 327.822
| 100,00%
| 319.436
| 100,00%
|
Esquire & Maxim
| CIRCULATIONS 2006 % | CIRCULATIONS 2007 % |
ESQUIRE
| 13.085
| 8,38%
| 12.389
| 8,61%
|
MAXIM
| 38.236 | 24,48% | 28.766 | 20,00% |
| MENS HEALTH | 37.144 | 23,78% | 38.462 | 26,74% |
PLAYBOY
| 33.293
| 21,32%
| 26.874
| 18,69%
|
| PENTHOUSE | 17.387
| 11,13%
| 18.726
| 13,02%
|
STATUS
| 17.040
| 10,91%
| 18.599
| 12,93%
|
| TOTAL | 156.185 | 100,00% | 143.816 | 100,00% |
Top Gear
| CIRCULATIONS 2006 | CIRCULATIONS 2007 |
| | %
| | %
|
| TOP GEAR | 9.434 | 12,66% | 9.480 | 15,34% |
CAR
| 10.973
| 14,72%
| 10.900
| 17,64%
|
CAR&DRIVER
| 11.988
| 16,09%
| | 0,00%
|
| 4 TROXOI | 28.206 | 37,85% | 26.548 | 42,96% |
DRIVE
| 13.924
| 18,68%
| 14.864
| 24,05%
|
TOTAL
| 74.525
| 100,00%
| 61.792
| 100,00%
|
Down Town & OK!
| CIRCULATIONS 2006 | CIRCULATIONS 2007 |
| | %
| | %
|
DOWN TOWN
| 27.620
| 20,11%
| 26.366
| 18,41%
|
OK!
| 25.868
| 18,83%
| 29.608
| 20,67%
|
HELLO
| 24.224
| 17,63%
| 28.156
| 19,66%
|
CIAO
| 16.409
| 11,95%
| 17.349
| 12,11%
|
ΧΑΪ
| 6.719
| 4,89%
| 7.506
| 5,24%
|
ATHINORAMA
| 27.040
| 19,68%
| 26.436
| 18,46%
|
EXODOS
| 9.486
| 6,91%
| 7.792
| 5,44%
|
TOTAL
| 137.366
| 100,00%
| 143.213
| 100,00%
|
ADVERTISEMENT COST AND MARKET SHARES IN 2006 & 2007
In Style &Real Simple
| ADVERTISEMENT COST 2006 | ADVERTISEMENT COST 2007 |
| €
| %
| €
| %
|
| IN STYLE | 23.051.306 | 14,87% | 23.714.562 | 14,37% |
| REAL SIMPLE | 5.445.978 | 3,51% | 5.074.026 | 3,07% |
ELLE
| 26.382.955
| 17,02%
| 30.188.725
| 18,29%
|
M.FIGARO
| 26.193.620
| 16,89%
| 26.925.107
| 16,32%
|
M.CLAIRE
| 19.690.753
| 12,70%
| 21.621.116
| 13,10%
|
VOGUE
| 13.866.301
| 8,94%
| 17.910.820
| 10,85%
|
V.BEAUTE
| 14.816.164
| 9,56%
| 14.902.346
| 9,03%
|
| GYNAIKA | 6.925.803 | 4,47% | 4.788.428 | 2,90% |
| DIVA | 7.762.570 | 5,01% | 8.176.185 | 4,95% |
CELEBRITY
| 10.906.387
| 7,03%
| 11.710.455
| 7,10%
|
TOTAL
| 155.041.837
| 100,00%
| 165.011.770
| 100,00%
|
Pink Woman
| ADVERTISEMENT COST 2006 | ADVERTISEMENT COST 2007 |
| €
| %
| €
| %
|
| PINK WOMAN | 6.836.659 | 12,06% | 7.664.829 | 12,28% |
GLAMOUR
| 10.071.980
| 17,77%
| 12.445.661
| 19,94%
|
MIRROR
| 13.008.336
| 22,94%
| 13.118.622
| 21,02%
|
| COSMOPOLITAN | 12.818.679 | 22,61% | 15.280.244 | 24,48% |
LIPSTICK
| 10.796.814
| 19,04%
| 7.620.140
| 12,21%
|
YOUNG
| 2.282.855
| 4,03%
| 2.766.053
| 4,43%
|
JOLIE
| 879.757
| 1,55%
| 3.525.039
| 5,65%
|
TOTAL
| 56.695.080
| 100,00%
| 62.420.588
| 100,00%
|
Nitro
| ADVERTISEMENT COST 2006 | ADVERTISEMENT COST 2007 |
| €
| %
| €
| %
|
| NITRO | 15.888.644 | 55,88% | 16.403.197 | 56,10% |
MAX
| 4.597.803
| 16,17%
| 5.411.958
| 18,51%
|
| FREE | 7.945.258 | 27,95% | 7.421.690 | 25,38% |
TOTAL
| 28.431.705
| 100,00%
| 29.236.845
| 100,00%
|
Top Gear
| ADVERTISEMENT COST 2006 | ADVERTISEMENT COST 2007 |
| €
| %
| €
| %
|
| TOP GEAR | 3.731.699 | 10,85% | 6.195.382 | 20,26% |
CAR
| 5.275.289
| 15,33%
| 5.364.841
| 17,55%
|
CAR&DRIVER
| 6.308.896
| 18,34%
| 6.258.546
| 20,47%
|
| 4 TROXOI | 11.054.879 | 32,13% | 12.755.360 | 41,72% |
DRIVE
| 8.035.467
| 23,35%
| N/A
| N/A
|
TOTAL
| 34.406.230
| 100,00%
| 30.574.129
| 100,00%
|
Esquire & Maxim
| ADVERTISEMENT COST 2006 | ADVERTISEMENT COST 2007 |
ESQUIRE
| 6.171.738
| 16,35%
| 6.833.484
| 15,76%
|
MAXIM
| 4.052.292 | 10,74% | 4.987.525 | 11,50% |
| MENS HEALTH | 5.304.051 | 14,05% | 6.080.649 | 14,02% |
PLAYBOY
| 7.067.705
| 18,73%
| 7.302.216
| 16,84%
|
| PENTHOUSE | 2.292.268
| 6,07%
| 2.321.298
| 5,35%
|
STATUS
| 12.855.497
| 34,06%
| 15.845.464
| 36,54%
|
| TOTAL | 37.743.551 | 100,00% | 43.370.636 | 100,00% |
Down Town & OK!
| ADVERTISEMENT COST 2006 | ADVERTISEMENT COST 2007 |
| €
| %
| €
| %
|
DOWN TOWN
| 13.705.223
| 22,99%
| 18.359.290
| 26,91%
|
OK!
| 6.668.941
| 11,19%
| 7.028.759
| 10,30%
|
HELLO
| 6.125.641
| 10,28%
| 7.585.383
| 11,12%
|
CIAO
| 4.732.976
| 7,94%
| 4.316.684
| 6,33%
|
ΧΑΪ
| 263.843
| 0,44%
| 188.984
| 0,28%
|
ATHINORAMA
| 16.522.190
| 27,72%
| 20.009.525
| 29,33%
|
EXODOS
| 11.585.919
| 19,44%
| 10.727.470
| 15,73%
|
| TOTAL | 59.604.733 | 100,00% | 68.216.095 | 100,00% |
PRESENTATION OF POTENTIAL RISKS INCURRED BY THE COMPANY IN ITS COURSE DURING THE NEXT THREE YEARS
Publishing firms are faced with the uncertainty of the price of paper. The price of end products depends on the prices of raw materials, which are highly vulnerable to a potential revaluation of paper at international scale or to an adverse foreign exchange development. Firms cannot easily pass on an increase of the production cost to the price of the end product, due to the possibility for the high price to lead to a reduction of prints circulation.
At the same time, newspapers are implementing a new differentiation strategy by distributing free insert TV and various subject magazines, which increases competition in these areas and thus leads to a reduction of circulation and advertisement income. Due to the turn of publishing groups towards periodical Press since 1989 and afterwards, the number of titles and new categories dramatically increased thus generating an intense competition in the sector. Moreover, the wide variety of titles existing on the market together with the limited space available in kiosks that does not permit the proper promotion of prints, results in a low circulation performance for many of those and a significant increase of returns. Therefore, both the final cost of the issue and the income from circulations are increased, making the firms of the sector to some extent dependant on advertisement income.
